First, we determine the brand’s initial interest levels, send the interested brands our proprietary brand questionnaire and then prepare a recommendation—complete with explanations—about which companies should be pursued for further negotiations. We request proposals, compare their proposals and make recommendations about which ones should be pursued and what strategies might work best for a favorable outcome.
We evaluate the net financial impact of available brands on incremental revenues, increased marketing and operating expenses, costs associated with a franchise and initial fees and capital improvements required by the brand.
Our review of the draft agreements and recommendations for revisions come from a practical hotel business implementation viewpoint. Our assistance during negotiations will result in a beneficial agreement for you.
HVS Asset Management - Newport has provided management company search, selection, and contract negotiation services to municipalities, universities, institutions, and private ownership groups.
We use a proprietary multi-step process to identify appropriate operators, draft a request for qualifications, analyze the submissions, make recommendations and develop a short list, schedule and coordinate in-person interviews, rank the final four or five and recommend the first and second choices.
HVS maintains a database of more than a thousand management contracts that are searchable by company, property type, term, fees, incentive fees, duties and covenants, arbitration, employees, indemnification, expense reimbursements, working capital, FF&E reserves, termination, default, transfer and assignment, and many other criteria. We use this database and our experience negotiating management agreements to negotiate the most beneficial agreements for our clients.