The lease, purchase or sale of hotel properties demands a great deal of investors and their consultants. Potential risks are often not obvious to the purchaser due to a variety of influences on the property’s value. Our hotel and real estate experts bring transparency in all economical, technical and analytical aspects of hotel transactions due to their know-how and long-time experience.
Goal:
We guide you through every phase of the decision, planning, execution and finalisation process of your hotel transaction or lease.
The range of services includes:
- Investor Search and contacting
Our target-oriented search approach in finding a suitable investor noticeably accelerates the sales process
- Operator Searchand contacting
The appropriate operator is the key success factor for a sustainably profitable hotel
- Assessment of Acquisition/ Hotel-Specific Due Diligence
Our hotel-related expertise and industry insider know-how significantly simplify complex Due Diligence processes
- Appraisal Reports
Within the context of the Due Diligence and bank financing, a solid appraisal report is the essentail basis
Checklist for hotel investments
Our support in finding a suitable investor enables clients to save valuable time. Through our industry intelligence we are able to preselect and target matching investors, thereby having all relevant information at hand to begin with first negotiations.
Services:
- Development of a concept and short-list of suitable investors
- Development of a sales particular and fact sheet
- Contacting potential investors
- Preparation and monitoring of the negotiation process
A suitable operator is essential for the sustainable success of a hotel. Through our accumulated experience we are familiar with the requirements of operators and aware of their strengths and weaknesses. Thanks to our excellent industry contacts to key decision-makers within hotel companies we are able to enhance and simplify the often tedious search process.
Services:
- Concept development and preselection of suitable operators
- Creation of a property particular and information material
- Support during contract negotiations
- Supporting the interests of the investor / developer
Next step:
Financing
Goal: basis for pricing and purchase decision, overview about opportunities and risks of the hotel real estate, the location and the operator.
Services:
- Assessment of the opportunities and risks of the hotel property and the site, the local hotel market, the type of operation and the operator contract
- Evaluation of an alternative use and suitability for different operators
- Evaluation of potential refurbishment needs
- Assessment of investment requirements
- Evaluation of unused potential of the hotel operation and its environment
Next step:
Purchase
Objective: determination of the sustainable rent and calculation of the capitalized income value based on the sustainable cash flow of a hotel.
Services:
- Leasehold value reports for hotel projects and existing hotels are being developed on the basis of a location and market analysis, an evaluation of the hotel concept and a 10-year cash flow forecast.
- Valuation reports are being carried out according to the income approach to valuation (WertV) and by applying the internationally used discounted cash flow method (DCF). If an asset value method is needed to validate the income approach to valuation, it is being developed together with experienced architects from our extensive network.
Next steps:
Purchase and sale, bank financing