October hotel sales outpaced all previous months this year by more than 10%, reports Kansas City, Mo.-based Hotel Brokers International. The closing of 13 transactions last month also has raised optimism for a market recovery among HBI brokers.
The Pacific region led the nation in HBI sales activity. "This is an encouraging sign for our region which has experienced an extremely tight market over the past two years. Typically the fall season is when this region will see the greatest amount of sales activity," says Dick Lopez, vice president of Hotel Brokers International and chairman of Lodging Property Brokers Inc. of Napa, Calif.
HBI’s October report indicates a continuation of the trend toward mid-scale properties. More than 60% of the sales closed during October were mid-scale properties. Suburban and highway properties led the way in October sales brokered by HBI members, with a total of eight sales.