Hotel investment case study analysisfrom @davidkijlstra

Transcript

This freaking hotel is for sale. Let's do the math. It's a Spanish hotel with 15 rooms, a vineyard, and three hectares of beautiful farmland. And, wow, there's some easy ways to grow its revenue. But worst, let's discuss the location. It's in the South Of Spain, only tier minutes from the airport, twenty from Girona, and the beach is thirty minutes away. So it's literally location gold. And the price, only 1,600,000.0, which feels suspiciously low and is pretty self reliant with 25 solar panels, a veggie garden, its own water well, and a vineyard producing 400 bottles of organic Cabernet Sauvignon. If the Spanish sun will not get you through the winter, these bottles definitely will. Now what's good to know is that the hotel is also surrounded by some of Spain's finest cycling routes and only ten minutes away from the golf course and five minutes away from one of the largest turbos pass in the region. So it's literally made for groups. So how is your revenues? Not too great. My gut feeling would be around €220,000. So how would I turn this into a cash cow? First up, the website. The website is literally offline. Invest 10 k in a solid website and some good branding, rank you'll easily boost revenue with around 30 to 50%. Also, their last Instagram post was back in 2016. Come on, guys. Next up is renovation. Most of their rooms are heavily outdated. Give them a face lift, add three more rooms, which there seems to be space four. And next up, transform their lobby into a space where you actually want to hang out. Think sofas, a fireplace, and a self-service bar. Next up is the pool. Right no, it maybe fits three adults. And if you're gonna focus on groups, this will not cut it. Expand the pool and make it Instagram worse, something like this. And finally, go all in on groups. Use targeted ads from Instagram and TikTok to target golf enthusiasts, cycling clubs, friend groups, and spa lovers looking for the ultimate Spanish getaway. Make these changes and you can hit a revenue of 900 k, and that's for a property that would cost around €1,900,000, including renovations. So who's ready for a Spanish adventure?