If you are an international hotelier looking to expand, Zanzibar is one to think about.
An archipelago of three islands in the Indian Ocean a stone's throw from Africa's east coast, opposite Tanzania.
Stunning, tick, relatively undiscovered, tick, all-year-round sunshine, tick (bar monsoon season of course).
In this article, Terence Baker from HHN also points out new investment projects: airport expansion, $1 billion high-end resort and yet and yet…….
So what are the risks?
High operating costs are frequently cited high taxes - 30% corporate and 24% VAT are not a help. Inflexible labour laws mean getting staff is a struggle with limited options be bring staff in from overseas. Utitlites are not cheap with the main supplier being the Government. None of these problems however are insurmountable.
Fortune favours the brave as they say and if you are creative and have a decent professional team there is an opportunity waiting here.
Zanzibar might not get as much tourist attention as Indian Ocean destinations such as The Maldives, but sources said it offers much for hoteliers, despite hefty operational costs.