Sumba is the last undiscovered eco-luxury destination in Southeast Asia. 34 hectares of oceanfront land — the scale of a private island — acquired at frontier pricing ($150–250K/ha).
NIHI Sumba commands $1,200/night. Cap Karoso: $460/night. Our target ADR: $480–850 — conservative relative to the proven comp set.
Three independent value streams — each capable of returning invested capital independently:
① Land appreciation (rezoning 3–5× uplift)
② Resort EBITDA (exit ×11–17× EBITDA)
③ Villa sell-down ($10.5–22M capital event)
| Scenario | IRR | MOIC Y10 | Value Y10 |
|---|---|---|---|
| Conservative | 14% | 2.7× | $37.9M |
| Base Case | 19% | 5.1× | $72.0M |
| Optimistic | 23% | 9.4× | $132.0M |
Starting from $14M all-in investment. Base case: 4.1× at Y5, 9.2× MOIC at Y30. Residential sell-down alone ($16.2M base) exceeds equity raise.
EBITDA Y5: $2.40M base · $4.15M optimistic
Exit multiple: 11–17× EBITDA
Villa revenue: $10.5M (cons) — $22.0M (opt)
Phase 1 (2026–29) — Land + development announcement. Rezoning uplift 3–5×. Residential pre-sales begin. $14M all-in deployed.
Phase 2 (2028–30) — Resort opens. Stabilized ADR $480–850. Occupancy 60–65%. EBITDA $1.8–2.4M/yr.
Phase 3 (2030–55) — EBITDA compounding + land appreciation. Value $72M (Y10) → $129M (Y30) base case.
Operator: International eco-luxury brand (Dusit/equivalent). Benchmarks: Cap Karoso ADR $460 · NIHI Sumba $1,200.
Swiss AG SPV → PT PMA (Indonesia dual-entity). Dual-class share structure. S2I retains full investor and capital control.
Land title: SHM certificates plots 301–318, Desa Wetana, Sumba Barat — clear chain of title, transferred 2014. No encumbrances.
Collateral floor: Land value ($5.5–9.8M today) reaches $21–72M by Year 3 (base case) — exceeds equity raise before resort opens.
Full legal package: Loan Agreement, Deed of Debt Acknowledgment, Management Agreement, Shareholders Agreement, Share Pledge (Gadai Saham).
| Exit Type | Horizon | Target Buyer | Multiple | Equity Return |
|---|---|---|---|---|
| Villa sell-down | Y5–7 | HNWI, Imvestland investors | Unit margin 35–50% | $10.5–22M capital event |
| Strategic trade sale | Y7–10 | Regional hotel group, PE buyer | EBITDA ×11–17× | 3–5× equity |
| Refinancing + dividend | Y5–7 | Retain equity, extract capital | LTV 50–60% NAV | Return 60–80% equity |
| REIT / platform roll-up | Y10+ | Institutional — $75M+ AUM | NII yield 6–8% | 2.5–4× equity |
Africa's #1 tourism market. 17.4M visitors in 2024 (+20% YoY) — record, overtaking Egypt. Marrakech: 71% hotel occupancy (peak Oct 2025: 82%).
Zero 5-star classified properties in the Lalla Takerkoust corridor — 40km from a city receiving 6M visitors/year. First-mover white space at premium ADR.
Entry at €350–700K/ha vs. €3–15M/ha in Ibiza, €800K–5M in Mykonos. Structural undervaluation vs. all Mediterranean peers.
Dusit/Devarana feasibility study commissioned — confirms market, ADR target, and competitive positioning at Lalla Takerkoust.
| Model | IRR | Key Driver |
|---|---|---|
| Operator only | ~12% | EBITDA yield ×10–14× exit |
| + Residences | ~19% | Capital events Y2–Y5 (€10–20M) |
| + Land upside | ~22%+ | 8–12%/yr appreciation to 2030 |
Residence buyers pre-fund construction — target 40–50% presold before groundbreak, transforming CAPEX into pass-through. S2I retains hotel + land appreciation as pure upside.
Phase 1 (27 keys, €9.6M, already permitted) proves concept before full €33.5M deployment.
Phase 1 (2026–28) — 27 keys already permitted. €9.6M (land €3M + build €6M + fees €0.6M). Dusit operator engaged. Residence pre-sales target 40–50% before groundbreak.
Phase 2 (2028–30) — 48 additional keys. Funded by Phase 1 proceeds + Series B. World Cup 2030: full stabilization and first exit option.
Phase 1 P&L (Dusit study, Y5 stabilized, 27 keys): Revenue ~€6M · NOP ~€1.4M · GOP margin ~41%. Full 75-key stabilized: EBITDA €1.8M (base) → €3.1M (optimistic).
100% foreign ownership permitted (SARL/SA). Titre foncier T.13489/43 — freehold, clear title, 8.15ha total (P1: 7ha 65a + P2: 0ha 49a). Full capital repatriation guaranteed.
Convention d'Investissement (≥50M MAD):
IS exempt 5 years · TVA 0% on all CAPEX 36 months
Foncier subsidy 20% · = 15–25% effective CAPEX reduction
| Exit Type | Horizon | Target Buyer | Multiple | Equity Return |
|---|---|---|---|---|
| Residence sell-down | Y2–5 | HNWI, European/Gulf investors | Unit margin 35–50% | €10–20M capital event |
| Hotel refinancing | Y5–7 | Retain equity — LTV 55–65% NAV | Asset-backed refi | Return 60–80% equity |
| Strategic trade sale | Y7–10 | Regional hotel group, Gulf family office | EBITDA ×12–16× | 3–5× equity |
| REIT roll-up | Y10+ | Institutional Morocco REIT / Africa fund | NII yield 6–8% | 2.5–4× equity |
S2I has built a replicable playbook: enter frontier/emerging eco-luxury markets at below-replacement cost → deploy a three-stream value model (land + hotel EBITDA + residence sales) → operate under an institutional brand → exit via EBITDA multiple or REIT.
Why the combination outperforms either asset alone: Marrakech early capital events (Y2–5) offset Sumba's J-curve. Sumba long compounding (30Y, 9.2× MOIC base) provides legacy alpha. Geographic diversification (APAC frontier + MENA growth) ensures uncorrelated demand cycles.
At $75M+ AUM, the platform attracts institutional REIT buyers and sovereign wealth mandates paying 15–25% premium vs. standalone asset sales. Every decision today should be evaluated against reaching that threshold.
| Dimension | Sumba | Marrakech |
|---|---|---|
| Geography | Indonesia (APAC) | Morocco (MENA) |
| Site | 34 ha oceanfront | 8.15 ha lakeside |
| Investment | $14M all-in | €33.5M (€9.6M Ph1) |
| Keys | 30 keys + 20 villas | 75 keys (27 Ph1) |
| IRR (base) | 18–22% | 18–22% |
| Time horizon | 30-year asset | 10-year model |
| Demand catalyst | Eco-travel wave | FIFA World Cup 2030 |
| Early capital event | Villa sales Y5–7 | Residence sales Y2–5 |
| Year | Event | Capital |
|---|---|---|
| Y2–3 | Marrakech residence pre-sales (Ph1) | €8–12M |
| Y3–5 | Marrakech sell-down + hotel NOI | €12–20M |
| Y5–7 | Sumba villa sales (18 units @ $900K) | $16.2M |
| Y7–10 | Marrakech strategic exit / refi | €23–35M |
| Y10+ | Sumba EBITDA + platform recap | $72M+ NAV |
Exit stages: Each asset exits independently; the platform exit at $75M+ AUM is the premium event (15–25% multiple uplift vs. standalone).
| Stage 2 (2028) | 2 assets stabilizing + Asset 3 announced · Series B ~$15–20M |
| Stage 3 (2030) | 3–4 assets operating · Platform EBITDA $5M+ · World Cup uplift |
| Exit horizon | Strategic sale / REIT IPO · Target 3–4× on platform equity |
ESG edge: Both assets qualify for EU green taxonomy alignment, ESG-mandate LP capital, and government green incentives — expanding the investable LP universe beyond conventional real estate PE.
| Risk Axis | Sumba | Marrakech | Combined Effect |
|---|---|---|---|
| Geographic / Political | Indonesia — frontier, complex permitting | Morocco — investment-grade, FIFA mandate | Uncorrelated cycles · No country concentration |
| Revenue timing | Long J-curve — value peaks Y10–Y30 | Early capital events Y2–Y5 | Marrakech offsets Sumba's J-curve |
| Exit liquidity | Frontier — limited buyer pool at Y5 | EMEA — active hotel M&A, growing REIT | Early liquidity via Marrakech; Sumba compounds |
| Currency | USD-denominated | EUR / MAD semi-pegged (<4% vol) | Hard-currency diversification, low correlation |