The “Corona crisis”, which has started in March 2020, affects many areas of public life, the economy and thus all German accommodation markets. It halted the positive economic and tourism development of recent years. However, a review of the past decades shows that global tourism in particular has always recovered quickly and robustly from setbacks. In order to survive this crisis of unprecedented proportions as well as possible, HOTOUR provides advice on individual issues.
We analyse the individual starting position: Were the hotel and its hotel-specific conditions (market, location, competition, and concept) sustainable before the Corona crisis? Was the hotel able to earn the rent? Which result remained for the operator? Was the operator able to apply for state aid and what equity capital has been contributed since the beginning of the crisis?
We then evaluate the restart efforts and the resilience of the hotel concept considering the continuing reduced demand. We evaluate the hotel operator’s economic forecasts for the coming months or draw up our own forecast. Finally, we determine what rent levels the operator can actually afford during the ongoing crisis. We also determine a mode for returning to the original rent level and develop repayment models.
Our task is to link and moderate these different interests, taking into account the special aspects of the hotel industry. HOTOUR takes care of the parties interests on your behalf.
Support in negotiations with banks and owners
The Corona crisis has hit hoteliers with no fault of their own and, due to the lack of and further reduced sales opportunities, the payment of rent or debt service is generally not possible for much longer. We determine the actual rentability and work out various negotiation options. We also prepare negotiation rounds with owners and capital providers.
Insolvency despite no fault of one’s own is a scenario that could become reality for some operators due to the crisis. We support the hotel operator and the reorganization consultant before and during the insolvency process, including profitability analysis, contract analysis and creditor negotiations.