Conversions Strategies in Development Projects

Conversion Strategies


A dynamic and volatile market can often adversely effect developments being built for specific purposes e.g. hotel and restaurant properties may find themselves economically unviable due to contextual turnovers.

Often such instances may be temporary setbacks but what if they had longlasting change in consumer behaviour? Possibly reducing footfalls in malls or occupancy of hotels of certain types or certain regions? Such instances are not to be taken lightly and it is best to plan for various scenarios to minimize dilution of value of the asset.



Multisectorial specialists

Rodschinson Investment’s team is comprised of specialists across industries and, together with global thought leaders, help clients navigate economic cycles and unique situations. The team follows a methodical approach wherein they combine understanding of economic cycles with insights of industrial trends to narrow down future scenarios and recommend suitable conversion solutions for client assets.

While a project under development offers a wider range of conversion strategies, a small miscalculation can lead to piling up of avoidable costs and time loss in case further conversion has to be done on the earlier conversion strategy.  It becomes imperative that a thorough examination and evaluation of technical, regulatory, financial and other development specific aspects are taken into consideration for forming a strategy to optimize return / yield on the project.


Some examples of successful conversion strategies in adverse situations include


  • A HOTEL

    seeing falling sales due to the declining tourism in the region was repurposed into a senior living facility. a Repurposed business model from rooms to beds allowed to stabilize revenues and spread fixed costs across higher inventory.


  • A Sports club

    primarily consisting of a mix of indoor and outdoor facilities, was seeing lower RoI given the high cost of maintenance of the facilities was suggested renovating to a high street commercial complex to take advantage of its location and stabilize yields.


  • A seasonal business of event spaces

    would stabilize revenues by converting into residential dormitories for students during academic semesters.


ASK THE EXPERT

Ask a free opinion to your local expert on repurposing of your assets & facilities to get the best selling value or forecasted rental income available and optimize your investments.

Sorry, we were unable to confirm your subscription.
Your Subscription is confirmed.

Newsletter

Subscribe to get regular Insights and notifications on investment opportunities nearby.

Nous utilisons Sendinblue en tant que plateforme marketing. En soumettant ce formulaire, vous reconnaissez que les informations que vous allez fournir seront transmises à Sendinblue en sa qualité de processeur de données; et ce conformément à ses conditions générales d’utilisation.

Would you like to
Stay up to date with the latest
INSIGHTS ?

Brussels Headquarters


Rodschinson Europe
5 pl. du Champ de Mars
1050 BRUSSELS
BELGIUM
Rodschinson.com

Follow us



Copyright Rodschinson Investment © 2020 - All rights reserved - Rod Resorts is a Division of Rodschinson Investment

Terms of Use / Privacy Policy