Stylish boutique retreat hotel for sale near Ahangama

Feb 5

A very carefully considered and stylishly designed boutique retreat hotel a little inland from much sought-after Ahangama

For sale - Guide price USD 1,190,000

Extent - 460 perches (2.87 acres)
Built up area - 6,500 square feet (approx.)
4 large guest bedrooms
Beautiful, quiet and private location overlooking rice paddy
Easy access to Ahangama town and beaches
Scope to expand operation with restaurant
Reference - 90

Overview

A highly rated and immaculately maintained boutique hotel for sale close to the beaches of Ahangama, this small but very carefully considered property is offered for sale for the first time by its owner/developer.

The property sits in just under an acre and a half of land that slopes gently to a beautiful valley of rice paddy within easy reach of a coastal strip very much the centre of Sri Lanka’s South Coast tourism scene.

The location is calm and quiet, removed slightly from the buzz and hustle of Ahangama and Kabalana, and lends perfectly to the wellness and retreat-style ‘product’ the owner has focused on developing.

The built spaces, completed in 2019, have a clean, modern aesthetic, with bedrooms and bathrooms - all very spacious - designed and finished to an excellent standard.

New owners would likely consider options to increase room inventory and/or drive revenue through additional F&B offerings.

Ahangama has become the darling of Sri Lanka’s South Coast tourism market over the last two-three years attracting a well-experienced set of creative hospitality operators who are pulling in a strong and still-growing crowd.
Where other areas continue to focus largely on beachfront, the Ahangama (and down into Midigama) stretch has produced several high-quality, and successfully operating, properties inland. The likes of Kurulu Bay, Tekanda Lodge, and most recently Trebartha East have pioneered a different kind of product; high quality, very much design-led offerings with a focus typically on wellness and a calm restorative experience.
This property sits within that same bracket and has the potential to leverage strong demand for that type of stay.
The hotel sits just to the Eastern edge of Koggala Lake, approximately two kilometres inland from Kabalana. Drive-time to the beach (by Tuk or car) is less than five minutes. Ahangama town is around 10 minutes drive.
Access to the Southern Expressway is good with the Imaduwa Interchange around 10 minutes drive, bringing drive times to Central Colombo and the International Airport within two hours.
The property has been developed to a high standard with relatively low room inventory. We imagine new owners would look at options either to increase the number of rooms, utilising the good amount of space the property has or consider developing a more commercial F&B offering; the section of the property immediately facing the rice paddy would perhaps lend very well to a restaurant/bar for non-resident visitors.
The operation currently runs smoothly with positive cashflows and relatively modest overheads. Given the quality of the rooms and overall high standard of the property we believe there’s scope to increase the room rate and maintain, or lift, the current occupancy levels.
The hotel has relevant SLTDA approvals and is offered for sale with all furniture, fittings, brand materials and booking channels.