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New York & Tri-State  + Hospitality  | 

Manhattan’s Hotel Sector Continues Investment Sales Drought

Manhattan’s hotel investment sales market didn’t have the best start to 2020, says Real Capital Analytics’ (RCA) Jim Costello. Simply put, there were no transactions, and there weren’t any in November and December of 2019, either.

The slumping hotel market in Manhattan also dragged down the national average, which fell by 44% year-over-year, according to RCA data. Even if sales in Manhattan had been flat, the U.S., transaction velocity would still have been down by double digits.

“Three months of no transactions is a rare event in Manhattan,” Costello writes. “Is something worse yet to come?”

He notes that the challenges for Manhattan’s lodging sector would be bad enough without the “looming threat” from the developing COVID-19 crisis. “Fears of the disease are limiting travel and tourism, potentially adding fuel to the fire for the hotel market nationally,” says Costello.

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For comments, questions or concerns, please contact Paul Bubny

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Inside The Story

Read more at RCAConnect With RCA’s Costello

About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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