HomeMy WebLinkAboutC33180 - TOT Rmbrsmnt Agmt El Paseo Hotel LLC Contract No. C33180
CITY OF PALM DESERT
STAFF REPORT
REQUEST: CONSIDERATION OF A TRANSIENT OCCUPANCY TAX (TOT)
REIMBURSEMENT AGREEMENT WITH EL PASEO HOTEL, LLC
SUBMITTED BY: Ruth Ann Moore, Economic Development Manager
DATE: December 12, 2013
CONTENTS: Transient Occupancy Tax (TOT) Reimbursement Agreement
Keyser, Marston Associates - Construction Costs,
Estimated Stabilized Net Income, Estimated City Revenues
Proposed EI Paseo Hotel Site Plan & Elevations
Marriott Letter of Intent and Autograph Hotel Collection Brochure
RHI Corporate Overview
Recommendation:
By Minute Motion:
1. Approve a TOT Reimbursement Agreement as to form with EI Paseo Hotel, LLC.
in the amount not to exceed $1,800,000 for the operation of a 154-room boutique
hotel located at the northeast corner of Larkspur Lane and Shadow Mountain
Drive and authorize the City Attorney to make non-substantive changes; and
2. Authorize the Mayor to execute said agreement
Executive Summarv:
The TOT Reimbursement Agreement with EI Paseo Hotel authorizes the reimbursement
for 50% of the annual 9% Transient Occupancy Tax (TOT) collected once the EI Paseo
Hotel commences operation. The incentive will be in the form of a quarterly
reimbursement of TOT generated by the EI Paseo Hotel up to a maximum of
$1,800,000.
This agreement is only valid upon completion of the project and issuance of a Certificate
of Occupancy of the EI Paseo Hotel.
Backqround:
The City has long been desirous of developing a hotel on the northeast corner of
Larkspur Lane and Shadow Mountain Drive in order to further develop hotel rooms that
will surround the valley's premier shopping destination, EI Paseo, and bring additional
TOT and sales tax generation to the General Fund. In June of 2006, the former Palm
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Staff Report Contract No. C33180
EI Paseo Hotel Agreement
Page 2 of 6
December 12, 2013
Desert Redevelopment Agency acquired the property through assignment by William
DeLeeuw and Larkspur Hotel, LLC (former developer). The Agency then entered into
an Exclusive Negotiation Agreement (ENA) with Larkspur Hotel, LLC in April of 2007 to
develop a hotel on the site. The former developer received entitlements for the site but
due to the recession, the former developer was unable to acquire financing for the
project and after several extensions; all agreements were terminated with the former
developer.
With the elimination of the Redevelopment Agency and renewed interest in the site by
hotel developers, a Request For Proposals (RFP) was circulated and by the deadline in
April of 2012, one submittal was received from West River, Inc. (Robert Leach) and the
development team known as EI Paseo Hotel, LLC (Developer). Partnership within the
LLC is now being finalized and the current make up is as follows:
• A&M Capital Real Estate — Manager 50%
• EI Paseo Hospitality Fund, LP - Member 25%
American Redevelopment Solutions, LLC - General Partner
(EB-5 REGIONAL CENTER)
• West River Inc. - Member 10%
• Worlow & Associates Inc. — Member 10%
• Stephen E. Kallaher— Member 5%
With the passage of legislation known as ABX126 and AB1484, the Successor Agency
to the Palm Desert Redevelopment Agency (SAPDRA or Successor Agency) has been
unable to negotiate the final sale of the property until the approval of the Long Range
Property Management Plan (LRPMP) is received from the Department of Finance
(DOF). The Successor Agency submitted its LRPMP in June of 2013 and is currently
under review and approval of the plan is anticipated by the end of 2013 or the beginning
of 2014.
Due to this unprecedented set of circumstances and the City's desire to continue to
work on the hotel development, the City entered into an Exclusive Negotiating
Agreement (ENA) with EI Paseo Hotel, LLC in March of 2013. The ENA gives the
Developer an exclusive right to negotiate the purchase of the property with the
Successor Agency once the LRPMP is approved by the DOF. The City further agreed
to explore collaboration with the Developer to see if funding assistance is warranted to
implement the project.
Since approval of the ENA, the Developer has continued to create architectural designs
for the hotel, and modify the components of the project while remaining within the
envelope of the existing entitlements. The Developer has also continued negotiations
with several national hotel flags and has worked on value engineering to reduce
construction costs where possible.
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Contract No. C33180
Staff Report
EI Paseo Hotel Agreement
Page 3 of 6
December 12, 2013
In order to evaluate the project's proforma, including construction costs, estimated
revenues/expenses and project financing gap, Keyser Marston & Associates (KMA) was
hired as an independent hotel consultant to analyze the project's financials and
determine whether a financial gap exists for the project.
Discussion:
TOT Reimbursement Agreement:
The project is presented for consideration of a TOT Reimbursement Agreement. The
agreement proposes to reimburse 50% of the TOT until a total reimbursement of $1.8M
is reached. The project construction costs totals $33M (see Estimated Construction
Costs) with a budget as follows:
• Direct Costs $23,450,660
Hotel & Garage Construction, FF&E,
Restaurant FF&E Site work, Signage,
Developer Fees
• Design Costs $ 629,000
Architectural/Interior Design, Engineering &
Landscape, Soils Report
• Land Costs & Permit Fees $ 5,008,000
Land Purchase, City Fees, Water Fees, Sewer
Connections, Supplemental Fees
• Indirect Costs $ 4,712,340
Legal Fees, Supplies & Equipment, Marriott
Application Fee & Systems, Pre-opening Costs,
Operating Reserves, Loan Fees, Interest
Total $33,800,000
Cost per Room (including parking garage) $ 219,481
In reviewing the project's proforma, KMA identifies a financing gap of $3,369,000 as
indicated in the attached Estimated Stabilized Net Income report. The City's
participation in the total amount of $1.8M in TOT reimbursement is a reasonable
request to make the project viable.
While awaiting approval by the DOF to sell the land, the Developer has continued
securing financing partnerships including a portion of the funding to come from the
United States Immigration & Citizenship Services EB-5 investment Program.
The EB-5 program was established by Congress in 1990, to stimulate the U.S.
economy. The program allows foreign nationals to earn a green card (permanent
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Contract No. C33180
Staff Report
EI Paseo Hotel Agreement
Page 4 of 6
December 12, 2013
resident visa) for themselves and their immediate family by investing a minimum of
$500,000 in a qualifying business enterprise which wilt create 10 new U.S. jobs within a
Targeted Employment Area (TEA).
This program has recently become a more viable project funding mechanism in
California since the elimination of Redevelopment. Riverside County is now known as a
Targeted Employment Area (TEA). In all likelihood the program will eliminate Riverside
County as a TEA by March of 2014. Securing all funding prior to that date will allow the
project to move forward while still using the EB-5 program.
While this project has not taken a traditional and historical path towards developing in
Palm Desert, all parties continue to make their best effort to have all financing and
approvals in place as the staff awaits approval from the Department of Finance to begin
selling property owned by the Successor Agency. Moving forward, staff anticipates the
following steps towards completion of the project:
• Successor Agency receives approval of LRPMP — January 2014
• Developer secures final project financing (EB5) — January 2014
• Developer submits plans for ARC and Planning review— February 2014
• Purchase and Sale Agreement (Successor Agency/Oversight Board/DOF) —
February/March 2014
• Plan Check — May 2014
• Construction begins summer of 2014, 18 months construction
• EI Paseo Hotel to open not later than January 2016
The Developer, since the initial submittal in April of 2012, has continued to both refine
the design and scope of the project; investigate and negotiate it's financing for
construction; and explore the options for the hotel flag. The scope of the project, while
remaining within the envelope of the requirements of the existing entitlements is as
follows:
• The Developer will construct a 154 room boutique hotel. All rooms are now
dedicated full-time to the hotel rather than a portion for condominiums as was in
the original entitlements.
• In keeping with a four-star rating, the property will have amenities including a full-
service restaurant, room service, valet parking, pool bar, catering, banquet
facilities, spa and fitness center, plus other services such as high-speed internet
and a business center.
• The average height of the hotel is proposed at 37'6" which is 6 inches over the
previous concept, but the pool will now be at ground level rather than on the roof.
This should alleviate noise to the neighbors, especially in the evening. As a
comparison, Saks Fifth Avenue is 44 feet tall.
• The property will also have back-up generators and act as an emergency cooling
center for residents should the need arise.
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Contract No. C33180
Staff Report
EI Paseo Hotel Agreement
Page 5 of 6
December 12, 2013
• The size of the project has been reduced by approximately 11,000 square feet
allowing for an increase in open space and a reduction in parking.
Because of the Developer's desire to redesign the previously approved project, staff
required the Developer to meet with the surrounding neighbors. In May of 2013, the
Developer held a local meeting with approximately 20 residents in attendance.
According to the Planning Department, no concerns were raised by the residents. The
project will be submitted and reviewed by Architectural Review Committee.
Hotel Operator:
The Developer has a letter of intent with Marriott Corporation to flag the hotel in their
newest concept the Marriott Autograph Collection. Marriott is aggressively growing this
concept which allows for the hotel to operate independently while having the advantage
of being incorporated into the Marriott's world-wide reservation system. Hotels under
the Marriott Autograph Collection remain independent and therefore unique. This
concept appeals to the intrepid traveler who desires escape from the "cookie-cutter"
concepts but gives the assurance and dependability that comes with the Marriott brand.
Based on the need for high-quality management and service levels, the Developer will
work with the independent management company, Richfield Hospitality, Inc., one of the
leading hotel management companies in the world. Richfield Hospitality, Inc. also has
an ongoing relationship with the EB-5 immigration investors whose parent company,
City Development Ltd. is a $7 billion hotel development entity listed on the Singapore
stock exchange. Richfield Hospitality Inc. manages hotels throughout the United States
including the St. Regis Deer Valley, Park City, Utah and the Casa Moderna Miami Hotel
& Spa.
Fiscal Imqact:
Sale of property will be at fair market value, a new appraisal will be ordered once
approval of the LRPMP by the DOF has been granted. Since the property is owned by
the SAPDRA, all income received from the sale of the property with be distributed to the
taxing entities. Palm Desert is a taxing entity but only a small portion of the sale wifl go
to the General Fund.
The value of the project to the City is in the collection of annual TOT revenue, sales tax
from the restaurant and banquet operations, and property tax. The project is projected
to stabilize in the first five years. Revenue projections for 20 years are as follows:
• TOT $15,412,000
• Sales Tax $ 618,000
• Property Tax $ 191,900
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Contract No. C33180
Staff Report
EI Paseo Hotel Agreement
Page6of6
December 12, 2013
According to the analysis, the Developer will recover the $1.8M reimbursement between
years six and seven with the City receiving a net amount of over $14 million over the
first 20 years of operations (see attached Estimated City Revenues).
The Developer anticipates using the agreement to complete the financial package and
will monetize the $1.8M to use as reserves during the five-year stabilization period once
the hotel is in operation.
The benefits to the City include both the $14M the project will bring into the General
Fund over the ne� 20 years and the secondary benefit to increase sales for the stores
and restaurants along EI Paseo by the guests, therefore staff recommends the above
motion.
Submitted by: CITYCOUNC�AC�ION
�� APPROVED ✓ DENTED
� RECEIVED OTHER
th n Mo e MEETtN DA — -
Economic Development Manager AYFS:
NOES:
Departme A[3SENT:
AI3STAIN:
Vi;RIF1ED BY:
Origin�l on File with Ci C rk's Office
Martin Alvarez
irector of Economic Development
Reviewed by:
aul S. Gibson
Director of Finance
roval:
hn Wohlmuth
ity Manager
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CITY OF PALM DESERT/EL PASEO HOTEL
TOT REIMBURSEMENT AGREEMENT
THIS AGREEMENT ("Agreement") is entered into as of , 2013, by and
between THE CITY OF PALM DESERT, a California municipal corporation, (the "City"), and
El Paseo Hotel, LLC, California Limited Liability Company("El Paseo Hotel").
RECITALS
A. El Paseo Hotel intends to purchase certain real property in the City of Palm
Desert, as more fully described in Exhibit "A" ("Property"), on which El Paseo Hotel intends to
develop and operate an approximately 154 room hotel project ("ProjecY'). El Paseo Hotel
anticipates that the Project, once occupied, will generate transient occupancy taxes ("TOT") to
the City in an amount estimated by El Paseo Hotel to exceed three million dollars ($3,000,000)
during the first six years of the Project's operation, in addition to increased sales taxes generated
by the anticipated increased visitation to the City.
B. The City wishes to provide El Paseo Hotel an incentive to operate the Project in
order that increased visitation will generate additional TOT and sales tax to the City, and to
provide certain emergency services to city residents. The incentive will be in the form of a City
reimbursement to El Paseo Hotel of fifty percent (50%) of the TOT generated by the Project up
to a maximum of$1.8 million
AGREEMENT
NOW, THEREFORE, THE CITY AND EL PASEO HOTEL AGREE AS FOLLOWS:
Section 1. Reimbursement Commitment.
In consideration for El Paseo Hotel's operating the Project on the Property and the other
conditions and covenants provided for herein, if and when the El Paseo Hotel is built and
operated on the Property, the City shall reimburse to El Paseo Hotel fifty percent (50%) of City's
current (9%) TOT, as defined in Section 3.28.030 of the Palm Desert Municipal Code as of the
date of this Agreement, collected from the Project in an amount not to exceed $1.8 million
("Reimbursement TOT"). Payment of Reimbursement TOT by City to El Paseo Hotel shall
commence for the first full quarter during which commercial operation of the Project
commenced and shall continue until $1.8 million has been reimbursed by the City
("Reimbursement Termination Date"). TOT collected prior to the Reimbursement Termination
Date is subject to reimbursement pursuant to this Agreement; TOT collected after the
Reimbursement Date is not. El Paseo Hotel shall at all times remit to City full payment of TOT
as required by the City's Municipal Code. Distributions of Reimbursement TOT by City to El
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Paseo Hotel shall be made within sixty(60) days of the receipt by the City of the full amount of
TOT from the Property for each quarter.
Section 2. Conditions to Reimbursement. As a condition precedent to payment of
any Reimbursement TOT, El Paseo Hotel shall:
A. Commence commercial operation of the Project by January 31, 2016. If El Paseo
Hotel fails to commence commercial operation prior to that date, then the City, in
its sole discretion, may terminate this Agreement by delivering written notice of
such termination to El Paseo Hotel. Following such termination, neither party
shall have any further rights, duties or obligations hereunder, and the City shall
have no obligation to pay Reimbursement TOT, provided however that if this
Agreement is not so terminated and El Paseo Hotel subsequently commences
operation, the terms of this Agreement shall apply and the City's right to
terminate shall be void; and
B. Be at all times operated as a "Four-Star Hotel" as required by Development
Agreement 07-02 between the City of Palm Desert and Larkspur Associates,
LLC, recorded in the Official Records of the County of Riverside, California as
Document#2008-0419294.
C. Allow the Project to be used as a "cooling station" for the City in the case of a
power outage.
Section 3. No Obli�ation to Build or Operate Both parties acknowledge that the
Project is currently in the proposal stages, and El Paseo Hotel sha11 have no liability to City for
failure to build or operate a hotel as intended by the parties herein.
Section 4. Indemnification. El Paseo Hotel shall defend, assume all responsibility for
and hold the City, its council members, officers and employees, harmless from all demands,
claims, actions and damages, of whatever type or nature, including all costs of defense and
attorneys' fees, to any person or property arising out of or caused by any of EI Paseo Hotel's
activities under this Agreement, whether such activities or performance thereof be by El Paseo
Hotel or anyone directly or indirectly employed or contracted with by El Paseo Hotel and
whether such damage shall accrue or be discovered before or after commencement of operation
of the Project.
Section 5. Default.
A. Defaults.
Any one or all of the following events shall constitute a default by El Paseo Hotel:
l. Any misleading statement, misrepresentation or warranty of El Paseo
Hotel herein or in any other writing at any time furnished by El Paseo
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Hotel to City that materially harms the City or materially diminishes the
Benefit of the Agreement to the City;
2. Nonperformance when due of any of the obligations described herein, or
failure to perform any obligation or covenant contained herein;
3. The filing by or against El Paseo Hotel of a petition for relief under the
Bankruptcy Reform Act of 1978 or any bankruptcy or debtor relief law;
4. A general assignment by El Paseo Hotel for the benefit of creditors or the
appointment of any receiver or trustee of all or any portion of the assets of
El Paseo Hotel;
5. The transfer or assignment of this Agreement without approval by the
City;
B. Remedies.
Upon the occurrence of a default, the City, at its option, may declare this
Agreement to be in default and, in such event, the City shall have all of the rights
and remedies prescribed at law or in equity. Following an event of default, the
City shall have no further obligation to disburse all or any portion of
Reimbursement TOT.
C. No Liabilitv of Citv Member.
No city council member, official or employee of the City shall be personally
liable to El Paseo Hotel, or any successor in interest, in the event of any default or
breach by City under this Agreement or for any amount which may become due to
El Paseo Hotel or any successor or on any obligations under the terms of this
Agreement.
Section 6. Com�liance With Governmental ReQulations.
El Paseo Hotel shall, at its sole cost and expense, comply with all applicable municipal,
county, state and federal laws, rules, regulations and ordinances now in force, or which may
hereafter be in force, pertaining to its activities contemplated under this Agreement, including,
but not limited to, Development Agreement 07-02; issuance of building and use permits and
compliance with all federal and state labor laws (collectively, "Laws"). Supplementing the
indemnity set forth in Section 3 above, El Paseo Hotel shall defend, indemnify and hold the City,
its elected officials, officers, members, employees and agents free and harmless from any claims,
liabilities, costs, penalties or interest arising out of any failure or alleged failure of EI Paseo
Hotel to comply with such Laws relating to this Agreement
Specifically, by its execution of this Agreement, El Paseo Hotel certifies that it is aware
of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., as well as
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California Code of Regulations, Title 8, Section 16000 et seq. ("Prevailing Wage Laws"), which
require the payment of prevailing wage rates and the performance of other requirements on
certain "public works" and "maintenance" projects. If the project being performed is an
applicable"public works" or"maintenance"project, as defined by the Prevailing Wage Laws, El
Paseo Hotel agrees to fully comply with such Prevailing Wage Laws. If required, El Paseo Hotel
shall make copies of the prevailing rates of per diem wages for each craft, classification or type
of worker needed to execute the work on the project available to interested parties upon request,
and shall post copies at the El Paseo Hotel's principal place of business and the project site.
Section 7 Miscellaneous Provisions.
A. Transfer or Assignment.
El Paseo Hotel shall not transfer or assign this Agreement without prior written
approval by the City. Approval of any such transfer or assignment shall he at the
sole discretion of the City, provided that, as the parties acknowledge that El Paseo
Hotel will likely monetize this Agreement as part of its project financing City
shall not unreasonably withhold, condition or delay its consent to a pledge or
assignment of this Agreement (or rights under this Agreement) as part of the
capital financing for the project. Such financing approval may be granted by the
City Manager without further action of the City Council.
B. Interest of Members of Citv.
No member of the City Council of City and no other officer, employee or agent of
the City who exercises any functions or responsibilities in connection with the
carrying out of the City's work shall have any personal interest, direct or indirect,
in this Agreement.
C. Governing Law.
This Agreement shall be governed by and construed in accordance with the laws
of the State of California, to the jurisdiction of which the parties hereto submit.
D. Tune of the Essence.
Time is of the essence of each and every provision of this agreement.
E. Notices.
Notices or other communications given under this Agreement shall be in writing
and shall be served personally or transmitted by first class mail, postage prepaid.
Notices shall be deemed received either at the time of actual receipt or, if mailed
in accordance herewith, on the third (3rd) business day after mailing, whichever
occurs first. Notices shall be directed to the parties at the following addresses or
at such other addresses as the parties may indicate by notice:
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City: The City of Palm Desert
Palm Desert Civic Center
73-510 Fred Waring Drive
Palm Desert, CA 92260
Attention: City Manager
El Paseo Hotel: El Paseo Hotel, LLC
74048 Alpine Lane
Palm Desert, CA 92211
Attention: David Worlow
F. Headin�s.
The titles and headings of the various sections of this Agreement are intended
solely for reference and are not intended to explain, modify or place any
interpretation upon any provision of this Agreement.
G. Severabilitv.
Whenever possible, each provision of this Agreement shall be interpreted in such
manner as to be effective and valid under applicable law, but if any provision of
this Agreement shall be prohibited or invalid under applicable law, such provision
shall be ineffective to the extent of such prohibition or invalidity without
invalidating the remainder of such or the remaining provisions of this Agreement.
H. Waiver.
No waiver of any provision of this Agreement shall be deemed, or shall
constitute, a waiver of any other provision, whether or not similar, nor shall any
waiver constitute a continuing waiver. No waiver shall be binding unless
executing in writing by the party making the waiver.
I. Number and Gender.
As used in this Agreement, the masculine, feminine or neuter gender, and the
singular or plural number, shall each include the others whenever the context so
indicates or requires.
J. Further Assurances.
The parties sha11 execute, acknowledge, file or record such other instruments and
statements and sha11 take such additional action as may be necessary to carry out
the purpose and intent of this Agreement.
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K. Bindin E..�.
This Agreement shall be binding upon and inure to the benefit of the parties'
respective heirs, legal representatives, successors and assigns.
L. Entire Agreement.
This Agreement constitutes the entire agreement between the parties and
supersedes all prior or contemporaneous agreements, representations, warranties
and understandings of the parties concerning the subject matter contained herein,
written or oral. No change, modification, addendum or amendment to any
provision of this Agreement shall be valid unless executed in writing by each
party hereto.
M. Attornevs' Fees.
In the event of any litigation arising out of this Agreement, the prevailing party in
such action, or the nondismissing party where the dismissal occurs other than by
reason of a settlement, shall be entitled to recover its reasonable costs and
expenses, including, without limitation, reasonable attorneys' fees and costs paid
or incurred in good faith. The"prevailing party," for purposes of this Agreement,
shall be deemed to be that party who obtains substantially the result sought,
whether by settlement, dismissal or judgment.
N. Amendment.
This Agreement may be amended only by a written instrument signed by both
City and the El Paseo Hotel.
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IN WITNESS WHEREOF, the parties hereto have executed this instrument as of the day
and year first above written.
CITY:
, 2013 THE CITY OF PALM DESERT, a
California municipal corporation
By:
Title: Mayor
Approved as to form:
City Attorney
EL PASEO HOTEL:
, 2013 El Paseo Hotel LLC
By:
Its:
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ESTIMATED CONSTRUCTION COSTS
454 ROOwI AUTOGRAPH COLLECTION HOTEL
KMA SCENARIO
PALM DESERT,CALiFORNIA
!, Lantl A�a�uts#No�i 154 Rooms $?3�380 lRoor'n �3�60Q,QOQ
II. Direct Costs
Signage 154 Rooms $260 /Room $43,000
Site Costs 154 Rooms $6,370 /Room 981,000
Parking 175 Spaces $16,100 /Space 2,818,000
FF&E 154 Rooms $20,180 /Room 3,107,000
Building Shell 154 Rooms $98,520 /Room 15,172,000
Direct Construction Costs $22,121,000
Prevailing Wages 0.0% Direct Costs $0
Construction OH&Contingency 5.0% Direct Costs $1,106,000
Totai Direct Costs $23,227,000
iil. Indirect Costs
Architecture,Eng.&Consulting 5.0% Direct Cost $1,161,000
Permits&Fees/Impact Fees 154 Rooms $7,970 /Room 1,228,000
Franchise Application $250,000 Allowance 250,OQ0
Taxes, Ins, Legal&Acctg 1.5% Direct Costs 348,000
Pre Opening/Working Capital 154 Rooms $9,740 /Room 7,500,000
Development Management 3.0% Direct Costs 697,000
Contingency Allowance 5.0% Indirect Gosts 259,000
Total Indirect Costs $5,443,000
IV. Financins�Costs
Construction Interest $33,980,000 Costs 6.00°/a Interest Rate 1,274,000
Loan Fees 2.00% Fees 438,000
Total Financing Costs $1,710,000
V. Total Construction Costs $33,980,000
Per Room $221,000
Prepared By:Keyser Marston Assoaates;Inc.
Filename:Mariott Pro Forma;KMA;11/6/2013;KEE
ESTINATED PROJECT SURPLUS!FEASIBILITY GAP
154 ROOM AUtOCRAPH COI.LECTION HOTEL
KMA SCENARIO
PALM DESERT,CALIFORNIA
...,».,.».»................,Rarurn on Total invqstm+�t..�,.e.�..�.,..........,...,.
I, Hotel NOI $2,908,000
Ii. Total Warranted Inveshnent 9.50% Return on Costs
Total Warranted Investment $30,611,00�
(Less)Development Cosis (33,980,000)
III. Estimated Pro'ect Su lus/Feasibili Ga $3,369,000
...___.._.�._......Imputed Return-----------------------
I. Proiect NOI $2,908,000
II. Develoument Costs $33,980,000
III. Im uted Return 6•6%
Prepared By:Keyser Marston Associates;Inc.
Filename:Mariott Pro Forma;KMA;17/6/2013;KEE
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October 2, 2013
Robert A. Leach
President
West River Inc.
3941 Park Drive Suite 20-308
El Dorado Hills,CA 95762
RE: AUTHOGRAPH COLLECTION FRANCHISE WITH THIRD PARTY
MANAGEMENT FOR THE EL PASEO HOTEL
Dear Mr. Leach,
We are prepared to consider an Autograph Collection franchise application for the
proposed 154-room El Paseo Hotel to be located in Palm Desert,California and to be
operated by Richfield Hospitality. I enjoyed touring the market with you and think that
the site within the El Paseo Shopping District would be a great location for the Autograph
Collection.
The Autograph Collection offers the ideal combination of freedom and function,providing
all the tangible benefits that a partnership with MarriottOO can deliver while giving hotels
unrivaled flexibility and the ability to preserve the distinctive personalities that make thern
unique.
As members of the Autograph Collection,independent hotels are able to take advantage of
Marriott's powerful distribution and marketing channels to deliver bookings and revenue,
as well as many other programs and services that help reduce operating costs. This allows
owners the ability to leverage all the benefits of a global brand unhindered by specific
design standards.
Thanks again for your interest in the Autograph Collection.
Sincerely,
1//� f�u.,
(,
Christopher G. Rose
ESTIMATED STABIL.IZED NET lNGOME�
15�ROOM AUTOGRAPH COLLECTION HOTEL
KMA SCENARIO
PALM DESERT,CALIFORNIA
1. �
Rooms 154 Roams $169 P.O.R. $6,460,000
Food&Beverage 23.6% Gross Sales $61 P.O.R. 2,334,000
Resort Fee 8.1% Gross Sales $21 P.O.R. 805,000
Spa 2.4% Gross Sales $6 P.O.R. 240,000
Parking 0.0% Gross Sales $0 P.O.R. 0
Other 0.6% Gross Sa�es $2 P.O.R. 61,000
Gross Hotel Revenues $9,900,000
Ii. Qistributed Exnenses
Rooms 25.0% of Dept.Sales $42 P.O.R. 1,615,000
Food&Beverage 75.0% of Dept.Sales $46 P.O.R. 1,751,000
Resort Fee 0.0% of Dept.Sales $0 P.O.R. 0
gp� 70.0% of Dept.Sales $4 P.O.R. 168,000
Parking 0.0% of Dept.Sales $0 P.O.R. 0
Other 0.0% of Dept.Sales $0 P.�.R. 0
(Less)Total Distributed Expenses ($3,534,000)
ill. Undistributed Expenses
General&Administration 7.0% Gross Revenues $18 P.O.R. $693,000
Franchise Fees 3.0% Gross Revenues $8 P.O.R. 297,000
Marketing 5.0% Gross Revenues $13 P.O.R. 495,000
Property Operation&Maintenance 5.0% Gross Revenues $13 P.O.R. 495,000
Utility Costs 3.0°/a Gross Revenues $8 P.U.R. 297,000
Equipment Rental 0.0% Gross Revenues $0 P.O.R. 0
(Less)Total Undistributed Expenses ($2,277,000)
IV. ManaaementFees 3.0% Gross Revenues $8 P.O.R. ($297,000)
V. Fixed Expenses
Taxes 1.0% Project Costs $9 P.O.R. $339,000
Insurance 1.5% Gross Revenues $4 P.O,R. 149,000
FF&E Reserves 4.0% Gross Revenues $10 P.O.R. 396,000
(Less)Total Fixed Expenses ($884,000)
VI. Net O eratin Income NOf 29.4% Gross Revenues $2,908,000
' Assumes stabilization in year 4 of operation and 68%occupancy.
Prepared By:Keyser Marston Associates;inc.
Filename:Mariott Pro Forma;KMA;11/6l2013;KEE
Tab�� c�f Cont�nts
RichfieldHospitality.....................................................................................................................................................................................3
Overall Management Expertise.........................................................................................................3
Richfield Ownership Structure..........................................................................................................5
TheRichfield Philosophy...................................................................................................................6
CorePurpose....................................................................................................................................6
CoreValues......................................................................................................................................6
PropertiesCurrently Under Management.........................................................................................8
Miilennium&Sceptre Hospitality Properties....................................................................................9
RHICase Studies of Comparible Assets...............................................................................................................................................10
Positionrng&Organizational Structure............................................................................................................................................15
Philosophy.......................................................................................................................................15
TeamAttributes...............................................................................................................................15
TeamPersonality.............................................................................................................................16
RichfieldHospitality Leadership Profiles..........................................................................................16
SceptreHospitality Resources................................................................................................................................................................19
Reservations Technology and Connectivity......................................................................................19
Innovative CRS Technology..............................................................................................................21
ItineRary-Booking Capability...........................................................................................................21
internet Marketing Services.............................................................................................................21
RevenueManagement Services.......................................................................................................22
VoiceServices..................................................................................................................................22
Hoteii4Business Inteiligence...........................................................................................................22
SpaManagement............................................................................................................................23
VisualCommunications...................................................................................................................23
�9arriotf Internationa(.lnc. ].t(iI [h�e��`�triit �u�t� ���1D
���� �������� - ___. F(ntcl I�e�rclt���trn°nl —,��cw pt+rt f�i i lt t-:1, ��^r�t;1!
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�7�}-`;-td-`>7-16 P..�
October 2,2013
Robert A. Leach
President
West River Inc.
3941 Park Drive Suite 20-308
El Dorado Hi1Ls,CA 95762
RE: AUTHOGRAPH COLLECTION FRANCHISE WITH THIRD PARTY
MANAGEMENT FOR THE EL PASEO HOTEL
Dear Mr. Leach,
We are prepared to consider an Autograph Collection franchise application for the
proposed 154-room El Paseo Hotel to be located in Palm Desert,California and to be
operated by Richfield Hospitality. I enjoyed touring the market with you and think that
the site within the El Paseo Shopping District would be a great location for the Autograph
Collection.
The Autograph Collection offers the ideal combination of freedom and function,providing
all the tangible benefits that a partnership with MarriottOO can deliver while giving hotels
unrivaled flexibility and the ability to preserve the distinctive personalities that make them
unique.
As members of the Autograph Collection, independent hotels are able to take advantage of
Marriott's powerful distribution and marketing channels to deliver bookings and revenue,
as well as many other programs and services that help reduce operating costs. This allows
owners the ability to leverage all the benefits of a global brand unhindered by specific
design standards.
Thanks again for your interest in the Autograph Collection.
Sincerely,
�/"�'v " f'ru,
Christopher G. Rose
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A distinctive vibe Where architectural Historically signiFicant Those rare places Hotels that deliver
and character with a masterpieces are landmarks where defined by authentic effortless relaxation and
different perspective on indistinguishable from the allure of a ciry's service,total sensory stress-free indulgences
the local scene mixed the blend of exotic distinctive past meets inspiretion and singular amid enchanting and
with a bit of edgy style, objects,locally curated all of today's modern experiences that take picturesque settings
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OVERALL MAIVAGEMENT EXPERTISE
Richfield's hotel management operations are differentiated by three operating divisions: Full Service,
Select Service and Lifestyle properties. Each division employs unique hotel strategies supported by a
cadre of corporate services. In lieu of operating from a traditional corporate mentality,the Richfield
philosophy is to empower hotel operations by providing the most effective field support services.
Our established reputation is vetted in over 40 years of trusted experience,and will be structured to
maximize individual hotel performance. Especially in today's operating environment, Richfield leads
hotels to new profitability heights in a dynamically changing economic environment.
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Properties within the Richfield Lifestyle division include:
■ The Joule,A Preferred Hotel, Dallas,TX
161 rooms, 14,000 SF event space
� St. Regis Deer Valley,Salt Lake City,UT
,.,k��„ 194 rooms,7,500 SF indoor&7,000 SF outdoor event space
r-,- Casa Moderna Miami Hotel&Spa,Miami, FL
56 rooms,8,000 SF spa,14th floor infinity pool
Properties within other Richfield operating divisions include the following brands:
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WESTI N Po�NTs
NOTELS b. RESORTS BY SHEkFlTJN
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Richfield Hospitality�Proprietary&Confidenrial � Corporate Overview �August 2013
Richfield's goal is to balance stakeholder management and unite the team to maximize ROIC.
Operations must drive top-line and bottom-line performance while meeting both brand and
consumer expectations and ensuring product relevance and sustainability. This process begins with a
solid underwriting process and forecasting followed by diligent performance to meet or exceed
expectations.Our entrepreneurial approach is hands-on and features frequent site visits and constant
communication with our guests,associates at the property level and providing unequaled
transparency to our partners. Our hotel management business operates in three distinct sectors: Full
Service,Select Service,and Lifestyle.This allows Richfield to adjust our game plan for each property,
provide the appropriate level of field support and maximize profitability.
Richfield's ecommerce support works to
augment sales and brand efforts by improving
each property's online presence with � �
attention to guest reviews and additionai
online marketing. �
In order to ensure maximum online y�„�„ "" "," ", ""� "...""` "��"".."�'.�"„
profitability,we maintain an annual budget ; �__ _ ;,,
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for guest reviews and additional online � �
marketing initiatives that directly support all � ;��_ ; J _��•
sales efforts and online search.At the same ` �� ' �-.^� �^� E�^�
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time,we collaborate and ensure ecommerce �
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Richfield Hospitality�Proprietary&Confidenaal � Corporate Overview �August 2013
RICHFIELD OWNERSHIP STRUCTURE
Richfield was founded in 1968 as AIRCOA in Cleveland,Ohio and over the past four decades it has
benefitted from management experience at more than 600 hotels.Several important milestones over
the past forty years have placed Richfield and its sister organizations at the leading edge of this
competitive industry. Richfield is a private company and subsidiary of City e-Solutions(CES).CES is
the designated vehicle to spearhead new business initiatives in the hospitality industry for its
Singapore-based parent company,City Developments Limited(CDL). City Developments Limited is
listed on the Stock Exchange of Singapore and is the second largest real estate developer in Southeast
Asia with a market capitalization exceeding US$7 biilion.CES is listed in Hong Kong and its shares are
also traded on CLOB International in Singapore Amsterdam Stock Exchange.
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Ou r Stock Enchange of Singapore
US 57 Billion Market capitalization
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Listed on the Hong Kong �
Stock Exchange ' Listed on the London Stock fxchange
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Denver,CO USA Delaware USA
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Richfield Hospitality�Proprietary&Confidenrial � Corporate Overview �August 2013
THE RICHFIELD PHILOSOPHY
Our management philosophy is rooted in delivering owner profits and asset appreciation.
We are experts in delivering top line revenues by exceeding our fair market through effective
sales,marketing and revenue management techniques.
We retain exceptional talent that adapt to market conditions and apply efficient operating
systems that build strong customer relations and win the loyalty and respect of guests and
:� cli€nts alik€.
We engage the community and are accountable to ownership by maintaining appropriate cost
controls and providing reai-time transparency.
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CORE PURPOSE
� Our purpose is to grow top line revenues and optimize owner returns and asset value.
CORE VALUES
`� We are loyal managers on our dient's behalf; we will strengthen top and bottom-line
; performance. We will eorn the respect and trust of our dients.
' We are driven competitors who serve to win every guest, every time; we are hospitable and
: will exceed guest expectations to win their business and loyalty. We wrll eorn the respect and
' trust of our guests.
; We are compassionate supporters of our fellow associates; we encourage their individual
potential and aspirations. We wil!earn the respect and trust of ou�associates.
'` We are committed partners to our investors;we will expand our reach and produce favorable
` returns. We will earn the respect and trust of our investors.
�: We are dedicated citizens serving our communities with charity and hospitality; we give back
' to the communities in which we serve. We will earn the respect and trust of our communities.
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
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AUTH ENT1C � � ?
COMPASSIONATE � T��-��� �������
� o ACCQUNTABLE
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ACCOUNTABLE Take ownership and responsibility;Cornmitto commitments Deliver excellence on time
and on budget;Hold yourself and others responsible;Seek feedback to improve
AIJTHENTIC Behave UansparenUy and openly;Live uncompromisingly to own values;
Show genuine humility and humanity;E�ect and celebrate candor;Do the right thing
COMPASSIONATE Genuinely care for others,Recognize and respect individual differences;Be responsive
� to the needs of others;Take other's perspectives;Give back
I
jDRIVEN Tenadously plan and execute;Actwith speed and purpose;Overcome obstacles '
yMake the tough dedsions;Strive to be the best '
' ORIGfNAI Imagine what is possibie;Seek creative solutions;Try what has never been done;
; Challenge the status quo;Take risks
i
� TALENTCENTRIC Hire the best;Bring outexcellence in others,Make the tough people decisions;
Do not compromise talent standards;Expect big things,reward in big ways.
� FUN Be po�Gve;Create work/life balance for self and o[hers,Encourage laughter and
j enjoyment;Cefebrate wccess;Don't take yourself too seriously
�
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ABOUT��
RICHFI'tt.D NOSPITALITY
Richfield Hospitality�Proprietary&Confidenrial � Corporate Overview �August 2013
PROPERTIES CURRENTLY UNDER MANAGEMENT
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The Joule Hotel � ,s
RichfieldAsse[Martagement Dallas,TR 161 �
Casa Moderna Miami Miami,FL 56
Sterling Hotel Sacremento
RichfieldAsset Management $acramen[o.CA 17 �� _ _
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SL Regis Deer Valley � —� �
Rich�eld Asret Manqqement Salt Lake Ciry,UT 191 I,
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DoubleTree by Hiltnn Plnnmingtnn Minneap�lis Bloominp,tnn,MN Sfi4 ,r _ � �
South ��''`�-a-� _ ' �
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DoubleTree by Hilton Notel Burlington Burlington,VT 161 ��-� �- . � � �
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Sheraton Chapel Hill Chapel Hill,NC 168 ���s� . �
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Shereton Pittsburgh InU Airport Loraopolis,PA 204 _ _ � � � � +a�.�
DoubleTree by Hilmn EI Paso Hotel EI Paw,TX 200 " � ` � � �
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Sheraton Fort Worch Ho[el&Spa For[Worth,TX 430 � __�P.��,�� � �
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DoubleTree by Hilton Hotel Dallas•DFW Airport a��
Nor[h Irving,TX 282 .r�..,,�rd -
Mainga[e Lakeside Resort Kissimmee,FL 651 �� '�
Wyndham Lisle-Chicago Hotel&Executive �- `�---� ��—'� � r �
Meeting Center Lisle,IL 504 - y
Crowne Plaza Metbourne Oceanfront Resort&Spa Melbourne,FL 270 '- •' ��
Four PoinLs by Sheraton Philadelphia Northeast Philadelphia,PA 190 ��� � f���
Crowne Plaza Syracuse Syracuse,NY 279
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Comfort Inn Vai]/Beaver Creek Avon,CO 147 'r . '��
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Hyatt Place UC Davis Davis,CA 75 - -��- . ���p�;•`J�'
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Courtyard6yMarriottFairfieldNapaValleyArea Fairfield,CA 137 ��
Clarion Gilletre Gillette,WY 159
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Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013��
MILLENNIUM&SCEPTRE HOSPITALITY PROPERTIES
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•���������������������������►��• Syracuse
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��������������r����������� �"�� SheratonChapelHill
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� �� ������,�yr���������� ChapelHill,NorthCarolina
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8acara Resort&Spa ""��'
Santa Barbara,Califomia
The Joule Dailas
Dallas,Texas � ,
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Manages20properties Clien[sincludenearly500 Over100properties
�' wich over 4,000 rooms � ho[els,over 28,000 rooms � in 18 countries
MIILENNIUM HOTELS NORTH AMERICA
.... . . . •.. ..�. . . �..
Millennium Alaskan Anchorage Anchorage,Alaska 24H Millennium Hotel Minneapolis Minneapolis,Minnesota 321
Millennium Rostonian Hotel Roston Boston,Massachusetts 201 Millennium Broadway Hote]NewYork New York,New York 750
Millennium Biltmore Los Angeles Los Angeles,California 683 Millennium UN Plaza Hotel New York New York,New York 427
Millennium Harvest House Boulder Boulder,Colorado 269 Millennium Hiltr�n New York New York,New York 569
Millennium Hocel Buffalo B�ffalo,New York 300 The Premier Hotel New York,New York 125
Millennium Hote1 Cincinnati Cincinnati,Ohio 872 Millennium Hotel St Louis St Louis,Missouri 780
Millennium Hotel Durham Durham,North Carolina 313 Millennium Scottsdale McCormick Ranch Scottsdale,Arizona 125
Millennium Knickerbocker f,hicago Chicago,Illinois 306 Millennium Mazwell House Nashville Nashville,Tennessee 287
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Park City Vacation Homes Park City,Utah Merit Hospitality Services(2 properties) California
Amelia lsland Plantacion Hotel Amelia lsland,Florida Uecatur Conference Center&Ho[el Decatur,illinois
Cupertino Inn Cupertino,California Hooters Casino Hocel Las Vegas,Nevada
Princess Tours(5 lodges) Alaska Maison Dupuy New Orleans,l,ouisiana
Bacara Resort&Spa Sanra Barbara,California Newport Beachside Hotel&Resort Miami Beach,Florida
West Wind lnn Sanibellsland,Florida Regency 5uites Atlan[a,Georgia
Inn Suices Hotels(12 propertiesJ Va�ious Treasut�e Bay Casino&Notel Biloxi,Miuissippi
Pikes Waterfront Lodge Fairbanks,Alaska Historic Key West Inns(5 properties) Key West,Florida
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
� � • • � . • ,
RICHFIELD HOSPITALITY CASE STUDIES
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The Joule Dallas is s�tuated rn Downtown Datlas,within the cenval busmess distntt arb adjacen[to 's
� � �� �...0 ... " Uptown ard Victory Vark The hocN senes as a backdrap fa an astonishing cdkYtion of art that ,�.
� ��� ectioes tMougliouc the PM Nigbtlde lounge,Chariie Pakrcer rest�ront Nezt Vntage Wine Shop ond :
rooftop pool with unmatched v�ewx-a11 of which are unique to arry hotd in Dal{az.
RKhfiNd aswmed mxugement of the Aotel a�Wne 2010.ihe hotel was underperformng ro financi� �
� .. �, ecpecUtiom ard bvng mahet stwe-Even tlaugh the ho[N wu perfarming ro the las[managemen[
�` ; ...,...` c "s sUndards and mnimum brand standards.the
ortpairy propMy had ample room far impraremen[ �
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�' ����re���� � TheRicAhetdWategywutoimproveacupaMyandRevPARwiththeimpkmenGtionofa
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� ��� � e�nie�ced operauons team co�ined with a sotid rate strategy ard service enhancemmtx Upon
j stab4zing the kadership[eam,Richfield toot immediate steps to faus on busi�ess rthx semce�nd
�i RiUGrRnnOeNai 1ffi
?" i pricing lower ADR busuxss wu displaced wdh Mgher ratM accounts expecting more service am1 '�
. ' w��iV1°0f�' � luwry apenences.The team alw faused saks eRorts ard Ki stnt
x pr ng e�es agaimt arnval md
a���� departure patterru W create greata RevPAR cansistmcy. The goal was to mcrase AOR that � �'�
F�. +..-.���r;�„,. �ryy kad to an mcrtue m acupanty from multiple channeh derwed from boM kiwre aid �
`� capaace dertiand Smuttaneously the hotel improved rts opent�an by co�ining kadersMp
., xcountaWhnes and wtiau�new inceMHe ptans for key performance mdkators mckding gueu �
"' ....� � suisfxtan.Mand t�aNry.cortpetwve rrk.oreran nwrlcet share ana fvwncul perfornunce_TMs �
� rewlted n drarrunc axTeases from ap indices as weA x an imprwM oMme presence md mtoriety.
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Cantludng[he ht year of AKhfield operaGng lhe hotel,the lade Oallas acMeved 104�RevVAR mdex �, {
....,... .. . � ��W�'"�B�1'6 year over yeu vfiik Me marketplace improved 1354.The(otlowing year.kevPAR � .k.
s,� s'""''"' inda intreued�n addi[iona1195%for 1011 wRA a rardc of 1 a[of 7 baied on percent improvernent
ua..a WeeYend NevPAR mneased another 39.3%YOY wrth overalt RevDAR grow�g 253 YOY AI[oglthe. ��. W
.'�� Rich6eW openWm increued top line revenue an additional 589�md�ded SI.bM to hane profit
Empbyee satisfxtion scaes gew 6om 70i to 8796.AccaQ�ng W TripRMisor.The I�DaNas is
. � ,' + ,.....V ..,..... rinkEd wRhin th2 tOp five f10IM5 irl thP nqrklt—u OPpOi(d[o a28 0(187 wR7Mn the Di�lai mafke[
� �, prqr w Ricfi6eW aswmng nwrwgemeM o(the 1a[d.S�milarly,ihe Charlie DaMrxr wu ronked s8p ..
i m�d is�v the z3 0(1180 iestawancs in DaXas Oveiall the haeCs Guest Satistxtion Index continues y�
m rtwMam rop nnke�s artqr�g its NorM Mierican counterparts.
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Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
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i he S[Regis Ueer Vallry has IN guestrooms an0 suKes,znd is IocatM m Dccr VaNcry,onc of Park Gty's �
� �' � , _ mnst spertacular ski�reas with sublxre slopes,100 traik and great virws of Me Wasuch Mountaim ,
3 im%>�.,s:ira w���!!Cl�3t..s,✓-!.;'.���,: ,�
h a also near uniquc amactions likc the Gmball Art Cemcr,the Utah Olympc Park and thc Sundancc
'� . � Mettival.iiu(�Hsm�reholelfealurM7500x{uarcfmtnfindonrcvcntcparr,7,Wpsq�arefcelof ��. ,
�� out0oa Nnctan space,a full smice spa and varrous dxwig opnons. .
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�;,;.., �. . . . Therewrl,budtnaTi.edusedestu�auoninc�udi�gWxury�esicences.froctionalowr4vship,club
. , , , memAnstipandhm�JeExpa.wasperinrtningbeiowexpectationsdespiteilcwperb�farilitirewAhin `.,"��s'
r� �� he'r�m srek E fasr�toaSe ,.n the markNphce.AcUr�on behaif ot the ownesND BrWD,Rich(ield HospitaNty wm appaMed to sdve , .
� ��q�`� 77 ac the ewruYs rcmsrntativc tn assrt rturagcr hy cwersming tM rwicw and ap,xovat prncess fa � j�
� amual business plenrnngand budgets as well as ongoing managMient mersight Accardingly,Ruhfield
Wa.tY✓/+UkraVa�YC�.M IA :�
, prov;desatMsorysenicesinavnenhipardthehoteloperatmThixinr��udesoversigtxofmarket . .
� M"'��"�"�' u� positbningfinanci�perfo•manceaneprojMansaga�.nstincustrybestpractices,enwringtapiwl ��
�� � Hrut�m�.aaRe.ieanca� ts3 eapendiwresueR0ldmenandovenAoperatianseueedsstakeholAerexpecutionsxdcomrxWN �
. . obligations. .��,.�,y�
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tAe RKAfidA sva;egy was to accNerate top Ime rcrenue gmwth thwugfi gro�p�nE vansKnt busme� ; �
� aswelluop;imizngfoodzndbeverageatletswhikualmge+q�msestodemand Th�swuachievM �
� by rc depbying thc saks team ro makh new production gnak based on teeder markcts.The proprrty , �
� � also imxwetl revemx managertienc eYectneness by artrzcang mpre tuaative bus�ress arM ad;us[mg ��
� ., chamelmuugen�entVrrclrryr,sUategi�handdxcostofiales , i�,
x �' Rirhlield usM martaqmieM aersight aho nstiAed�nae s:ringent cmt cex�uols and opealars , k�
����� � accounhb�ity ro�mprovp frnecasti�r�xcwacy anA xal�ti lity ro irarke[x�nu�uhry.Wr[h a thnray,h ' �
'� �r �. undcruandingnitheprnqvtyandnsrturk�tcynarxctassM�mprrnertNnttweremadelo�apWre ', ��
,`�:�, . .....��... ..... ... mom food and brvera},e and$roup revenm w�ch together ern�eded R01 ex7ecta[rons. b�:
, _� ��
.. The Sc Regis peer W Iky utieved 29�YOY RevPAR ercrrase by k�dx�g rts marke:with 1335 AevPAR n
� kdex WiM the re-Aepbyed sales ard n�keGrg effares.group poduc[an i�wa�sed//%YOY resultMg ��;YS
. in p{owrcw rooms departmmt profi:s by 60`R whJe foad and bevmage deparGrKnt p�ohl�ew RQ'i . �����y.
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IhenNresultwownersfxpsfterdrrv��ngtuplmerrrenuesandxabngcostswasanastanc��ngSl9�, , �;
� year aver year GOP improvement.
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� Settnga new studud fa stylq this bartpue hotel unleashes an ulUa-rtwdern er.perience in
Downtown Miam,cortpkmeMed by swnning arctitecture,plush perks and great savice lonted in
� ' ttx biaUing arts disUict abng 8izcayne B�Y,the hotel boasts 56 extrava�nt rooms and wite;
aquisite dirdng rt Mnuse Restaurarrt&LoixigG and a rejuvenating spa and fimess cmta.
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Richfield usumed management of the hotel n)wie 2011 The hotcl was underperfortrung W financisl
ezpectttions ard lose�g rturket sfwre wi[h disappmna�g cmwmer reviews uid owrxr reaurK Despite ..
' v�curt, . �resideMiN saks within the mized-use building the hotN wu rqt meeting its rtsidmc's
. caa5eaw�s uami lr ���ther.Since its previous rome afiliation and prar yrar opming the hotd neYer xhiered ,
u�ndam«iMry r,nmi � credibk presence ard therMore requQed a camplete reCnnding and positioning,
A�'Wrtion A4raus 2% . �
far�E Miami 308 �
���� � The lEcchfield sUategy wu to positian the hotel as a 4-sUr boutique with a unWue Suest e�enenca
caaistmt with iMemational I�nwryarW its laal surrourdir�gs.Ttrs included a rebranding proposal ard
wuroy µami tq tactical plm that incorporated reprogamming the guest e�eriena with service enhmemerrts
�s°1°'� �4 cres[ing a new ideMity,improving service dekvery ard assaciate made,implemerrtng a property
mainterwnce pro�am,iMem�7ying sales and prwnotions wiN more mh�ced digi[al marircting social
media and camm�xtity relations while also mwringbeCx reverx�e mar+a�gemmt and online presence
'�w .� artang datribution channek By elevating tAe guat eaperimce to meet sukehdder expectatims,
� �i �, tatel reven�es wo�dd grav ala�g with merke[share and mmpetitive rank which in Nn would drive
� � � RevPAR,fnancial Ibw-thra�gh and owner rMums.Carrcunent with rebranding inRiaWeS Me Aotel
reedM tn quicldy stabii:e its ztalf and capmre more busirras to ertwre cash flow even if it woWd later �
;� „ be displaced with more promirerK did�le uid targe[ed xcowrts Witliin kss than�yer,Me Irohl i
w.,... ..,,_, was resmred to P���1'��Y P��within Me Miami huiury bwtique marketplace
'F[.,
n,e noca rmmaty�wwn u rmryo Miomi Q aoa:aeson wu�mra,�a casa M�ti Haa�spa,na
for the first time eamed i�fau�sUr and faur-diamond recognition TripAdvisar rank dimbed f�om the
metro-market bottom to fifth plxe aVong+vith othe�onli�e cauumer irdias.As af September ZOT�
. . tlie hotel Aas improved rnst saMings ard added Slm W GOP and NOl AN of the hotel's SfR grorrth
. kMica are hig�st amongst its ca�peCtive set whik ADR grew 47$.OttiM recogrvtim indudes iap 5
. spa in Minmi aM fntu�ed�ppnrmca on The iro�M Chara�arM sevenl ecposes in nterrutiorel �
� pubticatiorts inctud"uig Bw Apetit,Cande Nost and rww the houl is part of tfie Kiwi co9xtim.
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Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013 '�
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Richfield Hospitality�Proprietary&Confidenbal � Corporate Overview �August 2013 � �
• • • : • ' � ' • '
PHILOSOPHY
Our management philosophy is rooted in delivering owner profits and asset appreciation.
We are experts in delivering top line revenues while utilizing appropriate cost controls.
� --; We adapt to market conditions,retain exceptional talent,and appiy efficient systems that
�x` work well.
We are poised for strategic growth and offer flexible terms with preferred owner
relationships.
TEAM ATTRIBUTES
Richfield's organizational structure is designed to keep us responsive,timely,and entrepreneurial as
a company. We deliberately maintain a lean reporting structure,and we empower our associates
to be decision-makers,innovators,change-agents,thought-leaders,and creators. For our
associates to thrive, Richfield's organization structure combines leadership and resourcefulness
with a fast-paced,results-oriented,start-up mentality. Every one of our associates is focused on
maximizing hotel ROIC,profitability,and revenue-streams while concurrently exceeding guest
expectations at every touch-point along the way.
i We are laser-focused on aligning hotels with low-cost,high-performance hospitality
solutions while utilizing relevant data,market analysis,and competitive research in
,� the decision-making process.Whether the team is working with Richfield hotels or a
third-party business alliance partner,associates are highly engaged and dedicated to
working together to generate synergy and reach the best possible solution for
constituents within budget and timeframe.
Our associates are dedicated to aligning with Richfield and Sceptre hotels,external
clients,business partners,leadership team,fellow associates,and business
communities achieve the best results on every project and endeavor to benefit all
parties.We recruit and retain the best talent in the industry to ensure our clients'
expectations are exceeded at all touch-points;our level of expertise is a point of
differentiation among our competitive set.
We embrace the latest technologies,best practices,new media,and related
, , consumer trends,and then we research and pro-actively recommend ideas and
potential solutions to achieve maximum performance results for our clients.
Specializing in eCommerce solutions,Richfield delivers top-line revenue growth and
�, •� increased bottom-line profitability.In everything we do,we focus on return on
invested capital for our stakeholders.
____ _ _ _
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
TEAM PERSONALITY
Every brand is made up of team members who embrace the company's personality,or in other
words,its main qualities. The three traits noted below best convey the core characteristics that
resonate in every one of our team members and in the overall RHI brand image that our clients
embrace and expect.
•
40 year track record Focused,agile and quick to set Focused approach to adding
Experienced operators p�ans that smartly accomplish ROIC value and top line
objectives revenues
Richfield's team features a unique balance of strategic and tactical leadership that brings the rich
experience,creative ideas,and depth of skilis needed to ensure a successful transition,ongoing
management and an enduring partnership. Each of the Richfield team leaders is dedicated to a
successful transition of the property. Below lists the Richfield and Sceptre leadership that will
support your hotels.
RICHFIELD HOSPITALITY LEADERSHIP PROFILES
Greg Mount is the President of Richfieid Hospitality. He brings over 25 years of prominent hotel
industry experience to Richfieid,molding the firm's strategic growth plan that indudes acquisitions and
third-party management contracts.Mr.Mount also oversees Richfield's executive operations,
reservations and revenue management team.
Mr.MounYs extensive multidisciplinary background gives Richfield a distinct advantage pursuing
innovative growth opportunities in existing and emerging markets and plays a pivotal role in sourcing
and negotiating attractive investment opportunities.His in-depth operational experience enables him to assist owners on an
even stronger level to achieve the desired resuits. Mr.MounYs expertise includes mergers and acquisitions and strategic
partnership opportunities.His comprehensive background in hotel management,operations,sales&marketing,revenue
management,developmeni and acquisitions help to ensure that ail owned and managed hoteis wilf perform at their full
potential.
Greg Mount has had a distinguished career in acquisitions and operetions for global hospitality chains and independent hotel
management companies.Since 2007,he served as the Senior Vice President of Acquisitions for Sage Hospitality,where he
executed a number of strategic deals inciuding the off-market acquisition of the Westin Westminster.Prior to joining Sage,
Mount was with Starwood Hotels&Resorts Woridwide,heading up the fuli-service division responsibie for developing
franchises and management contracts for the Westin,Sheraton,Four Points by Sheraton,Le Meridien,and Luxury Collection
brands in the United States,Canada and the Cari6bean.Before joining Starwood,Mount worked in operations for Interstate
Hoteis Corporation and Marriott International Hoteis,working his way up through various Food&Beverage positions to
become Director of Operations before eventually holding various General Manager appointments.Mount earned his
Bachelor of Science Degree in Hotei,Restaurant and Tourism from LaSalle University and has received significant industry
recognition throughout his career.
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
�"' Bill Linehan is Chief Marketing Officer for Richfield Hospitality and Sceptre Hospitality Resources. He acts
� as a catalyst to market expansion,new product development,and corporate growth step-changes. Mr.
Linehan has an executive MBA and eighteen years sales and marketing leadership experience.His
�"` strengths and achievements are in business planning,branding,acquisitions,repositioning,product
� launches,go-to-market plans,franchising,channel management,alliances,marketing communications and
sales management.Mr.Linehan has core competencies in strategic planning and execution,brand
positioning,management,communications,new business development and market expansion.
Prior to Richfield,Mr.Linehan served as Managing Director at Hodges Ward Elliott the leading investment brokerage firm
within the hospitality industry. He also worked as EVP for a mixed-use development company,The NorthPoint Group,where
he was involved in new product development for retail,commercial,entertainment and hotei real estate projects.Other
notable industry experience inciudes IHG,Starwood and TravelPort as well as property experience with Hilton International
and Hyatt.At IHG,he served as Vice President of Marketing&New Business Development where he was responsible for
developing marketing strategies and strengthening IHG's development positioning as weil as identifying new business
opportunities that grow the distribution of IHG's brand portfolio.At Starwood,he served as the Vice President,Marketing
and Strategic Development Partnerships. In this position,he was responsible for leading global marketing efforts for
Starwood's Real Estate Group,which maintains the Starwood asset portfolio;investment initiatives;and global distribution
growth for Starwood's six upscale and luxury hotel brands. In his prior role with Starwood he was responsible for
distribution growth of Starwood's new-build prototype development.Linehan earned his Bachelor of Science from Johnson
&Wales and his Executive MBA from Lancaster University in the United Kingdom.
_ _ _ ._ _ - _ __ _
:�evcl. Manager�
Angela Landgraf is the Senior Vice President of Development&Management Services for Richfield
Hospitality. Ms.Landgraf brings more than 15 years of senior management experience in real estate
development as well as hotel operations and sales and marketing for international hotel companies. Ms.
Landgraf has an extensive background with a strong emphasis on growth and an impressive track record
in closing third-party management contracts. In addition,her expertise in creating value and helping
investors and owners with immediate solutions for the unprecedented challenges and opportunities of
distressed assets is an excellent fit with today's economic environment and Richfield's strategic vision.
Ms.Landgraf was previously with Sage Hospitality,where she served as Vice President of Management Services and eusiness
Deveiopment. During her tenure there,she secured multiple third-party management contracts while improving the
profitability for a diverse spectrum of properties. She has been recognized as a top sales producer and has held various
executive positions with Intercontinental Hotels Group,Starwood Hotels and Resorts Woridwide,inc.,Concorde
international Hotels,and Kimpton Hotel and Restaurant Group in both hotel operations and business development roles.
Her drive,motivation and desire to exceed expectations have made her an invaluable resource to owners and investors alike.
Ms.Landgraf is a graduate of Regis University with a Bachelor of Arts Degree in eusiness Management.
_ _ _ ____. _._ _. _ _ _ ___ _ _
Lee Rossiter joined Richfield in 1999,and is responsible for all aspects of finance,information technology
and purchasing for the company.His direct oversight includes the departments of Property Accounting,
,,s, Information 7echnology,Corporate Accounting and Purchasing. These departments are responsibie for
the accurate and timely production of financial statements,reiated information systems and purchasing
processes for all of Richfield's hotels. He works directly with owners and reviews property financial
� performance,budgets and cash flows. As part of the Executive Team,Mr.Rossiter works ciosely with his
fellow executives in evaluating potential acquisitions.
Mr.Rossiter's career has been devoted to the hospitality industry. He has previously held positions in full service properties
as Controller and General Manager for Stouffer and Renaissance Hotels.Mr.Rossiter received his B.S.in Hotel
Administration from University of Southern New Hampshire and is an active member of Hospitality Financial and Technology
Professionals.
_ __._... ____
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �A�gust 2013
Shannon Dierenbach joined Richfield in 2000,and is today our Vice President of Human Resources and
Risk Management. Ms.Dierenbach oversees aIl aspeds of Human Resources including recruitment and
selection,training,compensation and benefits,payroll,and employee awards. Ms.Dierenbach also
manages the Risk Management division which provides insurance placement and loss control services at
discounted pricing for hotel owners.
During Ms.Dierenbach's tenure she has spearheaded several initiatives which have resulted in
im�raved performance and cost reduttian including;leadership training,selettion progreme,and payrali strategies.Before
joining Richfield,Ms.Dierenbach held various Human Resources positions with Hyatt Hotels&Resorts where she was
recognized with several top performance awards. Ms.Dierenbach began her hospitality career with Four Seasons Hotels in
various operations positions.
Ms.Dierenbach is SPHR certified,and hold her Bachelor of Science degree in Psychology with Honors,from the University of
Massachusetts,Amherst. She is also a Board Member of the AHLA HR Committee Counsel.
�
As Senior Vice President for Richfield Hospitality,Allen Kramme oversees hotel operations and sales for
the Richfield portfolio. He is responsible for executing operational strategies to enhance performance
r_
results. With over 30-years of experience with leading brands and management companies,his goal is to
help facilitate the aggressive growth Richfieid envisions during the coming years.
� Prior to joining Richfieid,Mr.Kramme served as a hotel industry consultant and project manager,most
recently providing asset management services for St.Regis Deer Valley in Park City,Utah,a Richfield asset-managed hotel. A
veteran general manager,Mr.Kramme has experience opening,operating and repositioning fuil-service hotels across the
country. Before launching his consultancy,he held general manager and regional positions with Starwood Hotels&Resorts
Worldwide,Interstate Hotels&Resorts and Hyatt Hotels and Resorts. He holds a bachelors degree from Corneil University.
Will Loughran is Senior Vice President of Sales and Revenue Management. In this capacity he leads the
revenue management and eCommerce discipline on behalf of Sceptre and properties within the Richfield
'-� Hospitality portfolio of hotels. He is responsible for the revenue management discipline and related staff
`' throughout the organization where he oversees all related activities and eCommerce strategies that
balance financial objectives to maximize total revenues at each property. Mr.Loughran and his team are
accountable for leading pricing,positioning and inventory of all hotels along with necessary processes
associated with demand,revenue,inventory,forecasting and opportunity analysis.
A hotel veteran,Mr.Loughran has held top-line sales,operations,revenue,positioning and stretegic leadership positions.
With 17 years at Marriott and five years at Sage Hospitaliry,he has delivered excellent results and leadership.He has a
proven track record of transforming sales and revenue cultures,and his unique ability to recognize and create opportunities
deliver results in hotel and company performance. In previous roies with Marriott International and various properties
throughout the country,Mr.Loughran's experience includes leading cluster teams,creation of the First Market Sales
Organizations for Marriott,and a range of property-level sales,marketing and revenue management responsibilities.
He serves in several professionai hospitality organizations such as HSMAI,and he holds an MBA from Tulane University with
an undergraduate degree from Colorado State University.
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
. . � . . . � .
For over twenty years, Sceptre continues to exceed hotel expectations by connecting reservations,
capturing customer engagement, converting bookings, providing top-line revenue growth, and
increasing bottom-line profitability results.
Sceptre Hospitality Resources helps hotels maximize revenues through six core suites of synergistic
services designed to capture demand from all available channels and convert interest to
bookings. These services focus on delivering top-line revenues through the following categories:
r
' SCEPTRE HOSPITALITY
RESQURCES
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RESERVFiTiC)N5 7ECHNOLOGY AND CONNECTIVITY
Next-generation technology and connedivity
Sceptre new central reservation system Windsurfer CRS ("Sceptre CRS") is easy to use and has the
rich features and functionalities necessary to support delivering to the requirements of today's
complex channels.Sceptre's team has hands-on working knowledge of the system and can facilitate
your hotel's team navigation of the system quickly and easily, applying best practices thus saving
time and achieving richer results.
Sceptre's team monitors and evaluates technology platforms and tools frequently to ensure we are
delivering the functionalities required for our hotel partners to be efficient and competitive.
Sceptre CRS is continuously being enhanced to support your hotels to be ahead of the curve with
the best technology available to perform successfully in the ever changing competitive
environment.
Sceptre Windsurfer CRS
Sceptre CRS is the industry's most flexible and easy-to-use web-based central reservation and
distribution management system technology. It provides user-friendly property-level controls and
enables distribution through all channels including Global Distribution Systems (GDS), online third-
party travel websites,call centers,and hotel websites.
Global Distribution Systems To maximize hotel visibility and connectivity,Sceptre easily links to
all Global Distribution Systems such as Sabre,Galileo,Worldspan,and Amadeus,as well as
independent distribution systems(third party websites)by utilizing Sceptre CRS technology.
Electronic GDS is a growing channel that can produce substantial revenue benefits.
Direct Connect offers hotels supplementary electronic distribution to additional revenue-
generating markets by enabling Sceptre CRS integration with third-party websites and
eliminating separate extranets.
_. _ _ _ _ _._ __ __ _
Rich�eld Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
Dynamic Booking Engine Our premier booking engine, gives hotel operators complete control
of the booking engine design, an intuitive interface, merchandising flexibility, and a powerful
packaging engine. This top performing booking engine enables user performance with an
intuitive interface, merchandising flexibility, a powerful packaging tool, and overall engine
design management. Hoteliers prefer simple, user-friendly dynamic booking engine software,
and Sceptre is ready to meet that demand with advanced booking technology. Benefits of the
Dynamic Booking Engine include:
Marketing Flexibility
Merchandise your hotel by choosing the layout and design that best markets your
property, total pricing that displays specific breakdown of rates throughout the
shopping process, promotional pricing that displays percentage discounts and free-
night stay offers. With turn off/on functionality,colors,formatting to incorporate your
property's website branding elements, an integrated image gallery, and it's available in
19 languages with full translations that can be customized by your hotels allows you to
align your marketing needs.
Strategic User Interface that improves conversions
A fast, simple and interactive interface with an easy 3-step booking process that is
proven to be effective. The interface orients guests to quickly move from inquiry to
booking with intuitive fields and searching capability. Guests can also filter results
based on several variables as well as sort or modify searches without having to reload
or navigate back.
Dynamic Packaging that Increases Revenue per Booking
With dynamic packaging, consumers can buy pre-built packages and select specific
components to create truly dynamic packages that increase your revenue per booking.
These packages are easily customizable and allow for flexible pricing displays for flat
charges or pre stay, night or per person charges. Also included is the functionality to
allow for appointments to be made for specific times.
The Sceptre Mobile Platform The mobile booking platform is a segment that continues to grow
in recent years. Sceptre is ready with our proprietary mobile platform software that can reach,
capture, and track mobile-generated revenue opportunities.0ur focus on technology and
emerging consumer trends enables Sceptre to capitalize on new channels and new bookers
who demand Sceptre's expertise in this growing sector.
Property Connect Reservation Integration Sceptre's Property Connect keeps hotel connectivity
integrated and simply managed. Property Connect enables Sceptre CRS to operate as a single
source for reservation data while ensuring all hotel systems are collectively working together for
efficient integrated performance. Property Connect enables a hotel to transfer reservations and
data seamlessly across the CRS and other systems including PMS, Revenue Management System
(RMS),CRM programs,and guest loyalty programs.
Sceptre's team in-depth experience in hotel sales and marketing, together with expertise in
reservations technology, and voice services is able to deliver an effective solution while leveraging
advanced reservation technology and website marketing to enable your hotel to capture more
market share and increase your top-line revenue.
Richfield Hospitality�Proprietary&Confidentia] � Corporate Overview �August 2013
INNQVATIVE CRS TECHNOLOGY
We understand need for robust reservation services and technology to support hotel management
of the online distribution and reservations of your property. Sceptre,with its latest reservation
�_. W111C�SUt"�`E'1" platform;the Windsurfer CRS,is most qualified to be your marketing and distribution partner to
successfully deliver the needs of your hotel in its expanded business environment.
Windsurfer provides:
• The latest and most innovative CRS technology
• Advantages to being on a single chain code
• True chain functionality
• Easy reporting&above-store management
- Includes dynamic applications
• Ability to upsell
ITINERARY- Bf��KiNG CAPLISILITY
�� Our CRS allows for the sale of products or services that are add-ons to a room booking.
Whiteboard Labs is currently working on enhancing this functionality to take one step further in
the coming months (feature expected to be available in June) by allowing these "add-ons" to be
�' � inventoried as opposed to free-sell only. This allows our CRS users to generate revenue by
` upselling services or products relevant to a guest stay regardless of whether those products and
- services are offered directly by the property or by a third-party vendor. In addition to that
� enhancement, the support of"itinerary bookings" is also in the development release plan for the
end of 2012. Under the enhanced itinerary functionality, a guest will be able to not only book
activities tied to a room booking,or multiple hotel bookings, but also activities not tied to a room.
We welcome the opportunity to work with your hotel to ensure that your specific needs are
inciuded in our development plan as it progresses.
With our premier booking engine, we can also give you complete control of the booking engine
design,or work with you to customize a unique booking experience for your guests.
��,��� 11VTEEtNET MARKETING SERV1CfS
Our customized internet marketing services will include a web 2.0 dynamic website with search
engine optimization (SEO),to improve awareness and capture online bookings. Sceptre can build a
fully-optimized website developed as per industry best practices that will include:
• Premium Content Management System(CMS)tool
- Next generation,multi-function CMS
- Automated content push to social media profiles and mobile site
- Ability to add new content pages on the fly
- Special offers manager
- Featured special promo tile manager
- Interactive event calendar manager
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013 •
- eRFP manager(meetings/weddings/groups)
- Press room manager
- PDF upioader
- Ability for chain level website and property microsites
REVENUE MANAGEMENT SERVICES
� SCEPTRE RE�Ehii � As fhe induSfry exp��tS in revenue, race, cf5�nnel, and consortia management, we know how to
,,_ - engage these functions to create unique revenue opportunities that positively and directly impact
� your RevPAR, R01, and profit flow through. Our services include assisting your hotel with the
following:
• Price and Inventory Strategies
• Online channel visibility
• Third Party Distribution channel strategies
• Search Engine Optimization
• Online Reputation Management
• Branded Promotions
VOICE SERVICES
Sceptre provides a highiy customized call center service powered by our partners at ThingS. Based
thing5 on your hotels attributes, we can suggest services that Sceptre can provide for your voice
reservation needs. These services include:
• Property-level customization
- Detailed Property profile
- Local area attractions
- Specific booking packages
- Cross-property booking opportunities
- Multiple caii types
• Multipie toll free or DID numbers to track
• Different marketing sources and different call types
• Ticketing platform with escalation tiers and notification systems
• Booking Reports by location and in aggregate
• Overflow,Seasonal and After Hours service
HOTELiQ BUSINESS INTELLIGENCE
Hotel L� With Sceptre's advanced decision science system, HoteIIQ Business Intelligence, your hotel can
� capture your performance statistics using measurements and metrics unique to our platform.
Using various data source systems, Sceptre combines business science with hotel management.
This tool can assit in the way you make strategy decsions for operations, revenue management,
and sales&markerting,its features include:
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013
• Forecasted&historical performance measurement
• Configurable dashboards
• Scalable to properties,portfolios and brands
• Statistical analyst benchmarked to industry best practices
�r�'H tVl�1fV�1��1'�dl��v�
SpaLinx, the web-based enterprise spa management and distribution service system would be
�' t�I N X �deai for any hotel spa, by providing an easy to use interface, customers have the ability to book
online appointments.The platform offers an integrated system capable of providing customizable:
• Spa descriptions
• Length of service
• Price options
The system also displays real-time reporting, allowing you to view month-to-date sales,
appointments remaining in the month, most profitable service, top customers and which
employee is generating the most sales.
VISUAL COMMUNICATIONS
We can help market any hotel with MotionNotes, Sceptre's interactive communications and
: ` 3° '".�1111�IOteS�� analytics platform that will allow your property to create, distribute and track personalized media
�� ����� � "� messages. Our digital communications platform allows you to send rich multi-media messages
including photo galleries,YouTube videos and documents. We recommend using this platform for
reservations and sales,such as:
• Responding to customer inquiries with video brochures and other attachments
• Sending reservation confirmations
• Providing potential clients with proposais and contracts and track their receipt and usage
• Engage guests by delivering virtual postcards with custom media.
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �August 2013 '
Richfield Hospitality,Inc.
7600 East Orchard Road,Suite 230 South
Greenwood Village,CO 80111
(303)220-2000
.
This response is confidential and proprietary. The content of this materia!is confidential and proprietary to
Richfield Hospitality,[nc.,and may not 6e reproduced,disclosed,distributed,or used without the express
permission of an authorized representative of Richfield. Facts and figures are provided without representation or
warranty and are subject to change without notice,and were deemed correct at the time of printing or submission.
Richfieid Hospitality,[nc,is not responsible for misrepresentation,errors or omissions.
�O 2013 Richfield Hospitality,lnc. All rights reserved.
Richfield Hospitality�Proprietary&Confidential � Corporate Overview �AugUst 2013 ��
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