The Sectional Title Hotel Room Concept
See our INVESTMENT ESSENCE page for full information on this concept.
In essence individual rooms or suites within a hotel are owned by separate investors who have title to that particular room or suite.
Usually all the owners within an individual hotel complex “pool” their rooms or suites, and appoint a Management Company to run the hotel. The owners in that complex then share the net rental income generated by the complex as a whole, after costs and management fees.
Sectional Title Hotel room ownership is comparatively problem free. The Management Company handles the myriad chores that the owner of a stand alone rental property normally has to contend with.
Our Parktonian Sectional Title Project
This project was launched in 2006/ 2007. The 300 virtually identical hotel suites in the hotel were registered as 300 Sectional Title units. Of those the bulk were retained by the trust of the original owners and the balance were sold off to external investors.
Our Sectional Title project is unique in that all 300 unit holders also hold a 1/300th share of the common areas within the hotel. These house the bar, restaurant and major conferencing facilities, etc. So every single Sectional Title unit owner receives 1/300th of the net income after costs from all 300 hotel suites PLUS 1/300th of the net income after costs from the food, beverage and major conferencing facilities. Payments are made monthly.
See our INVESTMENT DETAILS pages for full information on our Sectional Title Hotel room project.
Those pages will show that Parktonian units have performed well over a 10 year period when compared to other types of property investment and hotel investment. Parktonian investors have never had to pay levies, and have received substantial uninterrupted monthly distributions over the period. So our existing investors say that they have a good income producing property investment, which is also a good property growth investment, and which is hassle free.
Resales of Existing Presold Parktonian Hotel Sectional Title Units
Recent resales have taken place at some R600 000 per unit. Sales from now on are likely to be at about R650 000 per unit.
The units are privately owned, so we as managers of the hotel are not always aware of owners who wish to sell or investors who wish to buy. We urge you to keep in touch with us, via this website, as we may be able to put you in touch with a potential buyer or seller, depending on your interest.
Purchase of Tranches of Sectional Title Units
The Trust which owns the bulk of the units may in future consider selling further units, so again anyone interested in a good income producing property investment which is also a growth property investment is requested to contact us via this website.
Anyone interested in approaching the Trust should contact the Protea Hotel by Marriot Johannesburg Parktonian All-suite Financial Manager, Mr Klaus Kubirske at +27 11 403 5740, or +27 82 888 4089 or firstname.lastname@example.org.