Case | HBS Case Collection | 2013 (Revised from original 2012 version)

The Paris Opera Hotel

by Arthur I Segel and Chad M. Carr
 

Abstract

Real estate investor Javier Faus invests in a luxury hotel development in central Paris, and must select a management company.

Keywords: real estate; international business; capital investments; Investment; Property; Business or Company Management; Real Estate Industry; Paris;

Language: English Format: Print 18 pages

Citation:

Segel, Arthur I., and Chad M. Carr. "The Paris Opera Hotel." Harvard Business School Case 212-003, April 2013. (Revised from original June 2012 version.)

Related Work

  1. Teaching Note | HBS Case Collection | 2012

    The Paris Opera Hotel (TN)

    Arthur I Segel

    This case provides an introduction to hotel investment, development and management from the perspective of a short term oriented investor group. Students learn that hotels are a unique real estate property type, with performance often tied to the broader economy, and returns dependent upon sound marketing and an efficient operating strategy, usually executed by a third-party manager. As such, hotels can reasonably be viewed as operating companies—not simply real estate—and therefore carefully structured operating agreements, which align incentives for owners and third-party managers, while maximizing returns, are vital. Class discussion of the selection of an operating company, and potential ways to structure the agreement, allows students to hone their negotiation instincts in a real estate context.

    Keywords: real estate; Hotel; Paris;

    Citation:

    Segel, Arthur I. "The Paris Opera Hotel (TN)." Harvard Business School Teaching Note 213-066, December 2012.
    CiteView Details Related

  2. Case | HBS Case Collection | 2013 (Revised from original 2012 version)

    The Paris Opera Hotel

    Arthur I Segel and Chad M. Carr

    Real estate investor Javier Faus invests in a luxury hotel development in central Paris, and must select a management company.

    Keywords: real estate; international business; capital investments; Investment; Property; Business or Company Management; Real Estate Industry; Paris;

    Citation:

    Segel, Arthur I., and Chad M. Carr. "The Paris Opera Hotel." Harvard Business School Case 212-003, April 2013. (Revised from original June 2012 version.)
    CiteView Details Related

About the Author

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Arthur I. Segel
Poorvu Family Professor of Management Practice
Finance
Entrepreneurial Management

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