City Edge Hotel & Suites, part of The Edge will consist of 45 sectional title units operating in a rental pool run by Relais Hotels. Owners will be able to tap into the Cape tourist market where volumes are set to rise by 10 to 12% per annum over the next three years. An investment here is estimated to generate an annual return of 7.8 to 8% from day one with STAG subsidizing the marketing of the Hotel in the first year of operations.
The three star bracket will place The City Edge Hotel & Suites in the fastest growing category in the hotel business.
The hotel suites will all be self-catering with electric ovens, gas stoves and microwave ovens. They will also be air-conditioned and the complex will have full wi-fi coverage. There will also be an Internet café in the complex.
The apartments will vary in size from 49m2 to 80m2. Suites will be fitted out and decorated by Caroline Osborne of Seed Design and Relais Hotels will be aiming for a three star grading with four star fittings. Work is expected to start early in the new year (2009) and to be complete in the first half of 2010.