MABULA STRUCTURAL REFURBISHMENT
Dear Shareholders
Almost two years to the day, the contractors finally finished the refurbishment program which got under way on 22 May 2007. The refurbishment program was initiated in 2004/5 and the plans were drawn up by C3 Architects. The concept was presented to the AGM in November 2006 and work commenced on Phase 1 (Modjadji) in June 2007, with Safari Thatching as the main contractor and African Elegance as the Interior Decorator.
The first Project Manager walked away from the project on the first day and two other PMs left the project before the completion of Phase 1. The Refurb EXCO consisting of the two Timeshare Directors, Noel Fisher and Graham Manchip appointed a new Project Manager, Frik KNoetze, to oversee the refurbishment from Phase 2 (Bush Lodge) onwards. The PM was responsible for checking that the overall specifications were met and that the quality was of an acceptable standard.
As with any refurbishment, concepts are extremely subjective, and out of 3,500 share holders we would get 3,500 differing opinions. There has been mixed reaction to the refurbishment, but the majority of share holders and other visitors are happy with the changes that have been made and this is reflected in the RCI comment card scores.
As with any project of this nature, there are still a number of snags to be attended to and although the contractors are attending to these problems, it will still be a few weeks before everything is completed. Although regular checks are carried out, the management and staff do not sleep, bath or cook in the units and it only through usage that some problems may become evident .We are aware of most of the defects, however should you encounter something in your chalet please do not hesitate to bring it our attention.
The financial statements for the refurbishment of the three share block companies for 2006, 2007 and 2008 have been audited, with the 2006 and 2007 financials being included in the 2007 Annual Report. The 2008 figures will be included in the notice of the Annual General Meeting which will be posted soon. From an initial budget of R21million in 2005, the final figure on the project is set to be in the region of R27million. To avoid having to go back to the share holders and asking for an additional special levy to cover these costs, these cost are being borne out of the reserves.
Due to the magnitude and complexity of a refurbishment if this nature, accounting for individual units is impossible and the costs of auditing such expenditure would be enormous.
We have exercised now the lien over the shares of those shareholders who did not pay their special levies and have sold the units to recover some of the R1,4 million which had to be written off. The shares were sold as a "bulk buy" to Quality Vacation Club.
Yours sincerely
Gavin Hatherley
General Manager - Mabula Private Game Reserve.
