Search and identification of suitable opportunities particularly off market deals
Support in negotiations on price or market rents
Feasibility of hotel developments and extensions, repositioning and rebranding
Support in financing negotiations
Hotel finance risk reports
Strategic reviews of hotel and leisure businesses
Strategy for new brand rollout
Expert witness and dispute resolution
Negotiation of terms for Hotel Management Agreements and Franchise Agreements
Operator selection advisory
Investor opportunity reports
Hotel Due-Diligence includes:-
A: PHYSICAL ASSET ANALYSIS
Hotel inspection and location analysis
Description and commentary on hotel asset and facilities
Physical condition internal and external, structural and M&E survey, plant, health, fire and safety, asbestos survey, capital expenditure analysis and plan
Planning permissions and development potential. Alternative use potential
Competitive set analysis and pipeline for supply
B: TRADING PERFORMANCE ANALYSIS
Market context for business and leisure drivers and outlook
Impact of brand, consortia, unit hotel management, head office, staffing,
marketing plan
Historic trading performance, year to date, budget and forecast performance by operating department and cost analysis
Trading benchmarks and Tripadvisor
Web presence, reservation systems, rewards programme
Membership programmes, JV’s, Outside contracts
C: DEAL ANALYSIS: What should you pay?
Tenure and proposed deal structure, leases, management agreements, franchises. Licenses and concessions
Yield analysis and comparable transactions
Debt finance options, coverage and terms
Risk analysis and impact on existing portfolio
Transaction market context, outlook and competitive tension
