There are many hotel properties available that are in need of private financing and/or acquisition. These properties can provide excellent double digit IRR's to investors.
If you'd like to know more contact me at frank@globalhotellaw.com
Yorktowne Hotel listed in properties for sheriff's sale
CHRISTINA KAUFFMAN The York Dispatch
Updated: 01/06/2011 01:34:30 PM EST
The Yorktowne Hotel is listed among hundreds of Sheriff's Sales published in newspapers Thursday, but hotel manager Rick Cunningham said recently that the owners were working with PNC Bank and "everything is positive."
He said he believes there will be a resolution before the hotel is sold, and that's what he has conveyed to customers.
"I'm confident it will all work out," he said. "The community has been very very supportive."
Business has been growing as people rally around the hotel, selecting the hotel for overnight guests, eating and rental of meeting facilities, he said.
"We've definitely seen an increase in people coming to the restaurants and different things," he said.
The hotel has continued to operate as usual since PNC Bank filed papers in late October, saying the owners defaulted on a $4.5 million loan and owe more than $20,000 in late fees.
Hotel owners, through a consultant, said they were considering several means to avoid a York County Sheriff's sale of the historic building on Feb. 7.
York Hotel Group was surprised when the bank filed the papers, said Frank Fusco, consultant for the York Hotel Group owners Prashant Patel and Kaushik Talati of Maryland and Anil R. Patel of New Jersey.
READ THE REST OF THE STORY HERE:
http://www.yorkdispatch.com/ci_17024813?source=most_viewed
Tuesday, January 18, 2011
Hotel RevPAR up 7.8% over same week 2010
Things are looking up for the hotel industry. Hotel revenue per available room is up 7.8% for the week ending Jan. 8th year-over-year. This measure of the industry took a HUGE hit in 2008 and 2009 forcing many hotels into the red.
RevPAR is defined as: A performance metric in the hotel industry, which is calculated by multiplying a hotel's average daily room rate (ADR) by its occupancy rate. It may also be calculated by dividing a hotel's total guestroom revenue by the room count and the number of days in the period being measured. (source investopedia.com)
Now this metric is applied across the entire industry and certain segments of the industry are doing better than others. Right now, I'm tuned in to a segment of the industry that is seeing some improvement but still lagging behind most of the industry. These properties are in need of private financing and/or acquisition to right their books. There are significant discounts available on the paper and real estate in this segment and at the right prices, these properties will produce a very nice IRR with low risk.
If you would like more information about this segment, please contact me Frank Fusco, Esq. at frank@globalhotellaw.com
A weekly update on hotels from HotelNewsNow.com: STR: US weekly results for week ending 8 Jan.
In year-over-year comparisons, occupancy increased 5.7 percent to 42.8 percent, average daily rate was up 2.0 percent to US$93.43, and revenue per available room finished the week up 7.8 percent to US$40.00.
The following graph shows the four week moving average of the occupancy rate as a percent of the median occupancy rate from 2000 through 2007.
READ THE REST OF THE STORY HERE: Calculated Risk Blog
http://bit.ly/f7gY3p
RevPAR is defined as: A performance metric in the hotel industry, which is calculated by multiplying a hotel's average daily room rate (ADR) by its occupancy rate. It may also be calculated by dividing a hotel's total guestroom revenue by the room count and the number of days in the period being measured. (source investopedia.com)
Now this metric is applied across the entire industry and certain segments of the industry are doing better than others. Right now, I'm tuned in to a segment of the industry that is seeing some improvement but still lagging behind most of the industry. These properties are in need of private financing and/or acquisition to right their books. There are significant discounts available on the paper and real estate in this segment and at the right prices, these properties will produce a very nice IRR with low risk.
If you would like more information about this segment, please contact me Frank Fusco, Esq. at frank@globalhotellaw.com
A weekly update on hotels from HotelNewsNow.com: STR: US weekly results for week ending 8 Jan.
In year-over-year comparisons, occupancy increased 5.7 percent to 42.8 percent, average daily rate was up 2.0 percent to US$93.43, and revenue per available room finished the week up 7.8 percent to US$40.00.
The following graph shows the four week moving average of the occupancy rate as a percent of the median occupancy rate from 2000 through 2007.
READ THE REST OF THE STORY HERE: Calculated Risk Blog
http://bit.ly/f7gY3p
ABC News - Deutsche Bank Gambles on Vegas' Newest Hotel and Casino
This is a sign that the Hotel industry is coming alive again. Banks are back to taking risks acquiring hospitality assets. This is even as Las Vegas has been overbuilt in the past few years and the local economy there is in shambles. Maybe Deutsche Bank knows something????
I am aware of a number of hotels in the northeastern U.S. that are ripe for acquisition and will provide excellent rates of return to investors. I'm not talking about a $4 billion dollar casino/hotel, but many excellent smaller properties are available.
Contact me if you want to know more at frank@globalhotellaw.com
Deutsche Bank Gambles on Vegas' Newest Hotel and Casino
Can The Cosmopolitan Survive in the Struggling Sin City?
By SARAH ROSENBERG and OLIVIA KATRANDJIAN
Jan. 18, 2011
The hottest party in Las Vegas this New Year's Eve was
not at any of the monster casinos people know so
well. In fact, it had nothing to do with magicians or
show girls. Instead, Jay-Z and Coldplay headlined a
concert that included performances by Beyonce, John
Mayer, and Kanye West at a hotel start-up on Vegas'
Strip. The property had no history and no customer
base, and many thought it had no chance of ever
opening. But against all odds, The Cosmopolitan is
the talk of Sin City these days, for reasons that go far
beyond its curious ad campaign, which includes a
bellboy with no pants. "My mom called me and she
said, 'I saw that commercial and I don't know what it
meant, but I kind of liked it,'" said John Unwin, the
CEO of The Cosmopolitan. "We've had good
response...it's got a pants-less bellboy and it's got
puppies." Unwin is the leading man in a story that
symbolizes America's boom-and-bust era like few
others.
READ THE REST OF THE STORY HERE:
http://abcnews.go.com/Travel/deutsche-bank-gambles-vegas-newest-hotel-casino/story?id=12632684
I am aware of a number of hotels in the northeastern U.S. that are ripe for acquisition and will provide excellent rates of return to investors. I'm not talking about a $4 billion dollar casino/hotel, but many excellent smaller properties are available.
Contact me if you want to know more at frank@globalhotellaw.com
Deutsche Bank Gambles on Vegas' Newest Hotel and Casino
Can The Cosmopolitan Survive in the Struggling Sin City?
By SARAH ROSENBERG and OLIVIA KATRANDJIAN
Jan. 18, 2011
The hottest party in Las Vegas this New Year's Eve was
not at any of the monster casinos people know so
well. In fact, it had nothing to do with magicians or
show girls. Instead, Jay-Z and Coldplay headlined a
concert that included performances by Beyonce, John
Mayer, and Kanye West at a hotel start-up on Vegas'
Strip. The property had no history and no customer
base, and many thought it had no chance of ever
opening. But against all odds, The Cosmopolitan is
the talk of Sin City these days, for reasons that go far
beyond its curious ad campaign, which includes a
bellboy with no pants. "My mom called me and she
said, 'I saw that commercial and I don't know what it
meant, but I kind of liked it,'" said John Unwin, the
CEO of The Cosmopolitan. "We've had good
response...it's got a pants-less bellboy and it's got
puppies." Unwin is the leading man in a story that
symbolizes America's boom-and-bust era like few
others.
READ THE REST OF THE STORY HERE:
http://abcnews.go.com/Travel/deutsche-bank-gambles-vegas-newest-hotel-casino/story?id=12632684
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