This document outlines an agenda for a distressed hotel symposium discussing various legal and due diligence issues to consider when acquiring distressed hotels. It provides an overview of major hotel brands and operators, measures used to evaluate hotel performance, factors impacting hotel demand, and statistics on declining hotel occupancy and transactions. It also discusses the relationship between the hotel and commercial real estate industries and forecasts increasing defaults, bankruptcies, and difficulties for hotels in the current economic environment.
The document summarizes the hotel industry in Italy in 2013. It finds that while the overall hotel supply in Italy saw little change, corporate chain supply grew slightly by 1.6%. The occupancy rate and revenue per available room increased significantly in 2013 compared to previous years, backed by growing international demand. However, prices and performance are still below European standards on average. The tourism industry is a key part of the Italian economy but lacks national coordination.
Etude PwC sur l'hôtellerie européenne en 2015 (mars 2015)PwC France
http://pwc.to/1EdzmId - Selon l’étude de PwC sur l’hôtellerie en Europe, l’amélioration du climat économique et la multiplication des déplacements professionnels devraient stimuler le secteur de l’hôtellerie en 2015 et 2016.
Si la majorité des 20 villes étudiées par PwC devrait connaître une croissance plus élevée en 2015, Paris reste la ville au RevPAR le plus élevé.
PwC révèle ses 5 prévisions pour le secteur : entre avancées technologiques, potentielle taxe carbone et nouvelles zones de croissance, le secteur hôtelier doit s’adapter.
The document discusses how consumer behavior in Russia may change due to the economic downturn, outlining two potential types of consumers - "gamblers" who tend to maximize pleasure under crisis conditions by displaying individuality, and "thinkers" who tend to cut costs by complying with norms. It hypothesizes that gamblers may reduce foreign travel but not luxury consumption, while thinkers seek inspiration in classical styles and entertain at home more.
The Chinese demand for luxury goods is immense. It is creating a unique, dynamic and rich digital luxury retailing environment.
This report looks at the growth of the global and Chinese markets for luxury goods. We estimate the size of the Chinese online luxury goods market. We then discuss what is responsible for creating China’s over-sized online luxury market, and the motivations of different customer segments.
This report will be of use to those interested in the luxury goods markets, Chinese retail and digital marketers generally.
Hotels.com' Review of global hotel prices January — June 2014
While average hotel room prices rose globally by 4 per cent in the first six months of 2014, London prices exceeded that with a rise of 9 per cent to £127.
Cambodia is the cheapest place, with rooms only £34 in comparison.
See more: www.travelperformance.com
download: http://goo.gl/nV73SQ
In Q2 2014, there was only one new hotel opened in Kiev, Ukraine, adding 199 rooms. Overall, there are approximately 10,300 hotel rooms in Kiev, with 3-star hotels making up the largest share. Due to political tensions reducing tourism, hotel demand and occupancy rates fell by an estimated 20% in 2014. While business travel to Kiev is gradually recovering, Russian business travelers remain low, meaning occupancy rates are projected to be 35-45% in the second half of 2014. Looking ahead, hotel room supply in Kiev is forecast to increase 5% in 2014 and over 15% in coming years, though most new development is focused on regional markets outside the capital.
Increased tourist levels across Spain as a result of the Spanish and wider European economic recovery have fed into the hotel sector. RevPar growth and healthy occupancy rates have made the asset class appealing for new investment. Madrid prime location hotel yields hover around 6-8% while Madrid trophy asset yields are between 4-5.5%. A value added strategy of purchasing empty buildings and renovating them into new hotels is more economical than acquiring existing hotels outright. Banks cleaning up balance sheets has opened investment opportunities for both underlying hotel assets and financing by institutional investors. Intermediaries providing stable rental income to hotel owners while taking on management contracts have created alternative ways to enter the sector.
The document summarizes the hotel industry in Italy in 2013. It finds that while the overall hotel supply in Italy saw little change, corporate chain supply grew slightly by 1.6%. The occupancy rate and revenue per available room increased significantly in 2013 compared to previous years, backed by growing international demand. However, prices and performance are still below European standards on average. The tourism industry is a key part of the Italian economy but lacks national coordination.
Etude PwC sur l'hôtellerie européenne en 2015 (mars 2015)PwC France
http://pwc.to/1EdzmId - Selon l’étude de PwC sur l’hôtellerie en Europe, l’amélioration du climat économique et la multiplication des déplacements professionnels devraient stimuler le secteur de l’hôtellerie en 2015 et 2016.
Si la majorité des 20 villes étudiées par PwC devrait connaître une croissance plus élevée en 2015, Paris reste la ville au RevPAR le plus élevé.
PwC révèle ses 5 prévisions pour le secteur : entre avancées technologiques, potentielle taxe carbone et nouvelles zones de croissance, le secteur hôtelier doit s’adapter.
The document discusses how consumer behavior in Russia may change due to the economic downturn, outlining two potential types of consumers - "gamblers" who tend to maximize pleasure under crisis conditions by displaying individuality, and "thinkers" who tend to cut costs by complying with norms. It hypothesizes that gamblers may reduce foreign travel but not luxury consumption, while thinkers seek inspiration in classical styles and entertain at home more.
The Chinese demand for luxury goods is immense. It is creating a unique, dynamic and rich digital luxury retailing environment.
This report looks at the growth of the global and Chinese markets for luxury goods. We estimate the size of the Chinese online luxury goods market. We then discuss what is responsible for creating China’s over-sized online luxury market, and the motivations of different customer segments.
This report will be of use to those interested in the luxury goods markets, Chinese retail and digital marketers generally.
Hotels.com' Review of global hotel prices January — June 2014
While average hotel room prices rose globally by 4 per cent in the first six months of 2014, London prices exceeded that with a rise of 9 per cent to £127.
Cambodia is the cheapest place, with rooms only £34 in comparison.
See more: www.travelperformance.com
download: http://goo.gl/nV73SQ
In Q2 2014, there was only one new hotel opened in Kiev, Ukraine, adding 199 rooms. Overall, there are approximately 10,300 hotel rooms in Kiev, with 3-star hotels making up the largest share. Due to political tensions reducing tourism, hotel demand and occupancy rates fell by an estimated 20% in 2014. While business travel to Kiev is gradually recovering, Russian business travelers remain low, meaning occupancy rates are projected to be 35-45% in the second half of 2014. Looking ahead, hotel room supply in Kiev is forecast to increase 5% in 2014 and over 15% in coming years, though most new development is focused on regional markets outside the capital.
Increased tourist levels across Spain as a result of the Spanish and wider European economic recovery have fed into the hotel sector. RevPar growth and healthy occupancy rates have made the asset class appealing for new investment. Madrid prime location hotel yields hover around 6-8% while Madrid trophy asset yields are between 4-5.5%. A value added strategy of purchasing empty buildings and renovating them into new hotels is more economical than acquiring existing hotels outright. Banks cleaning up balance sheets has opened investment opportunities for both underlying hotel assets and financing by institutional investors. Intermediaries providing stable rental income to hotel owners while taking on management contracts have created alternative ways to enter the sector.
This document describes plans for a futuristic hotel concept called O'NEW YORK'A**** in New York City. Some key details include:
- It will be a 4-star hotel without a restaurant and will have a flexible rooftop, automatic self-parking garage, and 50 room accommodations.
- There will be a business meeting area with 3 meeting rooms and 2 subcommittee rooms, as well as an aquatic universe and circular solarium terrace.
- Target customers include business travelers, leisure travelers, and groups. Distribution will utilize online and partnership channels.
- Staffing and operations plans are outlined, as are architectural drawings for rooms, facilities, and the overall concept. The hotel
Marriott reported strong performance in their third quarter 2010 results, with revenue per available room up 7.2% in North America and 12% internationally. Nearly 90% of Marriott Hotels & Resorts in North America raised corporate rates, which were up 9% overall. While US hotel supply continues to grow moderately, Marriott is adding to their portfolio with over 5,000 new rooms opened in the quarter and a pipeline of 95,000 rooms worldwide under development or conversion to their brands.
The document summarizes key findings from Bain & Company's 2014 Luxury Goods Worldwide Market Study. It finds that while the overall global luxury market exceeded €850 billion in 2014, growth is slowing. Personal luxury goods continue to buoy the market, having nearly tripled over 20 years to €223 billion in 2014, though growth is also slowing. Regionally, the Americas were the strongest growth engine in 2014 at 6% growth, while China saw its first contraction at -1% growth.
Currency movements and tourism levels significantly impact luxury goods companies' performance. In 2015, euro-reporting luxury brands performed best as a weaker euro made their products more affordable to foreign tourists. Meanwhile, US-based brands struggled from a strong dollar deterring tourism and reducing spending. Looking ahead, a weaker yuan may hurt luxury sales in regions popular with Chinese tourists, while European brands may continue to benefit from the euro's decline attracting more foreign shoppers.
This document proposes a futuristic hotel concept located in Dublin, Ireland. It would include flexible features like a rooftop with climbing capsules, meeting rooms, and an aquatic spa area. The hotel would utilize robots to assist humans in roles like housekeeping and room service, requiring fewer total staff. The plan discusses analyzing tourism trends, conducting a SWOT analysis, determining a commercial program, distribution channels, and staffing plans both with and without robots. The goal is to provide guests with a novel experience while enhancing profits and investment returns.
YOUR BUSINESS IS YOUR PROFITABILITY IN CONCEPT HOTEL FUTURIST. SEE YOUR FUTURE AS YOUR PRESENT AND INVEST IN CREATIVITY THAT MAKES SENSE AND REALITY FOR BOTH GUESTS, MANAGEMENT AND STAFF. A NEW VISION AT SHORT TERM, MID TERM OR LONG TERM QUALITY AND TECHNOLOGY HOSPITALITY INDUSTRY.
The residential real estate market in Moldova experienced strong growth in the last decade, fueled by remittances from citizens working abroad. However, the global financial crisis caused the market to decline sharply from 2009 to 2010. While prices appear to have stabilized in late 2010, the market remains subdued due to weak demand, high emigration, and an underdeveloped mortgage system. Looking ahead, the market's recovery prospects are uncertain given Moldova's economic dependence on agriculture and remittances, as well as political instability. Foreign investor interest also remains low in the near term. The residential market is expected to be driven mainly by local demand, with limited new project launches and price increases over the next few years.
An analysis of ratings and type of tourists based on more than 6,200 reviews. This study was conducted through the extraction, refinement, visualization and subsequent analysis of a total of 6,260 comments and ratings recorded during the year 2010 in the travel portals Atrápalo.com , Booking.com, Hotels.com and Tripadvisor.com.
The Hotel Industry's Automated Future: A Framework for AI With a Human TouchPeerasak C.
Data has shifted the foundation of the hotel industry. Managers can now segment guest profiles to infinite degrees, creating a comprehensive picture of who’s staying at their properties. Managers can also track guest habits, interests, preferences and any unrecognized revenue opportunities or paths to stronger brand loyalty –– it’s all in the data.
Mazars Real Estate: Hospitality in Italy, where to invest 2016Danilo Papaleo
Mazars Real Estate Italy presents the research of the top cities in Italy for hotel investments. The study was conducted by Mazars hospitality department over 110 major cities in Italy after having identified seven variables used by hotel developers to select the target cities for their developments.
This document summarizes hotel market trends in early 2012. It notes uneven patterns globally due to economic uncertainty. The US shows signs of recovery while Europe is mixed. London was stable and major US cities grew, while Stockholm and Oslo weakened. Shorter booking windows and opportunistic events business made forecasting difficult. Overall, the first half of 2012 was expected to be weaker with improvements in the autumn.
This document provides an overview of recent market information from Pandox, a hotel ownership and operations company. It discusses the positive economic outlook driving demand in the hotel industry. It also examines how the digital evolution is changing how hotels acquire customers through new distribution channels. Several hotel markets are seeing growth, such as Copenhagen at 5% and Stockholm. New hotel capacity being added in some markets like Gothenburg and Malmö may lead to oversupply issues if demand does not increase sufficiently.
This document provides an overview and analysis of the global luxury goods market in 2016. It finds that the luxury goods sector is entering the second half of the "decade of change," which will be characterized by discipline. Key forces shaping the luxury market include millennials, travel, wealth, and digital technology. Combining a focus on travel and millennials in particular presents a major opportunity for luxury brands, as travel accounts for 40% of luxury spending and the number of traveling millennials is growing rapidly worldwide.
European Leisure Travel Industry - September 2013:Industry Forecast Report michalgilly
European Leisure Travel Industry - September 2013:Industry Forecast Report @ http://www.researchmoz.us/european-leisure-travel-industry-september-2013-report.html
N1 phono tech_research_ph.2_15_06_2015Andrew Grant
This document provides an overview of the luxury hotel market and various hotel brands. It discusses key trends in the luxury hotel sector such as an increased focus on delivering personalized local experiences through global hotel brands. Several hotel chains are profiled that are leaders in the luxury market, including Accor, Hilton, Hyatt, IHG, Marriott, Starwood, and Taj Hotels. Pipeline data is also presented on new hotel room construction in Europe, with the majority being upscale brands.
The document is the June 2016 issue of HOTELS magazine. It includes articles on various hotel industry topics such as new hotel openings, interviews with hotel executives, trends in design, food and beverage, and technology. The issue highlights what is currently popular and innovative in the hotel world.
This document contains information about Marriott International's hotel brands, markets, and performance. It discusses Marriott's portfolio of 30 hotel brands targeting different market segments. It also analyzes Marriott's global presence, financial performance from 2008-2012, and strategies for working with partners and developing new markets. Recommendations are provided around developing new express brands and markets in developing countries and business travelers.
YOUR BUSINESS IS YOUR PROFITABILITY IN CONCEPT HOTEL FUTURIST. SEE YOUR FUTURE AS YOUR PRESENT AND INVEST IN CREATIVITY THAT MAKES SENSE AND REALITY FOR BOTH GUESTS, MANAGEMENT AND STAFF. A NEW VISION AT SHORT TERM, MID TERM OR LONG TERM QUALITY AND TECHNOLOGY HOSPITALITY INDUSTRY.
McDonalds Golden Arches Hotel_ifmr : Case StudyArokia Rexton
McDonald's opened two hotels in Switzerland under the name "Golden Arch" in an attempt to diversify. However, the hotels failed to meet customer expectations for a four-star property and did not understand the target market. Located in an isolated area, the hotels lacked amenities and the "Golden Arch" name was not well-received. McDonald's sold the hotels after only 18 months, realizing they could not be profitable given the competitive hotel industry in Switzerland.
The document describes a proposed luxury condo hotel project called Regency Suites located in Orlando, Florida near major tourist attractions. It highlights the strong market demand for higher-end extended stay accommodations in the area. The project aims to take advantage of this deficit by combining luxury living spaces with hotel amenities. It is expected to generate significant job creation and economic activity for the region.
2013 Canadian Hotel Investment Conference- brochureOrie Berlasso
A sneak peek at the 2013 Canadian Hotel Investment Conference delegate brochure. The event which is scheduled for MAY 28 and 29, 2013 at Hilton Toronto Hotel is the definitive source for information, insight and opinion on today’s Canadian lodging market. For senior executives from across North America this business conference delivers outstanding insight on where the industry is today, where its heading and the options it can deliver.
Hard-hitting sessions and powerful industry panels zero in on lodging development, investment and finance to reveal viable opportunities, future trends and up-to-the minute cross country performance. Critical insights from experts, shared information from industry insiders and important one-on-one networking all come together in a program that has become a “must-do” annual event. For more information visit www.hotelinvest.ca
This document describes plans for a futuristic hotel concept called O'NEW YORK'A**** in New York City. Some key details include:
- It will be a 4-star hotel without a restaurant and will have a flexible rooftop, automatic self-parking garage, and 50 room accommodations.
- There will be a business meeting area with 3 meeting rooms and 2 subcommittee rooms, as well as an aquatic universe and circular solarium terrace.
- Target customers include business travelers, leisure travelers, and groups. Distribution will utilize online and partnership channels.
- Staffing and operations plans are outlined, as are architectural drawings for rooms, facilities, and the overall concept. The hotel
Marriott reported strong performance in their third quarter 2010 results, with revenue per available room up 7.2% in North America and 12% internationally. Nearly 90% of Marriott Hotels & Resorts in North America raised corporate rates, which were up 9% overall. While US hotel supply continues to grow moderately, Marriott is adding to their portfolio with over 5,000 new rooms opened in the quarter and a pipeline of 95,000 rooms worldwide under development or conversion to their brands.
The document summarizes key findings from Bain & Company's 2014 Luxury Goods Worldwide Market Study. It finds that while the overall global luxury market exceeded €850 billion in 2014, growth is slowing. Personal luxury goods continue to buoy the market, having nearly tripled over 20 years to €223 billion in 2014, though growth is also slowing. Regionally, the Americas were the strongest growth engine in 2014 at 6% growth, while China saw its first contraction at -1% growth.
Currency movements and tourism levels significantly impact luxury goods companies' performance. In 2015, euro-reporting luxury brands performed best as a weaker euro made their products more affordable to foreign tourists. Meanwhile, US-based brands struggled from a strong dollar deterring tourism and reducing spending. Looking ahead, a weaker yuan may hurt luxury sales in regions popular with Chinese tourists, while European brands may continue to benefit from the euro's decline attracting more foreign shoppers.
This document proposes a futuristic hotel concept located in Dublin, Ireland. It would include flexible features like a rooftop with climbing capsules, meeting rooms, and an aquatic spa area. The hotel would utilize robots to assist humans in roles like housekeeping and room service, requiring fewer total staff. The plan discusses analyzing tourism trends, conducting a SWOT analysis, determining a commercial program, distribution channels, and staffing plans both with and without robots. The goal is to provide guests with a novel experience while enhancing profits and investment returns.
YOUR BUSINESS IS YOUR PROFITABILITY IN CONCEPT HOTEL FUTURIST. SEE YOUR FUTURE AS YOUR PRESENT AND INVEST IN CREATIVITY THAT MAKES SENSE AND REALITY FOR BOTH GUESTS, MANAGEMENT AND STAFF. A NEW VISION AT SHORT TERM, MID TERM OR LONG TERM QUALITY AND TECHNOLOGY HOSPITALITY INDUSTRY.
The residential real estate market in Moldova experienced strong growth in the last decade, fueled by remittances from citizens working abroad. However, the global financial crisis caused the market to decline sharply from 2009 to 2010. While prices appear to have stabilized in late 2010, the market remains subdued due to weak demand, high emigration, and an underdeveloped mortgage system. Looking ahead, the market's recovery prospects are uncertain given Moldova's economic dependence on agriculture and remittances, as well as political instability. Foreign investor interest also remains low in the near term. The residential market is expected to be driven mainly by local demand, with limited new project launches and price increases over the next few years.
An analysis of ratings and type of tourists based on more than 6,200 reviews. This study was conducted through the extraction, refinement, visualization and subsequent analysis of a total of 6,260 comments and ratings recorded during the year 2010 in the travel portals Atrápalo.com , Booking.com, Hotels.com and Tripadvisor.com.
The Hotel Industry's Automated Future: A Framework for AI With a Human TouchPeerasak C.
Data has shifted the foundation of the hotel industry. Managers can now segment guest profiles to infinite degrees, creating a comprehensive picture of who’s staying at their properties. Managers can also track guest habits, interests, preferences and any unrecognized revenue opportunities or paths to stronger brand loyalty –– it’s all in the data.
Mazars Real Estate: Hospitality in Italy, where to invest 2016Danilo Papaleo
Mazars Real Estate Italy presents the research of the top cities in Italy for hotel investments. The study was conducted by Mazars hospitality department over 110 major cities in Italy after having identified seven variables used by hotel developers to select the target cities for their developments.
This document summarizes hotel market trends in early 2012. It notes uneven patterns globally due to economic uncertainty. The US shows signs of recovery while Europe is mixed. London was stable and major US cities grew, while Stockholm and Oslo weakened. Shorter booking windows and opportunistic events business made forecasting difficult. Overall, the first half of 2012 was expected to be weaker with improvements in the autumn.
This document provides an overview of recent market information from Pandox, a hotel ownership and operations company. It discusses the positive economic outlook driving demand in the hotel industry. It also examines how the digital evolution is changing how hotels acquire customers through new distribution channels. Several hotel markets are seeing growth, such as Copenhagen at 5% and Stockholm. New hotel capacity being added in some markets like Gothenburg and Malmö may lead to oversupply issues if demand does not increase sufficiently.
This document provides an overview and analysis of the global luxury goods market in 2016. It finds that the luxury goods sector is entering the second half of the "decade of change," which will be characterized by discipline. Key forces shaping the luxury market include millennials, travel, wealth, and digital technology. Combining a focus on travel and millennials in particular presents a major opportunity for luxury brands, as travel accounts for 40% of luxury spending and the number of traveling millennials is growing rapidly worldwide.
European Leisure Travel Industry - September 2013:Industry Forecast Report michalgilly
European Leisure Travel Industry - September 2013:Industry Forecast Report @ http://www.researchmoz.us/european-leisure-travel-industry-september-2013-report.html
N1 phono tech_research_ph.2_15_06_2015Andrew Grant
This document provides an overview of the luxury hotel market and various hotel brands. It discusses key trends in the luxury hotel sector such as an increased focus on delivering personalized local experiences through global hotel brands. Several hotel chains are profiled that are leaders in the luxury market, including Accor, Hilton, Hyatt, IHG, Marriott, Starwood, and Taj Hotels. Pipeline data is also presented on new hotel room construction in Europe, with the majority being upscale brands.
The document is the June 2016 issue of HOTELS magazine. It includes articles on various hotel industry topics such as new hotel openings, interviews with hotel executives, trends in design, food and beverage, and technology. The issue highlights what is currently popular and innovative in the hotel world.
This document contains information about Marriott International's hotel brands, markets, and performance. It discusses Marriott's portfolio of 30 hotel brands targeting different market segments. It also analyzes Marriott's global presence, financial performance from 2008-2012, and strategies for working with partners and developing new markets. Recommendations are provided around developing new express brands and markets in developing countries and business travelers.
YOUR BUSINESS IS YOUR PROFITABILITY IN CONCEPT HOTEL FUTURIST. SEE YOUR FUTURE AS YOUR PRESENT AND INVEST IN CREATIVITY THAT MAKES SENSE AND REALITY FOR BOTH GUESTS, MANAGEMENT AND STAFF. A NEW VISION AT SHORT TERM, MID TERM OR LONG TERM QUALITY AND TECHNOLOGY HOSPITALITY INDUSTRY.
McDonalds Golden Arches Hotel_ifmr : Case StudyArokia Rexton
McDonald's opened two hotels in Switzerland under the name "Golden Arch" in an attempt to diversify. However, the hotels failed to meet customer expectations for a four-star property and did not understand the target market. Located in an isolated area, the hotels lacked amenities and the "Golden Arch" name was not well-received. McDonald's sold the hotels after only 18 months, realizing they could not be profitable given the competitive hotel industry in Switzerland.
The document describes a proposed luxury condo hotel project called Regency Suites located in Orlando, Florida near major tourist attractions. It highlights the strong market demand for higher-end extended stay accommodations in the area. The project aims to take advantage of this deficit by combining luxury living spaces with hotel amenities. It is expected to generate significant job creation and economic activity for the region.
2013 Canadian Hotel Investment Conference- brochureOrie Berlasso
A sneak peek at the 2013 Canadian Hotel Investment Conference delegate brochure. The event which is scheduled for MAY 28 and 29, 2013 at Hilton Toronto Hotel is the definitive source for information, insight and opinion on today’s Canadian lodging market. For senior executives from across North America this business conference delivers outstanding insight on where the industry is today, where its heading and the options it can deliver.
Hard-hitting sessions and powerful industry panels zero in on lodging development, investment and finance to reveal viable opportunities, future trends and up-to-the minute cross country performance. Critical insights from experts, shared information from industry insiders and important one-on-one networking all come together in a program that has become a “must-do” annual event. For more information visit www.hotelinvest.ca
Social Media for Sustained Tourism Growth - Session 1 from our recent workshop for Scottish tourism and hospitality businesses, March, 2010 - Jim Hamill
Coronavirus Impact Assessment And Mitigation Strategies In Hotel Industry Com...SlideTeam
The PowerPoint template is useful tool in presenting coronavirus impact assessment and mitigation strategies associated to Hotel industry. It covers details regarding the hotel sector overview, economic impact on hotel industry, decline in hotel occupancy affecting hotel industry, local communities and national economy, scenario analysis of hotel sector revival, impact of coronavirus on various segments. Several enterprise risks are identified such as disruption due to social distancing, plummeting employee productivity, stressed supply chain, recession in hotel sector, unemployment and investment pullback risk, and economic instability and civil unrest due to pandemic and how these risks are impacting overall hoteliers and clients in hotel sector. The template covers details about how these risks can be mitigated through business impact analysis, risk readiness assessment, risk management plan, business continuity plan by ensuring safety to hotel staff, digitalizing hotel premises, addressing travel demand, ensuring safety of hotel staff, policy management, incident management. It also covers information regarding the marketing plan in order to address future demand of hotel, role of government in reviving hotel industry and risk response plan for firms associated to hotel sector during COVID -19 outbreak. It provides details about risk maturity survey questionnaire to ensure the maturity level of enterprises in handling risks. https://bit.ly/2WD8nW8
The creative brief is for Aloft Milwaukee Hotel and outlines the target audience, messaging, and advertising plans. The target audience is men and women ages 25-40 who are hip, trendy travelers expecting a stylish hotel environment. The key message is that Aloft offers a place to get work done and have fun at the Re:mix lounge with nightly deals. Advertising will include print, outdoor, radio, and emphasizing the contemporary atmosphere and amenities like live music and happy hour specials.
Scott Podvin presented at Harvard University's Graduate School of Design on distressed real estate opportunities. He discussed several topics:
1) Current opportunities exist in sourcing, underwriting and executing distressed real estate deals, with capital coming from places like hedge funds and private equity firms.
2) The best markets for investment are those with strong job growth, deep property discounts, and long-term demand drivers like population growth. These include cities hit hard by the real estate crisis like Miami and Las Vegas.
3) Hundreds of billions of dollars are being withdrawn from hedge funds and private equity due to poor performance and redemptions, forcing the sale of illiquid real estate assets at discounted prices.
This document provides a PEST analysis of the hotel industry and discusses sources of finance and fund allocation for hotel projects. It analyzes the political, economic, social, and technological factors affecting the industry. These include regulations, taxes, visa issues, economic conditions, cultural trends, technology usage, and more. It also outlines common sources of finance for hotels such as share capital, loans, and bonds. Finally, it lists the major cost components of hotel projects like land, buildings, facilities, furniture, and staffing.
Regulating Credit Default Swaps Preview For Presscatelong
Presentation of Mr. Gary Kopff for the PRMIA Conference on Reforming Markets for Credit Default Swaps & Collateralized Debt Obligations held in Washington, DC. June 10th, 2009.
Trends in the international hotelindustryChandana (Chand.docxwillcoxjanay
The document discusses trends in the international hotel industry. It provides a historical overview of the evolution of the hotel industry from the mid-20th century to present day. Key developments discussed include the rise of hotel chains, increasing globalization and diversity of travelers, and a shift towards prioritizing customer experience over formal service. The document also examines current challenges facing the industry like labor shortages and the need for improved human resources practices. It advocates for innovative approaches to hospitality education to help secure the industry's future.
Newport Bay Club & Hotel Report and RecommendationsBrian M. Goodman
During the spring term of 2016, I was enrolled in a 4.5-credit independent study. This 125 report is my research from that study. It provides a framework for how The Newport Bay Club & Hotel can increase their financial metrics by re-engineering their operations and revenue strategies. Brian P. Ferguson, MPS JWU Professor & Co-Founder of Smith Travel Research (STR), was my advisor for this report.
European Distressed Real Estate Conf 20 March09spodvin
I am scheduled to speak in London, England at the European Distressed Real Estate Conference on April 6-7, 2009. I have attached a copy of my power point presentation, which will be distributed to each of the institutional investors attending the conference.
The panel on which I sit is on Monday at the following time and shall cover the following subjects with session chair and panel participants, as set forth below.
17:30 EVALUATING INVESTMENTS IN THE HOTEL/CONDO HOTEL & LEISURE/CASINO SECTORS
• Hotel Macroeconomic Situation & Historic Performance During Down Times • Are there Clusters of Distressed Hotels?
• Complexities Involving Mixed-Use Projects with Lodging Elements • What are your Options with Broken Properties?
• Chain Bankruptcies & Related Cross-Border Issues • Casino & Gaming Underperformers
Session Chair:
Chris Evans, Partner HAMILTON HOTEL PARTNERS
Panel Participants:
Ramsey Mankarious, Chief Executive Officer CEDAR CAPITAL PARTNERS LTD.
Scott L. Podvin, Managing Director THE CREST AT WATERFORD LAKES, LLC Charles Human, Managing Director HV HODGES WARD ELLIOTT Jochen D. Schäfer-Surén, Head of Hotels and Leisure-Fund Management INVESCO REAL ESTATE Carola Lueder, Real Estate Broker PROPERTIES USA REMAX PARTNERS
Please feel free to visit our IMN"s website for more a detailed agenda: http://secure.imn.org/web_confe/index.cfm?sc=20090407_RE_0028&pg=Agenda
I look forward to seeing or hearing from you with your comments to the attached, as I hope that we will be able to work together again soon.
European Distressed Real Estate Conf 13 March09spodvin
Scott Podvin is raising a $100 million fund to purchase distressed real estate assets in Europe. The fund will focus on acquiring city-core development projects, integrated residential developments, and broken condos/partially constructed communities. Podvin believes these types of distressed assets will provide opportunities for value-add plays and completing unfinished projects.
The document describes plans for a new four star hotel called N'ITALIA'B in Rome, Italy. It will have 50 guest rooms, a business meeting area with three meeting rooms and two smaller rooms, and an aquatic center with a rooftop solarium. A SWOT analysis identifies strengths like panoramic views and meeting spaces, weaknesses like the lack of a restaurant, and opportunities for innovation. Staffing plans show roles for reception, housekeeping, and other departments. Design drawings depict relaxing guest rooms with movable furnishings and a futuristic aquatic center with a panoramic terrace.
Similar to Distressed Hotel Conference 8april09 (20)
1. By: Scott L. Podvin, Managing Director
The Crest at Waterford Lakes, LLC
spodvin@post.harvard.edu
www.TheCrestLife.com
http://www.linkedin.com/in/sp0dvin
Tel: (305) 793-5762; Fax: (305) 665-3971
Scott L. Podvin: IMN’s Distressed Hotel Symposium – April 30- May 1, 2009
2. LEGAL & DUE DILIGENCE ISSUES TO
WATCH OUT FOR WHEN ACQUIRING
DISTRESSED HOTELS
AGENDA:
• Evaluating Exactly Why The Project Failed
• Valuation Issues
• Possible Title Complexities
• Contract Negotiation
• Assessing Local Markets
• Issues With Incomplete Projects
• Brand & Management Company Considerations
• Evaluating Real Cash Flow The Project Generates
Session Chair:
Joel Hiser, President HORWATH HOSPITALITY & LEISURE, LLC
Panel Participants:
Scott L. Podvin, Managing Director THE CREST AT WATERFORD LAKES, LLC
Patrick Deming, Managing Director EASTDIL SECURED
Howard Shapiro, President HOWARD SHAPIRO & CO.
Marv Pearlstein, Partner MANATT
David Neff, Partner PERKINS COIE
3. KINGS OF THE UNIVERSE
• Blackstone’s top-of-the-market acquisition, in
which it invested $6bn of equity, made it the
world’s biggest hotels group. Its Hilton brands
alone comprise more than 3,000 hotels and
500,000 rooms.
• Intercontinental Hotel Group, whose brands
include InterContinental, Crowne Plaza and Holiday
Inn, owns more than 4,000 hotels.
• Starwood, whose brands include St. Regis,
Sheraton, Westin, W Hotels and Aloft, is one of the
world's largest hotel operators with 897 properties,
with around 275,000 rooms.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
4. KINGS OF THE UNIVERSE CONT.
Marriott International, whose brands Accor, best known as the operator of
•
cheap and mid-range hotels, such
include:
as:
Marriott Hotels & Resorts,
•
Ibis,
•
JW Marriott Hotels & Resorts, Renaissance
•
• Mercure and
Hotels & Resorts, Courtyard by Marriott,
Residence Inn by Marriott, • Novotel a
•
Fairfield Inn by Marriott, and whose upscale hotels include:
•
Marriott Conference Centers,
Sofitel,
TownePlace Suites by Marriott, SpringHill
•
have a network of 182 hotels.
Suites by Marriott,
Marriott Vacation Club,
•
The Ritz-Carlton Hotel Company,
•
The Ritz-Carlton Club,
•
Marriott ExecuStay,
•
Marriott Executive Apartments,
•
Grand Residences by Marriott,
•
has more than 3,100 lodging
properties in the U.S. and 65
other countries and territories.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
5. MEASURES OF HOTEL VITALITY
• OCCUPANCY
• AVERAGE DAILY
RATE (ADR)
• REVENUE PER
AVAILABLE ROOM
(REVPAR)
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
6. HOTEL MARKET
Three sources of hotel demand:
1. Tourism (individuals, groups, and
families);
2. Corporate (individuals and groups);
and
3. Government-related
demand, including contractors
Remember, 70-80% of a hotel’s performance is
systematically linked to the local economy.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
7. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
8. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
9. HOTEL OCCUPANCIES
US hotel occupancy down
12.6 % in the last week of
Feb.
2008 RevPAR decreased
•
0.8% due to a 3.7% decrease
in occupancy, the highest
annual decrease in
occupancy since 2001.
Demand is forecast to
•
decrease by 2.0%
Supply is projected to
•
increase 1.6%,
Occupancy will reduce
•
further to 58.6%, the lowest
since 1971, according to a
PWC forecast
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
10. HOLD ONTO YOUR SEAT BELTS:
ITS GONNA GET ROUGH
In 2009:
•
7.8% decrease in Occupancy
•
6.4% drop in ADR
•
13.7% fall off in RevPAR
•
30.1% decline in profits
•
This level of decline has not been
•
seen since the 1930s.
March 2009 Hotel Horizons Report by PKF Hospitality Research
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
11. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
12. How About So. Florida Hotels?
• Miami-Dade, south • Broward tax revenues fell
Florida’s largest lodging dropped 20% in Feb and
market, tax revenues from 16% in Jan
hotel guests plunged 24% • Room rates dropped 12%
in Feb and 17% in Jan. to $144/nt
• Room rates dropped twice • Occupancy dropped to
as quickly in Feb. as in 83%
January –down 14% to
$180/nt
• Occupancy dropped 11% to
73%
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
13. TRANSACTION VOLUME
FALLS OFF A CLIFF
• Market for luxury hotels has
evaporated
• “Luxury is just getting
killed,” said Bobby
Bowers, SVP at STR Global.
• Not a single top-tier hotel
traded during the last
quarter of 2008, said Patrick
Ford, president of Lodging
Econometrics
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
14. REASONS FOR DECREASING
TRANSACTION VOLUME
1.Decreasing
liquidity
2.Deteriorating
demand
fundamentals
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
15. SOME CITIES WILL ENJOY 2010
• •
Atlanta Dallas
• •
Austin Nashville
• •
Detroit Columbus
• •
Oahu Albuquerque
• •
Fort Worth Houston*
• •
Raleigh Anaheim
• •
Chicago Minneapolis
Lenders, investors, and operators should continue to be cautious
because all but the hotels in Houston are forecast to continue to report
occupancy their long-term average. March 2009 Hotel Horizons Report
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
16. HOSPITALITY IS SYMBIOTIC WITH
COMMERCIAL REAL ESTATE
• Employment and Office Demand
– Hotels proximate to office buildings tend to capture
corporate travelers
– Density of office space in a market helps determine
highest and best use of land for hotels
– Last decade, ave. 318 sf of office space absorbed for
every new job created, but in last 5 yrs, ave. decreased
to 235 sf for every new job.
– BUT…..
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
17. STATISTICAL CORRELATION
• Ratio of office sf to
total number of
hotel rooms
– Ratio of hotel rooms per
1,000 sf of net rentable
office space ranged from
only 0.21 to 0.23, w/ a mean
of 0.22
• BUT…..
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
18. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
19. THE SECRET SAUCE
• Each job creates
demand for 235 sf of
office space
• 16.6 sf of office space
creates demand for 1
occupied room night
• Thus, each new job
generates demand for
14 room nights per
annum
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
20. Relationship Between Office
and Hotel Demand
• Ratio of occupied hotel
room to occupied office
space ranges from only
0.058 to 0.064, with an
average of 0.060.
• Inverse of this ratio
shows that for every
16.6sf of occupied
office space, there was
one hotel room
occupied.
• The range of the
occupied RBA to
occupied room nights
was from 15.5 square
feet to 17.2 square feet.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
21. UNEMPLOYMENT RATE
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
22. COMMERCIAL PROPERTY MARKET
IS UNDER SIEGE
• Vacancies are expected to reach
14.7% this quarter
• Vacancies will approach 18% by year
end
according to the National Association of Realtors.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
23. OFFICE VACANCY PRIMARY MARKETS
Market 1992 Vacancy 2002 Vacancy 3Q 2008 Vacancy
New York -Mid-Town 15.0% 8.8% 6.2%
New York -Downtown 22.6% 12.1% 6.9%
San Francisco 12.4% 20.9% 10.0%
Seattle-Tacoma 16.4% 15.4% 10.1%
Los Angeles 20.5% 15.3% 10.3%
Miami 17.2% 14.3% 10.7%
Washington, D.C. 15.0% 11.2% 11.0%
Philadelphia 17.9% 12.5% 11.7%
Boston 17.8% 18.4% 11.8%
Chicago -Downtown 21.4% 15.0% 12.2%
Houston 22.0% 15.6% 12.5%
Atlanta 18.8% 18.7% 16.2%
Phoenix 20.9% 20.3% 17.3%
Chicago -Suburbs 20.8% 21.8% 19.8%
Dallas-Ft. Worth 25.1% 23.2% 21.0%
US Average 19.8% 16.0% 13.7%
24. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
25. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
26. FORECAST FOR DEFAULTS
AND BANKRUPTCIES
• Debt defaults increase at double-digit rate next 24
months
• 160 to 190 defaults in 2009
• B/n 120 and 140 in 2010
• Typically, 2 out of 3 to 3 out of 4 defaults end in
bankruptcies within 3 months.
• Thus, we are looking at:
– 150 bankruptcies in 2009 and
– 100 in 2010.
according to a bi-annual study in November 2008 by Bain Corporate Renewal Group.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
27. Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
28. BAD SITUATION GETS WORSE FOR HOTELS
• A rapidly growing number of hotels — including many
high-end and luxury properties — are forced into
bankruptcy or foreclosure in coming months, Martha C.
White reported in The New York Times.
• Jim Butler, a hotel industry lawyer, said those who
manage distressed hotel loans have told him that their
workloads have jumped tenfold in recent months.
• “Things seem to be accelerating,” Mr. Butler said, and
predicted that before the recession is over, the number
of hotels in bankruptcy or foreclosure could rise above
the 2,000 or so reached in the industry’s last big
downturn in the 1990s.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
29. GAMBLING ON CASINO
OPERATORS
Hit by the twin blows of a recession and tight credit markets, many
gaming companies have been squeezed hard.
1. Tropicana Entertainment filed for bankruptcy
2. STATION CASINOS -- Colony owns a 75% stake in Station
Casinos Inc. while Crown owns a 19.6% interest in Fontainebleau
Equity Holdings LLC. Both have Las Vegas properties
3. Trump Entertainment Resorts, of which Mr. Trump owns
28 per cent, filed for Chapter 11 protection at a court in New Jersey
after bondholders who control the debt-laden casino operator rejected
Mr Trump’s attempt to take the company private. Mr Trump has resigned
from the board.
4. CITY CENTER--needs a combined $800 million contribution from both
partners before it can access a $1.8 billion credit facility from lenders needed to
finish construction. Australian billionaire and gambling magnate James Packer is
weighing a stake in City Center, the troubled $8.6 billion Las Vegas development
owned by MGM Mirage and Dubai World
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
30. LUXURY HOTELS
TAKE A DIP INTO THE RED
• Ritz-Carlton, Lake Las Vegas spent much of 2008 in
Chapter 11 – recently sold to 3rd owner a year.
• In Scottsdale, Ariz., 2 upscale properties entered
foreclosure in Jan. after being open for ≤ 6 months
• Greenbrier Resort in W.V. filed for Chapter 11 last
month after losing $35 million in 2008.
• In Chicago, plans for a 200-room Shangri-La hotel
were scrapped.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
31. VALUING HOTELS & RESORTS
Three valuation techniques:
1. Income approach,
2. Cost approach, and
3. Sales-comparison approach.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
32. HOTEL VALUATIONS
For the income approach, we create at least
three models:
(a) A band of investment with 3-year net income
build-up and an equity dividend;
(b) Mortgage equity with a 10-year income
projection and an equity yield; and
(c) Overall rate derived from sales of comparable
hotels.
*10-year discounted cash-flow is the preferred technique, although
in this environment cash flow forecasts are not that reliable.
*Relying on sales of comparable hotels should be avoided since the
true motivations of buyers and sellers are difficult to ascertain.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
33. DUE DILIGENCE
1. Research the Property
A. Title Encumbrances
B. Land use restrictions
C. Zoning
2. Understand the
Physical
Characteristics of the
Land
A. No substitute for site
visits
B. Topography
C. Surface water runoff
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
34. Due diligence cont-
3. Environmental Impact Study
A. Phase I
B. Phase II
4. Examine Infrastructure Needs
A. Sewage Disposal
B. Water Supply
C. Transportation – traffic studies
D. Other utilities
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
35. DUE DILIGENCE CONT.-
5. Investigate and Identify Community Stakeholders
6. Meet with Government Officials
7. Review Land Use Regulations
a. State and Local Comprehensive Plans
b. Zoning Ordinances
c. Development Ordinances
d. Subdivision/Binding Site Plan Ordinances
e. Impact Fee Ordinances
f. Other governmental regulations
8. Entitlements and Permits
9. Additional land for expansion…
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
36. CONTRACT ISSUES
• Option Agreement or Sale and Purchase
Agreement for the Site
• Contribution of the Site by the Land
Owner
• PRICE
• REPRESENTATIONS
• INDEMNITEES
• CLOSING AGENT
• TITLE AGENT
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
37. Hotel Management & Sub-
Management Agreements
Choosing the Brand
– What is the market for the condominiums, fractional
interests, condo-hotel units, yacht club membership
interests, and dockominiums to be sold?
– Which brand will fit best into the marketing plan?
– Which brand would find the asset and its location most
desirable?
– How easy is the brand to deal with?
– Which brand can be expected to deliver the highest RevPAR,
given the character of the asset and its location?
– Which brand can be expected to deliver the most for the
money?
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
38. Branded Management Contracts vs.
Franchise/Management
Branded Management Contracts FRANCHISE AGREEMENTS
1. FEES
1. FEES 2. TERM
2. CONTRIBUTIONS 3. TERMINATION ON SALE
3. BUDGET CONTROLS 4. PERFORMANCE CLAUSE
4. PERFORMANCE CLAUSE
5. TERMINATION W/O
5. TERMINATION ON SALE CAUSE
6. CORPORATE MARKETING
6. CORP MARKETING
7. TERRITORY PROTECTION
7. TERRITORY PROTECTION
8. DISPUTE RESOLUTION
8. VENUE
9. OWNER APPROVAL OF KEY
9. PROPERTY
EMPLOYEES
IMPROVEMENT PLAN
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
39. TURNAROUND
POTENTIAL
1. If poorly managed
or maintained, we
can timely
implement capital
improvement plan
to push the ADRs.
2. If none, value may
be land value or
less.
3. The availability of
financing is key to
evaluating a
distressed hotel.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
40. RISK vs. REWARD
Big hotel operators:
1. IHG,
2. Hilton,
3. Marriott, and,
4. Accor,
Reduce risk by selling
hotels in exchange for
long-term
management
agreements and/or
franchise agreements,
plus a small equity
kicker (i.e. share of
revenues).
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
41. ASSET LIGHT VS. ASSET RIGHT
• Starwood pursues a slightly nuanced asset disposal
strategy to its peers.
• While others have sold hotels and retained
management contracts and franchising of its brands
- a strategy known as asset light - Starwood has
adopted an “asset right” approach, holding onto a
slightly higher percentage of hotel assets.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
42. GREEN SHOOTS GROWING
FOR HOTEL DEALS
• The hotel sector should benefit from its position as
a favored investment for less-leveraged buyers,
such as sovereign wealth funds, high net worth
private investors and real estate investment trusts,
says Arthur de Haast, global chief executive of Jones
Lang LaSalle Hotels.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
43. NOW IS THE TIME
TO RAISE A FUND
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
44. FOUR POCKETS OF DEMAND
1.Opportunity Funds that have been established to
buy real estate equity
2.Newer Opp. Funds that have been created as
dedicated debt investors
3.Private Equity looking at real estate debt
4.Real Estate Companies buy back their own debt or
debt of others
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
45. PODVIN DEVELOPMENT GROUP
RAISING $$100MM FUND TO
PURCHASE REAL ESTATE, DISTRESSED/OPPORTUNISTIC
ASSETS
THIS FUND SHALL FOCUS ON PURCHASING THE FOLLOWING TYPES OF ASSETS/DEBT:
Strategically located developments, located in the centre of a city,
being large-scale and multi-phase developments typically consisting
City-Core
of residential, hospitality, office, retail, entertainment and cultural
Development
properties with a blend of historic restoration and modern
Projects
architecture.
Large-scale multi-family residential communities in secondary and
tertiary markets located on main and main where we can implement a
Integrated
capital improvement program to push the rents. We will be prepared to
Residential
purchase asset/debt on an all cash basis, but once the community has
Development
Projects been stabilized, we shall lever it or dispose of the asset, triggering a
repayment event.
There will be tremendous opportunities in busted condos and conversions
Broken Condos &
while value add plays will also be easy to find. Likewise, there will be many
Conversions or
Partially projects with incomplete construction that we will be able to pick up on the
Constructed cheap, complete construction and reposition the asset to create a vibrant
Communities working, walkable (with bike paths and all), sustainable and living community
for working class people.
WE ARE NOW RAISING A Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 –
$100,000,000 FUND TO May 1, 2009
PURCHASE DISTRESSED spodvin@post.harvard.edu
46. INVESTORS
1. Institutional Investors
Investors
2. Pension funds
Our Preferred
3. Insurance companies
Shares pay
4. Endowments
cumulative
5. Investment Banks
preferential cash
6. Commercial Banks
distributions at an
7. Fund of funds
annual rate of 9%.
8. Hedge Funds
9. High net worth individuals
10. Family offices
11. Sovereign wealth funds
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
47. WHAT WE DO
• We identify real
estate
opportunities
that generate
superior risk-
adjusted returns
while ensuring
capital
preservation.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
48. CORE BUSINESS FOCUS
1. Identification;
2. Acquisition;
3. Ownership; and
4. Operation of multi-family residential
and hospitality real estate properties.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
49. TYPES OF INVESTMENT
WE MAKE THE FOLLOWING TYPES OF
DEAL SIZE
INVESTMENTS:
• The ideal deal size will
• single assets and
start at US$2-25MM,
portfolios;
with a minimum equity
• Distressed mutli-family
investment of US$5
and hotel operating
million.
companies
• development or • We have capacity for
redevelopment projects; large transactions as a
• real estate operating result of co-investment
platforms; and and partnerships with
our broad institutional
• structured loans and
partnerships. client base.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
50. Investment Objectives
(1)acquire neglected multi-family residential
&/or hospitality properties; and
(2) increase profitability thru:
(a) providing superior property
management,
(b) improving appearance & environment;
(c) implementing renovation strategies;
and,
(d) cross-selling ancillary services
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
51. INVESTMENT APPROACH
Conduct thorough and comprehensive research
•
Perform ongoing review
•
Commit to strong on-the-ground presence
•
Add value by applying focused leasing & expense
•
reduction strategy
Undertake development or redevelopment plans
•
Create a tailored plan for each investment
•
Identify key milestones and profit drivers to
•
achieve the targeted result
Capital and financial structuring
•
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
52. OUR PHILOSOPHY
• DO THE RIGHT THING: Our core ethos is to quot;do the
right thing” -- responsible investment.
• ALIGNING INTERESTS: To deliver results, we
strategically structure the organization and employment
compensation plans.
• PARTNERING: Working together (within our business
and with clients & service providers), we achieve far more
than on our own.
• DELIVERING INVESTMENT EXCELLENCE:
delivering investment excellence lies at the heart of
building client confidence.
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
53. OUR STRATEGY
• Attract and retain
investors;
• Continuous
research and
innovation;
• Deliver stable
platform for growth;
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
54. REAL ESTATE
FUNDS – THE
ANATOMY OF THE
DEAL
Scott L. Podvin:
IMN’s Distressed Hotel Symposium --
April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
55. What to Look for in a
REAL ESTATE FUND
Experience
•
Skills
•
Contacts
•
Practical problem solving
•
Reputation
•
Team
•
Capacity
•
$$ Balance Sheet $$
•
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
56. THE CHEMISTRY COUNTS
Alignment of Interests:
FUND & REAL ESTATE COMPANY
• Fund Objectives
• Fund Life
• Leverage and Financing
• Guarantees
• Management Style and Control
• Tax Considerations
• Dealing with Unexpected Issues
Scott L. Podvin:
IMN’s Distressed Hotel Symposium -- April 30 – May 1, 2009
spodvin@post.harvard.edu
http://www.linkedin.com/in/sp0dvin
57. ABOUT US
• PDG is an independently managed private equity real estate
investment advisory company focused on real estate investment in
the U.S., Europe and Asia.
• Our managed investments include development and redevelopment
projects, joint-ventures and real estate operating companies in the
multifamily apartments, retail, industrial, and hotel sectors.
• We combine local knowledge of our real estate professionals with
broad global perspectives to develop our strategies and identify
investment opportunities.
• Our team of real estate professionals come from diverse
backgrounds, with the full range of skills required to invest in and
manage real estate and advise real estate funds. Our specialists
apply their skills to ensure that we drive every one of our investments
to perform at its optimum.
• PDG is independent of any broader financial services group. We can
invest funds on behalf of a number of different organizations,
including pension funds, insurance companies, government entities
and financial institutions, as well as charities and endowments.
58. • Scott L. Podvin, Managing Director of
The Crest at Waterford Lakes, LLC
• www.TheCrestLife.com
• spodvin@post.harvard.edu
• Cell: (305) 793-5762
• Fax: (305) 665-3971