HAMC - Hospitality Asset Management Company

Hospitality Asset Management Company

H A M C

HAMC - Hospitality Asset Management Company

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Company Presentation for


H A M C


H A M C

On two pillars towards enhanced creation of value

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Hospitality Asset Management, in its entirety, is a concept which follows up aninvestment in the hote business sector on two core pillars, namely

- as an asset

- as an operation

with the aim to achieving, by means of appropriate measures and targets on bothsides of the overall investment, a lasting enhancement in value.


H A M C

Each hotel is unique

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- Hence is it equally mangaged as such?

- Location, size, furnishing, services - by adding together all the qualities the result shows a distinctive, unique profile, from which the hotel management draws particular conclusions.

- Each hotel has its chances and potential, which are just waiting to be taken.

- Each hotel must be granted the status it deserves - the one of uniqueness.


H A M C

Representation of owners’ interests covers thefollowing sectors:

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Operational

Management

Human ResourcesAccounting & Finance

IT Sales & Marketing

Installation &

MaintenancePublic Relations


H A M C

HAMC - Your partner for asset management

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HAMC, as a specialist in Asset Management of hotel assets, offers tailor-made serv-ices which a required in order to protect the interests of the hotel owners an to gen-erate future enhancement of value for owners / investors respectively in hotel assetsand operating companies.

HAMC ist the competent partner for:

(1) Hotel investors, who would like to actively manage their portfolio.(2) Hotel investors, who would like to reposition, respectively increase the

earning capacity.(3) Investors who seek the professional lead-in to the hotel sector.


H A M C

HAMC: Advice, Representation of Interests,Controlling as tailored services package

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to (1): For hotel investors who would like to actively manage their portfolio- HAMC shall look after their interests with regard to the hotel manage-ment company, from the operational management to marketing, accounting & finance, human resources, public relations, IT through to installation and maintenance.

to (2): For hotel investors who would likr reposition, respectively increase the earning capacity- Development of repositioning concepts- Monitoring of existing management contracts or negotiating of new

appropriate franchise / management contracts respectively- Establishment and realisation of suitable investment programmes- Conducting sales negotiations on behalf of client

to (3): For investors who seek the professional lead-in to the hotel sector- Advice on investments as concerns markets and market segments/niches- Asset evaluation- Advice in Financing- Extensive portfolio management including the two above mentioned points.


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HAMC - our Clientele

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The experts of HAMC support and advise

(1) Private Investors of hotels(2) Industrial enterprises, insurances amongst other companies with hotel

assets.(3) Banks, which administer hotels(4) Funds which already are engaged in the hotel business or which seek

entering the sector.


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The principles of HAMC engagements

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- Focal point is the interest of the investor and the profitability of the respec-tive property (hotels).

- Target is the optimisation of all operating and sundry costs (often hidden behind “customary records”)

- Total impartiality as to hotel markets or investor groups is guaranteed.

- Attention to existing relationships with management companies or, if required, recommendation of most promising trade names for the hotel and conducting relevant negotiations.

- Each hotel deserves a unique, very destinctive status.

- HAMC stand by the owner / investor to maximising their investment.


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HAMC targets and achievements

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- We achieve operational results in line with set benchmarks

- We care for high market relevance by way of best price / capacity ratio

- We update our data bank with potential purchasers and vendors

- We have direct access to financial markets for speedy transactions

- We remain impartial of any investor- and/or hotel company


H A M C

Projekt management made by HAMC

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As each hotel projekt sets a different challenge, we recommend clear correlative projektphases which, as a whole, are more effective and therefore generate higher profitability.

(1) Join definition of targets(2) Establishment of an individual marketing strategy(3) Developtment of all marketing and administration measures with a view to

optimising and achieving the set targets(4) Regular controlling and reporting(5) Regulating measures

0° 60° 120° 180° 240° 300° 360°

Actual situation Analyses &prognostics

Definition oftargets

Establishmentof a strategy

Realisation Optimising &adjustment

Controlling &achievementof targets


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HAMC - as we see us

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The sector asset management is becoming increasely complex and demanding. Itbears high risks for owners/investors, but also great potentials for specialists.

HAMC established in 2003, initially called TAM (Travel Asset Management GmbH),with a view to offering its services in the sector of asset management, primarily forowners and/or investors.

HAMC has direct access to capital for hotel developments, hotel expansions andhotel acquisitions (refer also to the section “services”).

HAMC are a team of specialists who all have at least 20 years of experience in thesector of management, development and marketing of relevant hotel groups andtourist organisations.


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HAMC - our hotel portfolio

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HAMC currently looks after the following hotels in Germany:

Location: Hotel:Berlin Kempinski Hotel BristolDresden Kempinski Hotel TaschenbergpalaisEltville Schloss Reinhartshausen KempinskiFrankfurt Kempinski Hotel GravenbruchGörlitz Hotel Mercure Hamburg Kempinski Hotel Atlantic

The assets which are currntly mabaged in these operations are in excess of € 300 million.


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Statements to the subject “Hotels AssetManagement”

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(1) “The fact that not only wealthy private investors, specialised asset managers inter-pose, is documented by the Real Estate Found, Difa. For their 18 hotels in their port-folio, DIfa increasingly sought the services of investment and asset management companies specialised in hotel business”, stated Difa-Chairman Ingo Hartlief.(Source: Handelsblatt 8./9.08.2004)

(2) Deepak Seeth, Director, Development for Europe and Africa at Hilton International, is in equally good terms with investors represented by asset managers: “In the last 10 to 15 years, investors clearly only cared for profit. When thier portfolio grew, they called upon asset managers who examined, amongst others, wether the asset should be refurbished and whether new products should be introduced”. (Source: Handelsblatt 8.(9.09.2003)

(3) “The hotel industry is today in dire need of specialist know how”, one follows Michael Widmann, manging Director of Consulting company PKF Hotel experst Munich. “The number of hotels, which for years haven’t created any provisions, continues to rise more significantly in West Germany than in East Germany. Institutional investors therefore demand the creation of reserves for new hotel projects. “5% of the turnover is acceptable”. This however is not achieveable by many operators an it is the reason why many hotel projects nowadays do not materialise”, says Widmann. (Source: Handelsblatt vom 8./9.9.2003)


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To conclude ...

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Hotel asset managers experience a positive welcome by hotel operating companiesand there is a great deal of enthusiasm to cooperate, because on this side too, aprofessional internal interlocutor, wo represents the owner/investor’s interest is veryoften missing.

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HAMC - Hospitality Asset Management Company