Hospitality Experience
Due Diligence of L'Ermitage Hotel in Beverly Hills, CA
Horwath HTL was hired to undergo Due Diligence on the 116-room L'Ermitage Hotel in Beverly Hills, CA.
The project is an existing hotel and is a 5-star icon with generously spacious suites that are popular among luxury travelers.
Project Scope
Horwath HTL was engaged to perform due diligence on the 116-room L’Ermitage Hotel in Beverly Hills, California, a 5-star property renowned for its luxurious accommodations and exceptional service. With its expansive suites and reputation as a preferred destination for discerning travellers, the hotel is a celebrated icon in the luxury hospitality sector.
Our due diligence process began with an in-depth analysis of the hotel’s operational and financial performance. This included a review of historical revenue, expense trends, market positioning, and competitive benchmarking. We assessed key performance indicators such as occupancy rates, average daily rate (ADR), and revenue per available room (RevPAR) to provide a comprehensive understanding of the hotel’s profitability and market dynamics.
The physical condition of the property was evaluated to identify potential capital expenditure needs. This involved inspecting guestrooms, public areas, back-of-house facilities, and infrastructure to assess compliance with 5-star standards and determine any renovation or upgrade requirements to maintain its competitive edge.
Additionally, we examined the hotel’s branding and management agreements to ensure alignment with ownership’s strategic goals. A thorough review of legal and regulatory compliance was conducted, including zoning, permitting, and operational certifications, to mitigate risks associated with the asset.
Our due diligence report provided the client with a detailed assessment of the hotel’s current value and future potential. It outlined strengths, challenges, and actionable recommendations to enhance operational efficiency and maximise returns.
The engagement underscored our expertise in luxury hospitality assets and our ability to provide critical insights for high-stakes investment decisions. The L’Ermitage Hotel continues to stand as a beacon of elegance and sophistication in Beverly Hills, and we are proud to have supported our client’s evaluation of this prestigious property.
Projekt Standort
Beverley Hills, USA
