Growing desire for Caribbean investments
Guardian Business Reporter
Published: Oct 18, 2013
While financing remains difficult, a leading hotel consultant said he has noticed an increased interest in the Caribbean from investors.
According to Parris Jordan, managing director at HVS Caribbean, The Bahamas continues to be one of those destinations that international investors tend to show interest in.
Besides investment interest, Jordan confirmed that performance has been improving in hotels throughout the region.
“Once investors see the strength of the market returning, they tend to gain more confidence to develop. And then the banks also see the market is strengthening, and as a result they tend to want to lend more often,” he told Guardian Business.
“We’re also seeing a strong increase in revenue per available room (RevPAR). For hotels in the Caribbean, there has been a recovery in terms of performance. Last year, we saw people slowly looking at deals. And this year, we are seeing a lot more interest.”
Jordan stressed the fact that while the market conditions for lending have improved, now is the time for potential investors to “seriously” look at opportunities and make a wise investment, as opposed to waiting another year or two.
“Based on the appetite of the investor, we understand that there are a lot of opportunities. Investors tend to look at different types of assets. There has been a strong interest for deals in The Bahamas and some of the islands such as Puerto Rico, Jamaica and the Dominican Republic.”
Next month the Caribbean Hotel & Tourism Association (CHTA), HVS and the Caribbean Tourism Organization (CTO) will host the third annual Caribbean Hospitality Investment Conference and Operations Summit (CHICOS) from November 7-8 at the Hard Rock Hotel & Casino in the Dominican Republic.
CHICOS provides attendees with the opportunity to significantly expand their connections while learning the most important trends that can impact their investment decisions.
The event provides the forum to obtain a comprehensive understanding of the business opportunities in the region and to communicate directly with investors, banks, investment funds and other direct funding sources.
It is also billed as an opportunity for stakeholders to become more acquainted with current market conditions and opportunities, as well as to learn about the most successful experiences and how to avoid common mistakes.
Caribe 2016 Cleveland