Originally Posted by
scented
FSGV is in a way a special situation as this property entered at exactly the right time with the right owner and gave a 100% return within 7 years -- don't think this success is easy to replicate!
That's interesting to know! I was the under the impression that most of the Parisian palace hotels were perpetually loss making. I got that impression after reading this recent article about Parisian palace hotels (unfortunately there's a paywall):
https://www.lefigaro.fr/societes/les...tival-20200821
Here's a quote:
«La santé financière des palaces est très préoccupante, reconnaît Christophe Laure, président du syndicat Umih (Union des métiers et des industries de l’hôtellerie) Prestige. Ils survivent uniquement grâce au soutien de leurs propriétaires, qui injectent du cash pour les maintenir à flot, et aux aides du gouvernement.»
rough translation: the hotels survive only with financial support from owners and government aid