Listing a Hotel
Hotel Brokers America has years of experience selling single hotels and portfolio of hotels. Although we primarily sell in Mountain and surrounding states, we can sell across the nation by partnering with a local broker. Our national database has been developed from years in hotel sales and is ever expanding. We have buyers who are first time hoteliers; private investors with one or more hotels; regional hotel owners with larger portfolios; all the way up to the largest national & international Real Estate Investment Trusts (REITs).
Our multifaceted marketing approach and our hard work exposes your hotel to nationwide and international buyers, that results in a high probability of us accomplishing your goal. We are very familiar with the 1031-exchange process, which allows you to defer taxes on the sale of your hotel through acquisition of another commercial investment opportunity (not just hotels). Because of our experience and reputation, many hoteliers in a 1031-exchange situation, will reach out to us seeking hotel investment opportunities.
Selling a hotel is a very important decision for all hoteliers. Most Real Estate Investment Trusts (REITs) have a game plan for their ‘exit strategy’, which is often considered and analyzed before purchasing a hotel. Their decision is based on several factors, including target Gross Revenue/Net Operating Income (NOI); repositioning to a higher brand and stabilizing the revenue; Operational Efficiencies and evolving Geographic Strategies; termination dates of their debt; and redeploying their capital by selling one or more hotels. The decisions are made based on expected Return on Investment (ROI) for their investors. Their decisions are ‘logical’ and not emotional.
Some private hotel owners, don’t have a thought-out plan on when to sell. Often, they are ‘emotionally’ tied to their hotel, because of the time and hard work they have put in. In many cases, they have a lot of equity from years of ownership, or have fully paid off their loan. In such instances, a sale can allow an owner to buy a larger and nicer hotel that would earn them more money. This is why it is important to speak with an experienced hotel broker. If you are open to the concept of a sale, we will do a complimentary Broker Opinion of Value (BOV).
Sometimes, the sale decision is made for you because of death; divorce; sickness; retirement; difficulties with operations; an expensive upcoming PIP; or the hotel is losing money and is a financial liability. Whatever the reason, Hotel Brokers America is ready and capable of helping you realize your objectives. We pride ourselves on a +90% List-to-Close ratio, which is extremely hard to achieve. We don’t waste your time by overpromising on price, only to come back to pressure you to sell during a listing. Many other brokers play this game. Please see the ‘FAQ’
An experience hotel broker will ask the right questions, and analyze your P&Ls to maximize the NOI that we go to market with. We have developed a methodology from years of experience to ‘maximize the value’ of your hotel, and create a defensible case for the ‘upside potential’ to a prospective Buyer. We have sold many hotels to ‘first time’ hoteliers, and are proud to be a part of their dream. This is a unique buyer profile that often requires more time to educate and alleviate their fears of investing their life’s savings into a hotel. Our patience, guidance, and explanations, help the Buyer to develop trust in us. Because of this, they feel confident to take the leap, and put the hotel ‘under contract’. If needed, we assist our Buyers by referring them to Lenders; Physical Inspectors; Phase I Environmental companies; Title Companies; Franchise Reps dealing with re-licensing; Insurance companies; and other third-party professionals involved in a hotel sale. Our strong relationships with these parties, and our experience managing their progress to the finish line, helps to get our deals closed and the Seller paid. We have received countless compliments on our service from prospective buyers, many of whom we had no prior relationship with. They tell us other brokers did not even bother to reply to their email or call regarding a listing inquiry. We not only reach out to each and every buyer that contacts us about a listing, but do so in a timely manner. Buyers have also told us we are the best hotel broker they have ever dealt with, because of the time we spend with them, and the way we present the deal in our marketing Offering Memorandum; deal emails; and over the phone or in person. If a buyer likes, respects, and trusts a broker, they are more likely to move forward with and close a deal!