Investment

TOTAL: 1.95 MM USD

Investor:
0.95 MM USD (48%)
Property
1 MM USD (52%). Size of lot: 20,180 m2
(Contribution of domestic investor)

Financial Indicators

IRR: 16.05%

Recovery Time: 10 years


Management Model

Local investor seeks partnership for the design and construction of Boutique Hotel, currently owns land strategically located within a tourism beach zone in Ecuador.

Benefits for the investor

Benefits must be directly registered in the Internal Revenue Service (SRI) at the time of filing a tax return.

  • Five-year exemption for new investments
  • Up to 10-year exemption of Income Tax in tourism in areas affected by the earthquake (Manabí and Esmeraldas)
  • Reduction of 10% Income Tax in the reinvestment of profits to acquire new productive assets
  • Double tax deduction of depreciation costs of productive fixed assets for five years


Tourists

  • # domestic tourists: 299,479
  • # international tourists: 43,413
  • Hotel occupancy: 25.71%
  • Average rate: 42.19 USD
  • Revpar: 10.80 USD


Property Information

Size of lot: 20,180 m2 (Contribution of domestic investor).


Project Details

The vision is to provide differentiated and satisfactory services to users, incorporating a modern outlook of management, technology, an appropriate management model with permanent training to its staff, in order to be able to position itself short term as the first touristic alternative of the province, ensuring an attractive profitability for investors and steady job sources.


Technical description of the Project

The facilities projected:

  • 60 double rooms
  • 10 double-bed rooms
  • 20 four-bed rooms
  • 8 executive suites
  • 2 presidential suites


Accessibility and Utilities

  • Accessibility: the main access road is a primary street
  • Utilities: water, electricity, telephone, internet coverage


Regulatory Framework

Organic Code of Production, Trade and Investments.


Location

  • Province: Esmeraldas
  • Canton: Atacames