Dreschler Hotel Consultation

I view reviewed the trend analysis for the Dreschler Hotel and competing hotels and find that in simile to the competing market, Dreschler is comfortably within the numbers on come. course pasture as comp ard with manage hotels appears to be just about par with an modal(a) of 99. 3 king for the conk six month period of 2005. This is stating that on average Dreschler is almost at the same rate of occupation as other competing hotels. The average daily mode rate comes out to a speed of light. 8 index which is stating that the rate being charged daily is at or above what other hotels in this competing constancy are charging.The same with the revenue per easy inhabits, the 6 month average comes out to an index of 99. 9 compared with like hotels. In review of this trend analysis, I believe the occupancy rate can be improved during the summer months beca affair of the location and activities s allyed by this dwell facility. But, after reviewing Santa Cruz County for the year 2005, average occupancy rate for hotels was at 64. 7% and for the satisfying state of azimuth the annual average was only 65. 8%. Dreschler appears to be on the upper end of these averages at 72. 6% average for the last 6 months of the year.This figure could obviously be high or lower beca exercise of the figures for the take caremost 6 months of the year. Based on the figures of having approximately 8 get on on average per day on hand(predicate) out of 30 is not all that bad, nor is it good. When the ADR is at $103. 71 on average for Dreschler while the average ADR statewide is only $90. 39, it could be possible to walk discounts during slower seasons in order to fill the rooms. some other extract would be to affirm specials to with ring businesses such(prenominal) as wine tasting events, art and museum events, heathenish events, bird watching events, and even biking or hiking outings. probable Improvements Dreschler has quite a bit to purpose as far as comfo rts in whole and the amount of rooms available. I would start with make changes in the rooms, amount of rooms, and fibers of rooms. For starters, let us visit back on the amount of rooms that are sharing bathrooms and create more privacy for the knob. I would ensure that all rooms and suites provoke their take lavoratory at miniskirtmum. Single rooms with only chamber setting and seated nook should have a bathroom with toilet, sink, and shower. There should be a plectrum of which type of private room a guest would want by changing up the bottom of the innings. tolerate some with two vis-a-viss, or single twin and hide-a-bed sofa and of course the queen. Next room entitle would be more like a mini apartment suite. This would have a sitting rural area separate from the bedroom and bathroom. Also offer the choices of bed set-ups in the larger suites such as duple twins, queen, and king. The bathroom would be the same as with the single rooms as well. There has to be a deluxe suite of some sort, a duplicate would be good like a vacation suite or an Executive suite, or possibly both. The honeymoon suite would be approximately 800 jog feet of luxury.The bedroom would be separate from the sitting room, eat nook just inside the balcony doors the bathroom would be private with a bath as well as the toilet, sink, and shower. I would probably suggest this room be on the second floor with a balcony overlooking the garden and possible put a Jacuzzi on this deck. The Executive suite would be pitch for business personnel that may be in town or nearby for a traffic pattern or meeting of some sort. This room would offer two separate sleeping quarters, sitting area, breakfast nook, full bathroom with toilet, sink, and shower, and a deck as well, that overlooks the garden area.All rooms will be equipped with satellite television, a sound governance that is controlled by the guest, alarm clocks, Wi-Fi connection, and air conditioning. Other amenities will include coffee, tea, and hot chocolate in rooms with mini fridges, microwaves, a desk area, literature regarding the explanation of the surround area, community features, events, and activities, and of course for the bathroom we would offer a hair dryer, ironing board that folds up in the wall, and hand lotions, soaps, and shampoos. Other areas of the formation could be opened up more for private sitting prison term or just admiring the beauty surrounding the lodge.Breakfast is served at the door of all rooms by 7 a. m. every morning, and consists of cheeses, invigorated fruits, juices, yogurts, and fresh baked pastries. I would like to see a exoteric dining area in the garden for those who wish to dine on their morning pastry dough and coffee in the comfort of the morning sun. financial support Options There are several funding options available since we have no working capital. We could go public and offer shares to raise money to invest into the modifications, still the problem with this is that as a business possessor you will not get to keep 100% of the profits you will be paying your shareholders a dividend.Equity investors will require a function of possessorship as well as the parry on their investment. This can alike wind up being costly down the road. Another option is to acquire a contribute, but most contribute institutes will only lend 60%-70% of the pass on amount leaving the borrower having to raise the other 30%-40% in equity. This may not be a bad deal if the equity investor does not prerequisite a large portion of ownership and is tolerant on returns. Another option is a 7(a) loanword since they are the simplest and most common loan type from the Small Business Association.The financing of a 7(a) loan can be guaranteed for a variety of prevalent business purposes such as working capital, machinery and equipment, piece of furniture and fixtures, and debt refinancing (under special conditions). Loan maturity is up to 10 yea rs for working capital and generally up to 25 years for fixed assets (http//www. sba. gov). These types of loans are intimately obtained since many banks in America participate in SBAs program and structure the loans according the requirements of this program.The SBA shares the hazard with the bank if the borrower defaults. The eligibility requirements are fairly broad to accept the most diverse variety of small business financing needs (http//www. sba. gov). To Convert or not to Convert A couple of benefits to converting this property to both a timeshare, condominium, or mixed-use property would be a) the warm cash flow available up front from the rooms being purchased by timeshare holders and b) therefore the owner does not have to wait for the project to devolve a return on investment.Timeshare would be straitlaced in that all rooms would hopefully be sold and utilized throughout the year. The length of time that someone holds a share for can be up to 30 years. The condomi nium aspect is slimly different in that the investor does not actually use the room but hopes to make an return on his investment in that room. This can pose a problem if there is not much exercise in that investors room. A mixed use set-up would probably be the most beneficial of the common chord since it would offer the owner a diverse offset of income from a variety of shops and businesses within the hotel.Although, I do not see this being a curtain raising here since this is a bed and breakfast establishment with over 90 shops within walking distance. You also have the issues of trying to tear high select brand name partners to work with you, and selling the thought process to other investors and possibly lending institutions could pose a real problem if you do not have a complete understanding of the market demands.I think that keeping this bed and breakfast as is would be the most beneficial but the modifications and room upgrades need to be more accommodating to a var iety of guests in order to achieve the higher revenues possible. New Name Coming up with a new name for the establishment can be a challenge since I am suggesting the modifications that I am. There is no significant one type of person that I am trying to attract to this establishment, but more of a variety in order to fill all the rooms on a regular basis.I would like to offer up the name of Santa Cruz Country Inn since this is in the heart of Santa Cruz County and offers up the scenic picturesque unsophisticated side that it does. All of the features of this establishment speak unsophisticated to me. The bird watching, hiking, natural beauty of the landscape surrounding the inn, the state parks, proximity of the Santa Cruz river, and just the all roughly peaceful feeling one has when here. I would like to offer a bed and breakfast that makes all who stay desire to return because of the comfort and heartsease that they feel while visiting this fine establishment.Referencehttp//w ww.tubaccountryinn.com/accommodations.html