The document outlines the development plans and financial projections for a proposed 304-room hotel in downtown Phoenix, Arizona. It includes a short-term strategy to prove feasibility and break even by the end of the third fiscal year, and a long-term strategy of sustainable shareholder value through patenting the brand and expanding the concept. Financial projections show the required revenue, occupancy, average daily rate, and RevPAR to break even, as well as cash flow forecasts for the first 11 years of operation.

3. Co m p le t io n S t a t u s

5. Co m p le t io n S t a t u s

7. Co m p le t io n S t a t u s
Short-Term Strategy
 Feasibility of the
Concept
 BEP by End of FY 3
Long-Term Strategy
 Sustainable Value to
Shareholders
 Patent the Brand
 Expansion of the
Concept through Sale

9. Co m p le t io n S t a t u s

10. Co m p le t io n S t a t u s
Seed Capital
 Founders
 Crowd Funding
 Private Investors
 REIT

11. Co m p le t io n S t a t u s
Number of Rooms 304
Development Cost /Room 180,000
Total Development Cost 54,720,000
Loan to Cost Ratio 60%
Loan Financing 32,832,000
Equity Financing 21,888,000
Interest Rate 6%
Interest Payment 131,328
Required Equity Return% 20%
Required Cash to Owners 4,377,600
Operating Expenses
Fixed Costs 4,901,877
Interest Expense 131,328
Equity Requirements 4,377,600
Variable Costs 40%
Breakeven Revenue 15,684,675
Required Total Revenue 15,684,675
Investment Driven Breakeven AnalysisBreakeven Analysis
Variable Costs 40%
Breakeven Revenue 15,684,675
Required Total Revenue 15,684,675
Assumed Rooms Revenue% 80%
Required Rooms Revenue 12,547,740
Required RevPAR $113.08
Required Occ% 75% 85%
Required ADR $150.78 $133.04
RevPAR $113.08 $113.08
Non Operating Fixed Expenses
Property Taxes 23,600
Insurance 353,460
Incentive Fees -
Total Non Operating Expenses 377,060
Required GOP 508,388
Required GOPPAR $4.58

12. Co m p le t io n S t a t u s
Cash Flow 36,225,072 17,730,144 (764,784) 10,486,601 21,737,985 24,077,910 28,417,834 31,757,758 31,009,143 32,260,527 32,511,912
36,225,072
17,730,144
(764,784)
10,486,601
21,737,985
24,077,910
28,417,834
31,757,758 31,009,143
32,260,527 32,511,912
(5,000,000)
-
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
40,000,000
1 2 3 4 5 6 7 8 9 10 11
CASHFLOW
YEAR
Cash Flow Forecast

14.  Innovative Hotel Application
 Mobile Specific Rate Plans
 Integrated with Point-of-
Sale and Property
Management Systems
 No Long Lines at Check-
in/Check-out
Co m p le t io n S t a t u s

16. Co m p le t io n S t a t u s
 Shifting Burden
of Energy Use
to the Guest
 Daily Tips Via
MYX App
 Monitors
Energy & Water
Consumption

17. Co m p le t io n S t a t u s
 Daylighting
 LEED Platinum
 Costs Associated
6% Over Standard
 Recycled Materials,
Light Rail, Bicycles
and More.

19. Co m p le t io n S t a t u s
 Downtown Phoenix
 Many Nearby
Attractions
 Sky Harbor Airport
is Five Miles Away
 Light Rail Station
 UBER & Taxi
Service

21. Co m p le t io n S t a t u s
Culture
 Control Given to Guests
Ratings
 AAA Four Diamond
 Forbes Four Star
Assurance
 Inspections by
LRA by Deloitte

23. Co m p le t io n S t a t u s
 304 Guest
Rooms
 10,000 Square
Feet of Meeting
Space
 Standard Room
Amenities
 Hotel Amenities
 Club MYX

25. Co m p le t io n S t a t u s
Primary Outlet
 Progressive Italian with Sonoran
Desert Flare
Lobby Lounge
 Eco-Distillery
 Local Artist Venue
Pool Bar & Grill
 Spanish & Italian tapas
 Outdoor Nightclub
Juice Bar
In-Room Dining

27. Co m p le t io n S t a t u s
 State-of-the-Art Gym Facility
with Connectivity to Major Apps
 Zwift Corner
 250 USD Monthly Membership
 Community Engagement and
Multiplier Effect
 Positive Word-of-Mouth

29. Co m p le t io n S t a t u s

30. Co m p le t io n S t a t u s

31. Co m p le t io n S t a t u s

33. Co m p le t io n S t a t u s
 Renaissance – ADR $269,
445 Rooms
 Hotel Palomar – ADR $292,
242 Rooms
 W Scottsdale – ADR $273,
230 Rooms
 Hotel Valley Ho – ADR $278,
194 Rooms

35. Co m p le t io n S t a t u s
 Compliance with Phoenix Fire Code
 Relationship with Phoenix FD & PD
 Proximity to Major Hospital and Trauma Center
 “Unqualified Belief in the Unified Chain of Command”

37. Co m p le t io n S t a t u s
Phase 1
 Authoritative - Coaching Style
 Moment of Truth
Phase 2
 Affiliative – Democratic
 True Staff Personality

39. Co m p le t io n S t a t u s
 Projected Labor Hours: 8,886
 Projected Hourly Wages: $57,328
 Projected Management Salary: $84,642
Bi-Weekly Payroll

41. Co m p le t io n S t a t u s

42. Co m p le t io n S t a t u s