Earlier this year, a large group of hotel owners began to organize and create a comprehensive push back at the hotel franchising model.
Fair Franchising Initiative held its launch conference on March 5, a little more than a week before President Trump declared a national emergency as the new coronavirus pandemic spread to the U.S. The crisis has all but paralyzed the lodging sector and the U.S. economy as a whole.
It has also exposed the cracks in the franchiser-franchisee relationship as frightened and frustrated owners say hotel companies are not doing enough to protect their businesses from collapse.
This episode of Lodging Leaders is the second part of a series examining the hotel franchiser-franchisee relationship that we began in early March. It is also part of Long Live Lodging’s special report on the coronavirus crisis and its impact on the hotel industry.
You’ll hear from owners and veteran industry leaders as well as a lawyer well versed in brand license disputes.
Resources and Links
Hotel appraisers and brokers expect distressed assets to come to market as the pandemic recession continues into 2021. Analysts say billions of dollars in private equity are waiting in the wings to acquire hotels underperforming as a result of the coronavirus crisis. But pricing will be different than in previous economic downturns. While a transaction may be distressed, it will not necessarily reflect distress pricing,” said Daniel Lesser of LW Hospitality Advisors. Long Live Lodging explores the state of hotel values as well as what may lie ahead with regard to transactions in 2021 as the spread of COVID-19 continues to stifle lodging performance. This report is part of our ongoing coverage of the coronavirus crisis and its impact on the hospitality industry.
Global business travel is a $1.4 trillion industry. The Global Business Travel Association calculates the coronavirus pandemic in 2020 resulted in a loss of $113 billion in business travel spend in hotels, airlines and other sectors of the travel industry. But all is not lost. GBTA, industry analysts and travel management companies see some green shoots of hope for 2021 as the COVID-19 vaccine rolls out and corporations put some of their people on the road again. This report is part of Long Live Lodging’s ongoing coverage of the coronavirus crisis and its impact on the hospitality industry.