|Siegel// (c) 2011 Hospitality CPM|
Hospitality CPM (Construction Project Management), led by Stephen Siegel, has launched to help hotel owners manage growth in required renovations.
The company represents owners’ interests throughout the design, planning, bidding and implementation of hotel renovation projects and new construction. Hospitality CPM (HCPM) was spun off as a wholly-owned subsidiary from Paramount Hotel Group, an independent hotel management and ownership company.
The company is led by Stephen Siegel, president, a 25-year veteran of hotel development, renovation and construction. Siegel has completed more than $1.5 billion in hotel capital projects over the course of his career, including construction project management for 100 AmeriSuites, 35 Wellesley Inns and the annual capital improvement plan for the 225-hotel portfolio of Prime Hospitality Corp., a former NYSE company.
“As the hotel industry begins its return to normalcy, we foresee a significant wave of renovations triggered by accelerating hotel sales and franchisors becoming stricter in enforcing brand standards,” said Siegel. “This surge in Product Improvement Plans (PIPs) is typical in this phase of the hotel real estate cycle.
“Renovations today are much more complex than they have ever been,” Siegel continued. “Once, an owner could add new televisions and install rounded shower curtain rods to meet their PIP obligations. Now, they must contend with ADA compliance, environmental, energy, governmental and tax issues, which makes the process much more challenging. Given our considerable experience and expertise, we saw a long-term opportunity to act as a completely separate operation and become more actively engaged with other hoteliers on renovation and construction projects.”
“During the due diligence phase of a hotel acquisition, we provide prospective investors with realistic timelines and cost estimates to understand the total project investment, help identify and understand any physical plant issues uncovered by third-party consultants, and provide a better position to negotiate the PIP with the franchisor,” Siegel said. “As project managers with significant experience interfacing with operations, HCPM provides the coordination to ensure that all parties are on the same page with concept and costs and ensure a smooth transition that is critical to a successful project completion.