↩ Go Back
Need help?

Newly Established Hotel Seeking Loan in Montreal, Canada

Investment company with hotel general contracting experience seeking funds to acquire distressed/unbranded hotels for turnaround.
This Business is on a Premium Plan
Established 0-1 year(s)
Employees 2 - 5
Legal Entity Sole Proprietorship/Sole Trader
Reported Sales Nil
Run Rate Sales INR 25.4 crore
EBITDA Margin 30 - 40 %
Industries Hotels
Locations  Montreal
Local Time 6:06 PM Canada / Eastern
Listed By Business Owner / Director
Status Active
Overall Rating
Seeking Loan
INR 15 crore for 10.0% annual interest, 10 years (Native Currency: CAD 2,500,000)
Reason: - To venture into the hotel industry. - 120-month hold. - 10% guaranteed return annually. - Enhan... View More
Collateral Available: INR 9 crore
Interested to connect with advisors
Name, Phone, Email
Available after connect
Business Name
Available after connect
User Verification
Documents
Business Overview
- General contractor with significant hotel renovation experience and relationships with key subcontractors.
- Business seeking to venture into hospitality industry, based in Quebec.
- We have identified hotel properties in Ontario and Quebec with 50 to 100 guest rooms, and has existing corporate and leisure demand segments.
- Typical purchase price is between CAD 4 to 10 million with an additional CAD 1 to 3 million for renovation & repositioning, where applicable and needed.
- The logic behind our concept of acquiring hotel properties is:
• Owners are lacking funds to undertake a PIP or repositioning exercise.
• Require capital for renovations, rebranding & repositioning.
• Located in markets that command a high ADR and occupancy.
• Leverage our general contracting experience to do the work at no profit (save 10-20% of total renovation costs)
- Holding period per asset would be a minimum of 5-10 years to achieve a potential IRR of between 15-20%, depending on location and market.
- Projecting an annual turnover of CAD 2 to 2.5 million in the first year with 10% guaranteed returns.
- The business focuses on acquiring and repositioning hospitality assets. We will leverage our existing construction expertise in hospitality construction and market knowledge to achieve stable and above market returns for our investments.
Products & Services Overview
Hotels with 50 to 100 guest rooms.
No additional features such as swimming pool, f&b etc.
Assets Overview
Physical assets include office furniture and computers.
Facilities Overview
Rented office facility of 600 sq ft. in Montreal, Quebec, Canada.
Capitalization Overview
Funded personally so far, looking to make initial acquisition soon as 2 properties have been identified.
No outstanding loans or liabilities.
Recent Activity
Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct. Note that SMERGERS is not liable for any loss, damage, costs, claims and expenses whatsoever arising from transacting with any other user from the website. The final responsibility of conducting a thorough due diligence and taking the transaction forward lies with the users. Please read best practices on SMERGERS.
Contact Business
1 Investor contacted this Business this month. Register below to connect now!
Disclaimer: SMERGERS is a regulated marketplace for connecting business sell sides with investors, buyers, lenders and advisors. Neither SMERGERS represents nor guarantees that the information mentioned above is complete or correct.
You might also be interested in these businesses
    Frequently
    Asked
    Questions
    • Why can’t I see the business’ name or contact number? How do I contact the business?
    • What level of due diligence does SMERGERS conduct on the businesses/member?
    • How active are the business profiles listed on SMERGERS?
    • How does SMERGERS rate business profiles?
    • Do I need to pay to connect with a business?
    • Show more