At a recent hospitality conference, a hotel owner said something that stuck with me:
“No one got rich with hotels… but everyone who is rich has a hotel.”
That quote reflects a common perception in our industry — that hotel ownership without capital is nearly impossible. Many assume it’s a privilege reserved for the ultra-wealthy. When I posted about this recently, the responses echoed the same sentiment: “I’d love to own a hotel… but I don’t have millions.”
But here’s the truth: you don’t need to be rich to own a hotel. There are practical, proven strategies that rely more on structure and creativity than on cash. Based on my own experience as both a hotel owner and asset manager, here are seven ways to approach hotel ownership without capital — or at least, without needing all of it up front.
Highlights
1. Rent the Property
Real estate is typically the largest upfront cost. Renting instead of buying allows you to focus capital on what matters most — operations, team, brand, and guest experience. Many successful boutique operators have proven that you can build value without owning the walls.
2. Secure a Long Lease
A lease of 20 years or more can provide the long-term control needed to operate confidently. In investment circles, such leases are often viewed as a form of “quasi-ownership,” especially when structured with renewal options and operational autonomy.
3. Bring in Shareholders
You don’t have to go it alone. Forming partnerships with aligned investors helps distribute both risk and capital. A thoughtful shareholder agreement can make ownership possible — and sustainable — even for first-time operators.
4. Explore Alternative Financing
While banks are the traditional route, more hospitality-focused lenders are emerging. Firms like Goldbell in Singapore offer financing tailored to operators, not just real estate developers. These solutions are worth exploring, especially if you’re building a track record.
5. Consider Seller Financing
Sometimes, sellers are willing to finance a portion of the deal themselves — especially if they believe in the operator’s vision. This reduces the initial capital needed and allows for more flexible structuring.
6. Pitch to Investors
There’s capital looking for exposure to hospitality — without wanting the day-to-day operational grind. A clear concept, a solid ROI model, and a capable team can convince investors to come on board and let you lead.
7. Reinvest Operating Cash Flow
Growth can come from within. For example, we financed part of our second hotel using the cash flow from our first, alongside prepaid room sales. If your operation is profitable, reinvesting revenue is a powerful way to scale without dilution.
Final Thoughts: Hotel Ownership is Closer Than You Think
Hotel ownership without capital isn’t just a dream — it’s a strategic path. With the right partnerships, financial tools, and operational discipline, hotel ownership is within reach for those willing to build smart and hustle hard.
Don’t just admire hotels from afar — build one without waiting to get rich first.
Editor’s Note:
This article, originally titled “How to Become a Hotel Owner Without Being Rich,” was contributed by Pierre Maréchal, Vice President of Strategic Advisory & Asset Management at JLL, with over 20 years of experience across Asia Pacific and beyond, advising hotel owners on asset performance, operator selection, and commercial strategy.
Views expressed are the author’s own. To pitch your story or share insights on hospitality, leadership, or business in Asia, contact the NIA editorial team.
Highlights
Read the Chinese article here.
