Capital Partners
An operator that speaks the language of capital.
Duco Hotels understands that a hotel is both a real estate investment and a business run day to day. That's why every partnership starts with the owner's investment objectives, and we shape our management model to support the asset's long-term value and commercial performance.
Partnership models
Partnership models
01
Hotel Management Agreement (HMA)
Base and incentive fee. The owner carries the profit-and-loss risk. Direct board involvement — not routed through a distant regional office.
02
Franchise + Management
Duco Hotels holds the franchise and manages operations under a single agreement.
03
Lease agreement
Duco Hotels leases the property and takes full responsibility for the asset's operating result; the owner receives fixed or indexed rental income. We actively offer this model.
04
JV / Co-investment
PropCo/OpCo or HoldCo structures for development-stage opportunities. Terms are project-specific and negotiated directly — every partnership model is shaped around the project.
The right structure depends on the asset, the investor's return requirements and the stage of the project.
Value creation
Value creation
Strong RevPAR
IDeaS G3 together with the brand's direct sales and booking channels consistently delivers a RevPAR index above the market. Higher RevPAR grows NOI and, in turn, asset value.
Efficient cost and profitability management
Centralised procurement and shared services across the portfolio. Managed hotels target a strong GOP margin at stabilised operations — reported monthly, not at year end.
Brand premium at exit
A hotel with a franchise agreement and a proven operating track record, run under a recognised international brand, achieves a materially higher exit multiple than an unbranded asset in the same location.
Flexibility
Our management agreements include clearly defined performance criteria and the owner's right to terminate if agreed targets are not met. This principle is part of every agreement we sign.
Transparency and reporting
Transparency and reporting
Cadence 01
Monthly owner report
P&L versus budget, RevPAR index versus the competitive set, occupancy and ADR breakdown, GOP variance analysis and a forward view of bookings and demand. Same date every month.
Cadence 02
Quarterly strategy review
A meeting or video review with Duco Hotels' board. Business strategy, competitive position, investment needs, market outlook.
Cadence 03
Annual budget approval
You approve the operating budget before it takes effect. No fee increases or strategy changes happen without owner sign-off. Full audit access on request.
Frequently asked questions
FAQ — Capital partners
Let's discuss the opportunity.
We are actively seeking capital partners for new projects in the Baltics. If you are considering an investment in hotel real estate, let's talk directly — no intermediaries, no pitch deck before we've spoken.