Search
 

Kimpton Hotels' Joseph Long

'When companies are in the mode of gearing up for major layoffs, lots of other activities become paralyzed.'

By Maria Wood | Updated on June 11, 2009

Check out Incisive Media’s 3rd Annual RealShare Hotel Investment Summit in New York City on Sept. 10.

Although all segments of the lodging industry appear to be hurting, the luxury and upper-upscale segments are suffering the most. For the week ending June 6, RevPAR in the luxury sector was down 32.9% year-over-year, while upper upscale properties saw their RevPAR plunge 24.1%, according to research from FBR Capital Markets.

In addition, a recent study by Fitch Ratings found that 50% of upscale and luxury hotels that back recent-vintage CMBS may fail to generate enough cash flow to cover debt service by the end of this year, thus making CMBS pools with large concentrations of hotel loans vulnerable to downgrades.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.