Russia Provides Investment Opportunities For Savvy Investors
Horwath HTL, the world's largest hotel consulting network, hosted a round table discussion on Investment Opportunities in Eastern Europe, under the heading 'Investment Opportunities across the Continent – A taste of Europe'. The round table, which was led by Petr Chitipakhovyan, President, Polis Service Development and Michael O'Hare, Managing Director, Horwath HTL Hungary and Russia was part of the inaugural Hotel Investment Conference Europe,...
Horwath HTL, the world's largest hotel consulting network, hosted a round table discussion on Investment Opportunities in Eastern Europe, under the heading 'Investment Opportunities across the Continent – A taste of Europe'. The round table, which was led by Petr Chitipakhovyan, President, Polis Service Development and Michael O'Hare, Managing Director, Horwath HTL Hungary and Russia was part of the inaugural Hotel Investment Conference Europe, organized by Burba Hotel Networks. The discussion focused on three primary issues, whether Russia could be considered open for business for external investment and the risks associated with that. What lessons could be learned from Petr Chitipakhovyan's experience of developing and owning a portfolio of hotels in Russia and where the market was headed.
The conclusions reached during then discussions were broadly positive. Russia is now perceived as an easier place to do business due to improvements in transparency, which has lead to an increase in the confidence and knowledge of investors and developers. There are opportunities for mid market hotels opening up, not only secondary and tertiary markets of over a million, but in destinations with over 150,000 inhabitants, despite the fact that cost of construction seems to be back to pre-crisis levels.
Michael O'Hare said, "The overall picture we have is of a market that retains a great deal of interest on all fronts, a market that is underdeveloped. Financing remains a challenge because local banks charge much higher costs that developers will be used to in Europe, but is available. More importantly, as Sochi has shown, there is a desire by the central government to develop tourism that is backed up by investment. As Petr has shown, if you build hotels and attract International Brands, the operating performance stands up"
For more information, contact Michael O'Hare on [email protected] or James Chappell, Global Marketing Director of Horwath HTL at [email protected].
About Horwath HTL
Horwath HTL is focused one hundred percent on hospitality, tourism, and leisure consulting. Our services cover every aspect of hotel real estate investment, tourism, and leisure development. Our clients choose Horwath HTL because we have earned a reputation for impartial advice that will often mean the difference between failure and success. Each client project is unique, and they rely on us to utilize the experience we have gained throughout our 100-year history to assist them in achieving their goals. Being a global firm with 52 offices in 40 countries, we have successfully carried out over 40,000 assignments for both public and private clients. As part of the Crowe Global network, a top-ten accounting, and financial services network, Horwath HTL is the number one choice for companies and financial institutions looking to invest and develop in the industry.
For more information, please visit www.horwathhtl.com.