‘I was working so hard, and I thought I needed to retire at 40, so I started planning for that,’ he says.
Bainomugisha’s eureka moment came after a conversation with a friend who had travelled to Queen Elizabeth National Park and struggled to find accommodation. For Bainomugisha, who had studied Economics at Kyambogo University, the story represented a gap in the market. ‘If there is a problem of people looking for where to sleep and they cannot find it, then there is an opportunity,’ he says.
The piece of land he had acquired for personal use suddenly took on a commercial possibility. Instead of building a private home, he began thinking about creating accommodation facilities. The result was the beginning of a project that would eventually transform about three acres of hillside land overlooking Lake Victoria into a hospitality property.
Building an asset from savings and patience
Unlike many large property developments that begin with institutional financing, Bainomugisha’s investment was built gradually from personal savings and proceeds from previous business activities. Before entering hospitality, he had worked in the sports betting industry, where he was part of the team that started a sports betting company. The company would grow significantly, giving him an opportunity to save and invest in property.
‘I am not the kind of person who spends money on many things. I managed to save and buy pieces of land, sell, reinvest and continue building,’ he says.
The approach to Divine Resort was gradual. Rather than leaving employment immediately, he continued working while directing funds into the project.
‘It was invest as you work, invest as you work,’ he explains.
Construction started with a simple concept; cottages, a swimming pool and a restaurant. The first phase consisted of eight cottages designed for double occupancy, alongside a family suite that could accommodate parents and children.
However, the construction process was far from straightforward. At the time, Bainomugisha admits he had limited knowledge about some of the technical and regulatory requirements involved in property development.
‘I did not know everything that goes into construction at a lakefront. You need approved plans, environmental impact assessment approvals and many other things,’ he says.
The project faced a major setback when authorities halted construction after concerns were raised over approvals and environmental requirements.
‘They told me construction had to stop because there were no approved plans and environmental certificates. It was a very difficult period,’ he recalls.
The project stalled as he worked to address the regulatory requirements. For a property development already consuming significant resources, the delay created additional pressure. His wife encouraged him not to abandon the project, and construction eventually resumed between 2019 and 2021. By the time the resort was ready to open in February 2022, Bainomugisha had invested years of effort and resources into completing an idea that had started as a retirement plan.
Turning location into a property advantage
One of the biggest considerations in real estate is location, and Divine Resort’s location became both its opportunity and its challenge. The property sits on the Mpatta Peninsula, a relatively quiet area away from Kampala’s urban congestion but still within reach of the capital. The challenge was accessibility. While the distance from Kampala is short by water, the road journey presents a different experience. Bainomugisha says this influenced his decision to incorporate boat transport into the property’s concept.
‘I needed to give people a reason to cross because the road was not easy. The water became part of the experience,’ he says.
For property investors, the development reflects a wider shift in Uganda’s real estate market. Locations previously considered remote are increasingly being assessed based on lifestyle value rather than only distance from urban centres.
Waterfront properties, especially those around Lake Victoria, have attracted interest because they offer a combination of scenery, privacy and recreational opportunities. However, developing such locations also comes with higher costs, including infrastructure, maintenance and environmental considerations.
Moving from rooms to experiences
Bainomugisha says one of the lessons from developing Divine Resort has been understanding what modern travellers want. He argues that many hospitality facilities in Uganda were historically designed mainly around foreign tourists, particularly those visiting national parks. However, he believes local travellers have different expectations.
‘Ugandans mind about the details. When they travel, they are not only looking for a place to sleep; they are looking for an experience that makes them feel valued and understood. They compare what they find here with what they experience when they travel to places like Dubai, Zanzibar or Bali, so properties must focus on quality, comfort and the small things that make a difference,’ he says.
According to the investor, the domestic middle-class traveller increasingly looks for experiences similar to those found in international destinations.
‘They want to feel catered to, they want to feel understood,’ he says.
This thinking influenced the resort’s positioning around what he describes as love, connection and relationship hospitality. The focus is less on accommodation alone and more on creating spaces where couples, families and groups can spend time away from city routines. The approach reflects a broader change in the property sector, where developers are increasingly considering lifestyle preferences alongside basic infrastructure. A building is no longer only valued by its size or location but also by the experience it creates for users.
The difficult realities behind property development
While the finished property presents a calm environment overlooking the lake, Bainomugisha says operating a hospitality asset has introduced a different set of challenges. One of the biggest lessons, he says, has been the importance of systems.
‘When you start a business without systems, you end up depending on individuals,’ he says.
He recalls early challenges with maintaining consistent service, particularly in areas such as food quality and customer experience. For him, the lesson applies beyond hospitality.
‘A business should not depend on one person. You need systems that allow someone else to come in and understand what to do,’ he says.
Maintenance has also become a major consideration. Unlike some property investments where costs are concentrated around construction, hospitality properties require continuous spending to maintain standards. Gardens, rooms, equipment and facilities require regular attention. Bainomugisha says this has also influenced his approach to sustainability. While he wants to introduce measures such as solar energy and reduce reliance on plastics, he notes that such investments require significant capital. A transition to solar power, he says, would require a substantial investment, making gradual implementation more realistic for a growing business.
Building the next phase
Four years after opening, Divine Resort is still evolving. The current facility includes eight cottages and a family suite, but expansion plans are underway, including additional deluxe rooms and future villas. The long-term vision is to create a wider tourism ecosystem where visitors can combine accommodation, transport and travel experiences. Bainomugisha says the plan is to connect resort stays with other tourism activities, including safaris, creating a longer travel experience for both domestic and international visitors. For property developers entering hospitality, he believes the market requires a different mindset from previous decades.
‘You cannot come into this business thinking about what was happening 10 years ago. The hospitality industry is changing quickly, and customers’ expectations are different from what they used to be. Developers must think ahead, understand new trends and create properties that can serve both today’s travellers and the generations coming after them,’ he says.
He urges developers to ahead, understand changing customer expectations and create properties that appeal to both local and international visitors.