PROPOSED 3 STAR HOTEL
Proposed 3 Star Hotel, Nairobi
The investment project entails development of a 3 Star Hotel.
- 3 Star Hotel Development
- The overall cost of the Project is $2,500,000.00.
- Express interest is for Debt Financing is $2,000,000.00
- Internal rate of return is projected at 20% per annum.
- Equity multiple is 1.6X
- Targeted holding period is expected to be 6 years.
- Expected project commencement date is 3rd January, 2021
3 Star Hotel
OVERVIEW EXECUTIVE SUMMARY
The following are the main findings of the study:
- The site is favorably accessible, being located near various business activities.
- There is demand from the numerous diverse businesses around the project area.
The proposed venture is viable due to:
- A positive NPV.
- Projected positive Cash Flows through the first ten years.
- Favorable IRR at 19%.
- A short payback period.
- A high return on investment
Investment Plan & Details
Investment Cost / Value
Sponsor Equity Contribution
Return on Investment
Return on Equity
Investment Hold Period
Payback Period / Hold Period