Restructure - European Boutique Portfolio

Vision was approached by the funder of a portfolio of 12 hotels.

The hotels had suffered significant reduction in performance due largely to the economic circumstances of the countries in which they are located.

Vision was asked to undertake a strategic review of each of the hotels and of the portfolio structure and to recommend to the funders a strategy for supporting the hotels through to a potential exit within a two to three year time frame.

Vision completed the strategic review, and made specific recommendations for the branding, sales and marketing, capex needs and operation of the hotels.

The funders chose to adopt all of Vision's recommendations and following a restructure of the debt package for the hotels Vision now continues its role as asset manager of the hotels involving hands on direct involvement and support, at each hotel, and covering all of the business facets outlined above.

The Vision team involved in this portfolio is headed by Ben Godon as a Director of Vision and he is actively supported by both Stephen Price and Guido Debast who are Associate Directors of Vision.

Further support is provided by the Vision analytical team.

Operator Selection - Paris

In 2010 Vision was asked to help a client with the operator selection process.

The contract with the existing management team was coming to an end so Vision was asked to prepare a list of potential new operators for the hotel, as well as potential structures such as Management Agreements, franchises etc.

Once the list was agreed with the client, Vision approached each operator and organised a competitive tendering process.

Vision shortlisted 2/3 potential operators to present to the client and then negotiated the Heads of Terms with the client's favourite operator. Vision also assisted in negotiating the Management Agreement alongside the lawyers.

Vision will be supporting this transition in management over the next 24 months.

Financial Restructure - Mid Market UK Portfolio

At the end of 2009, Vision was approached by three banks who were lenders on a portfolio of 12 hotels. The banks engaged Vision to assist with the portfolio that had breached its lending covenants. The banks then made the strategic decision to restructure the group and as part of the restructure, acquired 100% of the equity.

As part of the assignment, Vision assisted in preparing a short to medium-term asset plan for each asset, including possible Capex requirements, and assisted with engaging a third-party management company to operate the 12 hotels under the existing brand. In addition to operational asset management, Vision was engaged to provide financial controls, and this culminated with a Director of Vision being appointed Finance Director of the holding company.

Asset Management - Iconic London Hotel

Vision was approached in July by an owner of a large luxury Hotel in central London which had opened just three months earlier.

The opening of the hotel had proven challenging, and the owner had become concerned with the level of performance by the Operating Company.

Vision was appointed to represent the Owner and to support the Operator in improving the service delivery and financial performance of the hotel.

Vision engaged immediately with the Operator to reduce unnecessary costs and improve departmental conversion, using enhanced payroll control techniques and benchmarking against the wider London luxury market. Vision also highlighted areas of opportunity in Sales and Marketing and Yield Management to ensure the business streams in the hotel were maximised.

The result of Vision's appointment was a marked improvement in Net Operating Profit for the second half of the year and a strategic proposal for areas of the business requiring further activity.

In addition to this Vision was heavily involved in the budget process for 2012, resulting in a Business Plan which is designed to stretch the Operator both in Revenue and Conversion terms.

Vision will continue to work with the Hotel throughout the course of 2012 to ensure the early successes are delivered consistently as the business stabilises.