For sale - Rundu Hotel and Casino

Property Overview

Nestled in the heart of Rundu, Kavango East, Namibia, this expansive property spans an impressive 37,910 m2 and boasts a rich operating history of over 27 years. Currently functioning as a hotel and casino, this property offers a unique investment opportunity in one of Namibia's thriving regions.

Valuations & Asking Price

The property is attractively priced at N$ 27,820,000, well below its market valuation of N$ 32,800,000 and insurance valuation of N$ 44,990,000. This represents a significant investment opportunity, with substantial savings right from the start.

Accommodation & Facilities

This property features a diverse range of accommodations, including 41 hotel rooms available in single, twin, and double configurations. Additionally, there are 7 houses designated for staff and owner residences, as well as bachelor flats. The property also offers 12 campsites, each equipped with a covered area, braai, and ablution facilities.

For conferences and events, the property houses 4 conference halls with capacities ranging from 20 to 120 delegates. This makes it an ideal venue for government and corporate conferences—a primary revenue driver in the Kavango East region.

Dining options include a full-service restaurant serving meals from breakfast through late evening with both indoor and outdoor seating available. Guests can unwind at two bars: the Kavango Bar, featuring a pool table and swimming pool, and the Village Bar, offering four dart boards, a pool table, and a splash pool.

The hotel rooms are equipped with modern amenities such as Wi-Fi, DSTV, mini-fridges, coffee and tea stations, and air conditioning. Additional facilities include a volleyball court, reception and back office, laundry room, multiple storage rooms, warehouse, garden equipment storage, and ablution blocks for campsites.

Inclusions in Sale Price

The sale includes two vehicles and an advanced solar power system valued at N$ 3,024,123. This system comprises 85,000 W solar panels, a 100KVA three-phase inverter, and 305KWH Lithium Blue batteries, installed in mid-2022. Other inclusions are a 60KVA backup generator, borehole water supply tested as A-grade by Anticor, gas geysers throughout the property, eight CCTV security cameras, a security office, and a two-way entrance gate. The property also features three serene fish ponds.

Key Investment Highlights

1. Below-Market Pricing: Offered at N$ 27.82 million against a market valuation of N$ 32.8 million and insurance valuation of N$ 45 million.

2. Low Operating Costs: Significant savings through borehole water supply and solar power reducing electricity costs from approximately N$ 90,000/month to N$ 15,000–19,000/month.

3. Diverse Revenue Streams: Income from hotel rooms, camping sites, conferencing facilities, food and beverage services, and entertainment options.

4. Strong Market Position: Largest hotel in Rundu and the Kavango East region; trusted for government conferences.

5. Growing Tourism Market: With Namibia experiencing an 18.4% increase in international arrivals in 2024 and a projected N$ 4.6 billion in tourism revenue for 2025.

6. Strategic Location: Positioned on a scenic escarpment overlooking the Kavango River and near key attractions like the Mbunza Living Museum.

7. Institutional Interest: Recent acquisition activity in the area signals strong confidence in the region.

Future Development Potential

Plans are underway for developing 58 townhouse units to be leased as long-term rentals, expected to generate stable monthly revenue of approximately N$ 400,000. Rundu's rental demand is exceptionally strong.

The property is also eligible for a casino license. Once approved, this will significantly boost hospitality revenue by differentiating the establishment from competitors in the region.

This property is positioned as a multi-income venture combining accommodation, leisure, conferencing, and residential leasing—an opportunity not to be missed for astute investors.