At a Glance
- Indalo operates a third-party hotel model linking global brands with locally aligned ownership economics.
- Mahikeng acquisition signals Afrirent’s long-term conviction in asset-backed hospitality cash flows.
- Strong governance and B-BBEE positioning attract institutional partners and government-linked travel demand.
Afrirent Holdings is deepening its exposure to South Africa’s hospitality industry through Indalo Hotels & Leisure, a subsidiary designed to deliver asset-backed returns from hotel operations and property ownership.
The move represents the group’s most deliberate shift yet from fleet services into hospitality, targeting steady cash flows and long-term asset value. Indalo operates as a Level 1 B-BBEE, black female-owned third-party hotel management company, aligning transformation policy with institutional capital and global hotel franchising.
Afrirent expands into hospitality through Indalo Hotels
Unlike traditional hotel owners or franchise operators, Indalo focuses on third-party management.
The model allows property owners to access international brands such as Marriott while retaining a locally embedded operator aligned with owner economics.
The approach limits operational leakage, improves governance and embeds local procurement, skills development and sustainability practices into daily operations.
Indalo Hotels drives Afrirent’s asset-backed hospitality push
That strategy reached a turning point in September 2025 with the acquisition of the 99-room Protea Hotel by Marriott Mahikeng.
By securing full ownership of the property, Indalo moved beyond management into direct balance-sheet exposure, signalling Afrirent’s long-term conviction in hospitality as a core growth platform.
Mahikeng’s role as the administrative and economic centre of the North West Province, combined with a shortage of premium hotel supply, underpins demand from government travel, corporate activity and domestic tourism.
Indalo’s expansion prioritises operating depth over rapid footprint growth. Since assuming management of the Fountains Hotel in Cape Town in 2021, the group has built a diversified portfolio across city hotels, golf estates, resorts and food-and-beverage assets. These include Skukuza Golf Club, Ba-Phalaborwa Resort and Golf Club, and Mane by the Sea in Knysna.
Governance, B-BBEE and institutional appeal
Governance remains central to the strategy. Chief executive Thenjiwe’s background as a qualified auditor with more than a decade in the public sector reinforces Afrirent’s compliance-led culture, a key advantage when servicing government-linked clients and institutional partners.
For Afrirent, hospitality has evolved into a scalable platform where transformation, predictable cash flows and long-term asset value converge.
