We are value investors in hotel properties with turnaround potential and strong fundamentals for profitable growth.
We focus on delivering superior investor returns through:
Renovation of physical property to optimal, modern standards.
Contract with a stronger brand or reposition the property to an independent hotel.
Management reorganization through new additions of talent and expertise.
We acquire hotel properties that are trading below intrinsic value as a result of:
Property is located in neighborhoods or markets that are currently in transition.
Brand standards or property needs require a renovation beyond owner’s budget.
The market has evolved and the brand choice is a suboptimal fit for current consumer demand.
The seller is confronted with special situations that complicate or make ownership less than optimal, including but not limited to partnership issues, family issues, financial hardships, retirement age.
Our main focus is on properties that are or can be converted to select service or lifestyle properties.
We seek properties that have the potential to attract the ideal mix of leisure, business, group demand and are most likely to lead to profitable growth.
Our investment criteria prioritize properties based on:
Properties are situated in underappreciated locations with improving fundamentals that are poised for robust growth over the upcoming decade.
Properties are traded, as defined by acquisition price plus renovation budget, below their intrinsic value, as defined by the replacement cost or current sales prices of comparable properties in the market.
Properties are suited for a strategic repositioning as a destination for millennial, creative travelers through a combination of significant renovation, rebranding for an optimal brand-market fit, and management turnaround.
Focus on markets that are attractive to millennials and experiential travelers.
Innovative mix of traditional and technology driven approaches.
Extensive property diligence to ensure risk mitigation.
In-depth analysis, looking to out-research competition.
Stakeholder centric approach to drive fast to successful closing.
Maximize value creation while preemtively mitigating risks.
Proactive asset management and collaboration with operator to maximize value creation.
Continuous effort to mitigate risks at property and portfolio levels by proactively interacting with management.
Detailed and transparent institutional quality reporting at both asset and portfolio level.
Quarterly newsletter with updates on our investments, pipeline.
Regular events with thought leaders to discuss latest relevant trends.
Outreach to the broad community of investors active in our focus areas.
Presentation of current investments, upcoming pipeline, and funding needs.
Ongoing dialogue responding to investor inquiries and feedback.
Proactive approach to sourcing, with unique focus on locations, brands, star-ratings.
Creative, unencumbered assessment of potential by leveraging technology, big data.
Thorough, conservative underwriting, always seeking to out-research the competition.
Low deal costs and fees, proactive about deal-by-deal financing.
Nimble in moving negotiations to closing, while maintaining a principal perspective towards all stakeholders.
Our focused approach enables us to provide investors with a unique value proposition.
Unique pipeline of opportunities in hotel investing.
Creative hotel concepts with significant risk-adjusted return upside.
Low cost, low fee investment opportunities in hotel space.
Positioning for high-growth markets with a focus on millennials.
A high performing team with extensive hotel investment expertise.
Upfront about risk and detailed about specific mitigants.
Thank you for interest in Crimson Rock Capital. Please fill out the form below to indicate your interest.