Operational Support
Asset Management
Horwath HTL was engaged as the asset manager for the owner of an internationally branded hotel and convention centre located in the Pacific Islands.
This property, operating under a long-term management agreement with a global hotel operator, faced challenges in optimising its financial performance and market positioning, particularly in the aftermath of pandemic-related disruptions. The owner's objective was to enhance operational efficiency, improve cash flows, and strengthen the hotel's competitive standing within its market.
Project Scope
Horwath HTL’s role was to provide strategic oversight and expert guidance to maximise returns while fostering a productive relationship between the owner and operator. The engagement involved a comprehensive range of asset management services tailored to the needs of the owner.
Horwath HTL reviewed and negotiated annual budgets submitted by the operator, ensuring alignment with ownership objectives. Historical performance data and business plans were analysed to identify areas for improvement, while benchmarking against market competitors provided insights into opportunities for growth. Regular monitoring of operational and financial performance ensured compliance with the management agreement and optimised cost structures.
Horwath HTL also acted as an intermediary between the owner and operator, facilitating effective communication and addressing concerns related to strategy execution. Monthly meetings with the operator focused on driving performance improvements, while periodic site inspections ensured alignment with brand standards and operational goals. Recommendations were provided to enhance revenue management practices, improve cost controls, and identify profit-generating opportunities.
Outcomes & Benefits to the Client
As a result of this engagement, the hotel advanced from fourth to second place within its competitive set, reflecting enhanced market competitiveness. Operational cash flows more than doubled due to improved revenues, cost controls and strategic adjustments in budgeting processes. The adoption of ambitious budget targets further positioned the property for sustained success. Horwath HTL’s expertise delivered measurable results, empowering ownership with strategies to maximise long-term asset value.
Contact for Project
Project Location
Pacific Islands
