the farm

Brief Review
The farm comprises of three elements natural lush vegetation, a developed Avocado orchard and eight houses fully developed and available for rental or tourism aspects.
	The farm comprising of 53 hectares (being approx. 60 morgan) is established and located within fifteen minutes normal driving time of the Numbi Gate to the Kruger National Park. It is positioned on a natural series of fountains, which supply its lush vegetation for this area sufficient water to meets its requirements. It is situated at the base of a gorge with dramatic views of the entire valley below it. Its positioning near to the game reserve makes it an ideal stop-over point for tourists eager to explore both the Lowveld as it is called being an extensive area of the Eastern Transvaal that are within easy driving reach of the farm. Its natural vegetation comprising some fifty percent of the farm, is undeveloped land of indigenous bush, shrub and trees fed by two tributaries of natural spring water, offering scenic walking routes and fine vantage points amongst its rolling hills.
Avocados
	The farm has some 650 developed Avocado trees mainly in three varieties known as Haas, Edronol and Feurte. They are approximately equally proportioned and the farm has a developed irrigation system of ground piping that is able to generate water to the furthest point through hosing facilities.
General History
It may be interesting to know that the farm was developed by one of the country’s largest industrialists, the owner of the Toyota factory in this country, Mr. Wessels, who built it as his and his children’s retreat. They spared no expense obviously in developing its influential features, namely the two executive residences, its fine trees and its developed water system including a reservoir easily spanning some sixty-foot in length to ensure adequate fresh drinking water.
	To evaluate the farm from an income potential, there are once again three aspects. Valuation to be given for its natural positioning and beauty in regard to its general ground Valuation to be applied to its developed orchards and their potential. A value to be assigned to the fixed property in terms of a replacement value for the building structures.
The estimated value of the land is 53 hectares @ R 2 000-00 per hectares = R 106 000-00. The South African building cost per square meter of executive residence on average is some thirteen to fourteen hundred Rand per square foot and if one merely quantifies the exec/Live residences one achieves a fairly significant value by multiplying purely the house elements at the said rate. This would yield close to R1 045 800-00 for the two residences not taking into account the extensive foundation cost structures that are attached with the superior house, its swimming pool and other key features. The value placed on the economical houses can be split into an A and a B class namely approximately R900-00 per sq. meter (x 10 for feet) at minimum to replace the economic units and possibly R600 on the sub-economic units as well as garages etc. The combined value of this said value would be X = R 1 000 800-00 taking into account that the square meters of housing classified as A is 762 sq. meters and that of B is 525 sq. meters. Further one needs to quantify valuations on the water system including purification plants, reservoirs, two dams, etc. Conservatively let us call this Y = R100 000-00 Further in regard to the orchards, if one were to place a conservative value of say R 150-00 per tree this would result in Z = R 97 500-00, being 650 x R150-00.
Income Yields
	The farm was purchased recently by the trust and as such we have not had time to fully affect the improvements that we would have liked to have achieved prior to the current circumstances, however in the first basic months of operation without knowing too much about agriculture, the trees blossomed, w e picked, prepared and sold on market several tons of fine Avocados prior to the current drought season. Naturally the drought has a significant effect on the fruit and it was our decision that rather than try to sell the fruit into a market, it was far better to give it to charity, to the needy in the area, so this years crop will not be for any purpose other than for charity.
Income Potential of the Houses
There is a chronic shortage of quality accommodation in the White River area and this has been so for the past five years, and houses are actively sought for accommodation. Thus it will be possible to obtain frequent and regular clients for renting premises yielding income which is sufficient to service the monthly mortgage bond which will amount to some R4000 local. Taking into account that the average rental achieved per house on the executive is currently some R1700 and approximately R1000 to R1200 can be achieved in total for an average of four economic units, which leaves a comfortable return. Operation of the Farm We have a very fine tenant who is doubling up as the present manager for the farm and who I am sure for a few hundred rand a month would be more than happy to continue his fine work in maintaining those aspects of the farm. We from our part stand ready to facilitate the proposed transaction provided it can be correctly implemented taking into account the severity of regulations and the requirement for good business dealing and also are more than happy to continue our management and financial overseeing of the property should ownership change. General Proximity to Closest Town The farm is a mere 11.5 kilometers or some seven miles from White River, a fairly large country town with all the necessary facilities close at hand. White River itself, is a mere twenty minutes drive from Nelspruit the largest town in the Eastern Transvaal that has all the necessary requirements, including an airport with light aircraft facilities, and is on the major highways from city centers such as Johannesburg which is a mere two and three quarter hour solid drive. Housing The farm has two executive class dwellings and another six units that are average economic units as can be established, from the attached pictures, and from the description of the houses by the insurance company. The original descriptions were prepared in Afrikaans and for convenience have been translated into English.
	In regard to Executive Unit A positioned at the top of the first set of vantage hills. This is a large and very well constructed house having some seven rooms with three bathrooms and a very large lounge measuring some 57 feet in length by 36 feet in diameter with a matching structure for a guest facility containing a further three bedrooms and two bathrooms. Its positioning and views are quite breathtaking as it nestles gently in the lush indigenous Eastern Transvaal surroundings.
	The second Executive Residence is located on the lower plain of the farm surrounded by Avocado trees and lush flora and fauna. Its main bedroom and two main lounges are its key features in that they are extremely large and make for very comfortable accommodation. Its kitchen is big and neatly appointed and has ample space to cater for the needs of the family. It has two smaller bedrooms with adjoining bathroom and further boasts of an extensive workshop equivalent to a quadruple garage apart from its three-garage facility.
	Adjacent to this unit is the first of the so-called economic units being a moderate and comfortable three bedroom house nestled within the same surroundings as the executive house and comprising of lounge, dining room, singular bathroom, adequate kitchen and reasonably sized bedrooms.
Between the above unit and the next unit is the farms garages and stores which comprise approximately the equivalent of six to seven large garage units.
	Next is a semi-detached three bedroom house which has larger rooms than the previously discussed unit and is relatively close to the upper dam and is situated within the Avocado groves.
	Attached to the above house is a three bedroom semi-detached of lesser quality finishings but quite adequate for purposes of obtaining rental and/or for a farm manager, etc.
	At the lower end of the farm close to the road and overlooking its deep bottom dam, particularly well shadowed by enormous Marula trees is a cluster of three units. Unit One is a small three bedroom cottage of sub-economic base with an attached garage for double car facility.
	Next to it is a pleasant two bedroom cottage with the necessary bathroom and kitchen facility suitable for an overnight visitors and/or suitable for rental.
	The last unit is a large four bedroom house overlooking the dam with moderate rooms, cleanly finished and large windows. This is a fine weekend house retreat, alternatively suitable once again for rental on an ongoing basis to workers within close proximity to the town.

	In addition to the many mammals in the Park, there are also 507 bird species, 114 reptile species, 50 fish species, and 33 amphibian species. As a matter of interest, a bull shark was actually seen in the Luvuvhu and Limpopo rivers back in 1950.
	The Kruger National Park boasts the world's greatest concentration of species and is the largest game reserve in the Republic of South Africa. The Park as it is known today covers roughly 2,000,000 hex acres or the equivalent of 20,000 square kilometres. In 1844, the eastern boundary of the Park was agreed upon with the Portuguese. The eastern boundary happens to be a major portion of the border between Mozambique and South Africa. In 1869, a "gold rush" exploded throughout the region and caused the number of game to dramatically decrease due to hunting and trading of animal skins and horns.
	President Paul Kruger, in 1884, proposed that boundaries in the region be defined as game reserves to protect the flora and fauna. He encountered inevitable resistance with the proposed restrictions and did not succeed until 1898 when the Crocodile and Sabie river areas were officially deemed reserves. These reserves would eventually expand into today's Kruger National Park.
	The very first ranger in the reserve was Paul Bester who made his residence in a rustic rondavel which is now the site of the headquarter's camp, Skukuza. After the Anglo-Boer War, James Stevenson-Hamilton was appointed as the first park warden. He spent the next 40 years protecting what the war had destroyed. His actions are no doubt an ever-living contribution to the Park's current existence. In addition to his animal conservation, James Stevenson Hamilton was also responsible for acquiring another 10,000 hex acres for the reserve.
	After World War I, the Park was protected by the government of South Africa and remains under the watchful eye of the government even today. The Park is a living memorial to people like President Paul Kruger, hence the name Kruger National Park.

SKILDERKRANS FARM
Brief Review	Avocados
General History	Income Yields
Income Potential	Operation of the Farm
Closest Town	Housing
Kruger National Park	Cost Tables
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The Kruger National Park