We have consistently produced significant equity returns over the life of our investments by capitalizing on our extensive experience, adhering to a successful acquisition criteria, and engaging in active asset management of our portfolio. This has set us up for consistent and significant returns over several years. Some of the ways we are able to accomplish this is through:
Repostioning: Finding a true diamond in the rough. This has generally provided us with our highest returns. These assets have allowed us to practice what we preach and created the philosophies that has led to our success today. Through various methods such as renovations, re-branding, expense control and creative capital structuring., we aim to create value in an undervalued or distressed asset. More importantly, we are able to bring our culture into the asset and create a better environment of the community and our employees. Generally, it takes at minimum of 3 years to reposition and stabilize the asset. These assets can be held longer then the average new construction as well depending on various factors such as replacement costs and so on.
New Construction: Using our investment philosophies to find new opportunities that will position us for greatest returns. We work closely with the brands to secure franchises that fit the need of that area. We often focus in secondary markets of major cities. This allows us to compete in markets that major institutional funds may not be interested in entering. A typical holding period of 5-10 years and then targeting the sales of our asset to an institutional buyer. We attempt to provide value for our buyers as well that has helped foster a great working relationship over the years.
Our full service management team is available at your service to take control and maximize profitability of the property. Our most successful option includes years of experience and innovation to give your property the best chance to succeed. Some of the services provided under this option are:
Daily Operations: full oversight of the property including our own management team. We will over see the staff and every aspect of the business and instill our proven methods and philosophies at every level of the organization.
Accounting: operational accounting is increased significantly in every department. Our managers and their accounting team will be in place to create an environment of greater oversight, complete transparency and a proven system that maximize margins and accountability.
Revenue Management: Revenue specialists at the head office work directly with the management staff to make sure every room is being sold at the best price possible. Hotel segmentation reports will be made to track and predict market trends. With an emphasize of technology and constant over sight, our staff will constantly be monitoring over 300 distribution channels at any given moment to make sure you property is competing with your competitive set, as well maximizing profit at every corner.
Sales & Marketing: There has been a significant increase in importance of OTAs and social networking sites over the years. Our marketing team will work tirelessly to keep up with such innovations to make sure your brand is being exposed to every market possible. Our sales manager will promote the business to the community and businesses to set up group contracts and increase occupation all year long.
Food & Beverage: With experienced management to overview everyday operations of your restaurant and bar, our team will find ways to increase profitability. With improvements to it's supply chain and increased accountability in staffing management, we will over see every aspect of this department and position it to target its audience better.
Renovations: Our staff is experienced in complete renovations no matter the size of the project. We will work directly with vendors and contractors to make sure that the you getting quality work at the best price possible.
Human Resources: Demand Hospitality puts a greater emphasize on hiring only the most qualified personal to assure the integrity of your business. We specialize in efficiency and making sure every employee is being utilized to their maximum abilities. Or outsource your staffing needs to our complete staffing solution under a specialized contract that provides the entire staff and payroll for your entire business.
Distressed Asset Management: With experienced management team and a proven system, we are able to do a complete assessment of the property to determine the best course of action. We can take control of the asset at any point and use our methods to lead the way to stabilize the property and make the necessary cuts needed. We will create a detailed operating plan and budget to help steer the property towards profitability again. Finally, if necessary we will help improve the market to sell the asset by providing all necessary reports and research studies to assure the most value is received.
Most services under consulting, research and more will be provided under our full management solution
Need advice? Let our experienced staff help you through what ever you need and find you the best solution for your business. With two generations in the business, there is nothing we have not seen or been able to help with. What ever your business needs, we are here for you. Some of the consulting services provided by Demand Hospitality are:
In house Audit: Our team will come in and audit your property from top to bottom. We will evaluate each department and staff member comprehensively. These assessments will result in a complete site audit. Based on these results, recommendations will be given to the owner and management staff. The audit will consist of staff evaluations, efficiency and time management, QA assessment, yield management, staff training and much more. This audit can be tailored to fit the needs and wants of the owners.
Revenue Management: Revenue specialists will come in and evaluate current practices of your hospitality staff. Our revenue managers will show best practices used by the industry and teach them how to evaluate these trends by themselves. This can be very time consuming for the management staff and should be looked at daily. If your staffing is unable to do so, we can provide this service for your hotel due to the great importance of this in our industry.
Marketing: We will provide your staff with a complete overhaul of their marketing practices. We can build websites and other social networking sites if necessary to make sure you are exposed to every market. Innovation and technology is key in this industry to stay ahead of the game. We will have a marketing plan that will create a brand and identity for your businesses. This will better expose your hotel or restaurant to the immediate community and beyond.
Quality Assurance: One of the most important factors for return of a customer, is the cleanliness of the facility. This is a complete assessment of facility cleanliness, housekeeping practices, food and beverage quality controls, brand standards and the always changing ADA compliance. We will work along side with your staff to advice them of best practices, answer their questions and show them common inspector traps. We will have trained professionals to go through all departments and make sure your facility is ADA compliant.
Re-branding and Strategy: Our team can create a winning strategy for your hotel. This assessment will be conducted along side the ownership group to see the vision for their property. This vision may involve re-branding and renovating the property. We can communicate with the franchises and get a complete evaluation of the PIP list. If necessary, our team will be their every step of the way during your re-branding process. We have work with several franchises in the past and keep a working relationship with them.
Legal: Having franchise issues, insurance problems, real estate tax issues or any other problems? Let our staff evaluate and asses your situation better. We have a full staff waiting to advice you and point you in the right direction. We have working relationship with some of the top lawyers in their respected field, from franchise litigation to insurance processing claim. You need it, we can provide you exactly what you need and who you need to speak to.
Research & Development
Let our team do the all research and work for you. From start to finish, we can be there every step of the acquisition or building process. Some of the service provided by our Research and Development team are:
Feasibility Study: One of the most important studies during any acquisition study. During this process you will uncover the strengths and weakness of any business venture. Our feasibility study will provide historical data, compared to current data. It will also look at five very important factors: Technical, Economic, Legal, Operational, and Scheduling. Based on this data, you will able to determine if the acquisition is worth the risk or not. This often conducted externally from us to avoid any sort of conflict of interest on the project. This will also estimate the cost of the project and determine any other developmental costs that could be incurred.
Guest Satisfaction: Want to stay ahead of game? Listen to what your guests are really saying about your property. Don't get stuck using the same old generic surveys that don't give you answers you really need about our property. Tailor the survey and ask what you really need to know about what your guests thoughts.
Employee Survey: The most important assets of any business are there employees. Learn what they are thinking. If your own employees are not satisfied, then they will not give the proper care and attention needed to be given to your customers. Engage your employees with the expectation of a greater return in mind.