After 127 years of existence, there have been talks of the Royal Hotel closing its doors.

With Pilgrim’s Rest being the only village in South Africa with National Monument status, this has caused grave concern as not only will 55 people lose their jobs, but the Lowveld will lose one of its gems and most historic landmarks.

“While responding to the select committee on public accounts (Scopa) questions, the acting CEO of Mpumalanga Regional Training Trust (MRTT), Sammy Makgoba, stated that the hotel had incurred a net loss of R770 702 and R3 140 956 for the financial year 2019/20,” the DA said in a recent statement.

Bosman Grobler, the DA MPL and spokesperson for finance and economic development, said Makgoba had said the Royal Hotel could be closing its doors. But for now, it remains open. This is, according to Simphiwe Shungube of MRTT, if the Royal Hotel receives an integrated intervention from various stakeholders. Shungube could not explain why there were speculations that the hotel could close.

“The hotel, like all other hospitality and tourism institutions, has been negatively affected by Covid-19 which also affected its finances.

The hotel belongs to the Department of Public Works, Roads and Transport (DPWRT), MRTT is only leasing. We took over the management of the hotel in 2012 to date, as per the department’s request. This is after the employees were abandoned by the previous employer without notice.”

There were speculations that Forever Resorts South Africa Group might purchase the hotel, but Mari Schoeman, its marketing coordinator, said, “At this time, we can confirm that the Forever Resorts South Africa Group will not be acquiring the Royal Hotel.

As a group, we would like to convey our sincere and heartfelt sympathies to all the parties involved with the possible closure of this historic landmark as it has for many years played an important role in the tourism of our country, and the devastating effect that the global Covid-19 pandemic has had on not only our industry and South Africa but also the community of Pilgrim’s Rest is tragic.”

Bongani Dhlamini, the spokesperson for DPWRT, then referred Lowvelder of the MTPA.

The spokesperson for the MTPA, Kholofelo Nkambule, said, “It is still unclear as to who will take over the Royal Hotel, the relevant stakeholders are still discussing the way forward. Pilgrim’s Rest is a historical town and it is part of the province’s heritage which means even when the decisions are made a lot of things need to be considered. As soon as the decision is made there are still other steps that need to be done, this includes the funds and the workers. The entire process is very complex and it needs various departments.”

Linda Grimbeek, COO of KLCBT, said the historic hotel and town need a committee or central management that can manage the area. According to her, all is not lost, although more needs to be done.

“There are still things that can be done for the hotel and town. These things cannot be done by one person, teamwork is needed. Things such as better marketing to attract tourists into the town, this will make a huge difference. This is because the town has the capacity to host events and accommodate people, for now tourists are hardly visiting it. The central management will be able to make sure that the relevant stores that cater for the people who visit the town are there.

The decrease in visitors can also be contributed to the pandemic, just like all the other businesses they can still bounce back, especially with good marketing. The few people who go to Pilgrim’s Rest do not spend a night there, that can change if there are events taking place. There are various events that can still be hosted and they will help bring tourists. The central management and marketing team with the government can open the caravan park. This will increase the number of visitors going to Pilgrim’s,” she said.

The chairperson of Mpumalanga Heritage, Duncan Ballantyne, often visits the hotel. He said the building from a heritage perspective is in a good condition. “The department is really doing a good job of taking care of the building and its interior. It is also doing a sterling job regarding all the buildings and museums to which the public has access to and are concerned.

That does not apply to what was done in the historical reduction works (the old factory) and the caravan park.” According to Ballantyne, the lack of foreign and local tourists due to Covid-19 is a terrible thing to Mpumalanga tourism, Pilgrim’s Rest is also sharing the strain.