Financing for Hotel & Resort Projects
Hotel & Resort
Some of the most interesting projects in the world are resorts - but a great resort project needs a great funding structure, and that is Capital Corp's strength. We have provided customized debt and equity funding packages for resort and masterplan projects for well over 30 years, and our expertise and field knowledge has made us a widely recognized and respected funding source for resort projects worldwide.
Key Elements of Hotel and Resort Projects
Branding has become a vital part of how businesses operate, including resorts and hotels. Hard branding, soft branding, lifestyle branding, or boutique/independent branding is key to the identity of the project - and provides investors with a key understanding of how the resort project positions itself on the market.
Real Estate Ownership
Many resort projects have a real estate/residential component - whether it's whole ownership or fractional ownership offering. While this can be lucrative, it must be done right - with a proper maintenance plan, amenities, and marketing strategy. This can include an affiliation with a network or going the independent route. Capital Corp understands well the demands and needs for either option and we customize our hotel and resort funding packages to work best with developers and clients based on these industry-specific needs.
Location, Location, Location!
Hotels and resorts can be found anywhere in the world: from the beach or seaside, to the jungle, airports, mountain tops, city-centers, and even deserts. A unique and exciting location is a key element of a resort's appeal. We understand how important it is to secure a great site while seeking funding for a hotel or resort project. We can help.
The Eco-Resort Phenomenon
Eco-resorts are a relatively modern phenomenon in the hospitality world, and while the first few were usually small and modest, in recent years there has been development in luxury eco-resorts and even more so energy-efficient hotels and resorts around the world, with stunning results. Funding for eco-resorts can still be tricky as the technology involved in making them so, as well as the specific clientele they attract, can be small or niche enough to present a risk to their successful development. Capital Corp has developed the necessary experience over the last 40 years to understand what is required in funding eco-resorts and the kind of funding structure needed to make them successful and mitigate any risks involved.
Masterplan/ Phased Development
A resort masterplan or phased mixed-use development can become complex when it comes to the funding stage due to so many moving parts and the implications thereof. At Capital Corp, we understand what is required to successfully finance and fund such a type of development.
Funding a Hotel or Resort Project
A great feature in funding hotel or resort projects is the fact that:
1) Traditional funding instruments can and often are used, and
2) NO special accommodations or arrangements need to be added on to a funding arrangement involving a resort or hotel development.
The best case scenario is if you (as project developer/owner) have a strong business plan with detailed phased segments right from the start, should that be necessary, along with written demand (or even pre-sales) from potential clients in the case of real estate add-ons.
Why? Because for investors it is a guarantee of return on their investment, not to mention that it is also a steady guaranteed payment on the debt of the development.
The Funding Process
On the business end of a resort or hotel project, the developer/ project owner is required to produce essentially the same basic information and documents as he/she would in any other type of project:
• Business Plan
• Feasibility Study (if you have it)
• Any and all information and documents connected with
the project's development, land to be procured, etc.
There are many financing tools that we use in hotel and resort project transactions in order to create the best-fitting financing structure, such as:
Debt financing (Senior/Jr, Syndicated)
Tax credits & incentives
...or a combination of the above!
45 Years of Experience in the International Banking Industry
Experienced Project Financing
Awarded in Orlando's Business Hall of Fame for 12 Years Running
2017 Gamechanger of the Year Award Winner
Are you a broker looking for new funding sources for your client(s)?
We always appreciate the interest garnered by the service we provide. While we do not have agents representing us in any countries of the world, we still get most of our business from banking consultants, introducers, and brokers worldwide.
If you are a broker, banking consultant, or professional introducer, we welcome the opportunity to do business with you; and in that respect, if you are interested to submit any projects that require funding, we invite you to fill out the contact form below.