Sun International: R295m Realized from Sun Vacation Club First Phase Sale in Sun City
Sun International, a gaming, casino, and hotel group listed on the JSE, has reported impressive sales for the R295 million first phase of the Sun Vacation Club luxurious accommodation in Sun City, surpassing the feasibility study conducted by the parent firm. Sale
Sun International announced that by July-end, gross sales of R166 million had been generated since the launch of the development in October 2022. The first phase of development costs comprised R45 million incurred during the 2022 financial year, while the remaining amount would be incurred in 2023.
The anticipated cost of the Sun Vacation Club development, which was announced in 2022, is approximately R850 million for the next five years. The second phase, driven by demand, is projected to cost around R550 million. Sun Vacation Club Sale Sun City
We realised that the demand for high-end luxury accommodation was there, but the market reaction to the development exceeded all our expectations and outstripped our sales predictions,”
said Janita Donaldson, Sun Vacation Club group GM.
According to Donaldson, the four-bedroom villas had sold out by September, and the sales rate for the three-bedroom villas was significantly exceeding their expectations.
According to her, on October 5th, when reservations became available, 22% of the reservations were made by current Sun Vacation Club members. Furthermore, over half of the available four-bedroom villas were booked for the upcoming year on the same day.
Forty percent of sales were snapped up by existing Sun Vacation Club members, with 60% bought by new members signing up for the first time.
said Donaldson.
Sun International introduced the traditional timeshare approach back in 1996 at Sun City by modifying a staff village into a resort. The Vacation Club, which has 22,000 members, provides options for peak and off-peak seasons spanning five to ten years.
The Sun Vacation Club is now providing the first-ever five-star timeshare accommodation named Lefika Villas, which includes a dazzling clubhouse, top-notch restaurants, and various other facilities. The initial stage of Lefika Villas is creating 58 high-end villas, designed for both native and foreign wealthy travelers, where they can choose from 48 three-bedroom villas and 10 self-reliant four-bedroom villas.
Sun City Resort GM Brett Hoppe said the development could not have come at a more opportune time. “We are facing unprecedented demand due to the Nedbank Golf Challenge starting on November 6 and with the holiday season fast approaching.”
The Christmas and New Year periods have all the villas completely reserved.
Lefika, deriving from the Setswana word for “stone”, is a tribute to the nearby Itlholanoga heritage site, which boasts ancient stone walls and is colloquially known as the Lost City within the expansive Sun City resort.
Over the course of 18 months, a group of 15 architects and designers hailing from Boogertman + Partners and Boogertman Interiors Turnkey collaborated to design, oversee construction, and acquire furniture and fixtures for the structure, grounds, and indoor spaces.
By employing nearly 50 subcontractors, service providers, and local labor, the group successfully sustained a 30% local expenditure.
Located in the North West near Rustenburg, Sun City is the prime asset of the group. It has boasted distinguished hotels, golf courses, a casino, and various recreational and amusement amenities since its establishment in 1979. Sun Vacation Club Sale Sun City
After reorganizing and optimizing its operations, as well as maintaining its allure for the South African market, the Sun City Resort has sustained impressive success.
Income surged by 26% to R890m during the six-month period concluded in June, while occupancies expanded from 54% to 63%. Additionally, the room rate witnessed an uptick of almost 50%.
Domestic conferencing and leisure have returned strongly — adding a boost to our revenue.
said Hoppe.
According to him, the casino industry is experiencing positive revenue expansion due to the resurgence of the general gambling market. The recovery of global tourism is predicted to commence towards the end of this year and extend through 2024. Sun Vacation Club Sale Sun City
