360 VOX asset management services
$3 Billion In Real Estate Assets Managed by our leadership team in the last 5 Years
About 360 VOX asset Management Group 360 VOX Corporation is a global real estate company that offers comprehensive service in the investment, development, sales, marketing, operations and management of real estate assets. We manage the complete life cycle of land and real estate assets, creating, maximizing and retaining value at every stage for clients, shareholders and the community. Our projects are among the most prestigious hospitality, mixed-use and lifestyle developments in the world. Our asset management group provides advisory services in all aspects of hospitality investment, bridging hotel ownership and management to drive performance and meet the evolving needs of real estate investors. Our leadership team has managed over $3 billion in real estate assets over the past five years, representing over 10,000 rooms around the world for landmark brands including Fairmont, Hilton, Starwood, Marriott, Renaissance, Carlson and Wyndham. We have in-depth operational expertise, an extensive track-record in driving income and capital returns, and our current portfolio includes the world s largest single collection of Fairmont Hotels, managed on behalf Ivanhoé Cambridge, one of the top 10 real estate companies in the world with a total real estate portfolio of $35 billion. Few can compete with the breadth and depth of resources that we offer clients. We provide full-spectrum asset management services, from strategic planning through to implementation. This includes every aspect of investment and capital planning, business operations, property development and project management, as well as the ability to assemble financing and provide investor capital as substantive project partners. 360 VOX Asset Management Group 3
$300 Million Capital Projects executed in the past decade
Redefining asset Management Full Spectrum Asset Management From Strategy to Execution 360 VOX is uniquely structured to deliver advisory services for all aspects of asset management: investment and real estate strategy, hotel and resort operations, and capital investment programs, resulting in significant value creation for real estate investors. By rigorously managing hotels as both real estate investments and operating businesses, we ensure a seamless and efficient process from strategic planning through to delivery to maximize overall return on invested capital. Strategy & Planning investment strategy hotel asset plans ASSET MANAGEMENT TEAM operations INTEGRATION increased ROI $ EFFICIENCY real estate PROJECT MANAGEMENT TEAM V A L U E M A X I M I Z AT I O N FINANCE TEAM HOTEL BRAND Execution 360 VOX Asset Management Group 5
Execution of multi-year Renovation plan for the Fairmont royal York
Our Services Our team brings extensive experience to all aspects of hospitality investment. By offering personalized, a la carte support tailored to the needs of each client, we minimize costs, improve flexibility and ensure efficiencies to maximize financial returns. We support our clients through the following services: Investment Advisory We develop and implement hotel investment strategies to drive value, reduce risk and achieve targeted investment returns within defined time frames. Formulation and implementation of strategic investment and asset plans Due diligence and underwriting for acquisition / disposition Repositioning plans to drive value Implementation of existing asset monetization strategies outright sale, private / public capital raise, debt structuring Valuation and appraisal review / support Source and negotiate financing Operator Selection & Contract Negotiation Our in-depth industry experience and wide-reaching network enables us to secure and negotiate effective operator contracts that minimize risk, maximize future operating profits and establish a solid owner/operator relationship. Establishment of success criteria Global database and network leverage to secure ideal partnerships Evaluation of operator and brand performance records Collaboration with owner s legal team Negotiation of commercial terms for franchise and management agreements Hotel Management Agreement (HMA) review and negotiation (performance tests, centralized fees, brand standards, termination fees) Hotel Operations With hands-on expertise across all facets of hotel operations, our team has the insight and credibility to make impactful changes that maximize EBITDA while delivering memorable guest experiences of the highest standard. Annual operating budget reviews and approvals Revenue maximization / market penetration Ancillary revenue review F&B, spa, golf, minor operating departments Property strategic plan reviews and analysis Analysis and expense reduction planning with focus on labour productivity and cost of sales metrics Evaluate management and brand performance Product and service reviews Detailed financial statement reviews and benchmarking 360 VOX Asset Management Group 7
Our Services Capital Investment Program We drive capital returns and support NOI growth with our ability to plan, execute and close complex capital investment projects from start to finish. This streamlines processes, fast-tracks delivery and ensures that quality and client satisfaction are realized. Creation/review of long term capex budgets in-line with investment strategy and cash flow requirements Analysis, planning and implementation of operational, refurbishment, PIP, and return on investment (ROI) capital projects Project viability review preliminary, cost planning and consultant selection (design / construction/ procurement) Oversight of project management (operations coordination / impacts) Real Estate Advisory We offer unparalleled expertise in developing urban, mixed-use, recreational and resort real estate around the world. Assessment of existing asset redevelopment opportunities Ancillary land development / feasibility studies mixed-use, hotel expansion Property tax assessments, insurance programs Ground, building, and retail lease review and negotiations Resort development programming / structuring fractional, residential, rental Financial We design and implement financial management and reporting systems to meet our clients reporting, timeline and transparency requirements. Portfolio analysis, investment/risk management Liquidity management, including cash management and treasury functions Assurance of legal and financial compliance Customized monthly, quarterly and annual reporting for financials and capital management Relationship management: accounting, legal, vendors, administrative Full cycle accounting and manage financial statement audits 360 VOX Asset Management Group 8
Our Process We focus on maximizing overall returns to owners by evaluating, establishing and executing business plans aligned with their investment strategies. Establish Investor Income (NOI) and Capital Return Targets Investment horizon Equity/debt commitments Formulate Investment Strategy Investment profile: core, value-add, opportunistic Asset mix: urban, resort, full/limited service, brand/independent, primary/ secondary market, domestic/international, hotel/resort development Create Asset Management Plans Buy, sell, hold Individual assets or portfolio of assets Public market equity or debt vehicles Value-add opportunities real estate and operations SWOT analysis Historical and projected operational metrics Execute Asset Management Plan Hotel Operations Capital Investment Program Real Estate Transacting Select operator and negotiate contracts. Oversee and direct operator to ensure all aspects of operations maximize EBITDA/income returns Create/implement capital investment plans that support the operation and deliver on capital return commitments New development or redevelopment Reduce non-operational expenses (tax, insurance, and ground leases) and annual mark-to-market process oversight Maximize capital returns through full or partial acquisition or disposition Private or public market exits Financing Maximize Income & Capital Returns 360 VOX Asset Management Group 9
$66 Million repositioning of the Fairmont le Chateau Frontenac
In-House International Expertise Our in-house asset and capital management, capital investment and finance teams are comprised of industry leaders, all with hands-on, in-depth and highly specialized international experience in world class assets. This includes iconic hotels and resorts such as the The Plaza, David Citadel, Hilton Toronto, The Fairmont Royal York, Chateau Frontenac, Banff Springs Hotel, Chateau Lake Louise and the delivery of international projects for global brands including Marriott, Starwood, Hilton, Fairmont, Raffles and Swissotel. Executive Contributions Russia England U.S. CANADA Bermuda Barbados France Italy Greece Turkey Israel Dubai Kazakhstan India Singapore Argentina 360 VOX Asset Management Group 11
3+ Continents 10+ brands 16+ countries
Case Study Fairmont & hilton Hotels Exclusively representing Ivanhoe Cambridge as they execute a renovation and disposition strategy, 360 VOX managed the world s largest single portfolio of Fairmont Hotels. The original portfolio included an array of 11 historic landmarks, elegant resorts and urban city centre properties located across Canada, the United States and Barbados. 11 HOTELS ORIGINAL ASSET PORTFOLIO To increase the long-term value of the Fairmont and Hilton portfolio, 360 VOX is executing a large-scale investment program to reposition these core assets to take full advantage of improving income and capital market opportunities. Our capital plan is judicious, as funds are invested only where analysis supports a qualitative and quantitative return on investment, with the goal of establishing market-leading properties. 360 VOX has commenced major room renovation programs at several hotels that are meticulously planned and coordinated to minimize business displacement. One such program is the $66+ million renovation of the historicallysignificant Fairmont Le Chateau Frontenac (listed as a National Historic Site of Canada), which includes the refurbishment of guest rooms, transformation of the main lobby and food & beverage outlets, construction of a new floor of Fairmont Gold rooms, addition of a luxury spa, renovation and expansion of the health club, meeting space expansion, and continuation of masonry and roof replacement work on the hotel s landmark exterior. At the same time, 360 VOX is overseeing rebranding, repositioning and quality assessment programs to position each hotel as a leader in its market. $66 MILLION FAIRMONT LE CHATEAU FRONTENAC RENOVATION 6,440 GUEST ROOMS $150 MILLION of capital expenditures Executed 360 VOX Asset Management Group 13
Case Study Fairmont & hilton Hotels Original Asset Portfolio The Fairmont Hotel Vancouver (Vancouver, BC) The Fairmont Empress (Victoria, BC) $3 MILLION property tax savings The Fairmont Royal York (Toronto, ON) The Fairmont Chateau Laurier (Ottawa, ON) Fairmont The Queen Elizabeth (Montreal, QC) Fairmont Le Chateau Frontenac, (Quebec City, QC) The Fairmont Olympic Hotel (Seattle, WA) The Fairmont Washington, (Washington, DC) The Fairmont Royal Pavilion (St. James, Barbados) Hilton Downtown (Toronto, ON) Hilton Toronto Airport Hotel (Toronto, ON) Accomplishments To Date Successful dispositions of Hilton Toronto, Hilton Toronto Airport and Fairmont Chateau Laurier $34 MILLION increased retail value enhancement Execution of over $150 million of capital expenditures Value enhancement initiatives: Repurposing food and beverage outlet into retail to increase retail square footage while maximizing F&B efficiencies to drive incremental profits. Expanding meeting space by 8,000 sq ft to attract additional self-contained group rooms and catering business. Relaunched former iconic F&B outlet into new meeting/social catering space. Execution of multi-year FAIRMONT ROYAL YORK RENOVATION Implemented automated minibar systems resulting in labour savings Re-purposed leasable space into an esthetics area. Initiated operational task force on F&B expenses resulting in significant savings. $20 MILLION value created with meeting area Expansion 360 VOX Asset Management Group 14
10,000+ rooms represented globally
EXECUTIVE CONTRIBUTIONS Our leadership team has played executive roles in the realization of projects worldwide, managing over $3 billion in real estate assets over the past five years for hotel, leisure and resort destinations brands such as Carlson, Fairmont, Hilton, Marriott, Renaissance, Raffles, Starwood, Swissotel and Wyndham. Summary of portfolio experiences: Asset Management of Global Hotel Real Estate Investment Portfolio of Full Service Hotels Invested more than $126 million of equity resulting in over $510 million of distributions (4.1x multiple) to investors.. Included numerous re-positionings and re-branding of full-service urban hotels and luxury resorts. 10 full-service hotels sold in 8 years Asset Management and Capital Investment for Institutional Investor Portfolio of SIX Iconic Luxury Hotels and Land Holding Created asset management platform for $1.6 billion portfolio comprised of iconic hotels such as: The Banff Springs Hotel, Chateau Lake Louise and Chateau Whistler Resort Numerous value enhancement initiatives executed: Extensive room renovations and new/ expanded private concierge floors Meeting facility expansion Pre-development for 3 destination resort spas Master planning for 66,000 acre private land holding F&B/retail repositioning s Achieved record operational profitability efficiencies for portfolio 250 million property repositioning Former REIT Portfolio Asset Managed by one of the Largest Global Private Hospitality Investors / OPERATORS $1.7 billion portfolio of urban luxury and full-service hotels across Canada and the US Negotiated and structured financings and refinancings in excess of $330M from 2008-2011. Successful sale of 3 assets $40 Million value created from new Gold Floor 360 VOX Asset Management Group 16
EXECUTIVE CONTRIBUTIONS Asset Manager for Overseas Real Estate Investor s Luxury Hotel and Land Holding Asset manager of the re-positioned Plaza New York Hotel coordinated tenants under new mixed-use structure in addition to opening the Todd English Food Hall concept. Pre-development of $300 million destination resort on lands including 200,000 square foot retail, 300- room hotel, and waterpark. Investment Turnaround for European Resort Development Strategic acquisition of lodging operations and development lands resulting in +20% IRR Divested operations and contracted services with favourable terms and repositioned resort as standard of excellence in French Alps $600,000 LABOUR SAVINGS WITH REGIONAL SALES MODEL Additional expertise: Facilitated due diligence, structuring, and PSA s for sales of over 10 full-service hotel assets. Direct experience creating statements in US GAAP, Accounting Standards for Private Enterprise (ASPE) and IFRS as well as accounting system transitions. $1 MILLION ANNUAL SAVINGS STAFFING EFFICIENCY PLAN RECORD ROOM AND FOOD & BEVERAGE PRODUCTIVITY 360 VOX Asset Management Group 17
Successfully repositioned many of the most iconic hotel assets in the world
EXECUTIVE TEAM Mark Grenoble President and CEO, Operations/Hospitality Mark brings extensive expertise in hospitality, operations, asset management and new project development to the 360 VOX executive team. In 2007 he founded the Enchantment Group, a leading, globally-recognized brand in the luxury resort management sector, which operates opulent resorts, destination spas, independent hotels and residential resort developments like the award-winning Enchantment Resort and Mii amo Spa in Sedona, Arizona. His experience encompasses every facet of spa and resort operations, including concept creation, pre-opening strategic planning, systems development, retail design, marketing, merchandise program development, recruitment, training and retention program design. Mark is recognized as an industry innovator and is heralded for pioneering several occupancy- and revenue-maximizing best practices that are now the industry standard. David Oliver Senior Vice President, business development David has been involved globally in numerous aspects of the hospitality and real estate industry for over 30 years. His experience has included acquisition, master planning, development and management roles, as well as overseeing small and large chain hotels operations. Consulting in the areas of feasibility, financial modeling, and design, he has also been involved in the construction, implementation and opening of numerous projects. During the 1990 s, as CEO David built and opened the London Convention center, a multileveled government initiative. He then moved to Starwood Hotels and Resorts, where he led the development of over 30 properties within their brands- St. Regis, Sheraton, Westin, W and Four Points in Canada, Cuba and Bermuda. In the 2000 s as Vice President with Carlson Hotels and Resorts, he oversaw the brand development plan in Canada for their portfolio of brands including Regent Hotels and Radisson Hotels and Resorts. Mark Edwards MBA senior vice President With over 25 years of international leadership experience in all facets of hospitality asset management, operations, and resort development, Mark most recently built the asset management platform for one of Canada s largest institutional real estate investors. His team was responsible for all aspects of their $1.6 billion hotel and resort investment, including: acquisition and disposition strategies, driving income returns through enhanced operational performance, improving capital returns through accretive capital investment, effective project management, and direct oversight of the annual mark-to-market valuation process. 360 VOX Asset Management Group 19
EXECUTIVE TEAM Marcos Casillas Vice President, Investments Marcos brings more than 20 years of hotel asset management and operations experience to his role at 360 VOX s fully owned subsidiary, the Enchantment Group. He is responsible for leading the exploration of new management and acquisition opportunities, and plays a significant role in the operations efforts of Enchantment Group s current portfolio of resorts, spas and golf courses, working in conjunction with the executive team at each property. He is currently overseeing the development of Mii amo Punta Mita, a luxury destination resort and spa in Mexico. Prior to joining Enchantment Group, Marcos was the Vice President of Asset Management for Trinity Hotel Investors, a global hotel real estate investment company in New York, where he was responsible for asset management of a portfolio of over 20 hotels and resorts in the United States and Europe. Prior to that, he was Vice President of Operations & Asset Management at the Woolley Hotel Company, where he asset-managed a hotel portfolio that included independent resorts and select-service hotels, as well as several branded hotels. Daniel Hsieh CPA, CA, CMA, CFA Vice President, Finance Daniel brings over 15 years of corporate accounting experience to the 360 VOX team and has completed over $300 million in hotel financings the past five years. His responsibilities have included overseeing all aspects of finance, including cash management, financial reporting and corporate governance. Daniel worked previously a Director, Finance for a TSX publically listed company, and spent seven years at BMO Financial Group where he oversaw a $10+ billion portfolio. David Gérardi Managing Director, Europe David brings nearly two decades of global executive-level experience to his role at 360 VOX, in which he oversees all European operations for the company. From 1994 to 2001, he was the Head of Finance & Real Estate at Decathlon France. David then moved to Intrawest Europe where he took on the roles of Chief Financial Officer and Vice President of Operations. His strategic organizational skills and financial and legal experience contributed to making Europe Intrawest s most profitable division. 360 VOX Asset Management Group 20
EXECUTIVE TEAM Dan Reid Director, Asset Management Dan is a seasoned asset manager and operator with over 25 years of experience working in all facets of luxury hotels. His experience includes asset managing the 2,900 room portfolio of six Fairmont resort hotels for OMERS, one of Canada s largest pension plans. Dan oversaw a number of high profile hotel transitions and openings in Dubai, UAE, London, England, in addition to other various cities in the United States. Dan has also been responsible for creating and directing operations for the private residence club division of Intrawest Corporation with luxury communities throughout North America Stephen Ayers Director, Asset Management Stephen is a Lausanne Hotel School graduate with over 35 years of experience in luxury and four diamond urban and resort hotel asset management. Stephen was involved in the asset management of The Plaza Hotel in New York City, and has executive management experience in a portfolio of hotels in Israel, including the iconic David Citadel Hotel. Stephen has held a variety of management roles globally in hotel construction, operations, renovation and operations with a strong emphasis on restaurant concepts, planning and execution. 360 VOX Asset Management Group 21
Montreal Toronto Phoenix Vancouver Mark Grenoble President & CEO Operations/Hospitality mgrenoble@360vox.com 480 264 3016 Mark Edwards senior vice President medwards@360vox.com 604 992 2064 David Oliver SVP - Business Development doliver@360vox.com 416 214 1666 ext 6106 www.360vox.com