Asset Management

Initial situation

The client, an internationally operating real estate investor, was looking for support from an experienced and neutral consulting company for asset management of the hotel portfolio, consisting of more than 30 hotels in Germany in various funds. For the purpose of a successful asset management, the client required evaluation, analysis and interpretation of the individual markets and properties.

Goal

The asset management team and the fund managers are to be kept up to date continuously, so they would be able to proactively respond to challenges in location, market, competition, property or operator, or to manage the properties and portfolio in general. A regular reporting needed to be established used for internal committees and investors and as a basis for decision-making.

Procedure

Within the portfolio monitoring, HOTOUR evaluates all of the hotels at least every two years along an individually agreed structure, which is specifically tailored to the needs of the investor. At property level, macro and micro location, competition, hotel market, concept, condition and appearance, operator and brand as well as profitability are evaluated on the basis of site inspections, management meetings and desktop analyses. A forecast is used to show whether the contractually agreed rent can be generated from operations over the next few years or how much is likely to be generated. At the portfolio level, the above-mentioned parameters are pointed out in a red flag report and relevant key figures of the hotels and a predefined selection of competitors are benchmarked.

Result

The Asset Management team always has up-to-date information on all hotels and the corresponding portfolio, prepared in a uniform format. On this basis, decisions regarding i.e. investments, leaseholder management or the holding period, can be made quickly and on a sound basis. In addition, the global real estate investor has a competent advisor at his side who can provide direct, needs-based advice on special questions without the need for fundamental analyses.