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the hilton rhodes resort

i x i a , g r e e c e

HVS HODGES WARD ELLIOTT


the hilton rhodes resort
i x i a , g r e e c e
HVS HODGES WARD ELLIOT T
{ e x e c u t i v e s u m m a ry }

INTRODUCTION
HVS Hodges Ward Elliott has been exclusively commissioned
to offer for sale the Hilton Rhodes Resort. The hotel contains
402 rooms and is one of the leading 5-star resort properties on
the Island of Rhodes.

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• The Hilton Rhodes Resort is a 402-room five-star hotel with a beach-front


location, situated in Ixia, Rhodes. The property is one of the premier resort
hotels on the island.

• The hotel opened in 1993. It benefits from extensive conference and


leisure facilities, as well as large guestrooms (standard rooms of 32 m2).
The property has a total built area of approximately 62,250 m2 and stands
on a land plot of approximately 85,000 m2.

• Rhodes is the fourth largest Greek island and benefits from numerous
attractive beaches, unspoilt villages and historical attractions. The
island has the largest number of hotel beds of all Greece’s islands, which
combined with its accessibility and excellent climate, makes it a leading
Mediterranean leisure and convention destination.

• The hotel is located within walking distance from the island’s two largest
conference and convention centres, which are also two of the largest in the
Mediterranean region. Both are important demand generators for the hotel.

• From opening up to 2000, the hotel was operated by Grecotel. Since then,
the hotel has been operated by Hilton International under a management
agreement. This management agreement will be terminated upon a sale.

• In recent years, the hotel has performed well below its full potential.
Through improved operating efficiency, scope exists to substantially
improve the profitability of the hotel.

• The hotel is offered for sale by Ionian Hotel Enterprises S.A., a member of
the Alpha Bank Group.

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Hotel History
Ionian Hotel Enterprises S.A. (the “Company”), a
member of the Alpha Bank Group specializing in hotel
assets management, undertook in 1987 the construction
of a hotel property in Ixia, Rhodes, currently operated
as the “Hilton Rhodes Resort” (the “Hotel”). Τhe architect
team consisted of renowned Greek professionals,
including Mr. Tombazis, Mr Dekavalas, Mr. Georgiadis,
and Mr. Kiriakidis.
Hotel construction was completed in 1993, and
the Hotel started operating under the management of
Grecotel S.A. The inauguration ceremony was conducted
on June 1993 and the Hotel assumed full operations
shortly afterwards under the name “Rhodes Imperial
Grecotel”.
The management agreement with Grecotel expired
on 31st December 2000 and Hilton International has
since undertaken the Hotel management and has
been operating the Hotel under the name the “Hilton
Rhodes Resort.”

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Hilton Rhodes Rodos
Ixiaa (Rhodes) Location
Trianta The Hotel is situated on the north-west side of the island, on the beach of Ialyssos (Ixia),
Diagoras a picturesque townlet surrounded by orchards. It is set between a beautiful green hillside
International
Airport
(Mt Filaremos) and the beach of Ixia, combining sea and mountain views and providing
Kamiros opportunities for diverse activities. It is just 13 kilometers from the Diagoras International
Afantou
Airport and 4 kilometers from the city of Rhodes. A footpath for walks connects Ixia bay to the
Alimia
city of Rhodes. A link road that connects the Hotel to the main island artery of Rhodes - Lindos
Archangelos
facilitates guests’ transportation.
Emponas
The west side of the island combines popular resorts, important archaeological sites,
and picturesque villages. Important sites include the church of the Dormition of Theotokos
(Virgin Mary, Mother of God) with its famous woodcarved temple, the Acropolis of lalyssos
Chalki
Lindos (just 6 km away), and ancient Ialyssos, one of the most important archaeological sites on
the island located on the hill of Filerimos, that hosts the remains of the temple of Zeus and
Vatio Athena Poliada as well as the remnants of the Byzantine fortifications, the 14th century church
of the Knights. A winding island road leads up to the ancient town of Rhodes, one of the few
preserved medieval towns in Europe featuring the buildings in which the Knights of St. John
lived six centuries ago.
Ixia is one of the most touristically developed regions of Rhodes Island, hosting two of
Kattavia
the largest and most complete conference and convention centres in the Mediterranean.
Milder weather conditions are prevalent on the west side of the island compared to the east
section. In particular, Ialyssos Bay is considered one of the most favorite sites for windsurfers.

RHODES In addition, Afandou Golf Course is just 17 kilometers away.

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Property Overview
The Hotel is one of the most luxurious properties on the Island of Rhodes,
ranked as a five-star property by the Hellenic Chamber of Hotels (only 12
hotels in Rhodes island, out of 988 in total, are ranked as “five-star”). It is
distinctively built in steps against the green hillside, overlooking the Aegean
Sea. The Hotel lies in 85.000 m2 of lush landscaped gardens, providing a
selection of swimming pools, a private beach and a range of restaurants and
bars, as well as modern meeting and conference facilities.
Its exterior design combines elements of the Rhodian as well as modern
Greek architecture. Local craftsmanship has been extensively utilized to
lend to the building a very unique character. Typical examples comprise the
facade of the building as well as most public areas of the Hotel, such as the
main lounge area and restaurant Castellania, that are artistically veneered
with “Rhodian plaster” respecting the regional architectural tradition. The
high quality interior design features local marble and wooden paneling
which gives the impression of elegance and space, offering luxurious,
sophisticated facilities for the leisure or business traveler. To add further, the
utilisation of natural daylight is prevalent in all public spaces, the main lobby,
the restaurants and the conference areas of the 6th and 7th floor.

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PRIVATE BEACH FRONT


Ixia beach has been awarded the blue flag for purity and cleanliness.
The private beach is accessed directly from the Hotel via an underground
pedestrian tunnel. The Hotel has been granted a license for the exclusive use
of its beach front.

ROOMS
The Hotel provides 402 rooms, with sea or mountain view.
The room size is significantly larger than that of the competition, since
the hotel’s average room size is 32 m2, compared to 24 m2 for the average of
the corresponding 5-star category.

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TYPE OF FACILITIES DESCRIPTION


Luxury Suites (3) • Two-bedroom suites, offering spacious sitting room and dining room facilities. They also offer the possibility of connection to two
regular guest rooms, making it practically a three-room facility and allowing for diverse space utilisations.
• Two of the luxury suites are on the 10th and 11th floor, with magnificent views over the Aegean sea. The total rooms’ area is 200 m2
including the bathroom, plus a 24 m2 balcony.
• The third luxury suite is on the 5th floor, occupying 131 m2, including the bathroom, plus a 24 m2 balcony.
• All luxury suites are sumptuously & stylishly decorated.

One Bedroom Suites (6) • 6 One-Bedroom suites with sea view


• They offer spacious separate sitting room areas.
• One-bedroom suites are elegantly decorated and occupy areas that range between 52-64 m2 including bathroom, plus 6-12m2 of
balcony. They can accommodate up to three adults or two adults and two children .

Junior Suites (37) • 24 Junior suites with sea view


• 13 Junior suites with mountain view
• Spacious rooms with combined bedroom and sitting room areas, extending over 39 m2, including bathroom, plus 6m2 of balcony.
They can accommodate up to three adults or two adults and two children.

Standard Rooms (355) • 99 Double/Twin with mountain views


• 256 Double/Twin with sea views
• Guest rooms’ area range between 28-32 m2 (most of them are 32 m2) including bathroom, plus 6-10m2 of balcony. They can
accommodate up to three adults or two adults and one kid.

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89 guestrooms have been recently renovated (58 in 2002 and 31 in 2004). Direct-dial telephone lines,
in-room safe deposit, fully equipped mini bar, hair dryer and individually controlled air-conditioning and fan
coils to provide fresh air, interactive TV system including satellite channels, information channel and pay TV,
electronic lock (including secondary locking device) are a few of the amenities offered at each room. Extra
amenities offered in the Suites are two additional telephone lines (one in the bathroom and one for computer
access), tea & coffee making facilities, iron & board, and electronic lap-top safe. Finally, smoking and non-
smoking floors are separated.
The following table provides more details regarding the distribution of rooms on each floor:

Double/Twin Double/Twin Suite Suite Bedroom Sea View View


Floor Sea View Mountain View Sea View View Suite Luxury Suite Total Total

1 12 12
2 22 2 24
3 24 3 27
4 24 4 28
5 21 4 1 26
8 35 11 2 1 37 12
9 39 17 1 39 18
10 27 21 2 3 1 1 31 24
11 27 24 3 4 3 1 34 28
12 25 26 5 4 2 32 30

TOTAL 256 99 25 13 6 3 290 112


• Total number of rooms in advertising brochure is 401 because one of the luxury suites (on the 5th floor) is currently occupied by Hilton Rhodes Resort General
Manager.

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RESTAURANTS & BARS


The Hotel includes 3 restaurants, and 2 bars offering a varied range of
food and beverage destinations/environments
CASTELLANIA

Main restaurant of the Hotel, ideal for buffet breakfast, lunch and dinner,
situated on the 6th floor, by the 6th floor pool, extends over 1,588 m2, and
can sit up to 400 people, 350 indoors and 50 outdoors.
SPECIALITY RESTAURANT

Restaurant-bar on the 6th floor that offers exclusive dining experience,


elegantly decorated in a fusion of Mediterranean-Asian style. It is an area of 472
m2 and can accommodate up to 210 guests, including 50 in the bar section.
PERGOLA

Restaurant situated by the main outdoor swimming pool. It is a casual


venue, ideal for outdoor a la carte lunches, pool snacks, and dinners. It can sit
up to 170 guests, including 50 in the bar section.
PIANO LOUNGE BAR (LOUNGE BAR)

Bar adjacent to the 6th floor pool, which offers a cosy atmosphere. Total
area is 280 m2 and can accommodate up to 162 guests, including 14 in the
bar section.
POOL BAR

Just outside the main swimming pool, adjacent to Pergola restaurant, for
entertaining day and night.

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CONFERENCE AND MULTI-PURPOSE EVENTS FACILITIES


The property can accomodate a wide range of events by use of its multi-purpose conference facilities. Specifically, the available conference areas are the following:

Imperial Conference Center/Ballroom Situated at the main lobby level (at the 7th floor), adjacent to the Business Center, the Imperial Conference Center is comprised of:
• Two ballroom areas (Imperial A & B)
• Ballroom areas foyer (Imperial Foyer)
• 2 large meeting room areas (Artemis & Ariadne)
• Boardroom (Aphrodite Boardroom); specially designed (based on Hilton specifications) to host high-level meetings; equipped
with state of the art facilities such as specially designed table, automated pull-down projector screen, private coffee-break
amenities, etc.

All Imperial Conference Center rooms can be combined into one single unit/room that can accommodate events for up to 1,600
people. It is an excellent venue for all events from small meetings to large congresses, with natural light and large terraces
for coffee breaks overlooking the wonderful Aegean Sea. Standard conference infrastructure (video/slide/overhead projectors,
flipcharts, LCD TV, etc.) is available.

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Lindos Conference Area Situated one floor above the main lobby area (8th floor). Comprises of 5 different rooms of two sizes (48 or 77 m2) that can host 50
or 70 guests in theatre seating each accordingly.
Ideal for break-outs, separate work sessions/work groups and parallel panels during a conference.

Elafos Conference Area Situated on the 6th floor, adjacent to the Castellania Restaurant/Bar. It comprises 3 different rooms which can accommodate 65,
65 and 130 guests in theatre seating respectively.

The Bar and Foyer section at Elafos Conference provide an ideal space for conference coffee breaks and drinks, small receptions
for conference guests. Elafos Rooms have also successfully been used in the past for special viewing sessions and animation
activities.

Kamiros Conference Area Situated on the 6th and 7th floors, comprises three multi-purpose conference rooms connected via an internal staircase.

The design of the Kamiros Conference Area makes it ideal for independent small-size conventions of up to 200 guests capacity,
with the possibility of three parallel panels/ work sessions. Its separate (from the main Hotel lobby) entrance, allows for conference
privacy from the rest of the activities or other conventions that take place simultaneously at the hotel.

Business Center Equipped with two computer terminals boasting internet connections, several telephone lines, a fax machine, two printers, and
a photocopier, providing all necessary support to accommodate the business needs of hotel guests.

Internet Café A host of computers with internet connection, located by the main swimming pool, allows guests to keep in touch with their life
abroad.

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Conference facilities are equipped with state-of-the-art technical and


audio/visual conference infrastructure including microphone installations,
slide, overhead and video projectors systems, as well as LCD TV and flip charts.
In addition, conference areas have complete mobile telecommunications
coverage by all three Greek cell phone providers. Possibilities for external/
outside catering, based on the conferences’ demands are also available.

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The following table summarises the conferences and meeting rooms’ dimensions and capacities
based on different seating arrangements:
Dimensions Maximum Capacity
Ceiling
Room Name Height (m) Area (m2) L/W (m) Banquet Reception Classroom Theatre

IMPERIAL CONFERENCE CENTER


Imperial Ballroom A + B 5.0 618 16.6*18.6 620 900 500 820
Imperial Ballroom A 5.0 309 16.6*18.7 280 420 230 360
Imperial Ballroom B 5.0 309 33.2*18.6 280 420 230 360
Imperial Foyer 3.2 418 33.2*12.6 360 550 - -
Artemis 3.2 64 8.0*8.0 50 70 50 65
Ariadne 3.2 136 17.0*8.0 120 150 110 160
Aphrodite 3.2 64 8.0*8.0 50 70 50 65

Combined Imperial Conference 1,918 1,760 2,580 1,170 1,830

LINDOS CONFERENCE AREA


Lindos 1 2.6 48 8.0*6.0 - - 40 50
Lindos 2 2.6 77 8.0*9.6 - - 55 70
Lindos 3 2.6 77 8.0*9.6 - - 55 70
Lindos 4 2.6 77 8.0*9.6 - - 55 70
Lindos 5 2.6 48 8.0*6.0 - - 40 50

Combined Lindos Conference 327 0 0 245 310

ELAFOS CONFERENCE AREA


Elafos 1 3.2 64 8.0*8.0 50 70 50 65
Elafos 2 3.2 64 8.0*8.1 50 70 50 65
Elafos 3 3.2 112 14.0*18.0 100 120 90 130

Combined Elafos Conference 240 200 260 190 260

KAMIROS CONFERENCE AREA


Kamiros 3.6 368 23.0*16.0 100 250 100 170
Zeus 3.6 368 23.0*16.0 130 300 130 200
Ialyssos 3.2 136 8.5*16.0 70 90 70 110

Combined Kamiros Conference 872 300 640 300 480

TOTAL CONFERENCE CENTER 3,357 2,260 3,480 1,905 2,880

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SWIMMING POOLS
The property offers three swimming pool alternatives:
• Main Outdoor Swimming Pool: Situated on the ground floor,
surrounded by nicely landscaped gardens, the Dance Floor, and the
Pergola Restaurant. One of its key points is its unique design topped by
a nicely architected bridge. It is supplemented by a Children’s / Paddling
Pool for younger guests, on one of its sides.
• 6th floor Outdoor Swimming Pool: Adjacent to the Castellania
restaurant and the Lobby Lounge, it offers panoramic view of Ixia Bay and
provides for an alternative relaxed swimming and sun-bathing experience.
• Indoor Heated Swimming Pool: Part of the Health Club and the Indoor
Squash Courts, it offers another indoor exercising option, and a swimming
alternative during the winter months.

Detailed dimensions of the swimming pools are presented in the


following table:
Swimming Pool Dimensions

Dimensions
Floor Area (m2) Height (m)

Main Outdoor Swimming Pool Ground Floor 560 1.6


Outdoor Swimming Pool 6th Floor 256 1.6
Indoor Heated Swimming Pool Ground Floor 180 1.6

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SPORT, HEALTH & LEISURE CLUB AND ENTERTAINMENT FACILITIES


The hotel offers a wide selection of sports and recreational facilities of the Hotel, as described below.

Indoor Fitness & Leisure Centre: • Sauna,


• Jacuzzi,
• Indoor swimming pool,
• 2 massage rooms (21 m2 )
• Fully equipped Health Club with machines for Fitness Training and areas for aerobic/group classes. Fitness classes can also be
performed outdoors by the swimming pool area at the Dance Floor.
• 2 indoor squash courts. These are the only squash courts on the island.

The main area of the Health Club extends over 144 m2 covered with special purpose carpet, and the supplementary rooms comprise of a total of 70 m2. A gym equipment
storage area of 8 m2 is also available.

Outdoor Sport Facilities: • 2 outdoor tennis courts - floodlit and they can also be set up as basketball or volleyball courts,
• Outdoor table tennis,
• Beach volleyball court set up at the private beach front area,
• Water polo facilities installed at the main swimming pool,
• Outdoor Children’s Garden equipped with innovative recreational amenities,
• Also, independently managed Water Sport Centre on the beach is available, offering windsurfing, jet skiing, wakeboarding, water
skiing, canoeing and motorboat excursions,
• A choice of two outdoor swimming pools

Games Room: Adjacent to the indoor gymnasium facilities, it offers a wide selection ranging from traditional board games to darts, table tennis,
air hockey and a pool table.

Entertainment / Animation Facilities • Dance floor by the pool,


• Conference rooms used for entertainment.
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Rhodes, due to its geographic morphology, mild weather conditions


(the longest summer in Greece with nine months of sunlight) and sports
infrastructure, is ideal for diverse athletic activities.

• Winding paths on the island’s numerous hills provide the setting for
memorable walking and mounting trekking while enjoying magnificent
views and visiting cultural monuments.

• The Mediterranean Sea morphology in combination with the geography


of the island (easily accessible sea shore and several small/protected
bays) makes it ideal for most water sports such as jet-skiing, water skiing,
canoeing, and motorboat tours.

• Windsurfing is prevalent in the northern part of the island, where the


hotel is situated.

Afando Golf Course • Additional sports facilities available on the island include, inter alia, golf
course, football pitch, indoor basketball courts and a cycling track.

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RETAIL OUTLETS
Two Shopping Arcades within the hotel offer a variety of shopping spaces
sufficient for diverse retail/concession alternatives like mini market, tailor/clothing
shop, jewellery & art shop, and hairstyling & beauty treatments studios, among
others.
More specifically:
• 1st floor Shopping Arcade offers nine individual store spaces ranging
from 9-96 m2
• 7th floor Shopping Arcade offers four sizeable individual store spaces of
around 24 m2 each.
All stores are connected to hotel’s central air conditioning/heating facilities.
None of the store spaces have window or door openings to the public road,
only towards the private Hotel property areas.

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Detailed store dimensions information is presented in the following table:

Shopping Arcade Store Dimensions

Location Unit Area (m2)

First Floor 1 26.0


2 28.0
3 24.0
4 9.5
5 11.5
6 11.0
7 34.5
8 9.5
9 96.0
10 9.0
Total 259.0

Seven Floor 1 24.0


2 24.5
3 24.0
4 25.0
Total 97.5

Total Shopping Store Area 356.5

The variety of stores that operate currently in the shopping arcades, include:
• On the 1st floor: mini market, tailor shop, women’s accessories store
(occupies two combined store areas), hairdressing salon and casual
clothes’ store. One of the remaining stores is currently utilised as an
animation room for young kids.
• On the 7th floor: jewellery shop and the Business Centre

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TRANSPORTATION
A Car Rental desk is available in the hotel lobby area and a 100-space underground Car Parking, of total size of 2,500 m2, exists. An additional plot of land of 4,000 m2 ,
owned by the hotel, is also currently used as an open-space parking area.
INFRASTRUCTURE
A fire detection system is installed in all public areas. All the guest rooms are equipped with two water sprinklers each.
There is a central air conditioning system with three chillers (four compressors each).
BUILDING SYNOPSIS / KEY CONSTRUCTION DATA
The overall land area is 85,000 m2. The total built area is 62,254 m2, including the underground
parking and all recreational spaces and support rooms.
The edifice is divided into two sections/wings, upper and lower. Floors 6 and 7 are the
common floor for both wings. There are separate foundations for the two wings and all the
necessary expansion joints exist. Foundation is supported with armed bind-beams. Standard
construction techniques have been followed: reinforced concrete foundation with interior
and exterior walls made of brick. Overall, the construction is deemed very solid by external
evaluators.
Due to the ground incline, there is effectively no underground space. All of the
supplementary/supporting areas (engine room, laundry, parking, maintenance, storage, etc)
are internal, and usually located between floors 1 and 4. All storeys have balconies and all
floors are covered with wall-to-wall carpeting. Frames are metallic, doors are wooden with T30
fire protection grade, and the facades are covered with plaster.

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Detailed information of the building layout on a floor-by-floor basis is presented in the following table:

Floor-by-Floor Building Layout


Floor Area (m2) Facilities Floor Area (m2) Facilities
g
0 3,740 Underground Car Parking 6 7,054 Central Kitchen area
1 3,886 12 Rooms «Castellania» and Speciality Restaurants
Pergola Restaurant and Pool Bar Piano Lounge Bar
Outdoor pool Conference rooms ELAFOS
Indoors Heated Swimming Pool CAMIROS Multi-purpose rooms
Health Club, Sauna, Jacuzzi & Massage Rooms Outdoor swimming pool
Two tennis and two squash courts Staff cafeteria
Outdoor children garden Training room
10 Stores Goods receiving area
Biological cleaning plantroom 7 5,841 Central Lounge Area - Reception and Business Centre
Outdoor pool machinery Management Offices
2 3,101 24 Rooms IMPERIAL Ballroom, Board Room and Meeting Rooms
3 3,967 27 Rooms 3 Stores (4th store utilised as Business Center)
Machinery/Engine room 7B 4,486 Machinery floor
4 4,063 28 Rooms 8 4,600 49 Rooms and 5 LINDOS Meeting rooms
Machinery/Engine room 9 4,416 57 Rooms
Maintenance room 10 4,144 57 Rooms
5 5,001 26 Rooms 11 4,006 62 Rooms
Storage Rooms 12 3,815 62 Rooms
Laundry and Linen Rooms 12B 134 Machinery/Engine Room
Linen Room Total 62,254
Staff Dressing Rooms

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the hilton rhodes resort
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CAPITAL EXPENDITURE
Significant investments have been made to the hotel property since its
completion in 1993, totaling up to €4.2 million, and include replacements,
extensions and renovation of key property facilities.

Schedule of Capital Expenditure


1994 - 2005

Addition and Operational


() Replacements Equipment Total

1994 125,852 60,590 186,442


1995 104,160 40,266 144,426
1996 49,288 49,336 98,624
1997 11,830 73,368 85,198
1998 354,524 35,454 389,978
1999 640,706 31,008 671,714
2000 321,424 50,895 372,319
2001 906,865 100,145 1,007,010
2002 335,034 89,369 424,403
2003 2,311 200,367 202,678
2004 397,715 143,423 541,138
2005 560,000 72,000 632,000

Total 3,809,709 946,221 4,755,930

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Expenditure for the last five years has primarily targeted the modernisation of the convention facilities, amounting to €1 million and include the following:
• construction of the boardroom,
• creation of a business centre,
• upgrading of conference halls according to the standards of Hilton Meetings,
• Business center and computer room configuration.
In addition, during the last five years, investments to renovate the Hotel public areas as well as the rooms and to upgrade systems infrastructure and other equipment
totaled up to €1.5 million and include the following:
• construction of a supplementary pool bar,
• renovation of the lounge bar,
• refurbishment of 87 rooms (27 on 5th floor, 30 on 12th floor, and 30 on 11th floor) that amounted up to €1 million in total,
• improvement of systems infrastructure, and installation of new software programs,
• new equipment,
• improvement of fire, life and safety system in all rooms.
A capital expenditure plan suggests additional required capital investments in the area of €3-4 million within the next 3 to 5 years to cover renovation of the rest of the
guestrooms, refurbishment of the health club, replacement of gym equipment, and substitution of the refrigeration towers.

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OWNERSHIP AND MANAGEMENT


The hotel is owned FREEHOLD by Ionian Hotel Enterprises S.A.
“Ionian Hotel Enterprises S.A.” was founded in 1957 and is a member
of the Alpha Bank Group, which, according to recent data, participates in its
share capital with an 90.28% stake. The company is listed on the Athens Stock
Exchange.
The “Hilton Rhodes Resort” operates as a branch of the Company, under a
management agreement signed on 21 June 2000 with Hilton International.
This management agreement will be terminated upon a sale of the hotel
and, therefore, can be acquired by a purchaser unencumbered by the Hilton
brand and management.

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Introduction
Rhodes (or Rodos), one of the most beautiful islands in the North Eastern Mediterranean
Sea, is the fourth largest of the Greek islands and the largest in the Dodecanese island
complex that lies south east of mainland Greece. It is a scenic spot comprising unique
beaches, unspoilt villages, varied landscapes and historical sites. Its landscape comprises
mainly of hills and low mountains.
Rhodes is the third most popular destination in Greece (based on annual tourist
arrivals’ figures), following Athens and Heraklion, Crete. It has become a leading leisure
and business destination due to its ability to attract all types of tourist activity year round.
Characteristically, monuments from its turbulent history can be found throughout
Rhodes, intermingled with modern hotels, bars and restaurants.

HVS HODGES WARD ELLIOT T 37


Konitsa Aoo 1978
Chasia
the hilton rhodes resort
s Tyrnavos Agia
2497
Verdikoussa Larisa
Kalampaka 1054

P
Metsovo Nikaia
Ereikoussa
i x i a , g r e e c e 2204 Trikala Farkadhon Stefa
Ioannina io s
Pi n e
oi s
THESSALIA Rigaio

i
906 Katsikas 2469

i
Thyam
Mathraki Filiates Pramanta Pyli
Liapades Karditsa Sofades Farsala

Ara
LOCATION AND ACCESSIBILITY Kerkyra (Corfu) 2393 Ac

n
Paramythia 1974

chth
Kallifoni Almyros
Igoumenitsa 2184 Neo Monastiri

helo
os
Rhodes is located at the southeastern edge of the archipelagos of the Kerkyra IPEIROS

os
Domokos 1
Perdika Thesprotiko
(Corfu) Lefkimmi

d
Kanallaki 2042 Pelasg
Dodecanese, facing the shores of Asia Minor, which are about 9-10 kilometers Parga Filippiada Petas Stylida
o

Va
Arta
Makrakomi Lamia

os
Tavrop
away. Paxoi 2315 Spercheios Molos

lto
I
Easy accessibility to the island via the airport and the sea port, facilitates
Antipaxoi
Preveza Amvrakikos Kolpos
Krikellos
Karpenisi
s 2152
Oiti
Agio

u
Kifisos

(
Vonitsa Amfilochia
S

o
2510 Kato Tithorea
travelling to and from other regions of Greece and abroad: IONIOI NISOI Giona

I
Lefkada Palairos 1924
1589 Amfissa 2457
• There are daily boats from Pireaus (Athens port) and frequent connections Lefkada 1158 Kandila DYTIKI ELLAS Thermo Parnassos

o
n i
Agrinio Itea
L. Trichonida

Acheloös
(Leucade) Panaitolio Mataragka
to the rest of the Dodecanese islands (Patmos, Kalymnos, Leros and Astakos Nafpaktos

n
Akra Doukato os
Aitoliko

n
Korinthiako

Mor
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Kos) as well as to other islands in the Aegean sea, including the popular Mesolongi Aigio
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Ithaki
Santorini, Mykonos, and Crete. There are also less frequent ferries to P a t r a ïk o s K o l p

o
Ithaki Akra Araxos Vrachnaïka
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islands at the Northern side of the Aegean Sea (Samos, Chios, Lesvos and Lixouri Argostoli 2341 2374

i
2221 Kyllin
Limnos) as well as to Thessaloniki, the second largest city in Greece. Kefallonia 1627 Poros
Akra Mounta
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• Highspeed boats allow for daily excursions or overnight trips to nearby Gastouni
P e l o p o n n i

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Akra Skinari Vartholomio

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locations (such as the islands of Simi, Kastelorizo, Kos, Kalymnos, Patmos, Platanos 1981
i Zakynthos
756 Zakynthos Pyrgos
Krestena
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Tilos and Leros) and the Turkish sea shore. Daily cruises around the island
n s (Zante) Akra Marathia
Akra Katakolo

Kyparissiakos
Zacharo
1419
Megalopoli
visiting isolated pristine beaches are also available.
d o Kolpos
Kato
Figaleia
Agios

PELOPONNIS
• There are several daily flights from Athens and three flights a week from s i Kyparissia Meligalas
T
) Arfara

av
Santorini. Charters directly from major European cities are Filiatra

g
Strofades 1224
Gargalianoi Messini
Chora Kalamata
arranged during the summer months. Proti 24
Petalidi
• British Airways has two direct flights per week, on Wednesday PylosLonga Messiniakos
Kolpos
Methoni Koroni
and Saturday, from London Gatwick. Sapientza Akra Akritas
Schiza

38 HVS HODGES WARD ELLIOT T


a
Akra Sigri 800

s)
or
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p

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Gioura Polichnitos

i S po Lesvos

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io
Piperi Plomari Akra { m a r k e t o v e rv i e w }
ore
S (Lesbos) Maleas
noviki 1551
V ern Kyra Panagia
rt h
Volos (No Alonnisos Peristera
Pagasitikos Argalasti 680
Patitiri
Skantzoura
Akra Kartsino
VOREIO AIGAIO
Nea Anchialos Skopelos
Akra
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Skiathos Skopelos
Skyros
Skyros Vamvakas Izmir
792 Marmaro
530
1726 Istiaia Valaxa Antipsara 1297
gia Psara Volissos
Loutra Akra Sarakiniko Akra Kymis Chios
Aidipsou Mantoudi Kymi Chios
Voreios 1343 1743 Oxylithos
Ev
vo Akra Meston Pyrgi
os Konstantinos ï k o Psachna Ochthonia
s Nea Artaki

STEREA ELLAS
Malesina K o l p
Martino
Drosia
os
Chalkida Aliveri Krieza Evvoia (Euboea) Akra Masticho

Orchomenos Akraifnio Eretria Samos


Davlia
Levadeia
Aliartos Thiva
Schimatari Agioi
Avlida
Apostoloi AEGEAN SEA
Almyropotamos Akra Kafireas Neo Karlovasi
1434
Samos

Marathokampos
1413 Marathonas 1398 Akra Fanari
1748 Kapareli Erythres Akra Kampanos
Parnitha Nea Makri Platanistos
1409 Nea Liosia Kifisia Kolpos Karystos Andros Makronisi
Mandra Petalion Gavrio Agios
o Kopo
s Zografos Petaliori Andros Ikaria Christos Kirykos
s Peristerio 994 Arkoi
Agathonisi
kastro
Kiato
Loutraki
Megara Salamina

Agioi Theodoroi
Koropi
ATHINA (Athens)
Keratea
Tinos
Akra Livada
1033
Akra Papas Leipsoi
Voula Agios Dimitrios 650 Patmos
Zevgolatio Salamina Gyaros Tinos
Korinthos Palaia
ni (Corinth) Peiraias Fokaia
Lavrio Kea Gyaros
Ermoupoli
Mykonos
Leros

D
Mykonos
Nemea Chiliomodi Sofiko
Kallithea Kea Syros Rineia
Kalymnos
678

(
Aigina Loutra Poseidonia
dila Agios Donoussa Kos

o
1199

os
Argos Kalymnos
s o s Lygourio Naxos Levitha

rim
Georgios

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Poros Poros
Kythnos Kanala 846

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d
i Nafplio
Paros Paros Naxos e Kos
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o
1113
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Kefalos
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Serifos 821
k Rodos (Rhodes)

d
Kranidi Ydra Serifos 771 Keros Gyali Trianta
Antiparos Amorgos e
Ar olp

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698 Nisyros AkraVoudi
go o s

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K
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Sifnos Kamares Kamiros


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a n Alimia Archangelos
a

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n Leonidi i s Emponas
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r

Ios Anydro 1215


o
n M i r t o ö
Kimolos
Polyaigos
Sikinos
Sikinos
735 Ios Ofidoussa n Chalki Lindos
Sparti Velopoula Falkonera
Antimilos
NOTIO AIGAIO
Syrna e o s Vatio
Milos
s
ge

Geraki Folegandros
E vrotas 751
P é l a g o s Milos Folegandros
e
to

Anafi Anafi
404 Thira
) Kattavia
s

Akra
Arna
Skala Molaoi
Ierax
Thira 566
Pachia Makra
Akra Prasonisi
Ananes Emporeio Zafora
Papadianika Monemvasia Akra Paraspori
Gytheio
Areopoli Lakonikos
( C y c l a d e s ) Karavonisia
Astakida Diafani
Kolpos Neapoli
Akra Maleas
Elafonisos Chamili Divounia Karpathos
Vathia Karavas SEA OF CRETE 1215
Akra Tainaro
Potamos Kythira H V S H O D GKarpathos
ES WARD ELLIOT T 39
507 Avlemonas

Kythira 600 Akra Kastellou


Akra Kapello
Avgo
Kasos
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SIZE AND POPULATION


The island covers an area of 1,398 square kilometers, and its population
exceeds 110,000 people.
WEATHER
Rhodes has around nine months of sunlight annually, which sets it as
the sunniest place in Greece and one of the sunniest in Europe. Its climate
is subtropical and healthy. Refreshing westerly winds moderate the summer
heat, while the winter is nearly always mild, with long periods of sunshine.
Temperatures range from 19°C to 35°C between April and October and from
10°C to 22°C between November and March.
RHODES
Rhodes’ rich history dates back to before 3000BC, when the first
inhabitants arrived. It was not, however, until around 1550BC when the
Minoans arrived followed by the Myceaneans and the Dorians in 1100BC,
that Rhodes began to flourish. Since then, numerous peoples and countries
ruled the island before it finally became part of Greece in 1948 along with all
of the other Dodecanese islands.

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RHODES KEY ATTRACTIONS


The island is split into 10 Municipalities, each offering distinctive
attractions and catering to a variety of tourist interests:
Municipality of Rhodes - Home to the historic old town of Rhodes,
this is a region rich in history. The City of Rhodes was founded in 408BC.
Designed by architect Hippodamous, Rhodes became one of the most
beautiful cities of its period. The city was transformed into the medieval
city we still see today, when the Knights of St. John conquered the island
and built strong fortifications, magnificent buildings, wide roads and
numerous squares.
Modern Rhodes Town is currently inhabited by well over 60,000 residents.
It is also the first port of call for many visitors due to its commercial harbour.
The city’s infrastructure is well equipped for tourism and offers a wide variety
of entertainment from nightlife, shopping and beaches to historical sights,
family facilities and numerous parks and squares for relaxing.

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The major attractions of the municipality of Rhodes include the


following:
• Old Town of Rhodes - the World Heritage listed that the “old town of
Rhodes is the largest inhabited medieval town in Europe”.
• Hellenistic Stadium - built in the 3rd century BC and used for the Alioi
Games.
• Roman Odeon - still used for events today.
• Temple of Pythion Apollo - the patron deity of the city.
• Aquarium- the most important marine Rhodes Aquarium
research centre in Greece.
• National Theatre - plays and concerts
are held here throughout the year.
• The temple of Aphrodite - dating back
to the 3rd century BC.
• Rodini Park - home of the famous Rhodian Deer. Also contains the
remains of an ancient necropolis and the Tomb of Ptolemy.
• Grand Master's Palace - once the headquarters of the leader of the
Order of the Knights of St. John. Now a museum containing important
archaeological finds from ancient and medieval Rhodes.
• City Art Gallery - containing works of art by Greek painters.
• Archaeological Museum of Rhodes - numerous exhibits including the
statue of Venus.

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Municipality of Lalyssos - This is a thriving and popular tourist resort region, with modern hotels
suitable for holidaymakers, business travellers and conferences alike. Its location on the north westernly
part of the island protects it from the strong southerly winds, making it a haven for watersports. Inland, the
region has an abundance of archaeological sites, with picturesque countryside and excellent sea views.
Municipality of Kallithea. Stretching the length of Faliraki beach, the region has numerous
churches which are well worth visiting, but what really attracts the crowds are the beaches, the hotels,
entertainment and Italianate spas. Kallithea Bay is home of the Italian spa complex and exotic vegetation,
while Traganou beach exhibits impressive rock caves.
Municipality of Petaloudes - The region comprises numerous villages, communities and valleys.
Although very much a rural area, tourism to the municipality is starting to grow. There are many
attractions here from Byzantine monasteries and churches to unique flora and fauna. The villages are
also very welcoming, and locals and tourists mix in the traditional village tavernas. Key attraction is the
Petaloudes (“Butterflies”) Valley, an area of natural beauty famous for its panaxia quadripunctaria butterflies.
Municipality of Afandou - Combining the villages of Afandou, Kolymbia and Archipoli, this is a very traditional region where locals still retain their customs and simple
manners. It has plenty to offer to visitors, especially outdoor pursuits. Main attraction is a 18-hole golf course, close to Afandou beach, that is open year round. Little Afandou
train, great for families, makes the circuit round all the interesting sights in the region, including the beach at Afandou Bay.
Municipality of Kamiros - This is one of the most important regions of Rhodes, with numerous historical sites and areas of natural beauty. The ruins of the ancient city
of Kamiros were discovered in the 19th century and are still open today for visitors to see. There are many monasteries throughout the region. Salakos, a traditional village at
the foot of Profitis Ilias, is known for its picturesque countryside and natural springs and is ideal for walkers. The Church of Agios Nikolaos is one of the most beautiful and
esteemed Byzantine churches in the Mediterranean region.
Municipality of Archagelos- Probably one of the most traditional regions of Rhodes, the municipality of Archangelos still retains its particular character. While the
region has hotels for visitors, they are family run affairs, rather than the larger hotels found on the rest of the island. Natural beauty is unmatched combining a beautiful valley

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with clear springs and enormous plane and pine trees, and small picturesque
harbours. There is also much evidence of arts and crafts since pottery and
hand-made tapestries are still practised.
Municipality of Ataviros - Mt. Ataviros is the highest mountain on
Rhodes, overlooking the other nine villages that make up this region.
The area is a combination of mountainsides covered with vineyards and
villages, rugged coastline and isolated beaches. The stunning ruins of the
Medieval castle of Kritinia, and the castle of Monolithos are a few remnants
of past glory.
Municipality of Lindos - Combining several picturesque villages, this
region is steeped in history with the main point of interest being the huge
Acropolis. Built on a steep rock 116 metres high, the Acropolis overlooks
the town of Lindos, which it has protected since the 4th century. Lindos is an
attractive town with unique architectural style of pretty houses, magnificent
flower filled courtyards and narrow streets with tavernas, shops and
restaurants.
Municipality of Southern Rhodes - Rhodes’ largest region, Southern
Rhodes is made up of 12 villages and is very different from the rest of the
island. Most of the villages date back to medieval times and have retained
their unique character. Apolakia Dam, an important development on this
part of the island, has been built to create a natural reserve and is home to a
variety of unusual plant and bird life.

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Tourism Infrastructure
Rhodes is one of the most popular tourist destinations in
Greece, as arrivals’ distribution statistics show. Rhodes ranks
third, based on arrivals by planes that comprise 81.82% of total
arrivals in Greece. In addition, the Islands of the Aegean Sea
(Dodecanese and Cyclades) account for 32.6% of total annual
tourists staying in Greece, compared to Creta (27.3%), Ionian
Islands (13.7%) and Attica (9.1%). (ICAP survey data).
SEA
Rhodes port is one of the busiest ones in Greece, as
Rhodes is featured on the itinerary of many cruises originating
in Greece and some from other countries as well.
Port Annual Activity
2001 - 2004

Boats Cruiseships
Volume Growth (%) Volume Growth (%)

2001 248,698 416,584


2002 293,975 18.2 % 347,768 -16.5 %
2003 315,037 7.2 374,445 7.7
2004 321,898 2.2 350,448 -6.4

Compound Annual
Growth Rate 6.7 % -4.2 %

Source: Hellenic Chamber of Hotels, 2004

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AIRPORT
The third busiest airport in Greece, represented in recent years total
arrivals figures:
Airport Annual Arrival Volume
1997 - 2005
Total Arrivals Growth (%)

1997 1,028,500
1998 1,111,672 8.1 %
1999 1,335,875 20.2
2000 1,340,830 0.4
2001 1,361,951 1.6
2002 1,288,132 -5.4
2003 1,228,120 -4.7
2004 1,162,169 -5.4
2005 1,193,547 2.7

Compound Annual Growth Rate 1.7 %


Source: Hellenic Chamber of Hotels, 2004

CASINO
Casino Rodos located at the Grande Albergo delle Rose boutique hotel
complex is situated in Rhodes town, found on the northern tip of Rhodes. It
is only a fifteen-minute drive from Diagoras International airport and a five-
minute drive from the hotel.
HOTELS
The supply of hotels in the island is abundant with a large
percentage of luxury hotels, a data point that speaks to the level of
overall tourist development of the island and the number and type of
tourists it can attract.

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The Hellenic Chamber of Hotels conducts annually a rating of all hotels,


based on both the property evaluation (public space and individual rooms)
and the overall service offering. Hotels are classified in five distinct categories,
of which the “five-star” is the highest one.
The island offers the largest capacity (hotel beds) in Greece, as portrayed
in the following table of the top four (in capacity) Greek tourist destinations:
Capacity

Rhodes 68,738
Heraklio 60,680
Corfu 43,529
Chalkidiki 41,745

The largest luxury (five-star) hotel complexes in Greece reside in Rhodes,


and the island offers in total the largest capacity of five star hotel rooms
& beds in Greece. Locations that offer the majority of the luxury (five-star)
hotels in Greece are:
Hotels Rooms Beds

Athens 13 3,834 7,182


Heraklio 12 3,570 7,214
Lasithi 12 2,247 4,307
Rhodes 12 4,622 8,860

The distribution of lodging facilities in Rhodes is as follows:


Hotels Rooms

5-star 2.5 % 12.8 %


4-star 21.3 46.6
3-star 24.9 19.0
2-star 36.8 18.4
1-star 14.5 3.3

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The cumulative 2004 hotel rankings of the top four destinations in Greece (Athens, Heraklis and Rhodes), as
well as totals for Greece and Dodecanes are presented in the following table.
Detailed Supply per Category

Five-star Four-star Three-star


Hotels Rooms Beds Hotels Rooms Beds Hotels Rooms Beds

Dodecanes 14 5,215 10,096 144 24,854 47,591 216 11,483 21,851


Athens 13 3,834 7,182 29 3,743 6,848 44 3,316 6,055
Heraklio 12 3,570 7,214 114 13,085 24,770 96 5,875 11,269
Rhodes 12 4,622 8,860 104 16,855 32,101 122 6,857 13,049
Greece 139 26,756 51,967 896 88,837 168,940 1,66 82,627 157,495

Two-star One-star Total


Hotels Rooms Beds Hotels Rooms Beds Hotels Rooms Beds
Dodecanes 513 16,233 30,340 101 1,630 3,112 988 59,415 112,990
Athens 102 3,944 7,248 64 1,459 2,816 252 16,296 30,149
Heraklio 198 6,392 11,971 91 2,922 5,456 511 31,844 60,680
Rhodes 180 6,658 12,450 71 1,185 2,278 489 36,177 68,738
Greece 4,473 122,615 230,281 1,731 31,056 59,588 8,899 351,891 668,271

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COMPETITION IN LALYSSOS
The primary competition of Hilton Rhodes resort is as follows:

SOFITEL CAPSIS

www.capsis.gr
Owner: Private ownership and management by Capsis family, Sofitel brand name
Key facts: 5-star hotel, 691 rooms, 11 food and beverage venues, Conference Center with congress hall for up to 4,000 people and 18 meeting rooms.
Description: Large conference – oriental hotel, possessing one of the two largest Conference Centres on the island.

MIRAMARE WONDERLAND

www.mamhotel.gr
Owner: Member of Mamidakis Hotels
Key facts: 5-star hotel, 70,000 m2, 175 rooms, 2 food and beverage locations.
Description: Conceived and built as a small community, nested along its private 1,5 km long sea-front. Distinct landscape design, translates into extensive areas of
gardens, a pool, an artificial lagoon and several covered walkways. Each villa or cluster of bungalows is designed in individual unique architectural style.

RODOS PALACE

www.rodos-place.gr
Owner: Member of Cambourakis Group of Hotels
Key facts: 5-star hotel, 3,000 m2, 785 rooms, 11 food and beverage venues, Convention Center accommodating up to 4,000 guests, 21 meeting rooms. Complex
comprises of a 20-storey tower with luxurious rooms and suites, 7-storey Executive VIP Wing for conference delegates and 14 units with studios, apartments
and bungalows.
Description: The International Convention is recognised as one of the most complete and largest purpose-built Conference Centers in the Mediterranean region, and is
the second largest on the island. It is the official venue for the European Union Summit and Western European Union Council of ministers.
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RODIAN AMATHUS BEACH HOTEL

www.rodian-beach.gr
Owner: Member of Cypriot Company Amathus
Key facts: 5-star hotel, 333 rooms, 6 food and beverage venues,
banqueting facilities in main ballroom with capacity of
up to 200 people.
Description: Spacious public space with medieval architecture. The
hotel has undergone partial refurbishment over the past
two years.

HOTELS LOCATED IN OTHER PARTS OF THE ISLAND


The following hotels, in other parts of Rhodes Island, compete to some
extent with Hilton Rhodes Resort:
PARADISE ALDEMARE

Owner: Member of the Aldemare Group.


Key Facts: 5-star hotel, 787 rooms, 12 food and beverage venues,
banqueting facilities in main ballroom up to 600 people,
14 meeting rooms
Description: Located at Kallithea beach. Nice sandy beach front.

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{ competition }

GRECOTEL RODOS ROYAL

www.grecotel.gr
Owner: Member of the Grecotel Group.
Key Facts: 4-star hotel, 308 rooms and 61 bungalows, 4 outdoor
swimming pools
Description: Located at Faliraki beach. The well-kept gardens, the
marble lobby, the stylish lounges with wall and ceiling
frescos are key characteristics of the resort.

PALLADIUM

www.rodospalladium.gr
Owner: Private ownership by George Katris, Rhodian Company
of Hotel Enterprises Katri A.E.
Key Facts: 5-star hotel, 377 rooms, conferencing capabilities of up
to 750 delegates total, 5 food and beverage venues
Description: Located at Faliraki beach.

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SERVICE OFFERING AND BUSINESS MIX


The hotel is largely aimed at the leisure package and convention markets.
HOTEL PACKAGES TOURISM

The most prevalent tourism type worldwide and in particular in Rhodes, hotel packages address the annual vacation
needs of families, couples and friends’/relatives’ companies. The size of the hotel, as well as its offerings across lodging,
dining and entertaining can make it suitable for the variety of ages and interests of this group.
CONVENTION TOURISM

The Island of Rhodes is a top-of-mind conference destination in the wider Mediterranean and South Eastern European
region, due to the overall proposition of the Island, its mild weather conditions, location, natural beauty, as well as the recent
investments in large-scale convention facilities. Attracting convention tourism is a key marketing strategy for the hotel that can
allow for extension of the regular “annual season” before April and beyond October. Proximity to the two largest conference
centers of the island (and most fully equipped in the Mediterranean sea) of total capacity around 8,000 people makes the
universe of National or International Conference-related partnerships endless.
Tour Operators consistently make up the largest proportion of business, with Groups/Incentives (corporate events)
second. Under Grecotel Management, the focus was primarily on tour operator business. Hilton have increased the emphasis
on the group and incentive segment.
Marketing Mix
1994-2000 2001 2002 2003 2004 2005 Average

Tour Operators 85.5 % 76.0 % 78.0 % 77.1 % 79.0 % 76.5 % 82.1 %


F.I.T./Individuals 3.9 7.1 6.0 3.7 3.3 5.6 4.4
Groups/Incentives 6.1 12.6 11.0 14.0 12.2 14.4 8.9
Travel Agents 3.5 1.3 0.8 0.5 0.5 0.2 2.3
Other 1.0 3.1 4.3 4.8 5.0 3.3 2.3

Note: Between 1994 and 2000, the hotel was managed by Grecotel

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The Hotel has traditionally worked with and has established strong long-term relationships
with mainstream tour operators, which include TUI, Jet Air, Pegase, and Thomson among others.
The following table breaks down the business generated by Tour Operators between 2000 and
2005, presenting actual production numbers.
Tour Operators Production
Production Roomnights
Tour Operator Country 2001 2002 2003 2004 2005

Jet Air Belgium 4,542 3,831 31,345 2,997 4,241


Unital Tourism Ltd Israel 2,707 548 2,440 3,443
TUI Germany 10,851 7,140 3,451 4,690 2,947
Thomson United Kingdom 4,58 4,505 3,475 1,294 2,590
Aviation Links Israel 43 1,739 732 1,093 1,889
Pegase Belgium 5,138 4,309 1,722 2,416 1,870
Holland Int’l The Netherlands 1,058 1,563 1,791
Luxair Luxembourg 1,789 1,668 1,393 1,020 1,286
Costa Croisiere Italy 2,978 2,833 1,001
Jmc Holidays United Kingdom 508 704 1,273 985
Libra Holidays Grp United Kingdom 308 366 1,596 1,245 958
Flying Carpet LTD Israel 849 1,169 851
Kras Star Vakanties The Netherlands 2,739 2,303 -
Alpitour SPA Italy 1,196 581 753 720 -

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GEOGRAPHIC ORIGIN OF BUSINESS


In general, the hotel’s business distribution by guests’ nationality is in line with that of the Island. Rhodes is cited as one of UK’s favourite summer destinations, while the
Benelux countries provide a steady (and one of the highest) tourist streams to the island and the hotel in specific. Germans have traditionally enjoyed a strong representation
in the hotel’s clientele mix, and finally, the property is becoming increasingly popular over the last few years with Israeli crowd.
The percentages in the table below portray the Hotel‘s total business broken down by the nationality of the guests:

BEDNIGHT BY NATIONALITY
1997 1998 1999 2000 2001 2002 2003 2004 2005 CAGR

Greece ( inland ) 5,041 9,772 12,016 7,651 11,654 12,313 12,855 14,379 18,731 15.7 %
United Kingdom 11,799 17,302 21,496 18,654 20,297 24,442 26,297 19,054 21,498 6.9
Austria 1,583 781 1,583 2,354 1,169 1,329 511 1,305 612 - 10.0
Benelux 21,168 36,395 38,003 33,624 21,986 20,189 21,906 22,585 22,506 0.7
France 1,137 1,924 1,460 1,039 1,299 1,873 1,802 1,577 2,970 11.3
Germany 52,792 39,169 39,399 49,990 18,147 15,604 10,346 11,038 9,084 - 17.8
Switzerland 2,852 2,275 2,806 2,604 1,653 1,230 903 1,021 715 - 14.2
Italy 6,904 12,843 7,944 4,332 2,615 2,267 8,288 10,357 10,186 4.4
USA 1,297 2,039 1,362 2,444 2,511 3,362 2,487 3,294 5,650 17.8
Israel 1,096 2,713 8,733 1,104 16,067 16,909 7,600 11,684 15,346 34.1
Turkey 56 2,351 1,572 298 528 906 2,441 2,862 3,475
Other 3,786 8,877 8,291 1,048 21,005 17,302 15,706 9,759 12,752 14.4

TOTAL 109,511 136,441 144,665 125,142 118,931 117,726 111,142 108,915 123,525 1.3 %

Recent trends based on 2004 and 2005 experience imply an increase on the Belgian and German markets, and a strengthening relationship with the Israeli market.

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LABOUR FORCE
The hotel has historically operated for an average of 214 days per year, between the months of April and October (“season”), while for the rest of the year it remains
closed. During the “season”, the Hotel employs about 220 people on average, while the rest of the year, the hotel staff amounts up to about 20 people in total. Total number
of full-time and seasonal employees could vary significantly based on hotel management choices and operations standards. All employees currently working at the hotel are
directly employed by the Ionian hotel Enterprises with the exception of the General Manager who is a Hilton International executive. All personnel related data described in
the following paragraphs are based on historical hotel operations data.
“Full time” employees (that support the hotel operations throughout
the year), include the general manager, accountant, human resources
officer, director of operations, sales officer, information systems manager,
conferences organizer, financial director, chief engineer and technical
building/equipment maintenance & support.

“Seasonal” employees are employed under fixed term employment


contracts and are subject to the local “Collective Hotel Employees
Employment Agreement”, that defines monthly salaries per employee
expertise (with the exception of some posts at the kitchen). Personnel hiring
is executed in stages at the beginning of the “season” based on occupancy
forecasts. “Collective Hotel Employees Employment Agreement” in Rhodes
necessitates employee reimbursement in case of non-renewal of seasonal
employees’ contracts. Total reimbursement cost for the Hotel is estimated
at €972,000, in case of non-renewal of all seasonal staff contracts.

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Typical personnel roles’ distribution at “season”, based on past hotel operations, is the following:

Management Division (20) Room Service Division (63) Food & Beverage Outlets (113) Maintenance Division (18)
General Manager Division Director Director Head Division Head
Secretary Reception (11) Head of outlets (2) Technicians (9)
Director of Finance Grooms (5) F&B control (2) Gardners (3)
Accountants (5) Head of Floors & Assistants (3) Cooks (29) Pool & Beach (5)
Driver Chambermaids (31) Buffet (3)
Storage room personnel (3) Cleaners (4) Pastry cooks (3) Recreational Division (8)
HR Officer Laundry room personnel (7) Butcher (2) Head
PR Officer (2) Linen room employee Kitchen cleaning (11) Gym Instructor (2)
Sales/ Reservations (3) Waiters (53) Musician
Lifeguard Barmen (7) Animation (6)
Information Systems

Based on 2004 data, personnel costs per division are as follows:


Total Annual Employee Costs
Management Division € 747,935
Room Service Division € 1,056,106
F&B Outlets € 1,211,636
Maintenance Division € 384,691
Recreational Division € 100,373
TOTAL € 3,500,741

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SEASONALITY
OCCUPANC Y SEASONALIT Y 2002 - 2005

Occupancy Seasonality
2002-2005

January February March April May June July August September October November December Total

2005 Available Rooms 4,010 12,431 12,030 12,431 12,431 12,030 10,426 2,406 78,195
Occupied Rooms 1,196 6,110 8,504 10,420 11,794 11,075 7,006 625 56,730

Occupancy (%) 29.8% 49.2% 70.7% 83.8% 94.9% 92.1% 67.2% 26.0% 72.5%
Average Room Rate () 45.4 56.0 59.2 72.7 78.8 61.6 62.2 59.2 65.9

2004 Available Rooms 11,629 12,431 12,030 12,431 12,431 12,030 9,624 82,606
Occupied Rooms 3,331 7,540 7,834 9,071 10,712 9,762 6,218 54,468

Occupancy (%) 28.6% 60.7% 65.1% 73.0% 86.2% 81.1% 64.6% 65.9%
Average Room Rate () 46.3 71.3 76.2 70.4 78.8 67.8 57.0 69.5

2003 Available Rooms 12,030 12,431 12,030 12,431 12,431 12,030 12,431 85,814
Occupied Rooms 4,186 5,650 8,405 9,056 11,749 10,640 5,926 55,612

Occupancy (%) 34.8% 45.5% 69.9% 72.9% 94.5% 88.4% 47.7% 64.8%
Average Room Rate () 50.5 53.6 67.2 80.3 77.0 69.4 69.7 69.5

2002 Available Rooms 1,604 12,030 12,431 12,030 12,431 12,431 12,030 12,431 1,203 88,621
Occupied Rooms 1,120 4,970 7,598 8,901 9,829 11,380 9,750 5,657 27 59,232

Occupancy (%) 69.8% 41.3% 61.1% 74.0% 79.1% 91.5% 81.0% 45.5% 2.2% 66.8%
Average Room Rate () 36.57 43.5 56.4 67.8 70.6 77.6 70.9 65.8 57.3 66.4

HVS HODGES WARD ELLIOT T 59


the hilton rhodes resort
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HISTORICAL PERFORMANCE
The Hilton Rhodes Hotel has been operating fully since 1994. During the period 1994 – 2004 the hotel has been managed by two specialised operators, namely Grecotel
S.A. (1994-2000) and Hilton International (2001-2004). The financial performance of the hotel has been following a mixed trend, steadily improving in the first half of the
period, – peaking in 1999 – and presenting moderate results henceforth.
Factors contributing, among others, to recent results can be attributed to the 11 September 2001 terrorist attack in the U.S., which severely affected global tourism, the
war in Iraq, the tardy implementation of a strategic plan from the Greek Ministry of Tourism, the economic slowdown on both sides of the Atlantic and the European Tour
Operators status.
The table below summarily presents the key financial indicators of the Hilton Rhodes Hotel for the period 1994-2004

Key Financial Indicators


1994 - 2005

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Number of Rooms:
Days in Operation: 243 242 226 227 218 214 209 216 221 214 206 195
Occupied Rooms: 83,975 68,384 70,144 76,136 67,697 71,093 66,419 59,448 59,232 55,612 54,468 56,730
Occupancy: 86.0 % 70.3 % 77.2 % 83.4 % 77.3 % 82.6 % 79.1 % 68.6 % 66.8 % 64.8 % 65.9 % 72.5 %
Average Rate: 32.8 41.4 43.1 44.1 48.0 51.1 55.3 67.5 66.1 69.4 71.0 66.4
RevPAR: 28.2 29.1 33.3 36.8 37.1 42.2 43.7 46.3 44.1 45.0 46.8 48.1

REVENUE (000s)
Rooms 2,757 2,832 3,025 3,360 3,252 3,633 3,673 4,011 3,912 3,862 3,865 3,765
Food & Beverage 3,115 3,002 3,292 3,559 3,574 3,952 3,918 3,414 3,395 3,342 3,129 3,251
Other Revenue 381 416 308 407 367 383 388 344 281 293 268 357
Total 6,253 6,250 6,625 7,326 7,193 7,968 7,979 7,769 7,589 7,497 7,262 7,373

GROSS OPERATING PROFIT (000s)) 1,741 1,748 1,894 2,364 2,409 2,836 2,183 747 660 1,333 848 999
27.8 % 28.0 % 28.6 % 32.3 % 33.5 % 35.6 % 27.4 % 9.6 % 8.7 % 17.8 % 11.7 % 13.6 %

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O P E R AT I N G H I S TO R Y 2 0 0 2 - 2 0 0 5
2002 2003 2004 2005

Number of Keys: 401 401 401 401


Occupied Rooms: 59,232 55,612 54,468 56,730
Days Open: 221 214 206 195
Occupancy: 66.8 % 64.8 % 65.9 % 72.5 %
Average Rate: 66.1 69.4 71.0 66.4
(000s) RevPAR: 44.1 45.0 46.8 48.1
REVENUE
Rooms 3,912 51.6 % 3,862 51.5 % 3,865 53.2 % 3,765 51.1 %
Food & Beverage 3,395 44.7 3,342 44.6 3,129 43.1 3,251 44.1
Telephone 52 0.7 31 0.4 25 0.3 33 0.4
Other Income 229 3.0 262 3.5 243 3.3 324 4.4
Total 7,589 100 7,497 100 7,262 100 7,373 100
DEPARTMENTAL EXPENSES
Rooms 1,306 33.4 1,187 30.7 1,221 31.6 1,206 32.0
Food & Beverage 3,011 88.7 2,695 80.6 2,584 82.6 2,521 77.5
Telephone 0 0.0 0.0 0 0.0 22 65.7
Other Income 97 34.6 87 29.7 86 32.2 217 60.9
Total 4,414 58.2 3,969 52.9 3,892 53.6 3,965 53.8
DEPARTMENTAL INCOME 3,175 41.8 3,528 47.1 3,370 46.4 3,408 46.2
UNDISTRIBUTED OPERATINH EXPENSES
Administrative & General 1 1,043 13.7 862 11.5 957 13.2 920 12.5
Marketing 238 3.1 163 2.2 252 3.5 207 2.8
Property Operations & Maintenance 622 8.2 600 8.0 706 9.7 631 8.6
Energy 612 8.1 570 7.6 607 8.4 650 8.8
Total 2,515 33.1 2,195 29.3 2,522 34.7 2,408 32.7
GROSS OPERATING PROFIT (GOP) 660 8.7 1,333 17.8 848 11.7 999 13.6
FIXED EXPENSES
Property Taxes 85 1.1 94 1.3 93 1.3 89 1.2
Total 85 1.1 94 1.3 93 1.3 89 1.2
NET INCOME 576 7.6 % 1,239 16.5 % 755 10 % 910 12.3 %

1
Includes Property Insurance

Source: Hotel Management

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PERFORMANCE POTENTIAL
The management of Ionian Hotel Enterprises S.A. has identified
numerous factors which should contribute to a substantial improvement
of the hotel’s financial performance:
• Increase cost efficiency and achieve improved cost/income ratios,
in alignment with those of comparable hotels, and particularly
with regard to personnel costs.
• Establish relationships with local operators and improve
relationships with current partners.
• Develop new partners in the local market in order to increase
exposure internally, and enhance domestic tourism.
• Target other distribution channels’ untapped potential, in order to
shift the business mix toward more lucrative customers.
• Place emphasis on recurring business.
• Extend the operating period through the offering of specialty
tourism and selective targeting of customers.
• Refurbish rooms, the health club and upgrade restaurants, so as
to maintain a market leading position in terms of facilities as a
premium hotel of 5-star status.

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H OT E L P E R F O R M A N C E - S TAT I S T I C D E TA I L S
Actuals Forecast
Operating Statistics () 2003 2004 2005 Year One Year Two Year Three Year Four Year Five
Occupancy 64.8 % 65.9 % 72.5 % 72.0 % 74.0 % 78.0 % 80.0 % 80.0 %
Average Daily Rate 69 71 66 72 79 91 105 110
RevPAR 45 47 48 52 59 71 84 88
RevPAR Percentage Growth 4.0 % 2.9 % 7.7 % 13.1 % 21.2 % 17.9 % 5.0 %
Number of Rooms 401 401 401 402 402 402 402 402
Occupied Rooms 55,612 54,468 56,730 60,782 62,471 67,415 69,144 69,144
Revenue ()
Rooms (000s) 3,862 3,865 3,765 4,376 4,948 6,140 7,242 7,604
Food & Beverage Per Occupied Room 60.1 57.5 57.3 57.1 58.4 59.4 60.7 62.2
Telephone Per Occupied Room 0.6 0.5 0.6 0.6 0.6 0.7 0.7 0.7
Other Income Per Occupied Room 4.7 4.5 5.7 6.2 6.2 6.2 6.3 6.4

Actuals Forecast
Departmental Expenses 2003 2004 2005 Year One Year Two Year Three Year Four Year Five
Rooms Percentage 30.7 % 31.6 % 32.0 % 28.0 % 25.8 % 22.5 % 19.9 % 19.4 %
Per Occupied Room 21.3 22.4 21.3 20.2 20.4 20.5 20.8 21.3
Food & Beverage Percentage 80.6 % 82.6 % 77.5 % 75.6 % 74.9 % 73.5 % 72.9 % 72.9 %
Per Occupied Room 48.5 47.4 44.4 43.2 43.7 43.7 44.2 45.4
Telephone Percentage - % - % 65.7 % 53.0 % 52.4 % 51.3 % 50.8 % 50.8 %
Other Income Percentage 33.2 % 35.5 % 67.1 % 49.8 % 49.4 % 48.6 % 48.3 % 48.3 %
Undistributed Oper. Expenses
Admin. & General Percentage 11.5 % 13.2 % 12.5 % 10.9 % 10.1 % 8.8 % 8.4 % 8.3 %
Per Month 71,820 79,769 76,687 75,027 75,648 72,186 71,251 68,293
Marketing Percentage 2.2 % 3.5 % 2.8 % 3.2 % 3.1 % 2.9 % 2.7 % 2.7 %
Prop. Operations & Maint. Percentage 8.0 % 9.7 % 8.6 % 5.8 % 5.6 % 5.2 % 4.9 % 4.9 %
Per Month 50,023 58,821 52,583 40,193 42,055 42,538 41,987 40,244
Energy Per Occupied Room 10.3 11.1 11.5 10.8 10.9 11.0 11.4 11.6
Percentage 7.6 % 8.4 % 8.8 % 7.9 % 7.6 % 7.0 % 6.6 % 6.5 %
Management Fee Percentage - % - % - % 3.0 % 3.0 % 3.0 % 3.0 % 3.0 %
Fixed Charges
Property Taxes Expense per Month 7,824 7,734 7,417 7,372 7,556 7,319 6,966 6,664
Reserve for Replacement Percentage - - - 4.0 % 4.0 % 4.0 % 4.0 % 4.0 %
NOTE:
The financial projections and investment analyses represented herein contain estimates and assumptions based on our study of the current market conditions. HVS Hodges Ward Elliott neither warrants nor
guarantees the results of these projections and analysis.

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HOTEL PERFORMANCE - FORECAST


Actuals Forecast
2005 Year One Year Two Year Three Year Four Year Five
Number of Keys: 401 402 402 402 402 402
Occupied Rooms: 56,730 60,782 62,471 67,415 69,144 69,144
Occupancy: 72.5 % 72.0 % 74.0 % 78.0 % 80.0 % 80.0 %
Average Rate: 66 72 79 91 105 110
(000s) RevPAR: 48.1 51.8 58.6 71.0 83.8 88.0
REVENUE
Rooms 3,765 51.1 % 4,376 53.0 % 4,948 54.8 % 6,140 57.9 % 7,242 60.8 % 7,604 61.3 %
Food & Beverage 3,251 44.1 3,473 42.0 3,645 40.4 4,004 37.8 4,196 35.2 4,301 34.7
Telephone 33 0.4 38 0.5 40 0.4 45 0.4 47 0.4 48 0.4
Other Income 324 4.4 374 4.5 389 4.3 418 3.9 434 3.6 445 3.6
Total 7,373 100.0 8,262 100.0 9,022 100.0 10,607 100.0 11,919 100.0 12,398 100.0
DEPARTMENTAL EXPENSES
Rooms 1,206 32.0 1,226 28.0 1,277 25.8 1,383 22.5 1,439 19.9 1,475 19.4
Food & Beverage 2,521 77.5 2,625 75.6 2,729 74.9 2,945 73.5 3,059 72.9 3,136 72.9
Telephone 22 65.7 20 53.0 21 52.4 23 51.3 24 50.8 24 50.8
Other Income 217 67.1 187 49.8 192 49.4 203 48.6 210 48.3 215 48.3
Total 3,965 53.8 4,059 49.1 4,220 46.8 4,554 42.9 4,732 39.7 4,850 39.1
DEPARTMENTAL INCOME 3,408 46.2 4,203 50.9 4,803 53.2 6,053 57.1 7,187 60.3 7,548 60.9
UNDISTRIBUTED OPERATINH EXPENSES
Administrative & General  920 12.5 900 10.9 908 10.1 938 8.8 998 8.4 1,024 8.3
Marketing 207 2.8 264 3.2 278 3.1 306 2.9 327 2.7 337 2.7
Property Operations & Maintenance 631 8.6 482 5.8 505 5.6 553 5.2 588 4.9 604 4.9
Energy 650 8.8 654 7.9 681 7.6 743 7.0 786 6.6 803 6.5
Total 2,408 32.7 2,301 27.8 2,372 26.4 2,541 23.9 2,698 22.6 2,769 22.4
GROSS OPERATING PROFIT (GOP) 999 13.5 1,902 23.1 2,431 26.8 3,513 33.2 4,489 37.7 4,779 38.5
Management Fee 0 0.0 248 3.0 271 3.0 318 3.0 358 3.0 372 3.0
GOP AFTER MANAGEMENT FEES 999 13.5 1,654 20.1 2,160 23.8 3,195 30.2 4,131 34.7 4,407 35.5
FIXED EXPENSES
Property Taxes 89 1.2 88 1.1 91 1.0 95 0.9 98 0.8 100 0.8
Reserve for Replacement 0 0.0 330 4.0 361 4.0 424 4.0 477 4.0 496 4.0
Total 89 1.2 419 5.1 452 5.0 519 4.9 574 4.8 596 4.8
NET INCOME 910 12.3 % 1,235 15.0 % 1,708 18.8 % 2,675 25.3 % 3,557 29.9 % 3,811 30.7 %

 Includes Property Insurance

NOTE:
The financial projections and investment analyses represented herein contain estimates and assumptions based on our study of the current market conditions. HVS Hodges Ward
Elliott neither warrants nor guarantees the results of these projections and analysis.

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HVS HODGES WARD ELLIOT T 65


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R E T U R N A N A LY S I S
SOURCE AND USE OF FUNDS (000s)

Property Acquisition 40,000 First Mortgage 27,300 65%


Renovation & Closing Costs 2,000 Equity 14,700 35%
Total Use of Funds 42,000 Total Source of Funds 42,000 100%

Number of Rooms 402


Total Cost per Room 104

FIRST MORTGAGE (000s)

Mortgage Amount 27,300 Monthly Payment 156


Cumulative Mortgage Amount 26,650 Annual Payment 1,873
Interest Rate 5.00%
Amortisation Period 25 years
Year One Year Two Year Three Year Four Year Five
Beginning Balance 26,650 26,650 26,097 25,516 24,906
Annual Payment 1,333 1,873 1,873 1,873 1,873
Portion to Interest 1,333 1,320 1,292 1,262 1,231
Portion to Principal — 553 581 611 642
Increase in Debt — — — — —
Ending Balance 26,650 26,097 25,516 24,906 24,264

YEARLY CASH FLOW SUMMARY (000s)

Year One Year Two Year Three Year Four Year Five
Net Operating Income 1,235 1,708 2,675 3,557 3,811
First Mortgage Annual Payment 1,333 1,873 1,873 1,873 1,873
Cash Flow after Debt Service (97) (164) 802 1,684 1,938
Debt Service Coverage Ratio 0.93 0.91 1.43 1.90 2.04

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R E T U R N A N A LY S I S
CAPITAL GAIN CALCULATION (000s)

Sixth Year Net Operating Income 3,955


Terminal Cap Rate 7.5%
Gross Sales Price 52,730
Selling Costs 1.5%
Net Sales Price 51,939
Remaining First Mortgage Balance 24,264
Return of Equity 14,700
Capital Gain 12,975
Sales Price per Room 131

LEVERAGED IRR ANALYSIS (000s)

Year Zero Year One Year Two Year Three Year Four Year Five
Equity (14,700)
Cash Flow after Debt Service (97) (164) 802 1,684 1,938
Net Sales Price 51,939
Remaining First Mortgage Balance (24,264)
Net Cash Flow (14,700) (97) (164) 802 1,684 29,614

Cash-on-Cash Return -0.7% -1.1% 5.5% 11.5%

Five-Year Leveraged IRR 17.0%

NOTE:
The financial projections and investment analyses represented herein contain estimates and assumptions based on our study of the current market conditions. HVS Hodges Ward
Elliott neither warrants nor guarantees the results of these projections and analyses.

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BASIS OF SALE
The hotel is offered for sale by Ionian Hotel Enterprises.
The contemplated sale can be effected via the two alternative structures
presented below:
1. Asset Sale: the most straightforward route*.
2. Company Sale: more complicated and potentially time consuming
structure where:
Either,
a. Ionian Hotel Enterprises spins off the business unit of Hilton Rhodes
Hotel to a 100% subsidiary of the company (no taxes incurred).
Subsequently, it sells the shares of the non-listed subsidiary company
to the Selected Investor and incur a tax on the transfer of non-listed
shares (approx. 5%) calculated on the value of the transaction.
Or,
b. Ionian Hotel Enterprises spins off the business unit of Hilton Rhodes
Hotel to a company indicated by the selected investor. Subsequently,
it will receive shares equal to the book value of the transferred assets,
and can transfer sell these to the Selected Investor, incurring a tax on
the transfer of non-listed shares (approx. 5%) calculated on the value
of the transaction.
* the purchaser will incur an asset transfer tax of 11%

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CONTACTS
For further information, or to organise an inspection of the property,
please contact:

Charles Human – Managing Director


chuman@hvshwe.com

Pascal Bichon – Senior Associate


pbichon@hvshwe.com

H V S H O D G E S WA R D E L L I OT T
1 Lancaster Place
London WC2E 7ED
UNITED KINGDOM
Tel: +44(0) 20 7257 2000
Fax: +44(0) 20 7257 2009

www.hvshwe.com

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DISCLAIMER
HVS Hodges Ward Elliott (‘the Advisers’) have been appointed on an exclusive basis by the Owners to advise on the sale of the hotel. This memorandum was prepared by HVS Hodges Ward Elliott and has been reviewed by
representatives of the owners. It contains selected information pertaining to the owners and does not purport to be all-inclusive or to contain all of the information which prospective lenders may desire. The material in this memorandum
is based in part upon information supplied by existing management and in part upon information obtained by HVS Hodges Ward Elliott from sources they deem to be reliable. The Owners’ existing management has provided HVS Hodges
Ward Elliott with certain data contained in this memorandum; this information has not been independently verified by the Advisers. It should be noted that all projections are provided for general reference purposes only in that they
are based on assumptions relating to the general economy, competition, and other factors beyond the control of the Owners and the Advisers, and therefore are subject to variation. Neither the Owners, nor HVS Hodges Ward Elliott, nor
any of their respective subsidiaries or affiliates, directors, officers, employees or agents, nor any of the sources referred to above, have made, or are making, any representation or warranty as to the completeness of this memorandum
or any of its contents, and no legal or other commitments or obligations shall arise by reason of this memorandum or its contents. Prospective investors must make their own investigations, projections and conclusions entirely without
reliance upon the material contained in this memorandum. The Owners and the Advisers expressly reserve the right, at their sole discretion, to reject any or all expressions of interest or offers to lend and/or to terminate discussions with
any entity at any time with or without notice. The Owners shall have no legal commitment or obligation to any entity reviewing this memorandum or making a proposal unless and until a written agreement for such investment has
been fully approved by the Owners. By receipt of this memorandum, you agree that this memorandum and its contents are of a confidential nature, that you hold and treat it in the strictest confidence, and that you will not disclose this
memorandum or any of its contents to any other entity without the prior written authorisation of the Owners or the Advisers; nor will you use this memorandum or any of its contents in any fashion or manner detrimental to the interest of
the Owners or the Advisers or any of their respective subsidiaries or affiliates. In this memorandum, certain documents are described in summary form. The summaries do not purport, and are not warranted, to be complete, nor necessarily
accurate, descriptions of the full agreements involved, nor do they purport to constitute a legal analysis of the provisions of the documents. The terms and conditions stated in this section will relate to all sections of the memorandum as
if stated independently therein. This document does not constitute a prospectus, or listing particulars or an investment advertisement pursuant to Section 21 of the Financial Services and Markets Act 2000 and is exempt from any legal
requirement that its contents be approved by an authorised person.

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