Landmark hotel closes for business

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By Donna Collins

SWAKOPMUND – Swakopmund’s renowned Bundu n See Hotel cc is standing empty after going bust.

Its proprietor Jona Levi will thus not enjoy a bumper holiday season this year as the doors to the hotel were shut by the sheriff of the court and every scrap auctioned off.

With nearly N$500 000 in outstanding rental and other arrears owing by Levi, Atlanta Building (Pty) Ltd a subsidiary of the Frans Indongo Group is dormant.
The monthly rental of Bundu n See confirmed by Levi was N$92 477, and in his words a “crippling” amount for an old hotel.

However, the arrears in rental that was N$362 000, plus a municipal account of N$75 000 as well as an undisclosed Erongo Red amount were not paid up when the axe finally fell. And after a failed attempt to suspend an eviction order the final crunch came when instructions for his eviction were received from Namib Estates rental agents acting on behalf of the Ingongo Group.

An on-site auction thereafter to sell all movable property was poorly attended and didn’t reach the target only bringing in N$60 000 which was a drop in the bucket. Now the once lively but rundown hotel is padlocked and vacant.

Wilfred Ahrens of Ahrens & Associates, the judgment creditor attorneys, confirmed the case has been going backwards and forwards for two years, pointing to a file as thick as a brick.

He said Levi made continuous arrangements with Ahrens & Associates to pay off the accrued debt, to grant him an extension to keep the doors open for business.
But the legal pressure that continued for two years was unsuccessful and even though the hotel has been closed down, the claim amount has not been settled, and the matter is still open until further notice.

According to Werdi Engelbrecht of Namib Estates, collecting the monthly rental from Levi was an ongoing problem and they struggled to get their client’s full payment every month. She said a lot of leniency was given to Levi, but in the end it was in the interest of her client to take drastic action.

The first eviction notice against Bundu n See was served back in July 2012 already, followed by a warrant of execution against property in December 2012.

There were months that the rent and expenses were paid, but other months when they lapsed until the outstanding amount just piled up.

Levi’s attorneys Kangueehi & Kavendjii Incorporated even made an offer to pay N$130 000 with N$10 000 a month instalments in a desperate bid to keep the place open – but this was rejected.

Meanwhile, Levi stated in a telephonic interview that he tried hard to hold onto the hotel and has lost millions in the process. He also said he was in the process of negotiating to buy the property from the Frans Indongo Group.

He said the entire erf including Edgars and the beach furniture shop will go for around N$14 million to N$16 million.

“I am an entrepreneur who grew up in Walvis Bay and I have an investor who is interested in buying the property,” he said, adding that the plan would be to knock it all down and put up a spectacular new modern building.

“The rental coupled with monthly tariffs of N$20 000 for Erongo Red and N$35 000 municipal charges were killing me, but I will not give up and plan to see this through.”

The Bundu n See Hotel, formerly trading as the Atlanta Hotel, is one of the oldest established hotels in Swakopmund.

With 20 rooms, the perfect central location, separate pub facilities, a la carte restaurant and outside café area made the Bundu n See one of the most visited tourist spots.