Resort for Sale in Otea, Kapa Island, Vava'U, Tonga

Boutique Island Resort

For Sale - Boutique Resort in Beautiful Vava’u

For sale by owner, a newly completed high quality boutique resort in the beautiful Vava’u archipelago. Reluctant sale due to change in personal circumstances.

Location

The resort is located in a desirable island location – far enough away from Neiafu to feel like an island hideaway yet conveniently close to town and the airport for shopping and transfers.

The famous Swallows Cave can be accessed from the resort by kayak with Port Maurelle, a tranquil bay with a safe anchorage, only a short walk away. The Japanese Gardens, a well-known snorkelling spot, is located in front of the resort and whales may also be seen in the season.

The 5-acre plot is directly on the sandy beach and has mature trees including: coconut palms, mango, Fijian limes and guava. The land slopes towards the sea and has good grass coverage.

There is access to the water at any tide and there is good snorkelling just a few metres from the beach.

The long jetty allows for whaleswim, dive, fishing and other operators and visitors to pick up and drop off at the resort.

Accommodation

The core business of the resort is the provision of high quality, comfortable accommodation. The feedback to date from tour operators and guests has confirmed that this has been achieved with advance bookings already received for 2008.

The resort is also soon to be featured in “Tauchen” (European dive magazine), “No Frontiers” (television holiday programme shown in Ireland and syndicated to the US), and the front cover of “Escape” (Sydney Telegraph Sunday magazine – also distributed throughout Australia with other Sunday Telegraph newspapers), and will be in “Fromer’s” next Pacific guidebook (available on-line in the next few months). The resort has filled a niche for visitors to Vava’u who want an adventure holiday but require a high standard of comfort and service.

In addition, the resort has recently opened for dinner to non-residents and is now featured in the Moorings charter yacht information book. This is a lucrative area of additional business. The resort is also well located for residents in Neiafu for lunch and dinner, and has already become a destination for Sunday lunch and for business lunch meetings.

Due to the location of the resort there are also opportunities for add-on businesses such as whaleswimming, fishing and boat trips. All these activities require an operator’s license but accommodation businesses are more likely to be approved than any other existing business or new start-up operation.

Building Standards

The construction has all necessary approvals and is of a very high standard compliant with New Zealand building codes (including cyclone regulations) and California Earthquake code. All buildings are of reinforced cement block construction and have tiled roofs. The architecture and colour scheme is in-keeping with the environment with spacious and contemporary interiors.

The resort opened in August 2007 and is in excellent, as new, condition throughout.

Opportunities

· Brand new
· High quality construction
· Complete package – turnkey
· High quality and tasteful fixtures and fittings
· Includes boat and minibus
· Small reliable staff
· Convenient and beautiful location
· Long Tenancy Agreement – 80 Years from 2005
· 10 years rent paid in full
· Opportunity for expansion on 5 acres
· Potential for additional businesses
· Plantation for growing vegetables and fruit
· Advance bookings for 2008
· Positive feedback from tour operators and guests
· Niche luxury market

Communications

· Wireless broadband internet
· Wifi coverage for guests
· Mobile phone reception
· VHF radio.

Assets

The sale includes 100% of shares in the Tongan registered operating company, together with all assets purchased by the current owners on behalf of the business prior to company registration. The resort is offered for sale fully functioning, including buildings, high quality fittings, furniture and equipment. The assets comprise:

· Tenancy agreement for 80 years from 2005 for 5 acres of grounds.
· Monthly rental has been paid in advance for 10 years from 2006.
· 4 individual bungalows (7 metres x 6 metres internal dimensions) – 2 beachside and 2 in an elevated position providing panoramic views of the Mala Passage.
· Restaurant – including bar, comfortable lounge area, and huge wrap around deck. This spacious building (16 metres x 8 metres) is fully enclosed with kwila and glass bi-fold doors which afford protection in bad weather while maintaining uninterrupted views.
· Restrooms.
· Services building including:
. Kitchen and store room – fully equipped with cookers, freezers, appliances, cookware, crockery and cutlery. The kitchen has a sea view.
. Laundry – 7Kg Fischer and Paykel washer, fitted shelves with ample stock of high thread count 100% white cotton bedding, quality towels, and table linen.
. Reception.
. Owner’s/manager’s bedroom and shower room.
. Staff toilet and shower.
· Generator house including new 20 KVA John Deere Generator.
· 17ft speed boat.
· 2 kayaks.
· Stone and timber jetty with floating pontoon.
· All required business licenses in place.
· Development Licence still valid and has provision for import of a further boat and vehicle duty free.

General Information

· The resort generates 100% of its electricity requirements. Power is 240v with NZ fittings. The generator runs on diesel and requires approximately 50 litres of diesel per day for 24 hour operation.
· The resort collects 100% of its water requirements from rainwater collection off large roof areas. Total storage capacity 110,000 Litres.
· The resort has 2-chamber septic tanks to dispose of waste water.
· Vegetable waste is used to feed pigs in the village. All other waste is transported to the main island to the land-fill.

For a detailed inventory of contents included in the sale and any other information, please contact the owners.