Great income generators for investor
THE hotel serving - Braamfontein, Johannesburg, and Parktown. It is one of the very few hotels where every room is a suite, offering spacious and well priced accommodation. With us you the guest gets a suite for the price of a room.
Hotel guests enjoy a separate bedroom, bathroom and a large lounge with a work desk and leather chair, flat screen TV (DSTV), Wi-Fi., and a kitchenette.
Each of our 300 modern suites is a separate Sectional Title unit. The owner of the unit receives 1/300th of ALL income generated by the hotel after expenses and a management fee comprising 20% of net profits generated. This means that investors share in suite, conferencing, food and beverage and other income.
• Freehold Sectional Title ownership of one of 300 almost identical hotel suites of approximately 55 sq metres, including a 7 sq metre balcony. These suites are in a tower block of 22 typical floors.
• Effective ownership of the contents of that suite by way of fittings, furniture, equipment and soft furnishings.
• Ownership of 1/300th of all the public rooms, restaurant, bar, conferencing areas and back up areas such as kitchen, storerooms and staff areas. This ownership comes as a result of all these areas being classified as “common areas” in terms of the Sectional Titles Act. So the revenues generated in these areas, and the costs associated with those areas and generating those revenues, will be apportioned equally between the 300 suite owners.
• 1/300th share of the net benefits of the lease from the City Council, valid until about 2034, of the Parkade and Recreation Centre. This resulted from the Braamvest Trust ceding the rights and benefits of its lease agreement with the City Council (the “City Council Agreement”) for the benefit of the Income Pool.
• ALL income is pooled. That is revenue not only from the 300 suites, but also from the food and beverage trade in the hotel, the conferencing trade and the net parking and other revenues