Experts in hotel management advisory services
01 The Opportunity
The owner of a hotel within the luxury segment and boasting exceptional location in Barcelona required the services of an external adviser to supervise the management of the international hotel group responsible for the management of the asset.
The aim was to ensure compliance with the contract entered into between the parties and the fulfilment of the goals defined by the owner in terms of profitability, positioning and asset value maximisation.tbc
02 The Solution
The asset was initially evaluated from the point of view of both operations and market positioning, the outcome of the diagnostic analysis leading to a proposal for the provision of bespoke asset management services to the owner of the hotel asset. By means of this approach, Cushman & Wakefield performed the role of asset manager, ensuring our presence and advice on behalf of the owner throughout all hotel operating processes.
Over the past two years we have been involved in the verification of the annual budget, analysis of the marketing and sales plan, capex investment plan and FF&E reserve provision, monthly checks on the evolution of the operations of the asset, analysis and evaluation of the CompSet, as well as accompanying the manager in the continuous improvement of operating performance.
Another factor of strategic importance and of great value to the owner is our understanding of the market situation in both hotel and real estate terms, consequently enabling us to advise on the best divestment strategy.
The work plan and execution of the proposal has been carried out in conjunction with both the owner and the hotel management group, establishing the most suitable reporting and enabling communications and decision-making on the part of both.
03 The Result
The asset management service has resulted in both tangible and intangible benefits for the owner. The relationship with the hotel manager has become more professional and has led to the creation of a more beneficial atmosphere based on transparency and mutual trust. This has favoured an improvement of 15% in the hotel’s results during the first financial year.
The improvement in the asset’s position has also enabled the owner to now consider sale under more favourable conditions than those that existed prior to our collaboration. As the final stage of asset management, Cushman & Wakefield also undertook the entire asset sale process, benefiting from our detailed knowledge of the situation and the levers for growth and improvement that may exist in the future.
The Right Hotel Operator • Hospitality
Meet the team
Find Out More About Our Hospitality Services
For advice on hotel investments and all aspects of hotel sales and acquisitions.