The Balgowan Conservancy was established in 1978 by a group of concerned landowners, and was the first area in South Africa to be declared as a conservancy. The recently completed Balgowan Conservancy Information Centre, is situated near the entrance to Michaelhouse School, and was officially opened recently. The centre was constructed in a log cabin style, and features various pictorial and information displays designed by photo illustrator Barry Downard. The displays housed at the centre depict the biodiversity and history of the area, as well as the scenic attractions which can be found within it. An indigenous nursery has also been established adjacent to the new centre, and the Wildlands Conservation Trust's Indigenous Trees for Life programme will be teaming up with the conservancy.

Among the conservancy's attractions are the Milestone Forest Walk which leads visitors through an Afro-montaine forest which has been declared a National Heritage Site; the Bush Pig Trail, and the Michaelhouse Oribi Reserve. Balgowan's mountain biking trails meander through magnificent mistbelt grasslands, indigenous forest and plantations, providing riders with awe inspiring views over the KwaZulu Natal Midlands. Various antelope species which include Bushbuck, Reedbuck and Duiker are regularly sighted whilst riding. The Michaelhouse Mountain Bike Challenge, which takes place annually at the conservancy, has become a popular event on the biking calendar.

The birding sites in Balgowan offer avian enthusiasts a variety of habitats such as wetlands, rivers, dams, grassland and mistbelt forest. Some the more rare birds to be found at the Balgowan conservancy include the elusive Cape Parrot, Goliath Heron, Purple Heron, Knysna Turaco, Olive Bush Shrike, Narina Trogon, and African Fish Eagle. The Birds of Balgowan Bird List, which was compiled by Michaelhouse pupils and teachers lists an impressive total of 249 various species.

The pristine Balgowan area also serves as an excellent fishing destination, offering keen anglers healthy specimens of bass, and both rainbow and brown trout. In 1965 the Natal record rainbow trout weighing 10.1 pounds was caught in one of the local dams by a Michaelhouse pupil.