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High-Yield Architect-Designed Boutique Hotel in Sri Lanka For Sale

Ahangama, Sri Lanka
Asking Price:
$950,000 (USD) Furniture / Fixtures and Inventory / Stock included
Sales Revenue:
$100,000 (USD)
Cash Flow:
On request

Presenting a rare opportunity to acquire a profitable and architecturally significant boutique hotel in the booming coastal town of Ahangama, Sri Lanka. This turnkey business is a high-performing asset, celebrated for its unique design in Frame Magazine and holding a stellar 4.9/5 guest rating on Google.

Engineered for profitability and style, the property generates a strong gross yield of approximately 12.5% and benefits from dual income streams: 9 beautifully appointed guest rooms and a dedicated, in-demand coworking space tailored to the area's thriving digital nomad community.

This is a fully operational, legally compliant business with immediate cash flow, making it a perfect strategic acquisition for an investor seeking a premier asset in one of South Asia's hottest tourism markets.

Key Investment Highlights:

Exceptional Financial Performance: Generates an annual revenue of approximately $100,000 USD, delivering a gross yield of ~12.5%—a standout return for the hospitality sector.

Prime Ahangama Location: Situated just 250m from the beach in Sri Lanka's fastest-growing hub for surf, wellness, and digital nomads. The property is in a quiet, secure location, safe from tsunamis and flooding.

Unique Selling Proposition: The only design-forward hotel in the area with an integrated coworking space, capturing the high-value digital nomad market and ensuring year-round demand.

Turnkey Operation: The business is being sold as a fully operational entity. Step in from day one with a proven business model, trained staff, and established reputation.

Award-Winning Architecture: A minimalist, exposed-steel structure that provides a unique guest experience, commands premium rates, and has been featured in international design publications.

Sustainable & Future-Proof: Equipped with solar panels and a battery backup system, reducing operational costs and appealing to the modern, eco-conscious traveler.

Premises & Facilities:

Land & Build: Set on a secure, fully fenced 23-perch (~582 sqm) plot with comprehensive CCTV security. The total built area is an expansive 7,000 sqft.

Accommodation: Includes 9 guest bedrooms plus an additional room suitable for an owner/manager's flat or staff quarters.

Facilities: Features a swimming pool, rooftop lounge, recreational areas, and the purpose-built coworking facility.

Opportunity for Growth:

The business holds a commanding market position with no direct competitors offering a similar standard of design and facilities. There is a clear and immediate opportunity for expansion, as the owner of the adjacent land is open to selling, allowing a new owner to potentially add more rooms or amenities to further boost revenue.

Property Information

Real Estate:

Real Property Included

Living Accommodation:

In addition to the 9 guest bedrooms, the property includes a separate, versatile 10th room. This room is perfectly suited for use as on-site owner's or manager's accommodation, providing convenience and oversight. Alternatively, it can be utilized as dedicated staff quarters.

Location:

Prime & Secure Ahangama Location: Strategically positioned in the sought-after Kanda enclave, the property offers a powerful combination of serene privacy and prime accessibility. It is a short 200-meter walk from the iconic "Secret Beach" and moments from the commercial heart of Ahangama town. This coveted location drives high guest demand and premium rates. Crucially for any investor, the property is situated on high ground, mitigating operational and asset risk by being in a documented tsunami- and flood-safe zone, ensuring business continuity.

Premises Details:

Secure Freehold Asset on a 23-Perch Plot: The business operates on a 23-perch (approx. 582 sqm) freehold plot of land, representing a significant tangible asset. The premises are professionally secured with full perimeter fencing and a comprehensive CCTV surveillance system. This robust security infrastructure protects the asset, ensures guest safety and privacy, and upholds the property's premium reputation, directly contributing to stable occupancy and revenue.

Size in square feet:
7,000
Planning Consent:

The property is fully compliant with all local regulations. All architectural drawings and building plans have been officially approved by the municipal council. This certifies that the structure is legally constructed and permitted for its use, offering a secure and hassle-free investment with no legal ambiguities.

Business Operation

Management type:
This business has absentee ownership.
Expansion Potential:

De-Risked Pathway to Future Growth & Increased Revenue: A significant, actionable opportunity exists to expand the business and increase the asset's value. An agreement in principle is in place with the adjacent landowner, providing a clear and straightforward pathway to acquire more land. This allows a new owner to immediately develop plans for additional rooms, private villas, or enhanced facilities, directly translating into increased capacity, higher revenue streams, and a substantial boost to the overall return on investment.

Competition / Market:

Unrivaled Market Position in a High-Growth Niche: The business has established a dominant market position with no direct competitors matching its unique offering. Its superiority is evidenced by a near-perfect Google rating, solidifying its status as a top-tier destination in Ahangama. The key competitive advantage lies in its specialized focus on the lucrative and rapidly expanding digital nomad niche. This strategic positioning insulates the business from the broader hotel market, creating a defensible moat and a loyal, high-value client base that grows year-on-year.

Reasons for selling:

Health

Trading hours:

24/7

Employees:
4
Years established:
7

Other Information

Support & training:

Negotiable

Owner financing:
Owner financing is available. Please contact the seller for more information.
Financing available:

Negotiable

Furniture / Fixtures value:
$30,000 (USD) - included in the asking price
Inventory / Stock value:
$30,000 (USD) - included in the asking price
Website:
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Relocatable:
This business can be relocated.