Client Request
The client approached our advisory team seeking a comprehensive feasibility assessment for the development of a new boutique hotel in the Famagusta region. The client required a full analysis covering market dynamics, operational design, financial planning, and risk evaluation to determine the project’s commercial viability and support upcoming financing discussions.
Project Overview
The project involved transforming a premium plot into a ~70-room upscale boutique hotel with premium guest experience features, including event-ready rooftop areas, signature leisure spaces, and elevated room amenities. The study focused on assessing market demand, define the hotel’s positioning, and build a robust financial framework for the project’s development and long-term performance.
Approach and Methodology
Our team applied a structured, data-driven methodology combining:
- In-depth tourism and hospitality market analysis
- Competitor benchmarking across ratings, pricing, facilities, and guest experience drivers
- Development of a tailored business model and operational strategy
- Multi-phase cost estimation and funding structure planning
- Construction timeline and professional risk mapping
- A full financial model integrating revenue forecasts, operating and property-related assumptions, detailed expense structures, equity planning, cash-flow projections, and break-even analysis
Scope and Execution
The project scope covered the entire feasibility spectrum, ranging from concept assessment to detailed financial projections
Key deliverables:
- A complete feasibility report aligned with investor, banking, and tour-operator requirements
- Detailed Sources & Uses of funds and construction phasing
- Five-year financial forecasts, including Profit & Loss, Cash flow, and Balance sheet analyses
- Clear, actionable recommendations for market entry and brand positioning
Delivery time: 4-6 weeks, incorporating ongoing consultation with the client
Outcome
The study confirmed the project’s strong commercial potential and provided the client with a clear roadmap for funding, development, and market launch.