Surveys, Studies and Analysis
On the one hand, surveys are being used as a basis for the validation, financing and marketing of hotels and hotel projects. On the other hand, they are the foundation for the revitalision or purchase of portfolio properties.
Thanks to our experienced team members we can offer different services connected to the valuation of hotel properties. At HOTOUR, Martina Fidlschuster is an official expert in hotels and guesthouses appointed by the CCI Frankfurt (chamber of commerce). Furthermore, Christine Mayer is a certified valuation surveyor (ebs/BIIS).
Studies are needed in every phase of the hotel lifecycle. The most noteworthy are:
Pre-Feasibility Study and Feasibility Study for new projects
Sound standing studies are indispensable for the analysis and evaluation of project ideas, conception of new or existing hotels and the verification of the project feasibility.
Appraisal reports for the purchase, sale and financing
Expert reports are necessary to determine the sustainable rent or cash flow and the capitalized income value of a hotel. Furthermore they are of particular importance within the transaction process and form the basis for financing.
Analysis of weaknesses and Restructuring analysis within crises
Before initiating actions to stabilize or restructure a business during a crisis, a profound analysis of the status quo is essential and is usually requested by the financing institutes.
Hotel market studies for municipalities and regions
In order to win project partners – project developers, operators and investors – for a hotel settlement, professionally prepared and informative material is essential. Studies from an objective and well-established consulting company like HOTOUR helps our clients to accelerate the often tedious process of winning suitable project partners.
Appraisal reports
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
Hotel market studies
Objective: developing a neutral basis for decision-making for hotel developments in municipalities and regions
Services:
- Analysis of the local and regional hotel market
- Evaluation of the development potential and the need for new hotels
- Recommendations regarding the concept of new hotels and suitable locations
- Evaluation of available sites
Next steps:
Search for investors and operators
Feasibility Study
In addition to the Pre-Feasibility Study, the Feasibility Study acts as a neutral business plan for financing purposes and potential investors.
Services:
- All elements of the Pre-Feasibility Study supplemented by:
- Room and function program resulting from the operating concept
- Estimation of investment costs
- Detailed economic forecast: Three scenarios with 10-year projections
- Determination of the sustainable rent
- Determination of the investor's return
Pre-Feasibility Study
The next step in the project development is a Pre-Feasibility Study. Following the initial Quick Check, the Pre-Feasibility Study helps to determine whether it is worthwhile pursuing a hotel project from a financial perspective. The study enables decision makers to foresee the appropriate size and category of the hotel as well as the expected level of profits for both operator and investor, even if they possess only minor industry knowledge. The Pre-Feasibility Study is the fundament for contacting and attracting potential operators - assuming the broad conception is already translated into a room and function program.
Services:
- Market, site and competitive analysis
- Broad conception
- Simplified economic forecast
Next step: Extension into a Feasibility Study that supports the search for suitable operators and investors.
Restructuring analysis
Our restructuring analysis are mainly based on the IDW standards (German Institute of accountants) for restructuring concepts, adjusted to the specific needs of the hotel industry.
Our aim is to assess the current status of the business in order to develop a sustainable long-term positioning.
Services:
- Assessment of the external environment conditions of the business
- Detection of operational difficulties that led to the current economic situation
- Evaluation of future potential
- Assessment of required investments and necessary funding
Next steps:
Bank financing, coaching
