CBRE Hotels
Guest Loyalty Programs Provide, But They Cost

Guest Loyalty Programs Provide, But They Cost
By Robert Mandelbaum, Christine Bang
CBRE Hotels · 5 Sep

Over the years, the fees hotel owners pay to franchise companies have typically grown at a pace greater than the rise in hotel rooms revenue. Most fr

CBRE Hotels
As Occupancy Stalls, Parking Drives Hotel Revenue Growth

As Occupancy Stalls, Parking Drives Hotel Revenue Growth
By Robert Mandelbaum, Todd Casper
CBRE Hotels · 6 Jul

Based on our February 2023 Hotel Horizons® report, CBRE is forecasting that total hotel revenue for the average U.S. hotel returned to pre-COVID leve

CBRE Hotels
U.S. Hotel Owners Eyeing Interest Coverage

U.S. Hotel Owners Eyeing Interest Coverage
By Robert Mandelbaum, Bill Grice
CBRE Hotels · 2 Jun

According to CBRE’s February 2023 Investment Performance forecast, total revenues for the average U.S. hotel returned to 2019 levels in 2022, but the

CBRE Hotels
Incentive Management Fees Return with Recovery

Incentive Management Fees Return with Recovery
By Robert Mandelbaum, Tim Dick
CBRE Hotels · 3 May

Most management contracts include an incentive management fee in addition to the base management fee. The incentive fees are designed to make managem

CBRE Hotels
Risk/Reward: Evaluating Hotel Capex Through a Finance Lens

Risk/Reward: Evaluating Hotel Capex Through a Finance Lens
By Jack Levy
CBRE Hotels · 14 Apr

Capital expenditure (Capex) deferments, impending property improvement plans (PIPs), higher interest rates, and budget constraints make the diligent

CBRE Hotels
The Lag in Food and Beverage Recovery

The Lag in Food and Beverage Recovery
By Robert Mandelbaum, Andrew Hartley
CBRE Hotels · 12 Dec

According to CBRE’s September 2022 Hotel Horizons® forecast for the overall U.S. lodging industry, rooms revenue per available room (RevPAR) will exc

Hotel Currents: Economics and Hotel Financial Performance
Hotel Currents: Economics and Hotel Financial Performance

Hotel Currents: Economics and Hotel Financial Performance
By Jack B. Corgel
CBRE Hotels · 8 Nov

CBRE Hotels Research specializes in translating national and local economic conditions into measures of hospitality market and property-level financi

Economic Watch: Prices Continue to Rise Despite Fed’s Inflation Fight
Economic Watch: Prices Continue to Rise Despite Fed’s Inflation Fight

CBRE Hotels · 2 Nov

Prices rose by 8.2% annually in September, up 0.4% from August. A 2.1% drop in energy prices was offset by broad-based price increases, particularly

CBRE Hotels
Controlling U.S. Hotel Utility Costs

Controlling U.S. Hotel Utility Costs
By Robert Mandelbaum, Ethan Gabany
CBRE Hotels · 1 Nov

Annual changes in U.S. hotel utility costs and in the Consumer Price Index (CPI), or inflation, have historically proven to be strongly correlated. A

Part 2 | Long-run (1946-2020) Effects of Inflation on Hotel Operating Performance
Part 2 | Long-run (1946-2020) Effects of Inflation on Hotel Operating Performance

Part 2 | Long-run (1946-2020) Effects of Inflation on Hotel Operating Performance
By Jack B. Corgel
CBRE Hotels · 7 Sep

In Part 1 of this series, I highlighted that hotel property investors transact to acquire both real estate and the operating businesses with their va

How to Leverage Costs and Maximize Profits Post COVID
How to Leverage Costs and Maximize Profits Post COVID

CBRE Hotels · 6 Sep

The distinction between fixed and variable costs has blurred over time as technology, labor market conditions, and guest preferences have evolved. Th

CBRE Hotels
Part 1 | Long-Run (1946-2020) Effects of Inflation on Hotel Operating Performance

Part 1 | Long-Run (1946-2020) Effects of Inflation on Hotel Operating Performance
By Jack B. Corgel
CBRE Hotels · 3 Aug

The recent price surge for many goods and services in the U.S. raises the prospect for an extended period of persistent high inflation. Conventional

CBRE Hotels
Quantifying The Franchise Relationship During COVID-19

Quantifying The Franchise Relationship During COVID-19
By Robert Mandelbaum
CBRE Hotels · 1 Aug

In 2020, the average hotel in CBRE’s annual Trends® in the Hotel Industry survey experienced a 108 percent decline in earnings before interest, taxes

How Do Changes in the 10-Year Treasury Rate Affect Hotel Capitalization Rates
How Do Changes in the 10-Year Treasury Rate Affect Hotel Capitalization Rates

How Do Changes in the 10-Year Treasury Rate Affect Hotel Capitalization Rates
By Jack B. Corgel
CBRE Hotels · 1 Jun

On December 31, 2021, the constant maturity, 10-year U.S. Treasury note (the 10-year) stood at 1.52 percent. The 10-year now hovers around 3.0 percen

CBRE Hotels
Hotel Property Taxes – An Opportunity to Cut a Cost

Hotel Property Taxes – An Opportunity to Cut a Cost
By Robert Mandelbaum, Mark Whitney
CBRE Hotels · 27 May

According to the March 2022 edition of CBRE’s Hotel Horizons® national forecast report, the total revenue for a typical U.S. hotel is not expected to

CBRE Hotels
A Recap of The 33rd Annual Hunter Hotel Investment Conference

A Recap of The 33rd Annual Hunter Hotel Investment Conference
By Jack B. Corgel
CBRE Hotels · 12 Apr

Hunter Hotel Advisors sponsored their annual hotel investment conference March 22-24, 2022, at the Atlanta Marriott Marques, attended by 1,726 hotel

CBRE Hotels
Hotel Insurance – A Largely Uncontrollable Cost

Hotel Insurance – A Largely Uncontrollable Cost
By Robert Mandelbaum
CBRE Hotels · 5 Apr

To analyze recent changes in hotel insurance costs, and the factors that influence those changes, we examined the operating statements of 3,156 U.S.

CBRE Hotels
Shifts in Marketing Department Expenditures Reveals Changes In Tactics During Recession

Shifts in Marketing Department Expenditures Reveals Changes In Tactics During Recession
By Robert Mandelbaum
CBRE Hotels · 28 Oct

According to the 2021 edition of CBRE’s Trends® in the Hotel Industry report, total operating revenue for the average hotel in the sample declined by

CBRE Hotels
Hotels Owners Interested in Interest

Hotels Owners Interested in Interest
By Robert Mandelbaum, Mark K. Owens
CBRE Hotels · 1 Oct

Hotels Owners Interested in Interest To analyze the impact that declining EBITDA levels had on the ability of hotel owners to pay their interest expe