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Savills hotel APAC offically launches hotel owners representative services

Recently, Mr. Mauro Gasparotti, Director of Savills Hotels APAC in their latest press conference, presented their refined Hotel Owner Representative Services (HOR). Through ongoing independent assessment, the HOR helps develop, refine, and improve hotel performance with simple improvements of owners’ decision processes.

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Hospitality development in Vietnam has been robust over the past few years. The industry has shifted from a more marginal role to becoming an essential component of national development and a major source of investment, jobs, and receipts. Vietnam has also been moving to center stage as an international destination with broad appeal across multiple markets. Like the global industry, Vietnam Hospitality performance has been deeply impaired by Covid-19, but Vietnam has the brightest long-term outlook in Asia and extensive potential for Tourism industry growth.
This slowdown increasingly represents a unique opportunity for Vietnamese hotel and resort owners to make ready for rebound in 2021.

Savills Hotels

 

Ably led by Mr. Mauro Gasparotti, Savills Hotels is the leading Hospitality strategic advisory in Vietnam. While he sees extensive sector potential, he knows further improvements to hotel management quality are possible to optimize owner asset performance, value and appeal. Mauro Gasparotti and his expert team call this close support Hotel Owner Representative services. Essentially a third-party independent expert, the HOR, works constantly to protect and enhance all the owner’s project interests and keep owners informed to support their decision-making processes. Mauro clarifies this strategic step: “Hospitality in Vietnam is at a unique junction, coming after years of expanding supply and demand which have been slowed considerably by the unfortunate events of 2020. The fundamentals are strong and able to support significant further expansion when demand returns. That said, niggling operational issues were evident even before the pandemic. Many projects were operating way below potential, simply due to constant misunderstandings between owner and management team, or between owners and hotel operator. Poor management communication or lack of trust affects project performance and owner decision-making; leading to confused and underperforming management: the full potential of the property becomes impossible to achieve.”

 

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“Which is why we have launched our Hotel Owner Representative services. Owners can now have their own independent trusted advisor to support ongoing analyses of various decision-making, preopening and operational challenges. We do not manage the properties, as this is the sole responsibility of the operator or GM but we do ensure owners are kept well informed about management team performance while ensuring management team support for communication with the owner. As an independent advisor, our focus is to support owners through all aspects of performance and management, including optimizing their professional relationship with their appointed management company or brand; which in too many cases, need almost constant, time-draining supervision by the owner”
Mauro added: “Our HOR services extend to self-managed hotel owners, or those using third party or international hotel management. This independent expertise is focused solely to owner interests. We will meet operators on a regular basis to review expenses, performance, service; integrated operational recommendations where needed, and ensuring asset values are constantly nurtured. This approach is far more common in more mature markets where independent representatives of the owners work tightly together with operators, often continuously on site. Our mission is keeping owners constantly updated through comprehensive reporting with implementation recommendations after each periodic meeting /review. By doing this the Owner can step back, comfortable in knowing they have an expert ‘third eye’ dedicated to optimizing asset value and performance, while they focus on other business or family interests. The Savills Hotel HOR services begin with a top-down operational review to identify potential improvements, moving to owner representation in monthly operator meetings. Annual budget and pre-opening budget reviews include cost management together with strategic revenue recommendations, scoping out potential new opportunities, revenues, impacts, etc.

 

Rapid expansion of the industry in Vietnam has seen a greater focus on quantity over quality, especially in the Condotel segment where many unit owners suffer from a lack of transparency or clear information on the rental pool system.
Mauro elaborated: “Waiting for recovery makes this the optimal time for Condotel Developers to refine operational structures, and improve communication to unit owners, who are typically not well-informed on operations. Our long-term goal for this segment is increased transparency of Condotel operations and act as independent advisors to Developers or to the Condotel Owner’s Committee. This will ensure tightly controlled asset management and operations over product life spans. Through periodic reviews, we ascertain if profit is maximized and the building is correctly maintained. With continuous monitoring and a clear rental program structure in place, we strongly believe Condotel will regain buyer trust to become a solid alternative investment, especially for overseas buyers.”

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