WHAT IS AN APARTMENT HOTEL AND HOW IT OPERATES?
Apartment hotels is a new global trend in the hotel business. It's unique because hotel rooms are owned by several individual investors, who have purchased and handed them over to the hotel operator for management.
Once a hotel is opened, the investors receive dividends from the hotel's operations and can stay there for free.
Why choose Lviv?
Over 100 festivals
Approximately 2.5 million
among cities in terms of accomodation quality
Convenient transport links
with Europe and Kyiv
in the historic center of the city on Vynnychenka Street, former Panska Street (Street of Lords). Svobody Avenue, the monument to Danylo Halytskyi, the Church of St. Andrew, and the Arsenal Museum are just three minutes away from the hotel. The house where the hotel is situated has a fascinating history of being owned by prominent historical figures of Lviv at different times.
15 original-design apartments
with furniture and appliances necessary for a comfortable stay
with a reception desk working 24/7 to ensure that every guest enjoys their stay to the fullest
It has a panoramic view
overlooking the entire city where guests can relax and dream while looking at the stars.
Ceiling height is 2.9 m
Fourth floor plan
AND INTERIOR DESIGN
- Wall plastering
- and coating
- Wall painting
- Skirting board
- Toilet bowl
- Cabinet with a basin
- Shower mixer
- Basin mixer
- Glass wall
- Towel rail
- Wall tile
- Floor tile
- Coffee table
- Ceiling lamp
- Entry door
- Bathroom door
- Bedside cabinet
Appliances and electrical accessories:
- Switches and sockets
- Electric kettle
- Hair dryer
- Safe box
- Decorative fixtures
Average annual occupancy - 75%
|Average room rate over 5 years||63|
|Yearly gross income per room||17 283|
|Room costs per year
(utilities, salaries, marketing, maintenance and cleaning)
|Income per room||14 320|
|Management company share 30%||4 296|
|Investor share 70%||10 024|
For an 18.2 sq. meter apartment costing USD 63,700 –15% per annum
Payback period 6.5 years
What is a pool?
A pool is a form of association of investors that creates a common fund of participants' profits and distributes profits among them according to a preliminarily agreed ratio. Every property owner in our project pool gets a dividend from the hotel's profits. Its amount depends on the number of apartments purchased and the performance of the hotel.
What will be the principle of calculation of investor dividends?
Income will be accrued based on the actual occupancy of the hotel for the reporting period. It will be distributed among the apartment owners in proportion to the area purchased by them.
Can an investor stay at the apartments?
Of course. However, investors can do so only in an allocated period, subject to prior notification of the intention to stay to the apartment hotel management company.
What is the planned completion date of construction?
Completion is scheduled for Q3 2022.
What does the cost of apartment hotel management include?
When you sign a contract to manage the apartments, the management company takes over all of the costs to support the hotel operation, including utilities, salaries, laundry, tourist agency commissions, and more. Later investors will get a complete list of all expenditure items.
When will I start to get income?
After the hotel starts operation, you will begin to receive quarterly income from your property rental.
How will an investor be able to track the key performance indicators of the hotel business they got a share in?
It has already been noted that an experienced operator, which will comply with all international norms and standards in terms of transparency, reliability and security, will manage the apartments in our complex. All information about the activities of the apartment hotel will be available to investors in the form of quarterly electronic reports.
How often will I get dividends?
Dividends will be paid to the hotel complex investors on a quarterly basis.
Can I manage my own apartments?
The business model of Just Apartment uses the principle of maximum profit at optimum cost. This can be achieved by managing all the apartments in a common pool. The technical specifications of the property do not allow for individual management of the apartments, as its MEP systems are designed only for collective use.
What tools will be used to ensure that Just Apartment's daily occupancy is higher than the stated 75%?
After mass vaccination, the hotel market of Lviv, as expected, witnessed a tourist boom, which yielded an over 90% occupancy rate across the industry. Given the revival of the market, year-round tourist demand and the extraordinary location of the facility in the city center, we came up with a weighted average of 75% occupancy.
What loan facilities are available to your investors?
We have a special 0% interest installment plan. You can learn about its terms when visiting our sales office and consulting with our colleagues.
Can I read the Management Contract?
This document can be provided upon the request. It includes key and strategically important provisions that have already been set forth in our Purchase and Sale Agreement.
At whose expense will the running repairs, replacement of dishware and bedding, other things be performed?
When you sign a contract with a management company, it undertakes to cover all costs. However, they will be included into its management fee.
Can I register apartments as my place of residence?
The current system of residence registration in Ukraine allows to register residence only in residential premises. The legal status of the apartment hotel provides no such
Is there a discount for those who pay 100% of all due amount?
We offer a pricing system that you can familiarize yourself with when visiting our office.