In general terms, due diligence is the investigation process a buyer or seller of a hotel property goes through to insure that the transaction is sound and should proceed. Structuring due diligence in the purchase or sale of a hotel begins with the recognition that a hotel is significantly different from most types of real estate.

Whether a hotel is being sold or purchased, the preparation and analysis of the related data is critical to the success of the transaction process. Whilst the scope of due diligence will depend on a number of factors, including among others; the age and the location; whether it is full or limited service, branded or unaffiliated, and whether there are one or several collective bargaining contracts: it will focus on three areas namely: financial, with respect to the assessed price of the hotel for sale, physical, with respect to the actual condition of the property and legal interests.

Depending on our client’s specific requirement, Bevelia Hospitality Group can provide the full complement of services for hotel due diligences, which focus on the financial aspects of a pending hotel transaction.

Our team of specialists will coordinate its resources accordingly to investigate the financial robustness of
a given hotel object to recommend or dissuade our client with the implementation of the transaction.