Ep 164 - Building A Boutique Hotel Portfolio with Diya Liu
Aug 21, 2023
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Former patent litigation attorney turned hotelier, Diya Liu, shares her journey of owning 4 hotels and multiple short-term rentals across the USA. She discusses the advantages of short-term rentals, transitioning to full-time property management, hotel renovations, team building, and market analysis for successful investments.
Diya Liu transitioned from short-term rentals to hotels for future-proofing her investments due to increasing competition in the market.
Dia's acquisition and renovation of a 48-key hotel showcased her strategic management approach focusing on market analysis, data-driven decision-making, and operational efficiency.
Deep dives
Transition from Career to Real Estate Investing through Short-Term Rentals
The episode discusses Dia Liu's journey from a successful law career to real estate investing focusing on short-term rentals. Dia transitioned to real estate seeking financial freedom and flexibility. She fell in love with short-term rentals due to their cash flow, flexibility, and alignment with her passion for traveling and design. By leveraging her legal and engineering background, Dia found a perfect blend of skills in analyzing deals, negotiating contracts, and creatively managing her properties.
Venturing into Hotels from Short-Term Rentals
Dia's shift from short-term rentals to hotels is explored in the podcast. Motivated by increasing competition in the short-term rental market, Dia turned to hotels to future-proof her investments. She encountered challenges in analyzing hotel deals due to less standardized financial data compared to short-term rentals. The move to hotels required different underwriting strategies and financing approaches, leading to a learning curve in managing larger properties and securing suitable financing options.
Acquiring and Operating a 48-Key Hotel
The episode details Dia's acquisition and renovation of a 48-key hotel, marking a significant milestone in her real estate journey. Despite challenges in closing the deal and securing financing, Dia successfully acquired the property through seller financing at an advantageous rate. The hotel underwent extensive renovations to modernize its aesthetic, enhance guest experience, and maximize returns. Dia strategically managed the property with a small team, emphasizing market analysis, data-driven decision-making, and operational efficiency to drive business growth.
Diya is a former patent litigation attorney turned hotelier. She owns 4 hotels and a handful of short-term rentals across the USA and has wholesaled and owned over 20 short-term rentals before diving into hotels. She founded The Welcome Fund in 2023 to purchase hotels and short-term rentals. Diya now travels full-time to identify emerging markets in the tourism industry and to find hotels and STRs at 20-50% off market price for herself, her students, and her team at The Welcome Fund.