Transaction Real Estate Advisory Services Our services
What s Inside Our commitment to the global real estate, hospitality and leisure industries 3 Our market knowledge and experience 4 Our spectrum of services to the industry 4 Our specialty advisory services 5 Our real estate ownership lifecycle 7 Our project management methodology 8 The right team 9 2 Transaction Real Estate Advisory Services Our services
Our commitment to the global real estate, hospitality and leisure industries Part of an integrated global real estate team EY is one of the largest integrated real estate practice in MENA. With 7,000 professionals providing audit, tax and transaction advisory services to real estate owners, investors, lenders, developers, managers and users. Unique and borderless approach Our unique approach combines entrepreneurial thinking and a working knowledge of real estate with broad industry experience, vast resources and a diverse network of clients. Our practices in Europe, the Middle East, India and Africa (EMEIA) operates under a single structure as part of a global framework. We are pioneers in bringing a borderless approach to the emerging markets of Russia, India, the Middle East, Africa, and Europe. Globally integrated practice Our globally integrated practice enables us to better leverage our strengths and make swift moves in bringing together our teams to serve our clients, drawing on our industry experience across all our services in 87 countries. Services that provide quick response to client needs EY s EMEIA real estate group of 2,300 people has built close working relationships with our colleagues in EMEIA and across the world; allowing us to respond quickly to client needs ensuring an efficient and well-coordinated international approach. EY Middle East, India and Africa The Middle East practice of EY is a full member of EY Global and has been operating in the region since 1923. We believe real estate, operations, marketing and financing functions must be synchronized to maintain a competitive edge as well as the following: Quality of service are paramount Revenue enhancement programs are a necessity Operational efficiency is the goal Cost management is fundamental People are the agents for change EY s Middle East Transaction Real Estate Advisory Services practice can help organizations improve the way it manages its investments in real estate assets throughout the life cycle of the property portfolio. Throughout, our goals remain the same: To minimize risk To control expenses To improve overall performance To accelerate the creation of bottom-line value for companies The EY advantage Implicit in EY s strategy is the responsibility to provide thought leadership to the businesses and industries we serve. We are committed to being a knowledge leader in the real estate industry by being proactive and attentive to industry trends, while responding with creative ideas that help our clients deal with the issues they face. EY is the largest and most integrated professional organization operating in the Middle East, with 21 offices in 16 markets throughout the region. 3 Transaction Real Estate Advisory Services Our services
Our market knowledge and experience Our practice has undertaken extensive work in countries such as: Kazakhstan Turkey Malta Syria Tunisia Afghanistan Bermuda Lebanon Iraq Morrocco Palestinian National AuthorityJordan Algeria Kuwait Libya Saudi Egypt Bahrain Pakistan Arabia Qatar United Arab Emirates Mauritania Oman Martinique Sudan Cape Verde Eritrea Senegal Benin Nigeria Djibouti Guinea Togo Ghana Sea Cote D ivoire Uganda Maldives Democratic Gabon Kenya Republic Of Congo Tanzania Thailand Malaysia EY possess unmatched knowledge and expertise in the Middle East real estate, hospitality and leisure markets. We understand and offer a full scope of multidisciplinary services for every real estate industry segment such as: Commercial Hospitality, Leisure and Entertainment Residential Retail Industrial Angola Mozambique Mauritius South Africa Our spectrum of services to the industry EY s MENA Transaction Real Estate Advisory Services Group offers: Integrated, cross-functional network over 40 experienced real estate and hospitality Professionals Value-added multidisciplinary services and strategies to companies that own, develop or operate real estate and hospitality assets Development Advisory Services Benchmarking Capital sourcing/ placements/ deployment Highest and best use analysis Market and feasibility studies Strategic business planning Transaction Advisory Services Acquisitions Due diligence Restructuring Valuations and appraisals Operator search and selection Management contract review Management company selection and negotiations Operational enhancement Repositioning analysis 4 Transaction Real Estate Advisory Services Our services
Our speciality advisory services Development Advisory Services Include site evaluations and strategic market research, which consist of an international benchmark of relocation incentives and a general market overview of a selected group of real estate uses Conducts alternative industry cluster analysis, including potential industry cluster requirements and market positioning of the project Provides international/regional benchmarks of master planned cities and real estate development strategy meetings to co-develop the assumptions Market and financial feasibility studies Performs market and financial feasibility studies for your project, which involve a site inspection and evaluation, economic and demographic overview of the market, and an independent analysis of the real estate market which would include both existing and proposed supply Reviews the facilities program and comments on the number of units, size, unit mix and appropriate mix of facilities Evaluation of individual project component, in terms of demand and revenue generation potential, that provides details of estimated operating costs culminating in an EBITDA estimate Highest and best use studies Assistance in preparing a highest and best use study for projects, which identifies physically possible and market driven uses for the available land High level market review pertaining to the market background, current and future supply, trends in demand and pricing levels Short list of potential real estate uses based upon a weighted analysis Co-develops the major assumptions forming the basis for estimated operating costs culminating in indicative cash flow statements for each potential use Strategic business planning services Primary goal is to serve as the main advisor to individuals and corporations Approach consists of understanding client goals and objectives, identifying market alternatives, evaluating and analyzing different scenarios, and assisting the client in developing an actionable business plan 5 Transaction Real Estate Advisory Services Our services
Our specialty advisory services (contd) Transaction Advisory Services Objective and responsive advice to support the strategic real estate decisions of the client Help develop capital market strategies for acquiring and disposing of real estate assets, including fund concepts, sale and leaseback transactions, debt restructuring and other transactions Capital raising Assistance in raising necessary capital in the form of equity and debt, whether through a private placement of equity or IPO Financial and commercial due diligence Performs financial and commercial due diligence on any intended target acquisitions in the real estate and hospitality sectors Valuation and development appraisals Help assess the fair value/market value of real estate assets adopting various methods to include comparable approach, capitalization methods, discounted cash flow (DCF), residual land valuation, cost approach, etc. Organizational change Help accommodate organizational growth while aligning real estate and financial decisions, increasing structural and functional efficiencies and streamlining processes Restructuring Restructuring Advisory Services include guiding companies through the liquidity management process focused on operational cost savings, developing and evaluating business plan and strategic alternatives, providing alternative debt/equity structures based upon asset base and/or anticipated cash flows, advising on negotiations and on pre-bankruptcy and divestiture planning Operator search and selection Management contract reviews; company selection and negotiations Services designed to select a management company/ operator on a timely basis to meet clients needs as well as to provide professional advice during the contract negotiation process Creates value by aligning the vision of the asset with return expectations, providing an equitable and analytical selection process and indispensable knowledge of the industry and players, benchmarking commercial contract terms and assisting the client in the implementation of the management-company relationship Operational enhancement Designed to assist the client in identifying and diagnosing the issues impacting a single asset or a portfolio of properties Proven methodology that delivers both short-term profitability and long-term enterprise value maximization. Our framework for co-developing a road map consists of a current state/ future state analysis, gap analysis and closing-the-gap recommendations. Repositioning analysis Benchmarking property and helping the client identify key opportunities for improvement: renovation, re-branding, cost containment, enhancing product/services quality, increasing product/service differentiation, improving the sales/marketing strategy in rooms, food and beverage, meeting/banquet and all other revenue generating departments Provides financial advice throughout Chapter 11 proceedings, and advise on tax aspects of restructuring in and out of bankruptcy 6 Transaction Real Estate Advisory Services Our services
Our real estate ownership lifecycle Acquisition Market and financial Feasibility study Acquisition due Diligence Developers and owners goals and objectives Project identification Project evaluation Development Highest and best use analysis Real estate development strategy EY has developed a project management methodology for all of our assignments geared to ensure that our work is carried out in an efficient manner and the final product meets our clients expectations. Request for proposals process Operator/developer Search Management contract review Capital markets advisory/ fundraising Ongoing investment Management operations Enhancement Organizational change Performance monitoring Diagnostic review/ positioning analysis Annual buy/hold/ sell analysis 7 Transaction Real Estate Advisory Services Our services
Our project management methodology Close interaction with stakeholders at all stages of the project to ensure that we gain complete understanding of client requirements to be addressed in the development of all work products. Regular meetings between our advisors and concerned management at which we report progress to date, the work plan for the following period, the work accomplished, any problems being encountered in the execution of our work, as well as drafts of our work products. This ensures timely completion of the job at hand and provides the client with an opportunity to monitor on-going progress. We propose that the stakeholders nominate a project coordinator who will be able to coordinate between the stakeholders and EY on the various requirements, which may arise during the course of each project. He or she is also responsible for scheduling and committing the resources required. We obtain management s approval of our work at each stage of the project prior to proceeding with the next stage. This ensures that our work effort is always directed toward the common objective of providing you with a quality product in a timely manner. All work products are submitted to the stakeholders for review and approval prior to being issued in final form. This ensures that any amendments or enhancements requested by the management are incorporated in the final document. We believe this approach encourages management to buy in to our recommendations and assumptions of ownership in the work products. Project management and oversight Structure initiatives Project charters and plans Monitor and control change Report project progress quality management Project integration Issue management Plan Project level policy and business issues Interface to sponsorship structures Risk management Linkages with other business initiatives Project management Control Execute Knowledge management Knowledge management Implementation lessons learned Project management Quality assessment Monthly project management quality assessment Project administration Role and responsibility definition Resource management Project standards and methodologies 8 Transaction Real Estate Advisory Services Our services
The right team Yousef Wahbah Partner and Head MENA Transaction Real Estate, Hospitality & Leisure Services Dubai, UAE Yousef Wahbah has 16 years of business advisory services experience. Yousef s expertise in real estate and his dedication to what he does is what lead TREAS to be what it is today, making EY one of the largest integrated real estate advisory practice in MENA. Noura Yassin Director TREAS Dubai, UAE Noura Yassin is specialized in investment valuation, development appraisal, feasibility study, advisory services and highest and best use with more than 17 years of experience in the real estate market. Noura has acquired significant experience in valuation of real estate worth billions of dollars from major companies in MENA. Said Bajaber Director TREAS Jeddah, Saudi Arabia Said Bajaber is the first designated member of the Appraisal Institute (MIA) in Africa and the Arab world. Said has more than 17 years of real estate valuation and advisory services experience. His expertise lies in strategic real estate advisory services, valuation, asset management as well as market and financial feasibility studies in the real estate market. Nehme Ayoub Senior Manager TREAS Doha, Qatar Nehme Ayoub has 8 years of experience in the real estate, finance and investments sector. His expertise lies in the hospitality sector. Nehme has a broad range of engagements including market feasibility studies, asset and portfolio valuations, highest and best use analysis, management contract negotiations and operational reviews.. 9 Transaction Real Estate Advisory Services Our services
The right team (contd) Maya Josserande Whiteley Senior Manager TREAS Dubai, UAE Maya Josserande Whiteley s expertise lies in strategic advisory, operational analysis, branding and repositioning analysis, fund structuring and capital raising, as well as market research, feasibility studies, highest and best use analysis, and operator search & selection. Saqib Saeed Manager TREAS Abu Dhabi, UAE Saqib Saeed has over 7 years of real estate valuation and transaction advisory services experience with proven expertise in valuations, strategic real estate advisory services and market and financial feasibility studies. Lara Qafeiti Manager TREAS Amman, Jordan Lara Qafeiti is specialized in the real estate and hospitality sector with 8 years of experience in corporate finance advisory services. Lara s expertise lies in preparing business plans, valuation, information memorandums and due diligence reviews. Kristoff Jacques Manager TREAS Muscat, Oman Kristoff Jacques has undertaken many real estate market overviews, financial feasibility studies, valuation and best use studies across Oman and India. Kristoff has 6 years of experience with extensive knowledge in real estate advisory and valuation.. 10 Transaction Real Estate Advisory Services Our services
EY Assurance Tax Transactions Advisory About EY EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities. EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit ey.com. The MENA practice of EY has been operating in the region since 1923. For over 90 years, we have grown to over 5,000 people united across 20 offices and 15 countries, sharing the same values and an unwavering commitment to quality. As an organization, we continue to develop outstanding leaders who deliver exceptional services to our clients and who contribute to our communities. We are proud of our accomplishments over the years, reaffirming our position as the largest and most established professional services organization in the region. 2015 EYGM Limited. All Rights Reserved. EYG no.df0195 ED None This material has been prepared for general informational purposes only and is not intended to be relied upon as accounting, tax, or other professional advice. Please refer to your advisors for specific advice. ey.com/mena