20th Oct 2014
In today’s world, almost every potential hotel development project—particularly full-service hotels–can benefit from the advice and guidance of a hotel development consultant, because these projects combine the already-significant complexity of commercial real estate deals with the challenges of operating a 24/7, multiple-unit service operation.
Parsing the Basics
A hotel development consultant can assist from the very beginnings of a project in the hotel milieu, beginning with the choice between a “ground-up” hotel development project or an acquisition of an existing hotel:
- An acquisition in the hotel field can provide immediate income and return on investment to the investor; whereas
- A ground-up project can afford the opportunity for a unique design and presentation that can maximize the new hotel’s position in the market.
Problems a Hotel Development Consultant can Help Avoid
There are many ways that a hotel development project can go wrong – and thus, many ways a hotel development consultant can help keep things on track:
- Poor site selection: Consultants can help developers and investors choose appropriate sites for new hotels.
- Under-capitalization: Consultants can help determine if the project has enough resources to be completed and to succeed.
- Mismanagement: Consultants can help analyze under-performing sites to determine if the root cause is mismanagement on the part of the owner or their staff.
- Construction management: Many problems in hotels stem from the construction quality and materials, and a consultant can help supervise both of these aspects to keep standards high.
- Branding: Often developers are focused on generic amenities and not on the specific branding that makes a hotel stand out from the crowd. Selection of the proper brand and operator can be the difference between a struggling hotel and a successful one.