Hospitality Experience
Soho House Rome Market Valuation
The owner of the real estate development for tourist-accommodation use turned to a Bank to be financially assisted in the implementation of the Project. The Bank, in turn, in order to be supported in its assessments, requested the support of Horwath HTL and a technical Advisor.
Project Scope
Horwath HTL was engaged to perform a market valuation for the Soho House Rome project, a significant real estate development intended for tourist-accommodation use. The owner sought financial assistance from a bank to implement the project, and the bank, in turn, requested Horwath HTL’s expertise to support its evaluations and ensure an informed lending decision.
The market valuation focused on the potential of Soho House Rome as part of the renowned Soho House portfolio, catering to a niche market of creative professionals and lifestyle-oriented travellers. The project’s location in Rome, a globally recognised destination for culture, history, and business, was a critical factor in assessing its value and market appeal.
Horwath HTL conducted an in-depth analysis of the local and regional hospitality market, with a specific focus on lifestyle accommodations and private members’ clubs. This included benchmarking against comparable properties in Rome and other global Soho House locations to assess expected performance metrics such as average daily rates (ADR), occupancy levels, and revenue per available room (RevPAR). The analysis also evaluated the brand’s ability to attract a loyal customer base and drive premium pricing.
The study incorporated financial modelling to estimate the project’s revenue potential, operating costs, and long-term profitability. Key revenue streams, including memberships, room sales, dining, and event hosting, were critically assessed to ensure realistic and market-aligned projections. The technical advisor provided additional insights into construction timelines, cost estimates, and potential risks, ensuring a holistic evaluation of the project’s viability.
The final deliverable was a comprehensive market valuation report that outlined the property’s potential value under current market conditions, supported by detailed financial projections and strategic insights. This report enabled the bank to assess the project’s feasibility and provide financial assistance confidently.
By delivering a thorough and data-driven analysis, Horwath HTL supported both the owner and the bank in advancing the Soho House Rome development, ensuring it was well-positioned for success in the competitive lifestyle hospitality market.
