Final Report - Asian Development Bank

More documents

Recommendations

Info

40 TA 4721-PRC: Preparing the Shaanxi-Qinling Mountains Integrated Ecosystem Management Project Final Report Appendix 7 c. Project Activities 232. Phase II of the Hot Springs Development encompasses the construction of 18 multi-room villas of various sizes and villa rates for tourists –all geared to the high-end market, the construction of an eco-restaurant for both Hot Springs guests and day visitors and supporting infrastructure, including a parking lot. The construction period in their FSR is 2007-2008 but in the project costing and financial analysis, the Team has assumed 2008-2009 for construction with operation beginning in 2010. 233. The detailed activities are presented in Table 17 below. Table 17: Hot Spring Development Project Costs Activity Villa A: 8 villas, each are 310.29 sq. m. in size, total cost per villa – including fittings, furniture, electrical appliances, and utensils – of CNY 1,090,775 (USD 143,523) Villa B: 6 Villas, each are 308.25 sq. m., total cost per villa is CNY 1,095,083 (USD 144,090) Villa C: 4 villas, each are 379.06 sq. m., total cost per villa is CNY 1,195, 050 (USD 157,243) Eco-Restaurant Bathing Pool External Pipe Network Infrastructure – Boiler Room, Cooling and Heating, Air Conditioning, Power Supply, External Lighting, Communications, Security System Landscaping Within Site Roads Parking Lot of 12,000 sq. m. Vehicles Staff Training Other Fees Design – about 5% of Construction and Engineering Costs Supervision – about 2.0% of Construction and Engineering Costs Management Fee – about 3% of Construction and Engineering Costs Notes to Table 17: d. Revenue Projections and Financial Analysis 234. The Hot Springs Feasibility Study provides detailed attendance, pricing and financial analysis for Phase II of the development to be partly financed by the Project. The Design team’s financial analysis used a discount rate of 12% as its benchmark FIRR, reflecting their commercial requirements. The construction period was assumed to be 2007-2008 and the operating period was assumed to be 15 years from 2009-2023. The PPTA Team altered these periods to 2008-2009 for construction and 2010-2035 for construction to be consistent with the Project. 235. The operating income is generated from the 18 villas, based on 70% occupancy in each year and different daily rates for the villas as follows: Villa A – CNY5,800 per day ($763); Villa B – CNY4,800 per day ($632); and Villa C – CNY3,800 per day ($500). The daily rates are based on the villa and not the number of people. There will be five bedrooms per villa, and the number of people staying over night will normally be 5-10, with a maximum of 12 overnight visitors. Therefore, when ten people are staying over night – two people per bedroom, the daily rate per visitor would be between CNY380-580. However, even if only two rent the villa for the night, the daily rate will be the same. 236. Additional revenues are generated from the eco-restaurant and from parking. Ecorestaurant revenues are generated from over-night visitors to the villas and hotel (constructed in phase one) and from day visitors for bathing (50% of visitors at CNY30 per day visitor) and sightseeing (20% of visitors at CNY20 per head). The cost of sales ratios employed by the Hot Springs Design team for lodging, the restaurant and parking are for the most part very consistent with the ratios identified in the independent research by the PPTA Team. The HS Design Team analysis assumed the same revenues and costs for every year of operation.
TA 4721-PRC: Preparing the Shaanxi-Qinling Mountains Integrated Ecosystem Management Project Final Report Appendix 7 Table 18: Assumptions Used for Revenue Projections Item Hot Spring Residential Unit Price (CNY) Capacity Occupancy Rate Daily Villa-A 5800 8 70% 5 Villa-B 4800 6 70% 4 Villa-C 3800 4 70% 3 Catering Tourist guest 20 2000 20% 400 Bathing guest 30 600 50% 300 Parking Car 5 200 50% 100 Bus 10 100 50% 50 Daily guests 237. As the investment is building on the existing development the capital construction and investment is expected to be complete within a construction period of one year and that the occupancy and therefore revenue forecasts be achieved one year following. Based on these projections the total revenue per year is approximately CNY30 million ($4 million). The investment costs for the proposal are estimated at CNY65 million – see Table 19. The mix of costs differs from the other two enterprises with far greater investment into the equipment budget line to outfit the villas, pool and restaurant. Table 19: Hot Springs Investment Costs (CNY ‘0,000’s) Item A: Financial Costs 2008 2009 2010 2011 2012 Fixed Asset 5,525.9 0.0 0.0 0.0 Civil Works 3,202.0 Equipments 2,323.9 Intangible Asset 643.5 Total investment B: Economic Costs 6,477.9 Fixed Asset 4,184.9 0.0 0.0 0.0 Civil Works 2,954.8 Equipments 1,230.1 Intangible Asset 643.5 Total investment 5,016.9 238. The financial forecasts are presented in Table 20 which highlights the strong cash-flow forecast which results in a FIRR before tax of 13.7% and after tax of 10.9% both above the WACC however the after tax operation is lower than the commercial hurdle of 12%. The enterprise has accepted this rate of return however that will require the construction timetable to be fully met. 239. The incorporation of the revenue sharing agreement based on the Louguantai Forest Farm capital share of 49% of the percentage applied to the Qinling Botanic Garden. Based on a 8% NCF transfer will provide an annual transfer of $42,000. Including this in the post tax NCF reduced the FIRR from 10.9% to 10.4%. Table 20: Hot Springs Financial Cash Flow Forecast Item 2008 2009 2010 2011 2012 2013 2014 2015 Cash in 0 2,640 2,640 2,640 2,640 2,640 2,640 2,640 Revenue 0 2,794 2,794 2,794 2,794 2,794 2,794 2,794 Sales Tax(5.5%) 0 154 154 154 154 154 154 154 41
Page 1 and 2:
Technical Assistance Consultant’s
Page 3 and 4:
CURRENCY EQUIVALENTS (as at 1 June
Page 5 and 6:
WEIGHTS AND MEASURES 15 mu = 1 hect
Page 7 and 8:
APPENDIXES (PRESENTED IN SEPARATE V
Page 9 and 10:
LOAN AND PROJECT SUMMARY Borrower P
Page 11 and 12:
Implementation Arrangements The Sha
Page 13 and 14:
Figure 1: Map 1 - The Project Area
Page 15 and 16:
ix Figure 3: Map 3 - Google Image o
Page 17 and 18:
Figure 5: Map 5 - Natural Plant Hab
Page 19 and 20:
Figure 7: Map 7: Shaanxi Louguantai
Page 21 and 22:
II. RATIONALE: SECTOR PERFORMANCE,
Page 23 and 24:
maintain ever-increasing staff leve
Page 25 and 26:
(xiii) lack of national, regional,
Page 27 and 28:
low salaries, poor benefits and ina
Page 29 and 30:
and mature product compared to othe
Page 31 and 32:
into the Province’s tourism indus
Page 33 and 34:
on Land Degradation in Dryland Ecos
Page 35 and 36:
CNY 37million to CNY 64million in 2
Page 37 and 38:
91. Revenue will be generated throu
Page 39 and 40:
100. Improved Village and Forest-ba
Page 41 and 42:
plan budget. Provision for this arr
Page 43 and 44:
Component Sub-component Table 4: Pr
Page 45 and 46:
Table 5: Project Investment Plan ($
Page 47 and 48:
Qinling National Botanical Garden (
Page 49 and 50:
Position Package A: Package A -SARC
Page 51 and 52:
covered in these reports. Within 6
Page 53 and 54:
water supplies, (v) a program to im
Page 55 and 56:
160. Other risks relate to (i) the
Page 57 and 58:
was between CNY 900 and CNY 1156 pe
Page 59 and 60:
183. A major lesson from tourism re
Page 61 and 62:
2 Design Summary Outputs Component
Page 63 and 64:
4 Design Summary Component III: Ins
Page 65 and 66:
6 TA 4721-PRC: Preparing the Shaanx
Page 67 and 68:
TA 4721-PRC: Preparing the Shaanxi-
Page 69 and 70:
Page 71 and 72:
4 Indigenous People 2 TA 4721-PRC:
Page 73 and 74:
Page 75 and 76:
Page 77 and 78:
Page 79 and 80:
Page 81 and 82:
Page 83 and 84:
Page 85 and 86:
Page 87 and 88:
Page 89 and 90:
Page 91 and 92:
Page 93 and 94:
Page 95 and 96:
Page 97 and 98:
Page 99 and 100:
Page 101 and 102:
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110:
Page 111 and 112:
Page 113 and 114:
Page 115 and 116:
Page 117 and 118:
Page 119 and 120:
Page 121 and 122:
41 TA 4721-PRC: Preparing the Shaan
Page 123 and 124:
Page 125 and 126:
Page 127 and 128:
Page 129 and 130:
Page 131 and 132:
Page 133 and 134:
Page 135 and 136:
Page 137 and 138:
Page 139 and 140:
Page 141 and 142:
Page 143 and 144:
Page 145 and 146:
Page 147 and 148:
Page 149 and 150:
Page 151 and 152:
Page 153 and 154:
Page 155 and 156:
Page 157 and 158:
Page 159 and 160:
Page 161 and 162:
Page 163 and 164:
Page 165 and 166:
Page 167 and 168:
Page 169 and 170:
Page 171 and 172:
Page 173 and 174:
Page 175 and 176:
Page 177 and 178:
Page 179 and 180:
Page 181 and 182:
Page 183 and 184:
Page 185 and 186:
Page 187 and 188:
Page 189 and 190:
Page 191 and 192:
Page 193 and 194:
Page 195 and 196:
Page 197 and 198:
Page 199 and 200:
Page 201 and 202:
Page 203 and 204:
Page 205 and 206:
Page 207 and 208:
Page 209 and 210:
Page 211 and 212:
Page 213 and 214:
Page 215 and 216:
Page 217 and 218:
Page 219 and 220:
Page 221 and 222: TA 4721-PRC: Preparing the Shaanxi-
Page 271: TA 4721-PRC: Preparing the Shaanxi-
Page 291 and 292: 59 TA 4721-PRC: Preparing the Shaan
Page 309 and 310: 2 TA 4721-PRC: Preparing the Shaanx
Page 323 and 324:
Page 325 and 326:
Page 327 and 328:
Page 329 and 330:
Page 331 and 332:
Page 333 and 334:
Page 335 and 336:
Page 337 and 338:
Page 339 and 340:
Page 341 and 342:
Page 343 and 344:
Page 345 and 346:
Page 347 and 348:
Page 349 and 350:
Page 351 and 352:
Page 353 and 354:
Page 355 and 356:
Page 357 and 358:
Page 359 and 360:
Page 361 and 362:
Page 363 and 364:
Page 365:
Page 369 and 370:
Page 371 and 372:
Page 373 and 374:
Page 375 and 376:
2 B. Supervision TA 4721-PRC: Prepa
Page 377 and 378:
Page 379 and 380:
Page 381 and 382:
Page 383 and 384:
Page 385 and 386:
Page 387 and 388:
Page 389 and 390:
GEFSEC PROJECT ID: EA PROJECT ID: C
Page 391 and 392:
i) Tourism 5. One of the strongest
Page 393 and 394:
14. Poor rural households had few o
Page 395 and 396:
and fauna due in large part to the
Page 397 and 398:
31. The Qinling Mountain ecosystem
Page 399 and 400:
continuing communication among stak
Page 401 and 402:
development under construction, (v)
Page 403 and 404:
) Objective 50. The impact of the p
Page 405 and 406:
60. The current animal rescue and e
Page 407 and 408:
Source (PPTA Estimates) 69. The rev
Page 409 and 410:
77. Institutional Strengthening The
Page 411 and 412:
awareness and understanding of mark
Page 413 and 414:
92. The main risk to the Project’
Page 415 and 416:
modify the drivers of biodiversity
Page 417 and 418:
Expected Project National Biodivers
Page 419 and 420:
Page 421:
Page 424 and 425:
Strategic Objectives and Indicative
Page 426 and 427:
after 5 years. It is suggested that
Page 428 and 429:
the lessons from the Project. All m
Page 430 and 431:
119. The SPG commitment is demonstr
Page 432 and 433:
130. In output 1, GEF financing of
Page 435 and 436:
Tracking Tool for GEF Biodiversity
Page 437 and 438:
Page 439 and 440:
Page 441 and 442:
Page 443 and 444:
Page 445 and 446:
Page 447 and 448:
Page 449 and 450:
Page 451 and 452:
Page 453 and 454:
Page 455 and 456:
Page 457 and 458:
Page 459 and 460:
Page 461 and 462:
Page 463 and 464:
Page 465:
Page 468 and 469:
the current tourism portfolio. This
Page 470 and 471:
Please answer YES or NO to each sta
Page 472 and 473:
Ecological Function Conservation Ar
Page 474 and 475:
ADB TA 4271 Shaanxi Qinling Biodive
Page 476 and 477:
3 ADB TA 4271 Shaanxi Qinling Biodi
Page 478 and 479:
Page 480 and 481:
Page 482 and 483:
Page 484 and 485:
11 ADB TA 4271 Shaanxi Qinling Biod
Page 486 and 487:
Page 488 and 489:
Page 490 and 491:
Page 492 and 493:
Page 494:
show all

Final Report - Asian Development Bank

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?