1. Identify what you want and where to build

In the first place, you must decide what do you want to achieve from your hotel project. Your project is emotional-based or are you searching to take out as much profit as possible? Is also important how much u get involved in this project.

Whatever will be the case Ibiza Building Construction will take care of your project as nobody does.

The location must be chosen related to your objectives. Keep in mind, is always good to aim high but it's not always realistic. Based on our experiences we suggest taking the approach of long-term asset appreciation.

2. Select a benchmark / Set a concept

The easiest way to set a concept to get inspired by a successful project done before. Ibiza Building Construction will always sustain original ideas, you can dream to build something as nobody did before. But after all that creativity must make sense after all.

3. Decide on the operational side and then secure the finance

A common mistake that many constructors will dose will be based on this idea "we build, they operate". Interior finishing, floor layout, room configuration, IT system, and so forth must be well debated from the beginning of the project. Chose us and let us and avoid mistakes and paying double the investment just because your project wasn't well understood by constructors.

It is also important to secure the operational side before seeking financing. These days, the banks are very particular about how the operation will be done, so you would like to be able to state with confidence that you already have a respected operator lined up to manage the business. The bank can then run their own checks on how good the operator is by looking at their history and portfolio. Some banks will even request to check the performance of another property managed by the same operator.

To operate without an operator is also an option, but if the owner takes this path, they should know that running a hotel is a long-term commitment. Many owners are so excited to develop a hotel by themselves, but then when they realize it is too much work, they start looking for an operator. Again, this is not a wise decision.

4. Design and construction

Owners tend to think it will be easy and straightforward to build a hotel with the help of a team of professionals such as architects, interior designers, and contractors. It is very important to note, however, that project management skills are vital because just a few of us are likely to be an expert in the entire process. It is very easy for things to start going.

A delay in the process is a nightmare for owners, who must often start their repayments to the bank because any repayment-free period is only for the duration of the expected construction period. Delays mean starting repayments before the property can generate any revenue. Avoiding this particular issue involves hiring a good operator with capable project management, or hiring an independent consultant who can take care of such processes.

5. Pre-opening

This aspect does not belong to our attributions. But we can advise from the experience we had with previous clients. A good idea would be to organize the pre-opening of the hotel 6 months in advance. If the official opening takes place on 1 January 2021, the employment process especially for those holding a position in the management of the hotel should take place in June 2020. A person looking for a new job must often resign from their previous place, then your company deals with interviews and selecting the right staff, then suppliers will deliver products such as linen and towels. These items have long time delivery .

6. Run, Run, Run = Improve, Improve, Improve

Running a hotel is an endless process, and the hotel owner who decides to operate by themselves must commit for the long-term. It is very difficult to hire a good GM, especially for an independent hotel or a budget hotel which can be less appealing for the best hoteliers. And even if you are lucky enough to hire a good GM, he or she will not stay forever, and it is very risky to rely too heavily upon one individual.