Hotel Online Special Report Leukerbad, Well-Known Holiday Resort in the Matterhorn Valley, for Sale LEUKERBAD, Switzerland, Sept. 10, 1999 – After an over-ambitious municipal president spent years investing millions in the spa resort, the threat of bankruptcy now looms. The municipality has been placed under forced administration and bankruptcy proceedings against the stock companies have been deferred. Buyers are being sought for the various businesses.
Leukerbad is embedded in the breathtakingly beautiful countryside of the Matterhorn valley in the canton of Valais in Switzerland, 1400 m above sea level. The spa resort has made water, wellness and wellbeing its business. With a daily production of three million liters of thermal water, Leukerbad is a veritable Mecca for spa fans. The resort also has a highly attractive and varied winter sports program, including 25 km of cross-country ski tracks, 50 km of downhill ski slopes, and an indoor ice rink.
Millions invested in the mountain village
It may be hard to imagine, but nearly half a billion Swiss francs have been invested in Leukerbad’s infrastructure over the last 30 years. This investment, combined with the recession in Europe, has proved too much for the municipality and Valais canton has now placed it under forced administration. The businesses, which, due to complicated financial arrangements, were owned by the municipality, must now be sold off. Alex Kummer, managing director of BDO/Visura Switzerland, has been given the task of organizing the sales.
BDO/Visura has set up a special Internet site for the sale. The items offered are all shown clearly and the objects that immediately catch the eye are the hotels at the heart of the village and the Roman-style Alpentherme thermal baths which are situated opposite the hotels. Although the businesses all have highly satisfactory profits, they are, unfortunately, not enough to cover the vast capital investments. According to Mr. Kummer, the businesses are all to be sold this year. This lucrative offer will be awarded to the person who presents the most promising future concept along with appropriate financing.
Contact: Visura Solothurn http://www.visura.ch/leukerbad Also See: The Badrutt’s Palace Hotel in St. Moritz, Switzerland, Appoints Rosewood Hotels Resorts as its Management Partner / March 1999