Buying a property to convert into a rural hotel

Buying a property to convert into a rural hotel is likely to be a growing trend in Tenerife as demand for this type of accommodation is predicted to rise in the future.  Existing rural hotels are rare on the market and when they do appear, prices are at a premium.  Managing your own conversion is probably the only way to achieve this goal at a reasonable cost.

Areas to look in would include Granadilla and La Florida where it is still possible to purchase a sizeable property at a comparatively competitive price.  Size is not everything though and you should look closely at the environment around the building as well as the particular features.  Many old Canarian houses are well suited to the conversion as they are built with rooms around a central courtyard. 

Think about the market that you are aiming at and what they want from such an establishment. Be prepared. Tenerife Property Shop is well equipped to assist with all paperwork and licensing issues, calling on a wealth of experience.  Even so, the work, frustration with builders and compliance to regulations will require an almost superhuman determination.  It is difficult to finance such a venture, so ensure that your assets are sufficient.  There is no replacement for planning when tackling such a project.  Ensure that your business plan is as detailed as possible at the outset, but leave contingency for unexpected setbacks.  Even having constructed and licensed your hotel, bear in mind that marketing will be one of the highest costs.  It's no use having a beautiful hotel if no one is staying in it.  Investigate the marketing costs at the outset to include in your plan.