New hotel investment viability tool is now live

Hotel, Sport & Leisure Tue, Mar 22, 2016 5:12 PM

AECOM’s new interactive software package - HINT (Hotel INvestment Tool) – has been officially launched to great acclaim at this year’s International Hotel Investment Forum in Berlin, Germany.

Bringing together the expertise of AECOM’s cost consultancy and economics teams, this online tool makes it possible to see in seconds how an investment can be balanced against potential income.

“Because it provides an instant glimpse of whether a project may be sound, we hoped that HINT would capture people’s imaginations and inspire confidence in the marketplace, but the response has exceeded all expectations and has been phenomenally positive,” says Kevin Underwood, AECOM’s Vice President for the global leisure and culture business.

“The hotel industry has proved to be extremely resilient and agile during the global economic downturn, however investment has slowed. Understandably, there is greater caution than five or 10 years ago, but we know there are opportunities too. HINT incorporates reliable and recognized industry data to provide developers with an instant glimpse of what’s possible.”

HINT is easy to use. First, it factors in basics such as location, type of hotel, number of rooms.  It then assesses cost variables such as shell and core construction costs; land price; professional fees; furniture, fittings and equipment; and additional items such as such as soft costs and finance costs. This information is then balanced with anticipated room rates, and occupancy levels plus non-room revenues, and immediately the on-screen display shows profitability levels.

The launch edition of HINT provides bespoke information for a wide range of locations across Europe and the Middle East with future editions incorporating other global regions.

This new tool forms part of AECOM’s full service to the worldwide hotels, leisure and culture industry which spans from economic feasibility, planning, architecture, landscape design and cost consultancy through to sustainability consultancy and refurbishment.