Suzanne Mellen's Presentation at the ALIS Conference on January 23, 2012
The increase in hotel transactions and low cost of debt and equity have driven down rates of return to pre-recession levels. This article sets forth an overview of recent hotel cap and discount rate trends and provides an outlook for 2011.
Seller financing is becoming more prevalent in hotel real estate transactions. This analysis outlines contemporary thinking on seller financing while illustrating its impact on value in a hypothetical case study.
With limited recent sales and survey data upon which to rely, capitalization and discount rates can be developed based on the current cost of capital. Suzanne Mellen, MAI outlines the approach.
Recent trends in hotel capitalization and discount rates are discussed and a basis for developing capitalization rates and discount rates in today’s uncertain market environment is set forth.
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A summary on gauging just how much hotel values have been impacted by the recent stock market plunge and impending recession.
Investors are pursuing property turnarounds and repositionings to generate higher yields. Are investors and lenders adequately considering the increased risk of earning future cash flows?
Hotel capitalization rates have bottomed out, as rates of return remain at record low levels and NOI upside has begun to subside. This article updates data that were presented in a previous article on hotel capitalization rates.
Low Cap Rates Drive Gains in Hotel Values
Forecasting gaming revenue for the Macau SAR over the next five to seven years will be particularly challenging primarily due to the current extraordinarily high win per unit per day (WPUPD) and the unprecedented anticipated growth in supply.