Taking Advantage of the Hospitality Industry

This looks like a great year to buy or sell a hotel. Numerous signals point to prosperity for both buyers and sellers in 2014:

1. Real estate transaction volume in the hospitality market hit $18 billion in 2013, up from $13 billion the previous year.
2. Global GDP continues to rise, spurring business activity and related travel.
3. Millenials are moving into their peak earning years, helping fuel business and personal travel.
4. The slowdown in hotel construction over the last few years means demand for hotel rooms will outstrip supply for the foreseeable future.
5. HVS, a hospitality consulting firm predicts U.S. hotel values will rise at least through 2016 fueled by both business and tourist travel.
6. The lending environment is much more positive than in recent years. Interest rates remain low and lenders are looking for opportunities to support and profit from the expanding hotel market.

With so many positive trends converging, 2014 looks like the best opportunity for buying or selling hotels since the 2008 recession.

If you need help with your hotel transaction needs in the Western United States, please contact Ed LaCivita or Craig Sullivan at Parkwest General Contractors.