The Hotel Times - March 2008 - (Page 33)

REAL-ESTATE UPDATE 2009 is cause for concern as supply growth will grow quicker than demand growth. the flip side, the hospitality sector doesn’t really have to deal with broken leases. “There is still a hybrid nature to the business. Hospitality real-estate has not entered the core for most institutional investors, but they are looking at it more than ever before,” Corgel said. “The operating part of the business makes it more complicated, however.” It’s good now, but Regardless, no sector is immune from a downturn if poor economic conditions per- sist for a lengthy period of time, especially when this is combined with a constant influx of new properties, experts said. “Going further out, I am a bit nervous about the supply side of the market,” Corgel said. “It looks to me like we are going to see a more significant impact than expected because of the supply bump in 2009. That is going to make supply growth quicker than demand growth, and that will have an impact on RevPAR in 2009 and 2010 “. Goldstein agreed. “Although the hotel segment may be the last to feel the downturn in the market, it is still going to be impacted. I don’t want to mislead anyone by saying it is immune,” he said. “There are many problems that will influence the future. The credit markets are tightening up. Transactions are tightening, and building is tightening. We are still working hotel development projects, but it is starting to become more difficult to finance those deals and more difficult to find capital. Everyone is looking for vulture deals.” hmm@questex.com All advertisements require prepayment. VISA, MASTERCARD & AMERICAN EXPRESS accepted. The Hotel Times, 600 Superior Ave. East, Suite 1100, Cleveland, OH 44114 For Classiﬁed Advertising Call: Brian Olesinski (216) 706-3794, (800) 669-1668 ext. 3794, Fax: (216) 706-3711 Email: bolesinski@questex.com FINANCING CLASSIFIEDS Advertise in The Hotel Times ® CIT Hospitality Lending Brad Black East Region Specialist 800.713.4984 John Howell West Region Specialist 800.713.4984 Contact Brian Olesinski at: For attractive 2008 pricing and schedules, contact Brian Olesinski: 800-669-1668 ext. 3794 (800) 669-1668 ext. 3794 Fax: (216) 706-3711 Email: bolesinski@questex.com www.TheHotelTimes.com March 2008 The Hotel Times 33 http://www.TheHotelTimes.com

Table of Contents Feed for the Digital Edition of The Hotel Times - March 2008

The Hotel Times - March 2008 Business Outlook Editorial Outlook Contents Conference Preview Capital Outlook What's Driving Growth? European Outlook Development Outlook Fractional Outlook Branding Source List Insurance Outlook Brokers Update Brokerage Outlook Lodging's Balancing Act Transactional Facts Lending Outlook Lenders Source List In Closing

The Hotel Times - March 2008

For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.