Here is our time-tested list of Dos and Donts for distressed hotels and other special assets closely intertwined with operating businesses. There is a wealth of such materials available at HotelLawyer.com.
When Special Assets Teams and special servicers see troubled hotel loans coming onto their screens, they should quickly perform a 'Comprehensive Situation Analysis.' The Comprehensive Situation Analysis forms the critical foundation for a lender choosing among its alternative strategies of workout, receivership, deed in lieu or bankruptcy (seeking involuntary bankruptcy and appointment of a trustee).
Resort fees were initially introduced to allay the complaints of resort guests who felt they were being nickel-and-dimed every time they used a resort amenity. Since then, the practice of charging a resort fee (or similar mandatory charges) has been instituted at other types of hotels, beyond resorts. It is the charge of a resort fee at non-resort properties that has caught the attention of travelers who question the mandatory fee.
So why is it that so many owners feel the need to employ asset managers to help them ensure the manager is doing a good job? Why dont many operators do this on their own? After 45 years of looking at hotel operating performance, here are my top 10 tips for getting the most out of your hotel business.
The Baird/STR Hotel Stock Index fell 11.7% in February to a level of 4,296. Year to date through the first two months of 2020, the stock index dropped 18.5%.
A lot has been said about the flu outbreak and the devastating effects it will have on the travel and hotel industry. But what can you do about it? The old saying, 'You cant save your way to prosperity,' still holds true, but you can be the best of class when it comes to being the least affected. Occupancy and rates are going to fall, they always do. The question is, where will the market go and how can we keep our REVPAR index? Ill leave that piece for the revenue and marketing pundits.
An old GM of mine was fond of this statement. He usually came at it from the other end of this by saying, 'Any monkey could fill this place when the phones are ringing.' And I think he is right. What do you do to preserve profit when the revenue tap slows down? Thats a tall order.
The Baird/STR Hotel Stock Index's January performance lagged behind the S&P 500 and MSCI US REIT Index.
Supported by lower interest rates, transaction activity held up during a year of uncertainty. This article addresses recent trends in hotel sales and capitalization rates, the course of hotel values since the last downturn, and the outlook for 2020.
In every region across the world, CEOs predict slower economic growth