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Rapid Hotel Investment Review by Navigator Consulting

Rapid Hotel Investment Review

An Independent Review of Your Small Hotel Investment​

 

Investing in a boutique hotel or small resort requires more than an attractive location and an ambitious revenue forecast. Construction costs, seasonality, staffing, online travel agency commissions, maintenance and overlooked operating expenses can materially change the expected EBITDA, cash flow and investment return.​

 

Navigator’s Rapid Hotel Investment Review provides an independent review of the main commercial, operational and financial assumptions behind a proposed hotel acquisition, development or renovation.​

 

The service covers one hotel, villa group or small resort with up to 30 rooms, suites or accommodation units.​ The Rapid Hotel Investment Review is customised based on your project and includes:​

 

  • Advance review of documentation and product concept

  • Initial introductory call and consultation (1 hour)

  • Four senior consultant days of analysis

  • Financial model reconstruction and data

  • Rapid red flag assessment

  • Detail written findings and recommendations

  • One 2-hour in-person or online final review meeting

€ 5,000 + VAT
where applicable

Senior Consultant Review

Each Rapid Hotel Investment Review is personally completed by consultants with more than 30 years of relevant investment, financial and operational experience. The Review is based on senior direct analysis of the investment case: it is not delegated to junior analysts, generated by AI or reduced to a standard checklist exercise.

Types of Hotels

Airport Hotels

All Inclusive Resorts

All Suite Hotels

Aparthotels

Beach Hotels & Resorts

Bed & Breakfasts

Boutique Hotels

Business Hotels

City Hotels

Eco Hotels and Lodges

Extended Stay Hotels

Family Resorts

Golf Hotels and Resorts

Heritage Hotels

Hostels

Island Resorts

Medical & Wellness Resorts

Motels

Mountain Hotels

Nature and Wilderness Resorts

Serviced Apartments

Ski Hotels and Resorts

Spa Hotels

Villa Hotels and Resorts

What we Review

Location & Market

We assess the location, accessibility, seasonality, target markets, competing accommodation and principal demand assumptions. The review considers whether the proposed hotel product is appropriate for the destination and its realistic operating season and ADR. 

Hotel Concept & Product

We review the proposed positioning, accommodation mix, room and suite configuration, common areas, swimming pools, food and beverage facilities, wellness services and other guest facilities.

Property & Development

We examine the available information on the property, ownership or lease structure, planning status, project phasing and principal development constraints. This does not replace independent legal, planning, architectural or engineering advice.

Revenue Assumptions

We test the principal revenue assumptions, including:​

  • Operating season

  • Occupancy

  • Average daily rate

  • Room revenue

  • Food and beverage revenue

  • Wellness and ancillary revenue

  • Customer and channel mix

  • Revenue growth

  • Ramp up following opening

Operating Expenditure

We review the main hotel operating cost assumptions:​

  • Management and staffing

  • Housekeeping and laundry

  • Food and beverage

  • Utilities, repairs and maintenance

  • Booking  commissions

  • Marketing and sales

  • Software and technology

  • Insurance and services

  • Licences and administration

  • Property related expenses

  • Other operating overheads

Marketing, Sales & Distribution

We assess whether the investment plan makes adequate provision for:​

  • Online travel agency commissions

  • Tour operator and travel agent commissions

  • Website and booking engine

  • Photography, video and content

  • Search and social media advertising

  • Public relations and launch promotion

  • CRM and guest communication

  • Direct booking development

  • Payment processing fees

  • Ongoing marketing expenditure

Financial Performance

We review the available financial model or investment forecast and assess:

  • Revenue development

  • Gross operating profit

  • EBITDA

  • Cash flow

  • Financing requirements

  • Break even occupancy

  • Investment return

  • Sensitivity to changes in cost, occupancy, pricing

  • Major omissions or unsupported assumptions

​​​​​​​Capital Expenditure

We review the proposed investment budget, including:​

  • Property acquisition or lease costs

  • Construction and renovation

  • Professional and licensing fees

  • Furniture, fixtures and equipment

  • Kitchens, bars and food service equipment

  • Swimming pools, landscaping and external areas

  • Hotel technology and operating systems

  • Preopening and launch costs

  • Working capital

  • Contingency provisions

  • Future refurbishment and replacement expenditure

Rapid Hotel Investment Report of a Small City Hotel in Paris, France

What you Receive

Rapid Due Diligence Report

You receive a written report, in English, developed by highly experienced consultants. Your Report identifies:​ Principal investment strengths; Material weaknesses and omissions; Questionable financial assumptions; Capital and operating cost exposure; Commercial and operating risks; Matters requiring specialist investigation and Recommended next steps

 

Financial Red Flag Summary

The report highlights assumptions that may materially affect capital requirements, EBITDA, cash flow and investment returns.​

 

Online or In-Person Review Meeting

Depending on where you are located, we present our findings in an online or in-person meeting of up to 120 minutes and discuss the issues that should be resolved before the investment proceeds. 

Information Required

We will request the following information:​

  • Property or project description

  • Location and site information

  • Architectural plans or room schedule

  • Development or renovation budget

  • Hotel concept and facilities

  • Operating assumptions

  • Revenue forecast

  • Profit and loss forecast

  • Financing structure

  • Potential grant or loan funding information

  • Valuation or proposed transaction terms

  • Existing hotel performance data

 

Missing information will be identified as part of the risk assessment.

Rapid Hotel Investment Report of a Small EcoLodge in Bali Indonesia

Scope & Limitations

 

The Rapid Hotel Investment Review is a preliminary commercial, operational and financial review. It is designed to identify significant risks, omissions and assumptions requiring further investigation.​ The service does not include:​

  • Property valuation or survey

  • Legal or title due diligence

  • Planning or licensing verification

  • Architectural or engineering inspection

  • Building condition assessment

  • Environmental assessment

  • Tax or accounting opinion

  • Independent market research

  • Site visit

  • Complete reconstruction of the financial model

  • Formal investment, lending or legal opinion

 

Where necessary, Navigator will recommend additional technical, legal, market or financial due diligence.

Who This Service Is For

The service is designed for:

  • Investors considering a small hotel acquisition or participation

  • Owners planning a boutique hotel or villa development

  • Developers evaluating a hotel conversion

  • Family offices reviewing an initial investment proposal

  • Landowners assessing a tourism development concept

  • Hotel owners planning renovation or repositioning

  • Banks or investors requiring an initial independent review

 

Eligibility

The standard € 5,000 service fee applies to:

  • One hotel, villa group or resort

  • Up to 30 rooms, suites or accommodation units

  • One physical location of the property

  • One investment proposal; one financial forecast or model

  • Documents supplied in English 

  • Remote, document based assessment

 

Larger hotels, multiple properties, complex mixed use developments and assignments requiring a site visit are quoted separately.

Why Navigator?

 

Navigator combines tourism investment advisory with experience in hotel feasibility studies, financial modelling, due diligence, performance improvement, digital marketing and organisational development.
 

Our hotel investment assignments have ranged from small independent properties to major tourism developments exceeding €1 billion. This allows us to apply institutional investment discipline to smaller hotel projects without imposing the cost or complexity of a full scale advisory engagement.

Tourism Consulting Services
Investment Advisory
Product & Performance
Digital Transformation 
Training & Development
Food & Beverage
Project Experience

Commission Your Rapid Hotel Due Diligence Now​

Before acquiring a property, approving construction or committing investment capital, obtain an independent review of the assumptions on which the hotel investment depends.

philip ammerman.png

Philip Ammerman

Managing Partner

Navigator Consulting Group

tourism@navigator-consulting.com 

Tourism Investment Advisory
Rapid Hotel Investment Review
Hotel Investment Readiness
Hotel Valuation Studies
Hotel Due Diligence
Hotel Feasibility Study 
Hotel Business Plan & Model

Sample Experience in Hotel Investment Advisory Services

Rapid Hotel Investment Review: 8 Suite Greek Island Hotel

Client Confidential | Greece | 2022

Rapid investment due diligence for a proposed eight suite Greek island hotel, identifying major differences in capital expenditure, operating costs and EBITDA that led to a fundamental reconsideration of the investment case.

View Project Reference

Rapid Hotel Investment Review: 80 Room City Hotel, Athens

Client Confidential | Athens, Greece | 2022

Rapid commercial, operational and financial review of an existing 80 room, 3 star Athens hotel, including acquisition analysis, capital investment planning, financial modelling and development of a mixed use repositioning strategy.

View Project Reference

Rapid Hotel Investment Review: 190 Room Beachfront Hotel in Rhodes

Client Confidential | Rhodes, Greece | 2022

Rapid commercial, operational and financial review of a 190 room, 4 star beachfront hotel, including historical performance analysis, renovation planning, a five year turnaround strategy and support for the proposed sale to Greek and international investors.

View Project Reference

Rapid Hotel Investment Review: 80 Room Beachfront Hotel in Sithonia

Client Confidential | Sithonia, Greece | 2016

Rapid investment review and preliminary valuation of an operating 80 room beachfront hotel offered for €6.25 million, including assessment of its seasonal operation, tour operator dependence, 4 star repositioning potential and capacity for approximately 40 additional rooms.

View Project Reference

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