Reduced interest rates and lower equity yield requirements have had a substantial positive impact on hotel values. Additional value gains are now being fueled by more aggressive deal underwriting, as discussed in this article.
Industry Insights
We have written thousands of articles about all aspects of hospitality, including valuations, investing, lending, operations, asset management, and much more.
Low Cap Rates Drive Gains in Hotel Values
Reduced interest rates and lower equity yield requirements have had a substantial positive impact on hotel values. Additional value gains are now being fueled by more aggressive deal underwriting, as discussed in this article.
Canadian Lodging Outlook February 2005
Low Interest Rates and High Demand for Hotel Assets Fuels Value Gains
Allure of Hotel Investment Expected to Moderate Rise in Capitalization Rates as Rebound Takes Hold
When investors and lenders call and ask “what are hotel cap rates today?” the first question is, “what net income are you using in your equation?”
Low Interest Rates and High Demand for Hotel Assets Fuels Value Gains
In this article the author explains how current low interest rates and high demand for hotel assets affect value gains.
The Furture of Full-Service Hotel Development
This article discusses various aspects of Full-Service Hotel development in a post-recession economic recovery. Variables such as cost of capital, market demand, and market specificity are considered.
How Much Should I Pay for the Land?
This article discusses three alternate approaches to determining the value of land at a hotel site, in the absence of comparable land sales. The Allocation Method, Ground Lease Approach, and Land Residual Approach are discussed.
Strong rates of return driving hotel development
At any given time 30% to 50% of HVS International's consulting practice involves preparing market feasibility studies and appraisals for proposed hotel developments. . . . The development of a garden-type, modified full-service hotel is provided as
Simultaneous Valuation: A New Capitalization Technique for Hotel and Other Income Properties
The simultaneous valuation formula is an algebraic equation developed for the capitalization of a variable income stream over a forecast period. This article weighs the strengths and weaknesses of traditional capitalization techniques.
California
The State of California represents a powerhouse within the U.S hospitality industry and we would like to take this opportunity to provide an overview of the state’s key markets during the current challenging operating environment.
San Francisco Market Overview
The San Francisco lodging industry has experienced a dramatic reversal of fortune over the last two years. In 2000, the San Francisco lodging industry was one of the hottest in the nation and posted its best performance ever.
Industry Insights
We have written thousands of articles about all aspects of hospitality, including valuations, investing, lending, operations, asset management, and much more.
Low Interest Rates and High Demand for Hotel Assets Fuels Value Gains
When investors and lenders call and ask “what are hotel cap rates today?” the first question is, “what net income are you using in your equation?”
In this article the author explains how current low interest rates and high demand for hotel assets affect value gains.
This article discusses various aspects of Full-Service Hotel development in a post-recession economic recovery. Variables such as cost of capital, market demand, and market specificity are considered.
This article discusses three alternate approaches to determining the value of land at a hotel site, in the absence of comparable land sales. The Allocation Method, Ground Lease Approach, and Land Residual Approach are discussed.
At any given time 30% to 50% of HVS International's consulting practice involves preparing market feasibility studies and appraisals for proposed hotel developments. . . . The development of a garden-type, modified full-service hotel is provided as
The simultaneous valuation formula is an algebraic equation developed for the capitalization of a variable income stream over a forecast period. This article weighs the strengths and weaknesses of traditional capitalization techniques.
The State of California represents a powerhouse within the U.S hospitality industry and we would like to take this opportunity to provide an overview of the state’s key markets during the current challenging operating environment.
The San Francisco lodging industry has experienced a dramatic reversal of fortune over the last two years. In 2000, the San Francisco lodging industry was one of the hottest in the nation and posted its best performance ever.
Robust demand in urban centers continues to drive Canadian hotel values despite high interest rate environment.