Hotel bubble? Not according to these CRE execs Sturner, panelists argue hospitality market is healthier than critics claim
From left: Norman Sturner, James Nelson and Robyn Sorid
New York’s hotel market has mostly produced negative headlines over the past year amid fears of oversupply and declining international tourism. But Norman Sturner thinks the worries are overblown.
“The fact of the matter is that New York has 54 million (annual) visitors,” he said Thursday morning at a panel discussion hosted by the Deal Flow Network and moderated by The Real Deal’s publisher Amir Korangy. Sturner said any conclusion that a minor drop in the number of visitors woul阿爱上海同城 d cause major problems for the hotel market is “jus上海千花网龙凤论坛 t silly.”
Sturner’s MHP Real Estate Services is currently developing the 29-story Dream Hotel near Times Square.
Like Sturner, Robyn Sorid calls widespread pessimism over hotel oversupply misplaced. “We see it as an overreaction,” the co-founder of bridge lender G4 Capital Partners said. G4 is currently financing two new hotel developments one in Williamsburg and one in Tribeca and Sorid said traditional lenders’ reluctance to lend on hotel projects has created an “incredible opportunity” for her firm.
An analysis from TRD in April found that hotel permit applications began nosediving in 2015, suggesting the building boom could be over. However, a more recent review of filings shows that hotel units in 2016 have risen above last year s total, but still lag the 2[……]