What is the meaning / definition of Hotel Asset Management in the hospitality industry?
This term describes the practice of managing a hotel like an asset, rather than solely as a business, as it is common in hotel management. Hotel asset managers thereby see the hotel as a resource that generates income or other returns in multiple ways, not only through providing products and services to its consumers. They are thereby able to generate income streams from parts of the property that are often overlooked. Hotel asset managers do not only focus on how best to generate income from hospitality aspects but might also look to rent parts of the property for other more profitable aspects.
An asset manager acts on the behalf of the owner. His/her duties depend on the hotel, but in general, this person has to manage the global strategy of the hotel, to optimise all the revenues. This person is included in revenues decisions but also on the operation level.
Hotel Asset Management can be done by a person, department or hotel asset management company depending on the size and type of hotel. In some cases, the asset management of a hotel is done by the accounting department.
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