Invest in development of a 5-star all inclusive beach resort & spa near Cartagena, Colombia. Book early to receive valuable incentives.
Experienced team of developers, architects, hotel managers. Hotel will be operated by one of the top brands in the luxury all-inclusive hotel category
2. INVESTMENT
Series 1 Non-Voting Units
Name: Development of a 5-star Hotel & Resort in
Cartagena/Colombia
Number of units: 5,000
Price per unit: $1,200
Annual dividend: 12%
Redemption: Greater of market price and the issue
price per unit at end of the fourth year
3. VISION
BUILD A UNIQUE, LUXURIOUS BEACH RESORT & SPA IN
CARTAGENA
THE ONLY 5-STAR ALL-INCLUSIVE
WITH ADULTS ONLY AND FAMILY SECTIONS
BUILT AROUND A MASSIVE BLUE WATER LAGOON
4. MARKET OPPORTUNITY
CARTAGENA is an emerging mass market tourist
destination, reminiscent of the Mayan Riviera & Punta
Cana in their early development
5. THE PROBLEM
Successful vacation destinations offer a full range of
hotel types
Cartagena falls short on luxury all-inclusives. There are
only two all-inclusive hotels in Cartagena and none of the
hotels planned and under construction have been
designated as all-inclusive.
All-Inclusive vacationers search for new destinations and
a “different experience”
Cartagena & its historic center fill the first need but
current and new hotel developments are not meeting the
differentiation need
6. OUR PRODUCT
5-star All-Inclusive Resort & Spa
Massive Lagoon with a Blue Water, White Sand Beach – the only one in
Cartagena
Two hotels in one...Adults Only and Families
Luxurious Villas & Rooms in and around the lagoon. None less than 60 m2
Gourmet Dining – 6 dining venues, providing a unique, high quality culinary
experience
Variety of Pools
Entertainment that dazzles
First class Spa & Sport complex
Child’s Play - multi sensory nursery, unique outdoor play facilities and the
highest quality childcare
7. CONCEPT
Hotel design taken from two concepts:
Villas in the water (Maldives)
Man-made blue water lagoon
13. Hotel Cost
Capital Cost – US$100million
Land $16,000,000
Construction Costs $44,000,000
Furniture & Fixtures $11,000,000
Professional Fees & Services $ 7,000,000
Working Capital $15,000,000
Capitalized interest $ 7,000,000
14. SOURCE OF FUNDS
• Crowdfunding $ 6,000,000
• Debt Financing $ 45,000,000
• Sale of Real Estate $ 57,000,000
• Total $108,000,000
NOTE: $6,000,000 of the Sale of Real Estate proceeds will be used to
redeem the Series 1 Units and $2,000,000 will be used for working
capital.
15. TRACTION
PROMOTER: Alberto Araujo, part of team that built two hotels
DEVELOPER: Fernando Araujo & Prodegi, led the design and
construction of hotels in Cartagena & Panama
ARCHITECT: Carlos Ott, known for award-winning designs
HOTEL MANAGEMENT COMPANY: Karisma, offers a unique,
luxurious product and complete distribution system
REAL ESTATE COMPANY: Araujo y Segovia, one of the largest
real estate companies in Colombia will lead the marketing
and selling of real estate to Colombian investors
LAND: 91 hectares prime, spectacular beach front real estate
16. KARISMA HOTELS & RESORTS
Brands
El Dorado Spa Resorts & Hotels - Adults Only
Azul Hotels - Adults & Families
Gourmet Inclusive® Experience
Hotel operations in Colombia, Mexico, Jamaica, and Europe
Knows Colombia
Supported by an extensive Tour Operator Network
Centralized marketing, sales, call centre, social networking
17. MARKETING
Winter primary markets
Northeast & Midwest USA
Canada
Colombia
Summer primary markets
UK & Europe
Southern USA
South America
Colombia
18. GROWTH STRATEGY
Core Tour Operators: will add origin markets
Specialty tour operators: new origin markets
Piggyback on expected airline flight frequencies and
continuous promotions
19. COMPETITION
In Cartagena
All-inclusive Hotels:
Decameron Baru
Occidental Grand Cartagena
4 and 5 Star EP Hotels
Other vacation destinations 4 and 5 Star All-inclusive
Mexico: primarily Cancun/Riviera Maya
Dominican Republic: primarily Punta Cana
Cuba
Caribbean
20. SWOT analysis
STRENGTHS
Hotel Concept
2 hotels in one
Experienced Team
Cartagena & its historic center
Reliable year round warm
weather
Karisma
OPPORTUNITIES
Develop extra land
WEAKNESSES
Colombia’s reputation
THREATS
Lack of airlift to Cartagena
Hotel capacity
21. REVENUE MODEL
Several channels of distribution in play:
Tour operators
Online travel agencies
Travel agency networks
Direct sales
Convention organizers
Rates for each depend on commitment and volume
22. REVENUE MODEL
Base Room Rates AIPPPN Mix US$ COP$
(all-inclusive per person
per night)
HOTEL ROOMS
Tour Operators $100 35% $35
Online Travel Agencies $120 35% $42
Groups and Conventions $160 10% $16
Atolones Direct Sales $160 20% $32
$125 $312,500
$310,000
VILLAS
Tour Operators $140 25% $35
Online Travel Agencies $170 40% $68
Groups and Conventions $220 10% $22
Atolones Direct Sales $220 25% $55
$180 $450,000
$450,000
VILLA SUITES
Tour Operators $175 15% $26
Online Travel Agencies $210 45% $95
Groups and Conventions $280 10% $28
Atolones Direct Sales $280 30% $84
$233 $581,875
$580,000
28. KEYS TO SUCCESS
Product Differentiation; value for money
Karisma’s 5-star management and their distribution
system
An outstanding service ethic from top to bottom
Cartagena’s growing appeal
29. INVESTMENT
Series 1 Non-Voting Units
Name: Development of a 5-star Hotel & Resort in
Cartagena/Colombia
Number of units: 5,000
Price per unit: $1,200
Annual dividend: 12%
Redemption: Greater of market price and the issue
price per unit at end of the fourth year
30. USE OF CROWDFUNDS
Land Purchase – payments 1 & 2 US$5,323,000
Startup Funds 367,000
Design Work 180,000
General Working Capital 130,000