TFPD RAKES IN E3M FOR PIGG’S PEAK HOTEL

PIGG’S PEAK – Has the messiah arrived?

After a long history of losses and uncertainties over the business future of Pigg’s Peak Hotel, the staff is currently celebrating strides that have been taken since TFPD began operations in April 2023. The government owned hotel has been without an operator for 11 years. In its financial performance for October, Pigg’s Peak Hotel, under TFPD’s management, made a  E3 million turnover. If it were to continue with this trend, it is said that the business has shown the potential to make E36 million per annum or more. The challenge, according to business analysts, is to minimise expenditure to maximise profits. The last operator to be in charge of the government facility was Orion Hotels and Resort (Pty) Ltd. It was ordered by the High Court of Eswatini to pay rent accrued from March 2011 to January 2012. Rent has escalated to E2 400 819.46 by the time Judge Nkululeko Hlophe issued the judgment on the matter on March 1, 2012. 

Pigg’s Peak Hotel had leased out the hotel facility to Orion Hotels for 17 years. It had occupied the facility for nine years paying rentals. Pigg’s Peak Hotel told the High Court that it entered into a written lease agreement with Orion Hotels on December 1, 2005,  for the occupation of the facility for monthly rentals of E100 000. Another hotel company that managed Pigg’s Peak Hotel is Protea. When the two former operators began the management of the government facility, they used their brands to market the business – Protea Hotel Pigg’s Peak and Casino and Orion Hotel. Despite its location, nestled in the pine trees and manicured lawns, providing attractions and dining options, Pigg’s Peak Hotel has been operating at a loss for quite a long time.Built in 1986, the government-owned facility was described in some quarters, mainly in Parliament, as a white elephant or a financial drain to the taxpayer. As a result, there were some suggestions that government should dispose of the facility, because it was not making money for emaSwati.  

The ball is now in the court of TFPD to turn around the fortunes of the hotel. It must be said that the company has not yet used its brand to market the facility. It has been established that TFPD manages some prominent accommodation outlets in South Africa, which include the Xaus Lodge, Witsieshoek Mountain Lodge, Awelani Lodge and Nahakwe Lodge. Glynn O’Leary, the Chief Executive Officer (CEO) of Pigg’s Peak Hotel, said TFPD’s main task was to make the business profitable. O’Leary said the hotel has a huge potential to derive a substantial income and to create more jobs for emaSwati. He said they discovered that tourists treated the hotel as a one-night stay, adding that they were working on logistics of creating activities that would keep them in the facility for two or more nights.

He said they would launch outdoor events such as building and maintaining hiking trails. He said there was also an opportunity for Pigg’s Peak Hotel to be an ideal place for weddings and other functions. O’Leary mentioned that the hotel was built in such a way that it was sound proof, as guests in the rooms could not be disturbed by external noise or music. The hotel sits on 90 hectares of land. The CEO said they would not reduce the number of employees. The hotel currently employs 74 workers – 66 direct and eight security officers who were posted to the place to ensure safety of the property and people. He said the target was to increase revenue, something that hasn’t been happening for a long time and also support local business by buying vegetables from them.

“We have started buying vegetables from neighbouring communities. That’s what we do as a company. We empower neighbouring communities,” he said.  O’Leary told the Times SUNDAY that the business nature of the Pigg’s Peak Hotel was largely centred on conference market. This has resulted in the revamping of the conference rooms and installation of screens to enable virtual conferences. To make the government hotel appealing to the tourism market, the CEO said they ensured that all visitors to the facility were connected to Wi-Fi.

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