Investment Strategy

The Splendid Hotel Group is focused on earning attractive returns through the ownership of limited and full-service hotels located in major city and urban locations.  Our hotel acquisition and investment strategies have been developed through our proprietary research and the experience of our hotel focused investment and operational professionals.  The Company’s acquisition investment strategy focuses on hotels and resorts located in markets where the barriers to new supply are the greatest and the demand for rooms is strong and predictable.

• We are an income focused company, aiming to maintain long-term proprietor value.

• We have a diversified high-quality portfolio consisting of upscale and luxury full-service hotels located in urban and convention markets.

• Splendid Hotel Group Hotel seeks to lower risk through:
  • geographic diversification of hotels
  • market type diversification (city, urban and convention)
  • multiple hotel operators
  • both branded and independent hotels
  • conservative balance sheet management
  • consistent strategies and research-based investments
  • continuously investing in existing assets

• The Company seeks to achieve revenue growth principally through
  • renovations and/or expansions at selected hotels
  • acquisitions of full and limited-service hotels located in areas where the Company perceives strong demand growth
  • selective development/redevelopment of hotel properties in high demand markets in the United Kingdom

• When consistent with our investment strategies, the Company intends to acquire hotels in targeted markets and which may
  • possess unique competitive advantages in the form of location, physical facilities or other attributes
  • are available at significant discount to replacement cost
  • benefit from brand or franchise conversion, new management, renovations or redevelopment or other active and aggressive asset management strategies
  • have expansion opportunities

• Balance sheet strategy
  • maintain low leverage (debt to EBITDA)
  • utilise unsecured debt to provide strategic flexibility
  • stagger debt maturities to lower risk