Manhattan Hotels Fill Rooms at Rock-Bottom Rates
The New York Times reports: No other sector in commercial real estate is suffering as badly right now as the hotel industry.
In June, the average occupancy rate nationwide was 54.6 percent — by far the worst performance since Smith Travel Research of Hendersonville, Tenn., began keeping track in 1987. Distress is rampant, with increasing numbers of hotel owners surrendering control of their properties to their lenders.
Around the country, owners of more than 1,000 non-casino hotels, including some well-known properties on the West Coast, have defaulted on $16.8 billion in loans, and many more are expected to follow suit, according to Real Capital Analytics, the New York-based research company. The distressed properties include the W Hotel in San Diego and two prominent San Francisco hotels: the Renaissance Stanford Court and the Four Seasons.
But a few Manhattan hotels have also run into trouble. Among them are the Dream Hotel, a 220-room luxury boutique hotel on 55th Street between Broadway and Seventh Avenue.
View the full article on The New York Times: Manhattan Hotels Fill Rooms at Rock-Bottom Rates
Posted by: Matthew Stone