About the Group
Our client, the developer has more than 20 years of experience in developing, building and operating hospitality assets with eight existing 5-star branded hotels, sport complexes, real estate golf resort and hunting sites. Its existing hospitality and tourism related assets are worth approximately USD 300m. The group’s vision is to develop several more luxury branded hotels in strategic destinations within the next 10 years.
About the 5-star hotel development
The project is to develop, build and operate a 5-star luxury hotel consisting of 345 rooms on a land area of 156,244m² which is in a prime location and with direct access to the beach in the Caribbean Island of Saint Lucia. The total cost of the project is USD 154m and the client is bringing a cash equity of 30% (USD 46m) to the project and the client is looking to raise the balance amount of US$ 108m as a construction loan. The opening is scheduled during the first quarter of 2025.
| Return on equity | 217% over a 14 years period |
| Return on investment Payback | 65.31% |
| period | 11 years |
| IRR | 9.7% |
| Equity (levered) IRR | 12.50% |
| ADR | USD 339 |
| RevPar | USD 247 |
The company is open to discuss further with potential lenders and investors.
For more information, please contact Ibrahim AYOUB