Pokhara Visit: Tourism Village Feasibility (Middle Modi Hydropower Birethati, Pokhara)

Date: 07th – 9th June 2022

Pokhara Metropolitan City lies 200 km west from the capital Kathmandu. It serves as the headquarters of Kaski
District, Gandaki Zone and the Western Development Region. It has a unique combination of nature, culture,
and adventure.

What makes the location an attractive site?

Nature Trails, Natural resources, Trekking sites. Pokhara is full of natural siting. Our site is around 42 KM
far from the main city (lakeside) which is currently the major hub of tourist stay. Panoramic view of
snowcapped mountains, green hills hillocks, wide and beautiful valley, waterfalls, gushing rivers etc. are
natural attractions and various ethnic communities and their rich traditions, temples, monasteries,
museums etc. are also a cultural attraction near to the vicinity.

Is there a supply of labor sufficient in number and quality? What human resource costs can be
expected?

Pokhara is a popular tourist destination, and lots of hotels and restaurants are available near the
vicinity. Slight challenges may be anticipated due to the remote location. Transportation and
Accommodation for staff can help to mitigate the quality resources.

Is the hotel supported by easy transport links?

Yes, the site is well connected with the local transportation. However, for guest we may have to
provide shuttle bus from Airport and main city to attract customer from the Lakeside competitions.

What are the potential risks and advantages associated with the local area?
Yes, there are a few risks observed below:
1. Natural Risk- Landslide, Heavy Rain
2. Market Risk - Limited supplies for 5-star hotels
3. Cost Risk - High cost of purchase & building materials transportation

Lakeside can absorb the nature and the reflection of Fishtail Mountain into the Phewa lake, enjoy the
nightlife of Pokhara. Thus, our site being away from the main attraction point of Pokhara, may pose a
challenge.
Advantages
1. Site - Natural land with vegetation & Annapurna trek
2. Nature - Site Located near to the river, may help with guest activities
3. Spiritual - Good location for Cultural, spiritual and meditation promotion
Pokhara has ideal potential in the tourism sector due to its natural beauty, demographic location, and climatic
variation. Trekking, rafting, kayaking, paragliding, mountaineering, hiking, sightseeing, view from Sarangkot,
boating in lakes, various temples, cave visit, forests, waterfalls, terraced fields, and many more are the activities
that can be done in Pokhara. Lakeside in Pokhara is a popular destination for everyone and Phewa lake is one
of the largest lakes of Nepal lies in the lakeside area of Pokhara.
Tourism is an interest and passion of people towards adventurous activities such as kayaking, rafting,
boating, paragliding, trekking, hiking and many more, people travel for relaxation, family holiday and seeing
too.
Wellness tourism is a trip that includes yoga and meditation. Yoga and meditation have become a necessity
than a trend. People have a busy schedule, and they work passionately these days, but they also need rest and
refreshment for a balanced life.

 Strength:
o Exceptional location and amenities such as a Mountains, River, Pool, and restaurants.
o The road from Pokhara to the site location is good.
o Situated in the heart of lush green hills with river near the door
 Weakness:
o Difficult to find quality manpower in certain regions,
o Distance from the main city center and local market
o area is not a happening place like Lakeside, Sarangkot or Pame
 Opportunity:
o Emerging travel types to escape city life, opportunities to host events such as weddings,
incentives meetings.
o Targeting travelers looking for highly personalized, unique, and private offerings.
o Pokhara international airport becomes up and running, re-visiting the project would be
much fruitful.
o Positioning our services and adding all facilities to connect with Pokhara city might create
unique attraction.
o Promote the resort applying Shaswatdham as pilgrimage and wellness tourism
 Threat:
o Heavily dependent on tourism, seasonable demand
o The site is near a hill with concrete mixed soil, which may create severe safety issues and
may hamper project life.
o Landslides (Stone falling) are major concern noticed on the floor
o No tourist spots in the vicinity of the resort
o Benefits vs Local brands are difficult to compete.

Local Hotel Supply and Demand Investigation, Room Rates and Occupancy Levels

This involves analyzing all competition in the local area according to your selected concept type (hotels, resorts,
hostels, apartments).

Competition around the City

Pokhara has approximately 288 Hotel, 33 Guest House & 13 Resort (Visitor’s 16K daily average)
Popular hotels, inventory, and rate (BB) No 5 Star category hotel or any brand. Usually, no rooms are available
during the weekend (Friday & Saturday)

1. Temple Tree 68 Keys 6.5 K INR & 8K NPR(Local)

2. Barahi Hotel 80 Keys 5.5K NPR
3. Fish Tail 61 Keys 5.5K INR base & 6.5K INR Deluxe
4. Waterfront 58 Keys 5.0K NPR base & 6.5K NPR Deluxe
5. Glacier Hotel & Spa (Luxury Boutique) 35 Keys 5.0K NPR

Strategic Plan
Step 1: Title clearance of Leasehold Land to Freehold and Permission to build the other project on the site to
check before further investment of time and funds.
Step 2: How will we answer this question ‘Why our hotel?’ To answer the question without words and action
only with the strategy below

A. How will we differentiate the product from the competition?

B. How will we make the product the “first choice” of the market?

Rural Luxury Boutique Resort

Combination of Real Estate and Hotel Project suggestive proposal for project is as follows

1. Real Estate utilizing additional area of plot with separate entrance but serviceable by
hotel. (Leveraging the maximum proceed to reduce the Tourism Village project cost)
 2 – 3 BR Villas for Sale and lease back model, need to evaluate the number of Villas
can be built using low-cost durable material (Siraj to advice) estimated to 65 – 70 Units
 Common modern amenities required as Vacation or Holiday Home.
 Community Hall for society
2. Rural Luxury Boutique Resort utilizing the proposed area of plot
 An Inventory of 40 - 45 Unique Villas with minimum 3 category/type segment
 One restaurant of 90 – 120 covers and other common amenities
 One Bar or Lounge with 50 – 60 Pax capacity
 BOH for hotel services and Administration
 Infinity view swimming (heated) pool.
 Activity space at the side of top hill which includes team building events, trekking,
jogging and various nature activities
 Banquet space for minimum 250 Pax and expandable to 900+ in future
 Additionally, provision for 25 – 30 Villas, cottages, or tents for future
3. Cultural Village at the side of riverbank downside
 Shaswatdham Temple, considered very auspicious at the side of the river flow
 Art and Craft shop, Museum, and amphi theater
 Local produce shop and handmade souvenir stalls
 Meditation Centre in between hotel and the Cultural village
4. Meditation/Banquet Hall & Wellness
 to complement the peaceful climate and river water flow sound for long staying guest
and wellness promotion for day use and events for optimum utilization of space
 Ayurveda treatments and therapy
 Organic Garden

New Proposed area

Particular Old Area usage Proposed in ratio
usage
Plotted Development 35,479 65 -70 Units 92,247
Cultural Village 52,353 Cultural Village 52,353
Village Huts 25 Huts 60,357 Village Huts 12 28,971
3 Star Resort 25,558 Dropped -
Trekker Lodge 19,796 Kept for Future Expansion 19,972
5 Star Resort 1,22,975 40 – 45 Rooms 1,22,975
Common Area 1,30,618 Common Area 1,30,618
4,47,135 4,47,135

After establishing the Real estate supplies number and market competitiveness rates, we will re-
project the Hotel construction cost and rooms inventory. Thereafter operating costs, desired ROI,
and crucially, benchmarking with the other competitor hotels, we need to focus on room rates on
slightly higher side ADRs (Average Daily Rate).

One of the most important parts of “Tourism Village Project” feasibility is the projected ROI if we
didn’t get freehold right of the land. ROI needs to work out by using various metrics on the basis
for customer to show the investment return is good enough to proceed