Hotel asset value is determined using multiple calculations, math problems, and sometimes magic tricks, but there are three critically important aspects of the physical plant that can make or break a hotel investment. As an owner or asset manager, keep these three areas on your property checklist, and follow up with a hotel engineering team regularly. Ignore these at your peril!
The U.S. Lodging Industry has shifted dramatically over the past twelve months. Looking back to this time last year, the world was fiercely battling the Coronavirus pandemic, virtually weaponless without anything other than masks and social distancing measures. We are now roughly six months into the global vaccination campaign, with cases and death rates much lower in most parts of the world.
The Swiss Alps have always been a popular tourist destination, with demand for reservations at ski resorts, restaurants, and other hospitality-oriented businesses in the mountains seeing a sharp increase in recent seasons.
The scene was set for the webinar and subsequent discussion by Chris Sheppardson, Founder of EP Business in Hospitality, who expanded on the current feeling towards franchising in the market.
Local government authorities use property tax revenues to fund services including police and fire protection, hospitals, transportation, and schools for municipalities. For tax purposes, property is considered residential or nonresidential, with nonresidential property constituting commercial businesses, farms, ranches, and oil/gas operations. In 1982, the Gallagher Amendment was implemented in Colorado to hold the proportion of taxable value derived from residential property at approximately 45%.
The Hotel Operator Guide highlights insights on existing and pipeline supply’s management structures, geographic distribution, as well as, room supply growth by operator and brand. The purpose of this publication is to serve owners and investors an unique reference about the growth and scale of international operators across regions and brands.
It doesn’t sound right to talk about the “benefits” of COVID-19, but if there’s any upside to the pandemic, it’s that massive disruption to business has forced hotels to find operational efficiencies—resulting in lower costs—without damaging the guest experience.
Five years ago, the future of Swiss winter ski resorts was somewhat dim, after consecutive winter seasons with little to no snow and despite a relatively stable number of tourists. There was a perception at that time that existing resorts would be required to transition into four-season resorts simply to continue to exist. That dim view became somewhat rosier, when the snows returned and top resorts saw the return of skiers in record numbers of visitors for the next three winters, climaxing in 2019.
As we emerge from the doldrums of the last year and watch demand trend upward, there is a great opportunity to create competitive advantages for your hotel company. Cash flow from new Investors can make or break any company's runway to a sustainable forward path, and a hospitality company that can opportunistically grow in today's unprecedented environment can leapfrog its pre-pandemic growth strategy.
It's not on the average person's to-do list to buy a hotel, or sell one, for that matter. Therefore finding trusted guidance and information on how to buy and sell hotel real estate can be difficult or outdated. Whether you're interested in this topic because you're doing research on how to go about buying a hotel property in the future, or whether you're actively buying or selling a hotel at the moment and need to answer some burning questions, or you're simply curious about the hotel real estate market and the hotel industry itself - this guide will put you on the right track.
Upon reading his obituary in the press, the American writer Samuel Clemens, known by his pen name Mark Twain, famously remarked, "The report of my death was an exaggeration." Although there is no question that the global pandemic has adversely impacted many, the world has not ended.
The COVID-19 vaccination rate is climbing steadily in the U.S. At its current rate, three in four people, or 75% of eligible residents, will be vaccinated by June. Businesses are reopening. The U.S. economy is now operating at 88% of its pre-pandemic level, with hope for continuous improvement.
The first-ever webinar on Cross-Border Hotel Investment between the UAE and Israel took place last week, jointly presented by HVS at the Israel Ministry of Tourism, the UAE-Israel Business Council and Copeland Hospitality.
Sharp declines in revenue caused by the pandemic coupled with a more cautious approach to lending has prompted hotel valuations to fall over the past 12 months, although not as steeply as some had initially anticipated.
The survey standards for the American Land Title Association® (ALTA®)/ National Society of Professional Surveyors (NSPS) survey were updated in February 2021. Given how important this survey is to most commercial real estate transactions, it is crucial that investors understand its scope in order to avoid unnecessary costs and delays. JMBM associate Trevor Countryman has outlined these recent changes below.
Nearly a year into our days of forced telecommuting and videoconferencing, the words 'impact of COVID-19' continue to ring in our ears. The hospitality industry has undoubtedly borne the brunt of this crisis, as many hotels across Europe continue to record single-digit occupancies, with average revenues per room down by nearly 70% in 2020. However, it would be hasty to presume that the long-term prospects of hospitality are all doom and gloom.
For better or worse, the decimation of the hospitality industry as a result of the COVID-19 pandemic has piqued the interest of investors. Private equity firms are raising new rounds of funding; SPACs are being created for the purpose of buying up distressed restaurants; and all sorts of new, opportunistic capital is sniffing around.
More than ever, off-plan hotel leases[1] are making headlines in the leisure real estate industry. Stemming from real estate law professional practices, off-plan hotel leases reconcile the legal and financial interests of three distinct actors: the developer (seller), the investor (owner) and the operator (tenant).
In Spring 2020, many hotels were forced to furlough most on-property Sales Managers because so much demand for hotels disappeared with the pandemic, requiring any remaining team members to be responsible for market segments which previously were not their responsibility. These remaining Sales Managers were forced to adapt to many other changes in a short time, including rescheduling/canceling events, in addition to learning how to research and sell to new/additional market segments while maintaining relationships with past and current clients. What does this mean for the future sales teams?
Time after time over the past 20 years, we have been told that snow is going to become a very scarce commodity. And we witnessed it several years ago in various parts of the world, when it failed to show up during part or most of the snow season.