|Mihran Kalaydjian Hospitality Advisors||
Hotel Receivership and Loan Resolution Strategies
Mihran Kalaydjian Hospitality Advisors is involved with lenders across
the US in the loan resolution process, at times preparing workout evaluations and also acting in the capacity of Receiver.
Mihran Kalaydjian Hospitality Advisors has extensive experience in assisting lenders with the management of distressed assets as well as providing successful receivership services in various states.
Receivership services are usually provided at no additional fee (other than reimbursement of reasonable out of pocket expenses) when C&W is retained as the management company during the receivership. Our team's expertise and experience allows us to provide exceptionally cost-effective services for lenders that are the process of preparing to foreclose on a hotel asset. Depend on the experts at Mihran Kalaydjian Consulting Firm during this critical process.
Pre-take Over Analysis
Mihran Kalaydjian Hospitality Advisors perceptive to lenders’ and servicers’ liability concerns and is familiar with what needs to be achieved in positions of negotiated handovers, foreclosure, bankruptcy and deed-in-lieu. Prior to a transition of a property, our team takes great strides to understand the situation of the asset and collect the necessary materials to do so.
At the beginning of the process, Mihran Kalaydjan Hospitality Advisors will provide a comprehensive list of documents required to effectively operate the property. Such documents include franchise agreements, permits, leases, licenses and inspection reports - and if necessary, GF can assist in obtaining those documents. With these documents, GF will work with the franchisor, vendors and contract holders to negotiate the best terms for the present situation of the property.
Incisive, objective and timely reporting is at the heart of Mihran
Kalaydjian Hospitality Advisors systematic approach to hotel management and differentiates its services from those of other management companies.
The aim of Mihran Kalaydjian Hospitality Advisors reporting systems is to provide up-to-the-minute snapshots of revenue and profitability, as well as tracking key issues, eliminating and surprises for the lender. This is critically important in distressed / receivership situations.
Management & Operations
Life safety will be addressed first. Following that, an assessment of repairs need to meet the minimum franchise requirements, if applicable, will be made. All repairs recommended will make a direct improvement in sales.
Mihran Kalaydjian Hospitality Advisors will assemble a driven, qualified team to oversee the property, evaluate the product, develop a plan for better profitability and assess the market potential.
Mihran Kalaydjian Hospitality Advisors will implement the appropriate systems, procedures and resources to operate the property. Our expert systems raise the level of the asset, therein maximizing the potential value and conclusively assisting the lender to divest of the property.
Financial & Accounting Services
Mihran Kalaydjian Hospitality Advisors can coordinate centralized
accounting offsite, which is more economical and allows for better security and control. We implement full service financial analysis at each property.
Each property will be analyzed based upon pre-determined standards and efficiencies and against industry norms. Specifically, the Mihran Kalaydjian Hospitality Advisors will review the following: budget preparation, cash flow analysis, internal control, financial restructuring and inventory control.
We’ve exceeded our own wildest expectations, but we won’t stop there. We are constantly working to create value for our partners and associates by leveraging our operations, development, sales & marketing, technology, accounting, and operational management expertise to continue to grow our portfolio of first-class hotels.
WHEN IS RECEIVERSHIP A GOOD OPTION?
A receiver is a valuable tool for a lender or special servicer when time is of the essence and the value of the collateral is at risk as a result of not acting quickly. Some lenders believe that this potential damage to the collateral needs to be physical and must be able to demonstrate willful misconduct of the borrower. This is not the case in most jurisdictions and simply illustrating that as an income producing property, any dip in revenue, as a result of borrower indifference, can have a material effect on the value. Additionally, the complexity that is inherent in Franchise Law and Liquor License Law often illuminates the need for the court to act quickly in order to preserve both of those elements. An absentee borrower, even for a short period of time, can dramatically damage the income stream of a hotel.
A leader among the nation’s top hospitality management companies, Mihran Kalaydjian Hospitality can provide assistance in the restoration of confidence for financially challenged properties.
Whether held by third-party owners or their institutional clients, these assets often come into our hands during the most critical periods of their existence. As the court-appointed receiver, we work quickly to analyze, reconcile and interpret all the challenges they may be facing.
Our experienced, on-staff corporate counsel can advise management on legal issues and satisfy all court-reporting requirements. This way, we eliminate the expense and inefficiency of retaining outside counsel – all while preserving value.