Artur Lupashko (CEO of Ribas Hotels Group) joined the live broadcast by Ihor Ilchyshen, the founder of ARHA GROUP.

Below is a summary of the interview.You can watch the full version by clicking here.

Ihor Ilchyshen:

Today we are going to have a look at income-producing real estate with a guaranteed payback. In this interview, we will discuss in detail how our joint projects are created and implemented, how the financial model is developed, and what factors contribute to their success.We will address essential aspects of financial planning, challenges faced by businesses, and innovative approaches to real estate management.

I would like to highlight some key points of our dialog.

1.Partnering with Ribas Hotels Group (in general)

Ribas Hotels Group is a long-standing partner in our projects. We always strive to deliver a high level of service and generate stable returns for our investors. Artur Lupashko, the founder and owner of Ribas Hotels Group, is sharing his vision and expertise in this area. The success of our partnership is built on mutual trust, professional competence and common goals that help us achieve great results.

2.Getting Started with Financial Models

Developing financial models is a complex and multi-stage process that involves in-depth analysis of the market, economic trends and potential risks. Artur told us how he was lucky enough to meet Volodymyr Rostak, the director of Bukovel, who shared his methods of detailed cost accounting for every hotel room. This approach has inspired Ribas Hotels Group to create its own in-depth analysis system.

3.Understanding The Importance Of Detailed Analysis

Ribas Hotels Group collects and analyzes a large amount of data to accurately estimate financial performance. The data is shared with partners, including our company, ARHA Group, if so requested. Each hotel has its own unique financial model, which considers factors such as the guest's average length of stay, guest's spending on additional services, regional features and more. This helps partner companies estimate revenues as accurately as possible and ensure business stability.

Artur Lupashko:

That's right — a detailed analysis includes not only a profit forecast, but also cost control, market and competitor analysis, and potential risk assessment. With the use of modern business analysis tools and large amounts of data, we can create accurate financial models that cover all possible scenarios. Recent years have been a great trial for the hotel business. The COVID-19 pandemic and the war in Ukraine have created unprecedented challenges. However, thanks to its flexible and pragmatic financial models, Ribas Hotels Group was able to adapt quickly and ensure the profitability of its projects even in the times of crisis. For example, the pandemic forced many Ukrainians to stay at home, which in turn increased the demand for domestic tourism and helped our company do well in the Carpathians. The war in Ukraine has also prompted businesses to respond to new conditions. We at Ribas Hotels Group immediately made changes to our financial models with regard to martial law and possible scenarios. This ensured that the company could remain stable and generate profits even in the toughest of times.

Ihor Ilchyshen:

4.Providing Inclusivity and Flexible Design

Inclusivity is one of the most important aspects of ARHA Group and the Ribas Hotels Group management company. All new ARHA Group’s projects address the needs of people with disabilities. This includes special rooms, bathrooms and infrastructure facilities that provides convenience for all guests. Artur spoke about flexible design, which should consider the needs of people with various physical abilities, including those who use prosthetic devices or have hearing and/or vision impairment. Flexible design also includes creating a comfortable environment for mothers with small children, the elderly and other groups. This makes hotels accessible to a wide range of guests and ensures a high level of comfort for everyone.

5. Conceiving new projects

Unique concepts are one of the key components of the success of ARHA Group’s projects in partnership with Ribas Hotels Group. Each project is developed to meet local particularities and aimed at creating bespoke customer experience. A key component is to incorporate local elements into architecture, decor and service. This brings a special atmosphere and attracts guests. For example, the POTAY Dyvo-Khutir project focuses on natural materials and traditional style, which is in harmony with the surrounding landscape of the Carpathians. This helps guests get fully immersed in the atmosphere of local culture and nature. The WOL project in Vinnytsia uses modern architectural solutions and technology to ensure a high level of comfort and convenience for guests.

6. Paying Special Attention to Ongoing and Upcoming Projects

The current projects of ARHA Development and Ribas Hotels Group include the AMA complex, the POTAY cottage town and the WOL aparthotel. Each one has its own distinctive concept and meets high quality standards. In particular, POTAY Dyvo-Khutir is located in the midst of the picturesque Carpathian mountains and offers a vacation stay in original cottages with beautiful views. The AMA complex is now at the final stage of finishing work, and the first investors will shortly be able to get their cottages. The WOL aparthotel in Vinnytsia is also under intense construction, and we have already completed the ground level work, which is an important milestone for the project. The AMA project includes 30 cottages, which are now at the final stage of finishing and furnishing work. All properties are planned to be handed over to their owners by the end of the year. POTAY comprises 47 cabins, 19 of which already have poured foundations. WOL in Vinnytsia includes 87 rooms and is now at the foundation pouring stage. These projects showcase the high dynamic of growth and meet the highest quality standards.

Ihor Ilchyshen: «Sadly, the war in Ukraine has also brought its own changes to the company’s operations.»

Artur Lupashko: «However, Ribas Hotels Group has quickly updated its financial models in the context of martial law. For example, one of the projects that the company managed has more than doubled its budget, despite tough conditions. This confirms the high efficiency and flexibility of the company’s financial models. Martial law has affected many aspects of the company's operations, including planning, logistics and resource management. Ribas Hotels Group is strongly focused on improving its financial models and management approaches to ensure stability and profitability even in the most challenging times».

Ihor Ilchyshen: What about trust?

Artur Lupashko: «It is rather about transparency. One of the major initiatives of Ribas Hotels Group is to create a transparent procurement platform. This will minimize the risks of corruption and ensure competitive prices for all goods and services offered by hotels. Investors can be sure that all processes are as transparent and controllable as possible. A transparent procurement platform also helps improve management efficiency and reduce costs. This results in high-quality services and reduced risks for investors. Transparency and openness are the key pillars of our work».

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