Suzanne Mellen, senior managing director and practice leader at HVS, has been in the hotel valuation business for 40 years. She’s witnessed a lot of ups and downs.
She’s also noticed how investors are eager to talk about their hotel’s market value during the good times but reluctant to face the truth in a downturn.
Mellen and her colleagues recently released a report that shows a decrease in hotel market values across the U.S.
No surprise there, given the negative impact of the COVID-19 crisis on industry performance. But this is also a time when opportunistic buyers will step up and actually aid in the industry’s post-crisis recovery.
Lodging Leaders talks to Mellen and others regarding who the winners and losers may be in hotel investment as the crisis begins to ease. This episode is part of our ongoing special coverage of the coronavirus crisis and its impact on the hospitality industry.
Resources and Links
Leaders at AAHOA and the American Hotel & Lodging Association say time is running out for the nation’s 57,000 hotels in need of federal government financial relief as the coronavirus pandemic in the U.S. heads into its eighth month. Cecil Staton, president and CEO of AAHOA, and Chip Rogers, president and CEO of AHLA, are tirelessly rallying the industry to implore Congress to act soon before half of the country’s hotels go into foreclosure. This report is part of our ongoing coverage of the coronavirus crisis and its impact on the hotel industry.
With hotel occupancies hovering around an average of 50 percent, owners and operators are seeking new ways to generate revenue beyond traditional overnight stays. One solution in the works is day use of hotel rooms. Hotel companies such as Red Roof, Hyatt Hotels Corp. and Hilton are promoting the practice during the COVID-19 pandemic. Ahead of the curve is HotelsbyDay.com, a day-use booking platform that is marketing hotels as the new office space. Long Live Lodging explores the unconventional use of hotels and how owners and operators can position their properties to attract day users. This is part of our ongoing coverage of the coronavirus crisis and its impact on the hotel industry.