Hospitality Experience
Hotel Portfolio Commercial Due Diligence and Acquisition Support
Supporting the acquisition of a portfolio of hotel assets in China.
Project Scope
Horwath HTL conducted an independent assessment of a portfolio of assets in China, providing valuable insights to support the valuation process and aid in the purchaser’s decision-making. Our approach began with an in-depth market overview of the target city, allowing us to understand local market dynamics, trends, and demand drivers. This foundational analysis set the stage for more targeted assessments.
We then conducted a detailed benchmarking analysis, comparing each asset’s performance with competitors and similar properties in the area. This helped identify strengths, weaknesses, and opportunities for improvement in each property. Our analysis went beyond basic comparisons, considering factors such as occupancy rates, average daily rates, and market positioning to ensure a comprehensive evaluation.
Additionally, we developed financial projections for each property, providing a clear opinion of value that considered future market conditions and potential revenue growth. This information was crucial for forming an accurate understanding of the assets’ worth.
Beyond valuation, Horwath HTL reviewed the commercial terms of the existing management agreements to ensure they aligned with market standards and the client’s strategic goals. We also assisted with various due diligence tasks, ensuring a smooth transaction process for the purchaser. Through this multifaceted approach, we delivered a clear and actionable analysis to support the client’s investment decisions.
- Market overview of the target city.
- Competitive and comparable market benchmarking.
- Existing property benchmarking.
- Financial projections and opinion of value.
- Transaction data analysis.
- Current management agreements commercial terms review.
Project Location
China