Elise Capital Quarterly Journal: Q3 2022
Behind the Mission
Elise Capital is a mission oriented hotel investment firm purposed to unlock access to hotel ownership.
This past September recognized equal pay day for black women proving a stark reminder of inequality when it comes to wealth. Gender and race continue to play a significant role in pay directly impacting future wealth potential.
While progression is being made, the hotel industry lags behind due to high exclusivity to access investment options within the field. These barriers to entry come from requirements of accreditation status as well as investment thresholds to enter. For example, an accredited investor is required to earn $200k annually or hold a net worth of $1M. Per the prior chart, wage inequality as well as net worth gaps automatically exclude many from any opportunities. Thus, Elise Capital was born taking its place in the industry as an inclusive platform.
Hotels generally yield higher returns than its real estate counterparts with industry yield averages of 18% IRR, 10% Cash on Cash Return and 2.0x Equity Multiples. With positive returns hotels have a unique place in generating wealth for investors, but how do we use this asset class to contribute to the inequity gaps we currently face?
Elise Capital recognizes the pay wage inequities and general wealth inequities many face edging them out of historical hotel investment opportunities. While many firms tend to have higher barriers to entry, we break the mold by removing accreditation barriers and lowering investment thresholds.
Since inception of Elise Capital in 2019, we have continued to maintain hold of our mission unlocking access to ownership.
Elise Capital strives to continue our mission through our additional investment opportunities to come. Sign up for our deal alerts to be on the priority list for future deal notifications.