Network,Find Opportunities,Find Funding, Promote Events and Services
We offer for your review a proposal of investment - two operating hotels in the port city Ventspils in Latvia near the Baltic Sea. The port Ventspils - the pearl of the Latvian economy - is an important link in the export of Russian oil and coal via the Baltic Sea. Since 1997 Ventspils Free Port is a special economic zone. The revenue from ice-free port services has made Ventspils the wealthiest city in Latvia.
The city Ventspils on attendance is at 3rd place after Riga and Jurmala thanks to various extensive marketing activities of City Council, a large number of events (festivals, concerts, sporting competitions, etc.), advanced infrastructure (beach, aqua-park, adventure park, etc.), a beautiful and clean environment. All of it is possible due to revenue from nonfreezing Baltic port.
In the city there are no 4-stars and 5-stars hotels. For sale are offered the only two 3-stars hotels in Ventspils:
1. Business Hotel – located in the North of Ventspils next to the business center in the distance of 2 km from city center.
Single rooms – 21; Twin rooms – 7; Double rooms – 11; Family rooms – 3; Luxury rooms DBL – 6; Luxury rooms TW – 5. All rooms are equipped with private bathrooms, showers, and TV's. Buffet-style breakfast is included in the accommodation price. In total – spots for 88 guests.
Land plot: 4090 m2
Building: 2700 m2
Hotel has a restaurant with high class kitchen equipment and separate house with professional equipment for cleaning clothes.
2. The largest hotel in Ventspils located in the middle of city center.
Single rooms – 31; Twin rooms – 10; Double rooms – 19; Family rooms – 4; Luxury rooms – 4. All rooms are equipped with private bathrooms, showers, and TV's. Buffet-style breakfast is included in the accommodation price, as well as access to a swimming pool. In total – spots for 109 guests.
Land plot: 5600 m2
Building: 2300 m2
Hotel has a restaurant with simple kitchen equipment. An infrared sauna and swimming pool.
Hotel received 2nd place in 2009 and 3rd place in 2010 in the contest "The best accommodation in Ventspils"!
The hotels are certified and meet all the standards of Association of Hotels and Restaurants of Latvia (AHRL).
Both hotels work with positive cash-flow. Realization is at the level of Year 2006 and for 20% higher than in Year 2009, and three times lower than in Year 2008. Taking into account the macroeconomic forecasts is expected growth of 10-15% per annum in the nearest years.
Sale price of both hotels: 1 250 000 EUR *
* - The offered sale price of both hotels is below the appraised value. An approximate estimation of the proposal on October 2010: ~ 1 510 000 EUR. An evaluation performed by leading real estate’s company in the Baltic states "ARCO REAL ESTATE".
Since July 1, 2010 became valid Latvia’s parliament (Saeima) accepted official amendments of “Migration law” regarding terms of residence permits for foreign citizens. According to this law any foreign citizen who makes purchase of real estate in Riga for no less than 100 000 LVL (about 143 000 EUR) or in any other large city for no less than 50 000 LVL (about 71 500 EUR) will get legal Latvia’s residence permit for 5 years.
The additional information you can read here: http://bit.ly/9wpGh9
Yield 2010 of both hotels: ~+10%
Currently the both hotels perform with nice positive cash-flow, so the asking price is EUR 1,500,000 as evaluated market’s value on October 2010.
If you are interested to receive more detailed information then, please, contact us.
All the best,