Damage calculation after loss of turnover – Amsterdam
Key Service: Strategic Advice
Product: Damage calculation
Project description: The construction of the new North/South metro has led to the detriment of a centrally located hotel in Amsterdam. The created damage by the construction of a metro station has potentially resulted in a decreased occupancy and lower achievable room rate, causing revenues and profits to decline.
Horwath HTL Approach: to determine the degree to which the respective hotel underperformed compared to the competitive-set, a full benchmark analysis has been conducted. Based on the comparison, the loss in turnover could be estimated forming the basis of the compensation claim.
Project status: the claim was approved, and the hotel has received compensation.