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Hotel Management Contract
"I need a Hotel Management Contract for a new luxury resort in Riyadh, where our investment fund will engage an international hotel operator, with operations scheduled to commence in March 2025, including pre-opening services and specific provisions for mixed-use facilities including retail spaces."
1. Parties: Identification of the Hotel Owner and the Hotel Management Company
2. Background: Context of the agreement including property details and purpose of the management arrangement
3. Definitions: Detailed definitions of terms used throughout the agreement
4. Appointment and Term: Scope of manager's appointment, duration, and renewal terms
5. Manager's Rights and Responsibilities: Detailed obligations of the management company including operational standards
6. Owner's Rights and Responsibilities: Owner's obligations including funding, maintenance, and cooperation requirements
7. Staff and Employment: Employment arrangements, Saudization requirements, and staff management protocols
8. Operating Standards: Brand standards, quality requirements, and compliance with local regulations
9. Financial Arrangements: Management fees, revenue sharing, accounting principles, and budgeting requirements
10. FF&E and Capital Expenditure: Furniture, fixtures, and equipment provisions, capital improvement requirements
11. Insurance and Indemnification: Required insurance coverage and mutual indemnification provisions
12. Termination: Grounds for termination, process, and consequences
13. Post-Termination: Obligations and transitions after contract termination
14. Dispute Resolution: Process for resolving disputes, applicable law, and jurisdiction
15. General Provisions: Standard boilerplate clauses including force majeure, notices, and assignments
1. Non-Compete: Restrictions on management company operating competing hotels within specified area - include when exclusivity is required
2. Islamic Finance Compliance: Specific provisions ensuring Sharia compliance - include when Islamic financing is involved
3. Mixed-Use Property: Provisions for managing shared facilities - include when hotel is part of a mixed-use development
4. Pre-Opening Services: Terms for pre-opening phase management - include for new hotel properties
5. Gaming/Entertainment Restrictions: Specific provisions addressing Saudi entertainment regulations - include for properties with entertainment facilities
6. Crisis Management: Special provisions for managing crisis situations - include for high-risk locations or upon owner's request
1. Property Description: Detailed description of the hotel property, including land title details and floor plans
2. Operating Standards: Detailed brand standards and operating procedures
3. Fee Structure: Detailed breakdown of all fees, including base fees, incentive fees, and reimbursable expenses
4. Key Performance Indicators: Specific performance metrics and targets
5. FF&E Requirements: Detailed specifications for furniture, fixtures, and equipment
6. Required Insurance: Detailed insurance requirements and minimum coverage levels
7. Initial Budget: First-year operating budget and capital expenditure plan
8. Staff Organization: Organization chart and key position descriptions
9. Technical Services: Specifications for technical services and systems
10. Brand Standards Manual: Detailed brand standards and compliance requirements
Authors
Hospitality
Real Estate
Tourism
Investment Management
Property Development
Food & Beverage
Entertainment
Asset Management
Facilities Management
Professional Services
Legal
Operations
Asset Management
Real Estate
Development
Finance
Compliance
Risk Management
Commercial
Property Management
Investment
Facilities Management
Hotel General Manager
Chief Executive Officer
Chief Operating Officer
Head of Legal
Legal Counsel
Property Director
Asset Manager
Investment Manager
Development Director
Operations Director
Commercial Director
Finance Director
Real Estate Manager
Compliance Officer
Risk Manager
Hotel Owner
Property Manager
Facilities Manager
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