Quotes of the Week: Peregrine Hospitality, Mohari Hospitality, Noble Investment

QUOTE OF THE WEEK
“We’re now in a position where we can look at not only individual deals, but potentially larger transactions, meaning portfolios of assets. We also have the several hotels that we’re under no particular pressure to divest, but where our investment strategy has largely been executed, or will be executed at some point this year, at which point we might consider divesting some of the properties and returning that capital to investors.” – Greg Kennealey, Peregrine Hospitality   Read story

“We have formed a number of development partnerships with groups who really bring extraordinary on-the-ground capability that allows us to extend our reach beyond our direct team.The Bauer and our project in Paris [Hôtel Saint-James & Albany] are good examples of that where we’ve worked in concert with our partner, Omnam, who is very active in the space. It has given us the capacity to access these sorts of opportunities.” – J. Allen Smith, Mohari Hospitality   Read story

“Just having the banks participate in the market is, in large part, why you’ve seen so much spread tightening last few months. So, hopefully, you see that continue with the regionals. It’s a little bit more binary because they’re somewhat proceeds-constrained, and they’re often recourse lenders, which is just a non-starter for so many borrowers. But you never know when one of those groups just has an appetite for a specific transaction.” – Michael Straw, CBRE   Read story

“The labor cost in a flattening revenue growth environment continues to be our primary area of focus, both with our managers and on markets we select to invest in.” – Dustin Fisher, Noble Investment Group   Read story

“Rates have come down some versus eight months ago, but we’re still underwriting and then stressing those at a higher level than we’d love to see. We’d love to see them continue to work back down, but I do think it is the new normal that 6.5% to 7.5% is where we’re going to play for a while.” – Grey Raines, Raines Company   Read story

“I think we have about double the maturities [in 2025] than what we had [in 2024]. We’re going to see a big spur of refinancing activity just because of that, and we’re also going to see quite a bit of acquisition activity spurred by those maturities.” – Ryan Bosch, Arriba Capital   Read story

“The underwrite-able demand for resort continues to be very strong. So, I continue to think we’re going to see more opportunities on the resort development side.” – Mark Keiser, Viceroy Hotels & Resorts   Read story

“There will always be demand for cool urban hotels in the big cities, but in general, people tend to seek safe harbors in turbulent times. A place to escape into a fully immersive experience that feels safe and nurturing. I think specialized resorts and hotels that are narrative driven and experiential and that have a strong sense of purpose and community, will continue to do well.” – Andrea Dawson Sheehan, Dawson Design Associates   Read story

“We were extremely diligent about the assets that we sold. We took a lot of assets to market that we ended up not selling and saying at that price, that’s a keeper for us.” – Stephen Zsigray, Ashford Hospitality Trust   Read story

“Where you really can make the profit is having these more unique experiences, especially on the luxury end. If you make it more curated and personal, the guest is going to pay for it. So, actually, you can create a profit center out of it. It also adds to length of stay. So, indirectly, that’s a profit center. That one additional day is going to make a big impact on your P&L. So, as we look at new development, yes, it’s hard to go ground up because you have to build out a lot more amenities than maybe you would have five, 10 years ago.” – Alessandro Colantonio, Gencom   Read story

“While we appreciate the role technology can play in cost control — and we’re certainly not afraid to use it… we focus on empowering our team rather than immediately turning to automation or other technological solutions. We train and educate our team members to improve communication, streamline communication, reduce workflows and reduce waste. To support these efforts, we’ve also created a dedicated purchasing role to strengthen vendor relationships and ensure we maximize the value of our partnerships.” – Jennifer Krapp, Indigo Road Hospitality Group   Read story