Mumford Company completes transactions in seven states22 Jul, 2011
|The Radisson Hotel in New London, Conn., is just one of the hotels that represented a shift in buyer sentiment, as shown by transactions performed by the Mumford Company.|
NEWPORT NEWS, Va. – Mumford Company completed 21 transactions representing more than 2,200 hotel rooms thus far in 2011. This transaction volume included hotels in 7 states and a wide variety of buyers and sellers.
Brands represented included Radisson, Courtyard, Best Western, Econo Lodge, Holiday Inn Express, Motel 6, Super 8 and several independents. These results are a significant improvement over the firm’s results for the same period of 2010 and demonstrate a stronger market for hospitality real estate.
The Courtyard by Marriott of Yorktown, Va., and the Radisson hotel in New London, Conn., represented a shift in buyer sentiment as these upper mid-scale properties brought industry sideliners to the table once again.
The bulk of the transactions continue to be mid-market and economy sectors, which are financed by a variety of lending sources or private capital.
In addition to institutional sales of under-performing assets, foreclosures, or other distress based transactions, Mumford Company reported it sees some discretionary selling now returning to the market. For certain type assets, the current environment allows for maximization on pricing that may not be realized in the future. This is particularly true at the trophy level and for budget oriented properties.
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