G H 1 B D E F 4 Hotel Marriott Tapitio Pass 5 GM Hugo Gryll 6 7 Project Name Convert Bar to Meeting Space 8 Project Description: This project will convert our existing "high energy" bar to meeting space. The popularity of the bar has eroded in recent years following the opening of several other clubs nearby. The cost of live entertainment and the security and liability concerns have also continued to rise. This plan will transition the 3,500 square feet into a multi-use meeting room. The space is 9 adjacent to the lobby and has a wall of windows overlooking the pool area. 10 Proforma Assumptions: The proforma assumes a 3 month construction period, a 20% capture of the bar revenue in the lobby bar (this is based on our observation of how many in-house guests were utilizing the bar during the past year), and meeting room revenue based on our historical 3 year average per square foot for the other meeting space in the hotel. Based on planner 11 comments, we feel this space will be in high demand. 12 13 Risk Low 14 15 Cash Flow Proforma 16 Period Amount 17 Capital Investment 0 $ (127,500) 18 Incremental Cash Flow 1 $ 35,000 19 Incremental Cash Flow 2 $ 37,500 20 Incremental Cash Flow 3 $ 40,000 21 Incremental Cash Flow 4 $ 42,500 22 Incremental Cash Flow 5 $ 45,000 23 24 For Asset Manager Use: 25 Discount Rate 26 NPV 27 28 G H 1 B D E F 4 Hotel Marriott Tapitio Pass 5 GM Hugo Gryll 6 7 Project Name Convert Bar to Meeting Space 8 Project Description: This project will convert our existing "high energy" bar to meeting space. The popularity of the bar has eroded in recent years following the opening of several other clubs nearby. The cost of live entertainment and the security and liability concerns have also continued to rise. This plan will transition the 3,500 square feet into a multi-use meeting room. The space is 9 adjacent to the lobby and has a wall of windows overlooking the pool area. 10 Proforma Assumptions: The proforma assumes a 3 month construction period, a 20% capture of the bar revenue in the lobby bar (this is based on our observation of how many in-house guests were utilizing the bar during the past year), and meeting room revenue based on our historical 3 year average per square foot for the other meeting space in the hotel. Based on planner 11 comments, we feel this space will be in high demand. 12 13 Risk Low 14 15 Cash Flow Proforma 16 Period Amount 17 Capital Investment 0 $ (127,500) 18 Incremental Cash Flow 1 $ 35,000 19 Incremental Cash Flow 2 $ 37,500 20 Incremental Cash Flow 3 $ 40,000 21 Incremental Cash Flow 4 $ 42,500 22 Incremental Cash Flow 5 $ 45,000 23 24 For Asset Manager Use: 25 Discount Rate 26 NPV 27 28
