Why Invest in hotels?

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We choose branded hotels. We like Marriott, Hilton and Hyatt. These brands have a loyal global customer base, great marketing support and best-in-class operational systems. This lowers our operational risk.

We usually do not build from the ground up. Rather, we buy existing hotels and we consider its competitiveness vs. new builds. This ensures we can charge daily room rates that is profitable to us and affordable.

Is the hotel near offices, theme parks, big churches, sports stadiums, universities and tourist attractions? By choosing the right location with enough demand drivers, we lower our vacancy risk.

We only choose hotel projects where can create substantial increase in value through improved operations, & investing in a comprehensive PIP (Property Improvement Plan). This increases the value of our properties significantly lowering our disposition risk.

We underwrite hotels conservatively and only acquires properties we can buy at substantially below market value. This gives us a good margin of safety to factor in cap rate decompressions or adverse economic corrections like a recession.

We can buy hotels all over the country given our scale of operations. Our hotel operator partner company has over $1.5 BILLION of hotels with 1700 employees. We can also renovate properties cheaper than other operators given our vertical integration.