RCA in the commercial property press:

Divestment Strategies Supply NYC Hotel Market as Others Maintain Holding Pattern

Wall Street Journal reports: New offerings of hotel properties in Manhattan have slowed to a trickle in recent months, as current owners have been convinced a rebound in their industry is afoot. According to data aggregated by Real Capital Analytics, just two hotels have sold in the Big Apple so far this year, after 15 hotels totaling $1.6 billion were traded in 2010. As one interviewee recently told the Wall Street Journal, “If your objective is absolute dollar return, and it’s not part of a bigger strategy [to divest], then you’re probably not a seller today.”

One company with a larger restructuring strategy is France-based Accor SA. The firm recently announced it would divest itself of the 480-unit Hotel Novotel, located at 226 W 52nd St in Manhattan just above Times Square, in pursuing its strategy to focus the firm on managing and branding hotels instead.

Articles related to this topic:

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 Special Servicer Moves to Clean Up Distress in New York
 Prices Recover for US Commercial Property as Mortgage Defaults Fall
 UDR Unseats LaSalle for Largest Manhattan Multifamily Trade in 2011

Posted by: Nina Turner

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