2006 – 2014
CHMW was selected following an RFP process to serve as the QPAM (Qualified Professional Asset Manager) and assumed fiduciary responsibility of The Westin Diplomat in early 2006. The scope of services included full responsibility of operational oversight and investment management decisions related to the property. We worked in tandem with the Starwood operating team for over eight years on everything from capital project planning and renovation oversight; developing and implementing strategic asset plans and monitoring all aspects of the hotel’s performance to optimize asset value; evaluation and pursuit of development rights and land entitlements; and various investment strategies for optimizing returns for the ownership group. Developed on the site of its historic namesake in 2002, the Westin Diplomat is an architectural landmark and is among South Florida’s finest resort destinations. The property offers 1,058 rooms, nine food and beverage outlets, the 50,000-square foot Diplomat Landing retail center, a 14,000-square foot Heavenly Spa, and an 18-hole golf course.
Identified cost savings of approximately $1M related to consolidating the operations and rooms inventory of the two hotels (Westin and the Luxury Collection Diplomat Club) into one hotel sold under the Westin brand.
Operational Asset Management
- Increased food and beverage departmental profit by $21M with 50% profit flow through, resulting from outlet reprogramming and improved operational efficiencies.
- Pursued and negotiated the entitlements to develop on an adjacent parcel of land, increasing the value of the overall property by $8M.
- Assumed responsibility for the ownership-level accounting, translating into owner savings and improved financial controls and oversight.
- Continually reviewed and monitored staffing levels, operating hours, expenses, revenue management practices, etc. CHMW estimates our asset oversight and initiatives implemented since inception equate to $150M in incremental asset value.
Capital Planning & Oversight
Over our eight-year tenure as asset manager, we planned and executed on a total of $56M million in capital projects at the resort, including a full guestroom renovation, multiple F&B re-concepting projects and in 2013, the development of a $5M new Westin Heavenly Spa.
We executed a sale in 2014, which was honored as a single asset transaction of the year at the American Lodging Investment Summit.