Acquisition Criteria
GVD Hospitality has the expertise to ensure that all aspects of a transaction proceed properly and that all details will be accounted for.
Our expertise lies in our ability to source assets and will source assets for clients based on an understanding of the necessary return on investment or growth strategy.
Acquisition Experience
Our acquisition experience with transactions ranges from small independent hotels through budget, branded and unbranded full-service hotels to luxury hotels.
Our Strategy
We anticipate purchasing three to five hotels per year for the next five years or more. We will concentrate on the Northwestern and Southern California portion of the United States geographically but will also look at other more unique opportunities.
Our strategy is to pursue opportunities in markets, which meet one or more of the following criteria (not presented in order of importance):
- Medium size population markets (including suburban markets of larger urban markets) with at least three drivers to hotel traffic, with strong travel attractions which are stable and growing including (i.e. military installations, major industry or commercial businesses which drive transient overnight traffic, major tourist attractions which are growing and drive significant transient overnight traffic).
- Major resort (tourism) destinations in stable and/or growing markets.
- Number of keys (rooms): Minimum of 90, but preferably 100 or more per hotel.
- Age of buildings: less than 15 years if well maintained.
- Geography: Northwestern and Southern California portions of the United States.
- Occupancy: 60% or higher.
- ADR: Index at or above 100% relative to competitive set.
- RevPAR: Index at or above 100% relative to competitive set.
- Refresh and brand upgrades historically completed on time.
- Prefer select service, extended stay brands, or luxury boutique hotels but will consider outstanding full service opportunities.
We specialize in unique relationship-based transactions where the Seller and Buyer are most interested in a win-win transaction with an emphasis on integrity, honest dealing, close-ability, sustaining the tradition established by the Seller, maintaining the great people employed by the Seller, etc.