Why family offices are investing in Africa’s luxury resorts

Family offices, the private investment firms that oversee the wealth of ultra-rich families, are steadily increasing their exposure to Africa’s luxury resort market. For many of these investors, the appeal goes beyond tourism cycles. The focus is on tangible assets, long holding periods and properties that are difficult to replace.

From safari lodges in Botswana to beachfront resorts in Zanzibar and eco-focused retreats in Rwanda, high-end hospitality across the continent is drawing capital that is comfortable waiting years, not quarters, for returns. These investors are looking for diversification, steady cash flow and assets that can be passed down across generations.

Scarcity, location and pricing power

Scarcity sits at the heart of the investment case. Africa is home to private wildlife concessions, protected coastlines and landscapes recognized by UNESCO that cannot be recreated elsewhere. For family offices, that scarcity offers a form of protection against oversupply, a common risk in traditional real estate markets.

Unlike institutional funds tied to fixed timelines, family offices can afford to develop and hold assets over decades. Luxury resorts anchored to unique locations tend to retain value and command premium rates, especially as affluent travelers seek privacy, sustainability and experiences that feel personal rather than mass-produced.

Travel patterns since the pandemic have strengthened this demand. Wealthy travelers from the United States, Europe and the Middle East are increasingly choosing safari, wellness and conservation-based trips over urban hotels. Africa fits neatly into those preferences.

Tourism recovery and policy support

Africa’s tourism rebound has not been uniform, but the luxury segment has held up better than mass tourism. Industry data shows that destinations such as Kenya, Tanzania, Morocco and South Africa have seen faster recovery in high-end travel, supported by higher room rates, longer stays and direct booking strategies.

Governments are also working to attract premium investors. Rwanda, Namibia and Mauritius, among others, have eased visa rules, invested in airports and openly courted luxury hospitality developers. For family offices that prioritize capital preservation, these steps help lower operational risk.

Hard assets and currency diversification

Luxury resorts in Africa often generate revenue in U.S. dollars or euros, while a portion of costs remain local. That structure can provide a cushion against inflation and currency swings in developed markets, an increasingly attractive feature for globally diversified families.

Land ownership or long-term leases in prime areas add another layer of security. With commercial property valuations stretched elsewhere and borrowing costs elevated, African hospitality assets continue to offer relatively attractive entry points.

Impact and long-term value

Returns are not the only consideration. Many family offices are placing greater emphasis on conservation, employment and community development. Eco-lodges, marine resorts and community-linked safari camps often combine profitability with measurable social benefits.

For families thinking beyond the next investment cycle, these projects also carry meaning. Backing a resort tied to conservation or cultural preservation offers something that balance sheets alone cannot.

Partnerships and branded residences

The rise of branded resort residences is adding another dimension. Family offices are partnering with global hotel brands and experienced operators to develop villas and private homes alongside resorts, creating multiple income streams from sales, rentals and long-term appreciation.

These partnerships allow families to stay involved at a strategic level while leaving daily operations to seasoned managers.

A measured bet on Africa

Challenges remain, from regulation to infrastructure. Still, family offices are often better positioned than most investors to navigate these realities. Their flexible capital and long view align naturally with Africa’s luxury resort market.

As global wealth expands and travel preferences continue to favor meaningful experiences, Africa’s high-end hospitality sector is increasingly seen not as a gamble, but as a carefully measured investment in scarce assets and long-term value.