Ramada Nusa Dua by Wyndham: what the brand gives and what owners keep
Balinsky talked to the Teus Group team about Ramada Nusa Dua by Wyndham — a hotel project in Nusa Dua run by the international Wyndham chain. The main question: is the operator's brand a real benefit for a unit owner, or just marketing?
The experts — Alexander, Director of Development at Teus Group (has lived in Bali for 4 years), and Artem Borovsky, Head of Partner Sales at Teus Group.
The figures below come from the guests. Balinsky has not verified them.
1. What Wyndham is
According to the guests:
- about 9,300 hotels in 95 countries; the company is 40 years old;
- 34 hotels in Indonesia, 4 in Bali;
- more than 115 million members in its loyalty programme.
Ramada by Wyndham is one of the chain's core brands, in the upscale segment (4 and 4+ stars). Teus Group's first project in Bali, Amani Melasti, 250 m from Karma Kandara beach, also runs under a Wyndham brand.
2. The operator contract comes before sales
- According to the guests, the main contract with Wyndham was signed before presale. A main contract, not a preliminary one.
- Before signing, Wyndham checked the land, the project, the company, its founders and its finances.
- If the check fails, the main contract is simply not signed.
3. Double control of construction
- The project was designed from the start to Wyndham standards: service areas, staff routes, dimensions, even where the light switches go.
- According to the guests, a Wyndham representative visits at every stage of construction. This is a second check, on top of the developer's own technical supervision.
- The standards set a minimum concrete grade and vertical waterproofing — protection against damp and mould.
- There is All Risk insurance for the construction period.
- At the time of the interview the foundation was finished and the build was moving past the groundwork stage.
4. Where the guests come from
Three main channels, according to the guests:
- travel agencies and package tours;
- the Wyndham loyalty programme — a mailing to members before the hotel opens;
- booking websites.
A private owner pays booking websites 15–20%. A large chain, by the guests' estimate, may pay less — for example, around 10%.
5. Occupancy forecast
- Teus Group's model: 75% in the first year, then growth to 83%. The forecast covers 5 years.
- According to the guests, a new hotel's first year is always the hardest: it needs reviews and recognition.
- A Wyndham hotel in Seminyak, they say, runs at about 80% occupancy at around $100 a night. The guests noted they had not checked the price.
6. How income is shared
The hotel uses a rental pool. Income from all rooms is added up and split by coefficients. The coefficients, according to the guests, come from Wyndham's rules:
- room type (standard or suite);
- floor;
- view;
- floor area.
Coefficients for different units range from about 1.01 to 2.
Example from the interview: unit 316, 3rd floor, 33 m², price $122,900, $105 a night in the calculation.
7. How much the owner keeps
The calculation for every $100 of a unit's income, according to the guests:
- 20% is the management fee. $80 remains.
- Another 30.5% is deducted from the $80: hotel operations (staff, commissions, utilities, phone and internet) — 20%, renovation fund — 4%, marketing — up to 5%, contingencies and insurance — 1.5%.
- About $55.60 remains.
- Tax: 10% if the management company acts as tax agent (for owners with an Indonesian tax number, NPWP).
- The result: about $50 out of $100, roughly 50/50.
Operating costs, according to the guests, start at about 20–22% and fall to 18% over time.
8. What to check in the contract
- What happens if the operator misses its targets. The guests suggested the management company could then be replaced, but gave no exact answer from the contract.
- How the owner sees reports. According to the guests, each investor will have a personal account on the Wyndham website with reports on their unit.
9. Downsides of a brand
According to the guests:
- less freedom — the standards are mandatory;
- a large company finds it harder to change course quickly;
- it is harder work for the developer.
The upside, in their view, is stability: a chain operator does not depend on one person's plans.
10. Resale liquidity
What affects resale, according to the guests:
- location;
- who manages the property and what numbers it shows;
- who built it;
- brand recognition — especially for foreign buyers.
Land around Melasti, according to the analysts the guests cite, rose 8–10% in value over the last year.
The full interview (in Russian) is available via the video button below.
