Embracing Change and Exploring Opportunities

• The Hunter Hotel Investment Conference 2025 projected a shift towards a buyer’s market, with improved transaction volumes expected.
• Despite economic uncertainties, hoteliers are encouraged to operate collaboratively and innovatively to develop additional revenue streams.

The 36th Hunter Hotel Investment Conference, held at the Atlanta Marriott Marquis, focused on the theme “Elevate Your Game.” Molly Bloom’s inspiring keynote speech on personal appraisal and risk-taking marked the event.

The conference suggested that the market dynamics might be shifting in favor of buyers, a stark contrast to the trends of 2023 and 2024. This shift is expected to boost transaction volume in 2025, driven primarily by individual sales and small portfolio transactions. Larger institutional owners are expected to sell assets, veering away from large portfolio acquisitions.

Despite concerns about declining consumer confidence, there is no apparent change in consumer travel behavior, especially for luxury and upscale hotels. Demand for these categories continues to grow while midscale and economy hotels face contracting demand. The resilience of hospitality is attributed to the view of travel as essential for a balanced and fulfilling life.

As uncertainty looms, the industry’s mantra for the year is “Survive 2025”. Hoteliers are urged to revisit their cooperation strategies from the pandemic and find innovative ways to increase revenue, such as expanding market pantry offerings and introducing additional charges for late check-ins and parking.

Development opportunities persist despite hurdles like rising costs, looming tariffs, and debt availability. Established relationships with lenders can be leveraged to strike deals in the current climate. Developers are bracing for increased project costs due to upcoming tariffs and are urged to account for these in their budgets.

The conference emphasized the potential opportunities presented by the uncertain times, including lower interest rates and more sellers willing to negotiate. While access to debt could be challenging during prolonged downturns, it’s essential to plan ahead to survive and thrive in the face of potential adversity.

Discover more at LinkedIn.