Overview…
Through the extensive network & expertise of its management team, Tabah Capital and its partners will acquire hotel real estate assets and/or hotel companies at attractive valuations/conditions.
These assets/companies are carefully selected to meet the investment criteria of Tabah’s management team and fall into 3 main categories.
Strategy…
We strongly believe that our strategy which comprises of a mix of near term structuring profit hedged with mid to long term trading profits from the investments, will allow to maximize profits whilst creating an investment business model & portfolio that guarantees a stable and sustainable cash flow, while generating above-average risk-adjusted returns for the shareholders.
Sourcing and Analysis
- Finding strategic assets featuring USPs, critical size, nearby demand drivers and suited business mix with protected dynamics.
- Research-driven strategy and investment analysis in order to provide the investor with enhanced market and operational knowledge.
- Diverse networks of brokers, operators, administrators as well as direct owners enabling the most efficient sourcing.
Execution and Structuring
- Supervision of all due diligence and audits, negotiation of legal aspects with the vendors.
- Optimization of the ownership structure to maximize cash flow upstream and avoid cash and tax traps/latent capital gains.
- Handling negotiation with vendors, lessor, financing partners, and operators as well as the establishment of shareholder agreement and joint ventures.
Asset Management
- Financial control (budgeting, reporting, audit, and management control) and legal follow-up.
- Ability to define and execute heavy renovation, extension, and conversion projects.
- Running of daily operations, implementation of commercial strategy, cost control, management of administrative structure, and of the relationship with 3rd party operators if any.
- Tabah Capital Advisors Ltd has been retained as our exclusive asset managers.
Divestment
- Provide the optimum liquidity to the asset through the tailoring of acquisition agreements and maximize asset management initiatives.
- Constitution of the required documentation for the exit and identification of the potential buyers.
- Creation of a favorable context to exit the deal in the best possible conditions.
Overview…
Through the extensive network & expertise of its management team, Tabah Capital and its partners will acquire hotel real estate assets and/or hotel companies at attractive valuations/conditions.
These assets/companies are carefully selected to meet the investment criteria of Tabah’s management team and fall into 3 main categories.
Strategy…
We strongly believe that our strategy which comprises of a mix of near term structuring profit hedged with mid to long term trading profits from the investments, will allow to maximize profits whilst creating an investment business model & portfolio that guarantees a stable and sustainable cash flow, while generating above-average risk-adjusted returns for the shareholders.
Structuring & Forward Selling of completed matured projects
- Acquisition of licensed land and /or unbranded real estate assets / properties in need of construction / refurbishment and / or branding & capital expenditure investment and / or repositioning.
- Structuring a solid income stream through the negotiation and execution of a lease / HMA / franchise contracts with expert third parties.
- Forward selling to incoming hotel / apart-hotel operators / investors or institutional funds.
- Profit-taking on short term exit upon completion of the project.
- Profit-taking on short term exit upon completion of the project.
– Exit (6 to 12 month).
Development, Structuring & Forward Selling of completed properties
- Acquisition of licensed land and/or unbranded assets in need of development and/or branding & capital expenditure investment and/or repositioning.
- Construction / conversion of existing (land / asset), into hotel / apart-hotel / student homes properties.
- Structuring of a solid income stream through franchise contracts with savvy international brands.
- Trading, upon completion of the property.
- Opportunistic divestment upon the stabilisation of the business operations, based on local market cap rates.
– Exit (3 to 5 years).
Development, Structuring & Trading of completed hotel properties
- Acquisition of licensed land and / or unbranded assets in need of construction / refurbishment and or branding & capital expenditure investment and / or repositioning.
- Construction / conversion of existing (land / asset), into hotel / apart-hotel / student homes properties.
- Structuring of a solid income stream through lease / HMA / franchise contract with expert third parties.
- Forward selling, upon completion to incoming hotel / apart-hotel operators / investors or institutional fund.
– Exit (12 to 24 month).
Overview…
Through the extensive network & expertise of its management team, Tabah Capital and its partners will acquire hotel real estate assets and/or hotel companies at attractive valuations/conditions.
These assets/companies are carefully selected to meet the investment criteria of Tabah’s management team and fall into 3 main categories.
Strategy…
We strongly believe that our strategy which comprises of a mix of near term structuring profit hedged with mid to long term trading profits from the investments, will allow to maximize profits whilst creating an investment business model & portfolio that guarantees a stable and sustainable cash flow, while generating above-average risk-adjusted returns for the shareholders.
Structuring & Forward Selling of completed matured projects
Development, Structuring & Forward Selling of completed properties
Development, Structuring & Trading of completed hotel properties
- Acquisition of licensed land and /or unbranded real estate assets / properties in need of construction / refurbishment and / or branding & capital expenditure investment and / or repositioning.
- Structuring a solid income stream through the negotiation and execution of a lease / HMA / franchise contracts with expert third parties.
- Forward selling to incoming hotel / apart-hotel operators / investors or institutional funds.
- Profit-taking on short term exit upon completion of the project.
- Profit-taking on short term exit upon completion of the project.
– Exit (6 to 12 month).
- Acquisition of licensed land and / or unbranded assets in need of construction / refurbishment and or branding & capital expenditure investment and / or repositioning.
- Construction / conversion of existing (land / asset), into hotel / apart-hotel / student homes properties.
- Structuring of a solid income stream through lease / HMA / franchise contract with expert third parties.
- Forward selling, upon completion to incoming hotel / apart-hotel operators / investors or institutional fund.
– Exit (12 to 24 month).
- Acquisition of licensed land and/or unbranded assets in need of development and/or branding & capital expenditure investment and/or repositioning.
- Construction / conversion of existing (land / asset), into hotel / apart-hotel / student homes properties.
- Structuring of a solid income stream through franchise contracts with savvy international brands.
- Trading, upon completion of the property.
- Opportunistic divestment upon the stabilisation of the business operations, based on local market cap rates.
– Exit (3 to 5 years).
Tabah will secure successful acquisition through local & international strategic partnerships and solid perein businesses that deliver strong cashflow & valuations.
Investment Cycle
Synopsis of Tabah Capital’s typical business model:
In detail…
- We strongly believe that our strategy which comprises of a mix of near term structuring profit hedged with mid to long term trading profits from the investments, will allow to maximize profits whilst creating an investment business model & portfolio that guarantees a stable and sustainable cash flow, while generating above-average risk-adjusted returns for the shareholders.
- Identification of a suitable land/property/company at discounted and or fair market value.
- Investment summary (acquisition costs / local acquisition taxes / hard & soft refurbishment costs / repositioning / development fees (architects / engineers & project managers).
- Operational Analysis of the 15-year Profit & Loss forecast based on local markets metrics in order to benchmark the proposed investment property within its competitive set (hotels / apart-hotels / student homes/)
- Sensitivity analysis of projected sales values, taking into account the competing properties.
- Profitability analysis of the proposed investment scenario to determine the shareholders’ Internal Rate of Return on the equity invested, along with an overall analysis of the Return on Investment and the capacity to service debt funding.
- Fiscal analysis with our local Tax & Fiscal partners to identify the most suitable & appropriate exit & distribution scenarios.
- Negotiate and structure operational contracts with the selected international operators.
- Identification of possible exit options & scenarios to third party long term institutional investor and/or international operators (hospitality), or end-users (commercial real estate)
- Foward sell the proposed target investment (property – company) to the end-user/investors.