Executive Summary

for Developers

Candela Branded Hotels

Traveler-Centric Candela Hotels provides a unique opportunity to introduce an exciting new luxury
hotel brand to your project. A hotel that combines five-star/five-diamond service,
Candela Hotels are
amenities and wellness design, the latest operations and service technology, LEED®
designed to accommodate
the ever-changing needs, certified building and green hotel operations, and residential branding and services.
tastes and requirements of
each individual traveler. The Candela Hotels brand is an entirely new type of luxury hotel, one that offers a
genuinely unparalleled and consistent personalized luxury experience to affluent busi-
26-hour day ness and leisure travelers worldwide. Our traveler-centric, clean slate approach allows
No check-in us to build from the ground up. Unlike existing hotel brands, Candela inherits nothing
No tipping as a given, it is able to select and meld only the best and latest in thinking, practices,
Fresh space trends and technology.

Green hotels
Candela will be totally ‘new’ in the sense that it is beyond that which currently exists,
Destination spa
yet it will seem familiar and welcome in the sense that the hotel guest will say: “Yes,
Customized IT
but of course. This is what I have always wanted and hoped for!” As a traveler-centric
Personalized rooms company, Candela is relentlessly focused on guest benefits and developer/owner satis-
Designated service team faction.
Airport greeting

Signature restaurant

Accommodating families

LEED® certified

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 Hotel Developer / Owner Benefits
Fully Integrated Hotel Technologies
Includes Customer Relationship Management (CRM) software, Property Management
Systems (PMS), Point of Sale (POS), Global Distribution System (GDS) and Radio
Frequency Identification (RFID), to guarantee thoughtful and consistent
communications with travelers and employees

Yield Management
Using innovation and technology, operations and sales are optimized for maximum
yield per department

Quality Assurance
Professional on-site management focused on service and the bottom-line,
complemented by Lean Six Sigma

Maximizing RevPar
A focus on the luxury segment and achieving a rate within the top 10% of the
Hotel Facilities
competitive set

125 to 225 rooms/suites
Hotel Marketing
Optional full ownership
Marketing resources aligned to best influence hotel buying decisions, including:
residences
advertising, digital and social marketing, public relations and customer relationship
500 sq ft average room size
marketing
Destination-inspired design

Technologically advanced
Residential Branding & Service
Energy efficient LEED® Silver Comprehensive branding and residence services management for condominiums/
Lighter, brighter and private residences in mixed-use developments
healthier
A signature restaurant Higher Yield per Square Foot
A destination spa Realized by having residentially-scaled public areas and off-site centralized
Boardroom scaled meeting administrative functions
space
Profitable Restaurant and Spa Operations
Through local community patronage, effective menu engineering and cost controls

LEED® certified Hotel Greening

Buildings built to LEED® Silver standards, or better, and an eco-operations approach
that saves money through waste reduction, recycling, energy and water conservation

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 Owner Aligned Terms
Incentive management fees based on Net Operating Income (NOI) and a tailored
approach that is based on your goals, your market and your property

Owner Dashboard
Providing real-time data and on-going communications with hotel owners and
developers

Operations Approach
Candela Hotels’ clean slate approach to operations provides a transformational
traveler experience, improves customer service, reduces operating costs and increases
profitability.

Hotel Process and Benchmarking

Implementation of Candela Hotels’ benchmarking and process to ensure guest
satisfaction goals and owner objectives are met
Owner aligned
approach Real Time Oversight
By experienced multi-unit hotel operations executives
Candela Hotels is aligned with
the ownership of each individual Top Grading®
property adopting an ownership
Ensures ‘A’ hires for all positions, on-going staff training and retention programs
mentality that focuses on the Net
Operating Income[NOI], rather
than the Gross Operating Profit Consistency of Service
(GOP), upon which most hotel Through an emphasis on innovation and continuous improvement enhanced by
management companies focus. implementing both the Malcolm Baldrige National Quality Award program and
We are committed to building Lean Six Sigma principles
lasting relationships through
listening, responsiveness,
Service Team
flexibility and profitability.
Service team staffing concept that maximizes staff productivity while improving
customer service

Centralized Functions
Reducing costs and improving efficiency through centralized accounting and
personnel administration functions

Hotel Greening
Candela Hotels’ LEED® Accredited Professionals ensure that your hotel realizes cost
savings through energy efficiency, waste reduction and recycling programs

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 Marketing Your Candela Hotel
When you choose Candela Hotels as your brand, you receive full marketing,
operations, systems and human resource management, as well as a hotel brand
name that will soon be recognized as the must-stay place in your city or destination.

How do we do it?

Strategic Hotel Marketing Plan

Focused on achieving ADR and hotel occupancy goals through a comprehensive
program of ROI intensive strategies, including market positioning, best-in-class web-
site, Search Engine Optimization (SEO), digital marketing, GDS optimization, chan-
nel distribution, advertising, niche luxury partnerships and a Localized
Reservation System (LRS)

Digital Marketing Program

To maximize discovery of your hotel and increase website traffic and online hotel
Launching a new brand has bookings through an immersive best-in-class website, SEO, on-line advertising (PPC,
never been easier given the dom- PPA, sponsorships) and affiliate marketing
inance of the web in the travel
industry. Approximately 78% of Hotel Public Relations Program
hotel bookings are performed Developed to increase awareness and recognition for the hotel, restaurant, spa
electronically and 64% of new
and, where applicable, residential condominiums. The program includes whisper
hotel brand discovery is hap-
campaigns, launch campaigns, press kit development, media release strategies and
pening on-line. Candela Hotels
has the real advantage of a truly press events
“new” concept, digital market-
ing know how, and a compre- Customer Relationship Program
hensive media, public relations To build awareness, occupancy rates and loyalty through strategic interaction, guest
and guest loyalty program that satisfaction, global database management and customer relationship marketing
will generate unprecedented
brand recognition.
Hotel Price Strategy
Targeting top ADR rate positioning provides value and includes consumer direct and
travel agent outreach

A Brand PROMISE
To ensure that all staff delivers a consistent guest experience across the collection,
which increases each individual hotel’s market value

Brand Launch Campaign

Triggered around your hotel’s opening and news to ensure sustained top of mind
awareness

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 Hotel ‘Enterprise Information Platform’
Consisting of core business systems such as PMS, POS, CRM/data management and
GDS optimized for marketing and sales

Sustainability Building and Operating Green Hotels

HIGH-PERFORMANCE BUILDINGS AND BUSINESS
Candela Hotels believes that high-performance hotels built to a standard of LEED®
Silver, or better, makes good business sense. In fact, we are the first hospitality industry
member of the U.S. Green Building Council (USGBC) and our CEO and Executive VP of
Operation are LEED® Accredited Professionals.

Why emphasize sustainability? We believe the business case for high-performance green
hotels is compelling.

Green features increase property values due to easier maintenance and

greater market valuations
Construction costs associated
with building to LEED® stan- Green design creates healthier buildings that are more comfortable and
dards are on average only 1.2% productive for our guests and staff
higher, monies that are easily
recovered from the energy
State and local incentives reward energy efficient buildings and eco-businesses
savings within the first nine
months of operation.
Initial greening costs are recovered through life-cycle effectiveness, such as
the savings from energy and water

Our clients value environmentally friendly companies

Experienced Team
Candela Hotels, Inc. brings together a team of hospitality, business development,
technology, human resource, and marketing professionals with proven track records.
The executives, along with their teams of professionals, provide hands-on leadership
that delivers an exceptional traveler experience and a highly profitable business to
owners and developers.

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 The company’s founder and CEO, Tom Pigott, is an experienced
entrepreneur, venture capitalist and specialist in international
business development. Tom has an innate ability to apply technol-
ogy and innovation to meet market demand, and is probably most
well known as the entrepreneur behind Soma.com, the world’s
first internet pharmacy. He grew Soma.com to 120 employees and
established it as the leading online pharmacy within two years of
its opening in 1997; selling it to the CVS Corporation in 1999. Tom is a LEED® AP.

Alphy Johnson, Candela’s Chief Operating Officer is an accom-

plished international luxury hotelier with a career spanning over 30
years. Alphy’s achievements in the luxury hotel industry are nu-
merous and include doubling hotel revenues and profits, transition-
ing/re-branding hotels, capital improvement planning, building and
stabilizing hotel management teams, creation and implementation
of a multi-hotel butler program, restaurant concepting and opera-
tions, and the development and implementation of five-star hotel operating standards and
procedures. Prior to joining Candela Hotels he was the Vice President of Operations for
Candela Hotels are green Rosewood Hotels. Alphy is a LEED® AP.
hotels. We are eco friendly and
built to United States Green
Building Council (USGBC)
As Candela Hotels’ Finance and Development Advisor, Andy
LEED® Silver certification,
Stein provides support in locating and analyzing potential hotel
or better. We also operate with
a focus on sustainability by sites worldwide, and has 21 years of banking experience to attract
incorporating environmentally equity and debt finance for these properties. Andy is the Chairman
friendly best practices for sourc- and Founder of Makopastreet Partners, which provides access to
ing, energy consumption, waste equity, mezzanine and senior debt financing for ultra-luxury and
reduction and recycling. mixed-use developments, as well as infrastructure projects world-
wide. Prior to joining Candela Hotels, Andy was the Managing Director in WestLB’s
Investment Banking Division in New York where he was responsible for all hospitality
lending and advisory activities.

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