Among the noteworthy quotes from this week's stories was Certares' Nolan Hecht talking about buying ahead of the crowd and rate cuts.
QUOTE OF THE WEEK
“You will probably need one or two interest rate cuts — and
I think they’re coming — until you get more folks off the sidelines. That’s
what it’s going to take. But while folks have been off the sidelines, we’ve
been opportunistically buying.” – Nolan Hecht, Certares Read story
“If you’re trading at a significant discount to NAV, that’s
what these private equity guys look for,. When interest rates come down, which
undoubtedly, they are, you’ll see it pick up more and the REIT management teams
will be under extreme pressure to do something like that.” – Paul Whetsell,
CapStar Advisors Read story
“The bigger driver is they want to sell old hotels that need
capex. Capex costs are higher, and the math doesn’t pencil like it used to, and
the brands want you to renovate. [REITs say] we don’t see a return for $30
million of capex. One, we don’t want to do it, and two, we don’t want to spend
it.” – Michael Bellisario, R.W. Baird
Read story
“As a long-term and engaged shareholder, Tarsadia Capital
has encouraged the board to act with urgency on the company’s persistent
undervaluation in the public markets, but to no avail. If the board desires to
continue with the status quo, we are prepared to make the case for change
directly to our fellow shareholders.” – Michael Ching, Tarsadia Capital Read story
“The fit between our two companies is powerful. Seibu Prince
brings scale, infrastructure, and development expertise across Asia
Pacific and the Middle East, while Ace has deep credibility and a
proven track record in North America and Europe. By combining
these strengths, we can expand faster and more effectively together.” – Yoshiki
Kaneda, Seibu Prince Hotels Worldwide Read story
“We’re going to bring a lot of boutiques and a lot of
independent hotels on Airbnb. What we found is that the vast majority of people
who come to Airbnb, if they don’t find a home they like, they go to another
website to book a hotel. [If] we just have hotels there, then they’re gonna get
an infinite amount of bookings, because we are accessed by 1.6 billion devices
a year.” – Brian Chesky, Airbnb Read
story
“We are thrilled to have closed the largest C-PACE
transaction in history, partnering with Two Roads Development and Sculptor
Capital on this transformative luxury property that will redefine Tampa’s
skyline. This historic milestone showcases the growing sophistication and scale
of C-PACE financing and its capacity to support major developments.” – Ryan Doyle,
Nuveen Green Capital Read story
“We are always open to inorganic growth via M&As, but
it’s not easy to find a suitable candidate. We have a good partnership with TFE
(Toga Far East joint venture], now in its 12th year, and I’m looking at a
smaller M&A within a country where we could grow Far East Hospitality
further.” – Alan Tang, Far East Orchard
Read story