Boston Hotel Market Drawing Strong Interest

BOSTON-The city’s hotel market is in “full-stride recovery” and drawing strong interest from investors eager to cash in on higher occupancy and room rates, hotel analysts tell GlobeSt.com. “It’s a little bit of the perfect storm,” says Stephen Kindl, managing director of investment sales for the Plasencia Group and head of debt placement for TPG Capital Markets. Pent up investor demand and supply constraints have turned Boston into a red-hot hotel market for both buyers and sellers of hotel properties.

Joe McCann, president of Optimum Hotel Brokerage in Elkins Park, PA, tells GlobeSt.com that the recovery of the Boston hotel market, which has lagged behind New York and Washington, DC, is being fueled by increased lodging demand and higher room rates that has pushed the market into a “full-stride recovery.”

Since 2005, at least eight hotel properties have been sold in the Greater Boston area, making it one of the hottest times for hotel investors in the city’s history, Kindle says.