Prestige Capital Hospitality Opportunity Fund

Leaders in Hospitality Investments
Disclaimer
This summary does not constitute an offering of securities and cannot be relied upon for
making your investment decision. It is qualified in its entirety by the offering documents
of the Issuer. Please read the Issuer's offering documents thoroughly before investing.
Descriptions of the Issuer or the Offering in this summary may vary from similar
descriptions presented in the Issuers offering documents and, where this summary differs,
the Issuer's offering documents prevail. All terms and phrases in this document which are
not otherwise defined herein have the meanings given to them in the Issuer's offering
documents.
What we do
 Building a portfolio of world
class hospitality assets
 Enable individuals to invest in
internationally branded assets
It’s About People
4 Principals
 Professional Brand Managers
 Buying
 Growing
 Operating
 Selling
Extensive brand expertise
7 International brands
11 locations
$330
Current Branded Assets
Million
1000 Employees
Hampton and Homewood
Now open at Calgary Airport
Prestige News - Development
 Distributions started on both
Hampton and Homewood
 Purchased $1.7M of Preferred Shares
 Booking.com rating of 9.0 and 9.3
 TripAdvisor Certificate of Excellence
Current Hospitality Market
Opportunity Knocks
Lifestyle
 Aging owners looking to monetise
their business
 Creating buying opportunities
 Lack of Succession planning
 No interested willing heirs
Expansion
 Mergers and Takeovers
 Partnerships
High Barriers to Entry
 Large sums of capital required
 Access to premium brands in “A” markets is
difficult to obtain
 Few qualified buyers
Strong Market Ahead
 + $1Billion in transactions expected to continue
 Strong operating fundamentals
 Cost of debt is at an all-time low
 More debt players
Our Response to
this Market Opportunity
Prestige Hospitality
Opportunity Fund -I
The Mandate
 Internationally franchised brands
 Major centres
 Consistent business travellers
Prestige Hospitality
Opportunity Fund - I
 3 to 5 Assets
Prestige Hospitality
Opportunity Fund - I
 3 to 5 year hold
Diversify Your Client
 1st – International Franchise
 2nd – Hospitality
 Real Estate Backed
Our Process
 BUY - Branded assets or assets which can be
branded
 IMPROVE – More efficient operations , re-branding
& renovations
 OPERATE – Use professional managers to increase
profits
 SELL - Maximize returns to investors
Benefits of Branding
 Less volatility – Occupancy, Average Daily Rate, Net Operating Income
 Value add
 Loyalty programs provide > 60% of
revenues
 Name recognition
 Standardized Quality
Due Diligence
 Competed by 4 independent parties
 Brand Review Committee
 Professional Appraisal
 Canadian Chartered Banks
 Exempt Market Analysts
Fresh Announcements
 Purchasing 2 internationally
branded franchised hotels Marriott
 JV Partner with extensive hotel
renovating and operating experience

Recently acquired Starwood Sheraton, Westin, W and
St. Regis

5,500 properties more than 1.1 million rooms

24 brands including Marriott's Courtyard, Ritz-Carlton
and Fairfield Inn

Marriott Rewards 54 million members
Canada’s Golden Horseshoe
 Diverse and fast growing
economy
 ~9M People (26%)
 Direct access to the largest
markets
TownePointe Suites
London by Marriott
Marriott Development Deal of the Year 2015
 126 Guest suites with kitchens –
Extended Stay
 980 ft2 Conference Centre
 Breakfast Area
TownePointe Suites
London by Marriott
Marriott Development Deal of the Year 2015
 $6.5 M Renovation in spring 2015
 Acquisition Mar 16 2016
 Purchase $14.5M
 Appraised $16M
Benefits of London
 Diverse economy: manufacturing, food
processing, IT, financial services
 High standard of living
 Access to exceptional education and career
opportunities
Courtyard by Marriott Waterloo
 118 well appointed guestrooms
 1300 ft2 of flexible meeting space
 The Bistro for breakfast and dinner.
Courtyard by Marriott Waterloo
 Recent $3.5M Renovation
 Acquisition Oct 30 2016 or sooner
 Purchase $17M
 Appraised $18.5M
Benefits of Waterloo
 Knowledge and service based economy
 Ability to attract talent and capital
 Past 5 years - creation of over 1,800 startups -
$650M
JV Agreement
with Palm Holdings
 3rd generation hoteliers
 Bought and sold over 50 hotels worth over $500M
Canada, UK, India and USA.
 Jointly buying, renovating, rebranding, operating and
selling
 Marriott Developer of the year 2015
Palm Management
 Retain 15% ownership of the hotels
 Supplying the operational management
 CourtYard Waterloo
 TownePlace Suites London
 Expertise with Marriott, Starwood and Hilton
Benefits to the Fund

Early cash flow to investors


New management team


Completed renovations drive higher rates and
lower maintenance cost
focused on profit maximization
Well respected brands with strong customer
loyalty
Investors’ Perspective
Investment Structure
Mutual Fund
Trust (MFT)
Investor
Investors Buys MFT
Units $10,000 min
MFT Buys LP Units
2 Sources of Returns
Limited Partnership
(LP)
Proceeds from
Operations
Proceeds from
Sale of Hotel
LP Buys Hotels
3-5
Hotels
Investing Options
Hurdle
Hurdle
The investor receive all the profits until the hurdle rate is satisfied
Hurdle Investor Options
Retail
Investor
GP
 70% profit share
 8% collapsible cumulative hurdle
$10,000 Class B
$75,000 Class C
$150,000 Class D
70%
72.5%
75%
No - Hurdle Investor Options
Entrepreneurial
Investor
GP
$10,000 Class E
$75,000 Class F
 85% profit share – No hurdle
$150,000 Class G
85%
87.5%
90%
Custom Deals
 Open class of units for large
investments
 Terms are negotiable
Pro Rata Distribution
Terms of one class do not effect the other
$1,000,000
Sample Distribution
Pro rata split based on % of
total funds invested
Contributed Capital returned
prior to profit sharing
Profit sharing with investor class
Retail
60%
$600k
Ent.
30%
$300k
CT
10%
$100k
Return of contributed capital
70% or
8% hurdle
85%
XX%
Early Discount
5%
Until March 16
Supporting Investors
 Investor Welcome Package
 Online statements to track your
investment
 Regular project updates
 Audited annual financial
statements
 Advanced notice and access to
future opportunities
Agent Support
 Full set of Marketing Materials
 Face to Face Training
 Live Presentations
 Customized Marketing Material
 Hotel Tours
Questions
Stuart McPhail
Mobile 403-680-5869
Tel 403-275-1177
Stuart@prestigecapital.ca
Curtis Potyondi
Tel 403-275-1177
Curtis@prestigecapital.ca