PROJECT
The Tontine Hotel, Peebles
Independant Business Review
Appointed by S&W to carry out an Independent Business Review for a Distressed Hotel Asset
Assignment
This case study outlines our advisory support during the Tontine Hotel review, where early diagnostics identified margin pressure and operational leakage.
In 2025, Assured Hotels completed an Independent Business Review for a regional hotel facing sustained margin pressure, operational leakage and weakening cash flow visibility. The hotel had strong fundamentals — good rooms, a central location and established demand drivers — but performance had regressed sharply as economic pressures intensified.
Our review identified the core issues:
- low occupancy (52%) despite competitive pricing
- over‑budget payroll driven by weak rota controls and a top‑heavy structure
- F&B dependency creating margin drag and volatility
- inconsistent procurement reducing leverage
- cut maintenance and compliance spend increasing future risk
- limited revenue management discipline restricting volume growth
These weaknesses meant the hotel was entering the autumn downturn with reduced margins, limited cash-flow visibility, and narrowing strategic options.
Scope
We modelled stabilised performance and set out a practical turnaround pathway focused on:
- rebuilding reporting and labour visibility
- tightening controls and reducing leakage
- improving pricing, channel mix and demand management
- prioritising defensive investment over speculative development
- restoring margin before winter funding pressures intensified
Outcome
Independent Review Supporting the Tontine Hotel Turnaround
Our review highlighted the need for clearer reporting, stronger controls, and a lender‑aligned pathway to stabilisation at The Tontine Hotel.
The outcome was a clear, lender-aligned plan showing how operational discipline, margin protection and improved visibility could stabilise the asset and preserve value — and why early action matters before the seasonal downturn narrows options.
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In our latest blog read insight into Autumn operating discipline protecting hotel margin and value/

