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Our Services
Other Herald Hotel Services
- Search and identification of suitable opportunities particularly off market deals
- Support in negotiations on price or market rents
- Feasibility of hotel developments and extensions, repositioning and rebranding
- Support in financing negotiations
- Hotel finance risk reports
- Strategic reviews of hotel and leisure businesses
- Strategy for new brand rollout
- Expert witness and dispute resolution
- Negotiation of terms for Hotel Management Agreements and Franchise Agreements
- Operator selection advisory
- Investor opportunity reports
Hotel Due-Diligence includes:-
A: PHYSICAL ASSET ANALYSIS
- Hotel inspection and location analysis
- Description and commentary on hotel asset and facilities
- Physical condition internal and external, structural and M&E survey, plant, health, fire and safety, asbestos survey, capital expenditure analysis and plan
- Planning permissions and development potential. Alternative use potential
- Competitive set analysis and pipeline for supply
B: TRADING PERFORMANCE ANALYSIS
- Market context for business and leisure drivers and outlook
- Impact of brand, consortia, unit hotel management, head office, staffing,
marketing plan
- Historic trading performance, year to date, budget and forecast performance by operating department and cost analysis
- Trading benchmarks and Tripadvisor
- Web presence, reservation systems, rewards programme
- Membership programmes, JV’s, Outside contracts
C: DEAL ANALYSIS: What should you pay?
- Tenure and proposed deal structure, leases, management agreements, franchises. Licenses and concessions
- Yield analysis and comparable transactions
- Debt finance options, coverage and terms
- Risk analysis and impact on existing portfolio
- Transaction market context, outlook and competitive tension
- External valuations
