j. carter allen
HVS Market Pulse: Houston, Texas
J. Carter Allen | May 23, 2019
By J. Carter Allen All things considered, the Houston economy weathered the worst energy depression since the 1980s relatively well, highlighting the depth and diversity of Houston's economic base today. Job growth in other sectors, such as healthcare, professional services, and construction, helped offset the approximately 25% loss in energy-related jobs. While the oil-and-gas industry is no longer the sole pillar of the local economy, it remains, nonetheless, and integral component. Hiring activity tied to oilfield services and the manufacturing industry has picked up in response to rising oil prices and increased activity in the Perm...
Equity Yield Rates on the Decline
J. Carter Allen | October 19, 2018
by J. Carter Allen, Rodney G. Clough HVS continually tracks the rates of return on the assets that we consult on. In our most recent review, we found that equity yield rates, on average, have been declining, due in part to the expectation of slowing EBITDA Less Replacement Reserve growth. The sample size of available data is also a contributing factor. Equity yield rates were notably lower for full-service and luxury hotels, averaging 16.8% for the year-to-date 2018 period (below the 17.7% level recorded for 2017), driven largely by a lower number of total transactions of this asset type, coupled with an increase in full-service sales o...
Dual-Brand Hotel Market Overview
J. Carter Allen | August 17, 2018
By J. Carter Allen This article focuses on specific market analysis and data applicable to the development and operation of dual-branded hotels. Much has been written about the dual-brand concept over the last several years, particularly related to the asset type's benefits and challenges. Instead of providing another such piece that rephrases the same concepts in different ways, this article will focus on data collected from our work with dual-branded hotels over the last several years. While a review of the history of dual-branded hotels and some basic concepts are necessary, this article will hope to provide new data and prove, or di...
HVS Market Pulse: Galveston, Texas
J. Carter Allen | November 29, 2017
By J. Carter Allen A weak energy sector has led to negative lodging fundamentals throughout much of the greater Houston region; however, one destination continues to illustrate its resilience. Galveston Island has realized year-over-year growth in total visitation in each of the past seven years following Hurricane Ike. While the rate of growth has slowed in recent years, no doubt somewhat affected by volatility in the energy sector, positive factors such as the recently completed expansion of the cruise terminal and the low gasoline prices have contributed to the growth in visitation numbers. This article will explore tourism trends on...
Key Takeaways: Lodging Conference
J. Carter Allen | November 15, 2017
By J. Carter Allen Economic Outlook – Baring political and geopolitical uncertainty, the economy is anticipated to continue to expand by 2.5% to 3.0% annually for the next two years. Lodging Fundamentals – Demand continues to outpace supply, a relationship that is forecast to change in 2018. New Supply – The supply pipeline continues to grow, but remains well below the peak set in 2008. Brand Growth – Brand companies continue to look for opportunities to increase scale in order to provide consumers with more options, which present both opportunities for new development and concerns over market saturation for owne...
HVS Market Pulse: Houston
J. Carter Allen | February 13, 2017
By J. Carter Allen Houston is a city of DOERS, per the latest ad campaign presented by Chevron and released in advance of Super Bowl LI, held in Houston on February 5, 2017. The ad incites the can-do spirit of a city without limits. A city that is a global leader in energy and healthcare, that consistently ranks near the top for fastest growing major metro areas, and that once put a man on the moon. While the "We choose to go to the Moon" days are gone (but not forgotten), Houston's reputation as a tough, resilient, city of DOERS remains. Nowhere is this more evident than in Downtown Houston. Long known as an office market with very few...
Four Key Takeaways | 2015 Hotel Data Conference
J. Carter Allen | August 18, 2015
By J. Carter Allen Acceleration in group hotel demand and solid supply fundamentals are two factors favoring a positive outlook for U.S. hotels. Some of the nation's most respected hoteliers and hotel statisticians pitched a very optimistic outlook for the U.S. hotel industry at the 2015 Hotel Data Conference, held August 4–5 in Nashville. The term "recovery" is becoming obsolete, as the recession of 2008/09 fades further into the background. U.S. hotels, on the whole, have been coursing through an upturn unlike anything industry veterans have seen in their decades in the business, and the numbers support the continuance of this posit...
