PICS: Pilgrim's Rest decline has been years in the making

Pilgrim's Rest, a historic tourism town in South Africa, has been grappling with business closures and job losses for over a decade. The most recent casualty is the 132-year-old Royal Hotel, a landmark that has witnessed the town's transformation since the gold-rush era. Built in 1894 by George Edward Roy, the hotel's pub has an equally intriguing history, having originated as the Roman Catholic chapel of St Cyprian's School in Cape Town before being dismantled and reassembled in Pilgrim's Rest.

The Royal Hotel's struggles are part of a larger pattern of challenges faced by the town's state-owned business properties. In 2012, the provincial government initiated a tender process to lease out businesses operating from these properties, leading to protests from existing traders who had operated in the town for years. The matter was eventually settled in court, with the High Court halting evictions pending a review of the tender process.

This process, however, was found to be unlawful and improper by Public Protector Thuli Madonsela in her 2015 report, "Poisoned Processes." The report highlighted gross irregularities, maladministration, and shortcomings in the bid committee process, incorrect scoring, and a failure to ensure sustainable businesses.

Despite the review, the town continued to face difficulties. By 2018, businesses were standing empty, and jobs were disappearing. The town's caravan park, once a hub for visitors, had been vacant since 2015 and was in disrepair. The provincial government has been working to revitalize Pilgrim's Rest, but the Royal Hotel's current closure adds to the town's woes.

The hotel, which was left running by Kruger on Sabie after its previous tenant left without paying employees, is now set to resume operations with the operator returning after negotiations. However, the town's efforts to attract operators for other business premises remain unsuccessful, with the latest bid round drawing no qualifying bidders.

The situation highlights the ongoing challenges faced by Pilgrim's Rest in reviving its tourism economy and preserving its heritage as a tourist destination.