Quick Answer:

A Hotel Property Improvement Plan (PIP) is the franchisor’s required scope and schedule to upgrade a hotel so it meets brand standards. Lock scope early. Budget with 10–15% contingency. Phase work to protect rooms and RevPAR. Hire contractors experienced in PIP hotel renovations cost planning.

What is a hotel property improvement plan (PIP)?

A PIP lists required upgrades across guestrooms, lobby, corridors, exterior signage, and back-of-house systems.

It sets deadlines, submittal rules, mockup expectations, and inspection steps. Understanding the hotel property improvement plan definition helps owners avoid surprises and cost creep.



Next: what franchisors usually require and how to respond.

Hotel PIP requirements in the US and Puerto Rico

Brands publish model-room standards and approval timelines.

Common PIP items include ADA compliance, energy-efficiency upgrades, life-safety systems, and approved finish schedules.

Puerto Rico projects need added logistics planning for shipping, customs, hurricane season timing, and local permitting windows that can affect schedule and cost.

How to manage a hotel PIP renovation in the US and Puerto Rico

1. Assess: full walkthrough, photo log, and a spreadsheeted PIP matrix.
   
   
2. Plan: room-by-room specs, long-lead items, mockup schedule.
   
   
3. Budget: hard costs, soft costs, FF&E/OS&E, owner expenses; include 10–15% contingency.
   
   
4. Approve: submit mockups and product data for franchisor signoff.
   
   
5. Execute: phase by floor/stack and maintain revenue-generating rooms.
   
   
6. Close: punchlists, warranties, and brand signoff.
   

PIP hotel renovations cost planning

• Demo/MEP: structural work, electrical, HVAC, plumbing.

• Finishes/FF&E: casegoods, fabrics, carpeting, public area fit-outs.

• Logistics: shipping, storage, customs, and seasonal price shifts for Puerto Rico.

Use an allowance spreadsheet to compare bids, document assumptions, and control escalation.

Consider vendor terms, equipment leasing, and utility rebates as financing options.

Managing renovation disruptions during hotel PIPs



Schedule noisy work midday and use swing floors. Stage FF&E offsite and move items during off-hours.

Control dust with barriers and negative air. Limit corridor closures and provide alternative circulation paths.

Train front desk staff with standard guest communications and compensation guidelines to preserve reviews and protect RevPAR.

Collaboration with architects and contractors for hotel PIPs

Require a mock-up room, a clear RFI cadence, and weekly progress reports.

Select partners with proven PIP project management hotel experience and a track record of navigating brand standards renovation schedules.

Insist on digital document control to speed approvals and reduce RFIs.

Negotiating PIP timing and alternates

Prioritize must-haves and propose alternates that meet brand intent while trimming cost or lead time.

Use phased timelines to avoid peak-season room closures. Lock finishes with model-room approvals to limit reorders.

Quick Checklist

• Walk every guestroom and note deficiencies.

• Create one spreadsheet: item, location, spec, qty, lead time, cost.

• Flag long-lead items and order after mockup approval.

• Reserve 10–15% contingency for unknowns.



• Schedule noisy trades midday and keep one guest floor open at all times.
  

Evidence: expected revenue impact

Case studies and industry analyses show well-executed PIP-led renovations can produce measurable revenue gains.

One industry analysis found an average RevPAR uplift of about 9% above market following PIP work; some higher-tier properties saw up to 17% gains in specific cases. (Sources listed below.)

Why choose DEV Builders for hospitality PIPs in Puerto Rico

DEV Builders Group provides high-end, premium, concierge, white glove service for hospitality PIP work/projects in Puerto Rico. 

The team offers hands-on project management, an equipment fleet, and branded closeout documentation that helps owners meet PIP hotel brand standards compliance while protecting asset value. 

We’re ready to build your vision with care, speed, and excellence.

Contact DEV Builders Group today!

FAQ

Sources

• Chatlyn — Property Improvement Plan (PIP) explanation
  
• Ramaker — What is a hotel property improvement plan?
  
• Amerail Systems — What is a Hotel Property Improvement Plan (PIP)?
  
• Renu — What Is a Hotel PIP?
  
• GLR, Inc. — Hotel Property Improvement Plans (PIPs) Explained
  
• Hospitality Net — Things to Consider if Your Hotel PIP Is Coming Due
  
• Bull Realty — Quantifying the Revenue Impact of Property Improvement Plans
  
• Hotel & Leisure Advisors / CoStar — The Financial Impact of Hotel Renovations