Market and Financial Feasibility Studies
- These studies are typically requested by lenders/investors and comprise the following principal components:
- Supply and demand analyses.
- Site characteristics and SWOT assessments.
- Positioning/facilities recommendations.*
- Estimated profit & loss, balance sheet and cash flow projections to determine return on investment.
- Variations include:
- A pre-feasibility study (more concise, for internal use, also useful for large mixed-use projects).
- A market study – we have undertaken studies on a wide range of topics from hotel management fees to staffing ratios, and the regional F&B, spa and health club markets
- A site ‘highest and best use’ study, which typically involves a two-stage approach to 1) examine multiple development options for a specific site and 2) provide a full feasibility study on the recommended option or combination of options.
* We can also integrate within our feasibility study, a desktop review of proposed architectural plans or an architect’s briefing by a highly experienced hotel architect, including preparation of initial zoning plans and floor areas schedules.
