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Emergency Hotel Forecasting, Asset Analysis and Planning

Shift Gears for COVID-19

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COVID-19 has crippled the industry, leaving hotel owners and investors with a matrix of decision to make.  BHC can help develop forward-looking plans designed for win/win outcomes.  Typically, this involves the following components:

  1. REVENUE FORECAST: A five-year revenue forecast that is based on your property’s local sub-market, aligned with national projections for Occupancy and ADR recovery and ongoing projections.  Projections are typically informed using Smith Travel Research market data when available, supported by online competitive analysis.

  2. EXPENSES ANALYSIS: Analysis of current fixed and variable expenses, and any relevant recommendations to improve operating cost and labor efficiency.  This work will help to support a debt restructuring decision.

  3. DEBT STRUCTURE: Financial modeling for different debt structures and vehicles.  If desired, we can work with your lender to find a solution (or loan terms) that best fit your unique projections.

  4. CASHFLOW: Cashflow analysis for the five-year period with a variety of investment metrics.


Who should be interested:

  1. Hotel owners or operators who make decisions or recommendations about debt structure.

  2. Hotel lenders who have clients nearing or currently under financial review, special credits, and receivership.  BHC can help evaluate options and solutions with professional analysis.


What is not included:

  1. Guarantees surrounding the accuracy of the forecast.

  2. Underwriting process support, but services are available.

  3. Tax planning or after-tax cash calculations.


What we need (BHC will complete a Confidentiality Agreement or NDA):

  1. Income Statements and current Balance Sheet (2019 and 2020),

  2. Market segment or source of business reports (2019 and current year) if available,

  3. General Ledger (2019 or Trailing 12-month),

  4. STAR Report (2019, 2020 and most recent report, if subscribed),

  5. Current loan details,

  6. Possibly a physical tour of the property,

  7. Any other information believed to be pertinent.


Reasons to have this done:

  • Get support with the current situation and to explore next steps

  • Be prepared to make informed operational decisions during the COVID-19 demand slump

  • Be prepared to make decisions surrounding PPP, EIDL and other CARES Act resources

  • Have more information on hand to make informed, multi-year decisions about the property


Cost:      $3,200


Get started now: Call Len at (360) 333-0860 or email lenbentsen@brenselhc.com

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