Correspondence: Arlett Oehmichen, HVS International 7-10 Chandos Street Cavendish Square London W1G 9DQ, UK. Tel: +44 (20) 7878 7700; Fax: +44 (20) 7878 7799; E-mail: aoehmichen@hvs.com Web: www.hvs.com

¹is an Associate with HVS International's London office, specialists in hotel valuation and consultancy. She joined HVS in mid-2006 after six months experience in the hotel investment industry as well as operational hotel experience during university placements with Hilton and NH Hoteles. Arlett has studied Business Administration at the Dresden University of Technology, Germany and Universidad de Cordoba, Spain. Since joining HVS, she has conducted numerous valuations and feasibility studies in Europe and Northern Africa. Arlett has worked on assignments for hotels as well as mixed-use developments comprising residential components, rental pools, golf courses and marinas.

²is a Director in the London office of HVS International. His background is that of a trained hotelier. Before entering the consultancy world, he worked for Forte Hotels in the UK and Sheraton in West Africa. He has more than 20 years specialist hotel consultancy experience. He has been with HVS International for nine years. During his years as a management consultant he has gained substantial international experience, having completed a wide range of hotel-related assignments, while diversifying into other fields such as extended stay hotels, serviced apartments, other areas of real estate, golf and leisure, and mergers and acquisitions. His work within HVS International generally focuses on the provision of specialist hotel valuation, property and consultancy services throughout Europe, the Middle East, Africa and Asia. Dominique has extensive experience of Central and Eastern Europe and he is responsible for the development of HVS International's business in that region.

Received 26 October 2007; Revised 26 October 2007.

Abstract

An unspoilt nature, numerous cultural sites, more than 1,100 islands, a mild Mediterranean climate, a strong economic recovery in recent years, the expected accession to the EU and a lack of luxury accommodation make Croatia the current hotspot for resort development in the Mediterranean Basin. This paper will highlight the potential for resort developments in Croatia but also the possible downsides.