Proposed cottage resort & spa project, sea facing property at Chidyatapu, Port Blair.
Cottages will be sold to individual buyers on a time-share investor model.
We would like to introduce ourselves as a company marketing & selling land exclusively in the Andaman Nicobar Islands. This is a proposed 48 cottage resort & spa project in Port Blair, 18 kms from the airport on a sea facing property of 2.25 acres.
We will be constructing 24 cottages in the first phase & 24 cottages in phase II along with a spa, restaurant, swimming pool & other amenities.
To say a few words about Andamans, it is a union territory of India consisting of 27 inhabited islands out of the total 572 islands. Its approx 1200 kms from Chennai & Kolkata and 500kms from Phuket.
We will be marketing and selling all the 48 fully furnished cottages to individual buyers at 41 lacs each (registration charges extra), amounting to 20 crores as the total project value. The total calculated cost of construction is 12 crores including landscaping, common restaurant & other facilities. Keeping a contingency of 0.5 crore we expect the total project cost as 12.5 crores. The anticipated total profit would be 7.5 to 8 crores in two years project completion time.
We are looking for an investment of 3 crores offering a stake/partnership of 25% in the newly floated company.
Once the whole construction is completed and given out to individuals, we plan to operate this as a resort with a rental agreement with the individual cottage owners, being offered a monthly rental and free stay option with maintenance controlled by our company. We will run it as a facility management company with tie up with travel companies, travel agents, on-line companies offering cottages for rent & package.
A totally unexplored territory with growing potential with a steady increase of 12-15 % of tourist inflow and a big gap between demand and supply.
Taj group coming up with the first 5 star resort and others to follow.
The promoter being from the island and with relatives within the local government organisations will help in steady completion of the project.
We have done a primary homework in the last six months on the demand supply gap.
The returns will be of two types:
1) One time returns on the sale of the cottages.
2) Lifetime yearly returns from the maintenance of the property and running of the resort.
3) The resort will be maintained by a well known brand on management contracting model.
The 50 % of funds will be used for land and rest 50% for construction of cottages.
The construction will be by the prefabricated method or eco friendly method.
1,5 crore will be paid to the land owner as part of the instalment.
1 crore will be used for placing orders and advances towards steel & construction.
0.5 crore will used for other expenses.
The financing can be in two stages or maximum three stages
We are strictly looking for a silent investor and can involve an accounts person.
The investment can be shown as debt and will be returned in 5 yearly equal instalments from 2 nd year of completion and operation of resort.
The return on investment will be as mentioned @25% share of the total profit in the developer company, as well as, the facility management company.
Please contact us to understand the whole project.