This document summarizes the projected financial performance and valuation of the Eden Grove Resort & Spa Hotel from 2011-2021. Key highlights include:
- Occupancy rates increase from 68% in 2011 to 85% in 2021 while average daily room rates rise from $450 to $550 over the same period.
- Total revenues grow from $19.2 million in 2011 to $29.5 million in 2021 as occupancy and room rates increase.
- Net income increases from $14.8 million in 2011 to $22.5 million in 2021 after accounting for operating expenses and fixed charges.
- Using a discounted cash flow analysis with a 13.25% discount rate, the projected total value of
2. (2) No additional Capital Expenditures were estimated. TOTAL VALUE INDICATION (rounded): $152,500,000
(3) Cash Flow from Operations in exit year was capitalized at 10.75 percent. TOTAL PER GUEST ROOM: $657,328
(4) A sales commission of 3.0 percent was assumed.
(5) Analysis uses end-point discounting.
assumes $2 million is spent