Hotels don’t fail because of markets.
They fail because the owner and the operator don’t share the same definition of value.
The Alignment Gap is the biggest destroyer of value in our industry.
Here’s the problem:
– Operators optimise RevPAR, Brand standards, Guest scores. Their world is top-line and consistency.
– Owners optimise NOI. Cash-on-cash yield. Exit valuation. Their world is capital, risk, and timing.
When no one bridges those two realities, value erodes:
– CapEx gets delayed.
– Cost bases grow faster than revenue.
– Forecasts become defensive instead of directional.
– Decision cycles slow down and miss the window.
– Everyone gets frustrated.
The best-performing hotels are not always the most luxurious. They are the most aligned.
A good Asset Manager, an efficient CEO will make sure that
– The General Manager understands the investor’s horizon
– The operator focuses on profit, not optics
– The owner invests with discipline and good timing
That’s when EBITDA grows, asset value compounds, and the business becomes scalable.
Success is Not just running operations. Not just protecting the brand. Not just pleasing the owners.
Success is the ability to create a culture of alignment – daily, rigorously, transparently – so that every euro of revenue, cost, and capex contributes to value creation.
