THIRD-PARTY HOTEL MANAGEMENT – UNLOCKING THE POTENTIAL OF THE AFRICAN MARKET
Africa needs more hotels. And while the pipeline is growing 30% Year on Year, this pace of growth is comparatively modest. With a choice of just two operational models (owner operator/direct management), investors, particularly those looking to enter hospitality for the first time, currently face significant barriers to entry.
The proven answer is third-party management (accounting for 260,000+ US hotel rooms), which brings franchising into play as a serious, and rapidly scalable, alternative. Working with an experienced third-party operator, investors gain access to brands that wouldn’t have been franchised to them directly, and free themselves from needing to manage their assets themselves.
At Russell M Smith we get involved from conception and represent the client from the beginning and third party management using global international brands on a franchise basis which is better cost effective and the investor/ developers and gives them peace of mind they have someone on their side to manage the assets with a big brand name on the side of their building.