JMBM's Meet the Money 2008 in Las Vegas, May 6-8

Hotel Financing Takes Center Stage

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. October 14, 2008

APRIL 3, 2008. What a ironic paradox! There is such an abundance of capital seeking hotel investment. And at the same time, more hotel owners are frustrated in their efforts to find that very capital. Why can't the two find one another? Because the capital market "machinery" that used to match up the hotel lenders and equity sources with borrowers, is broken -- or at least "out of service" for an undetermined time.

Who's making hotel loans today?

In the past few months I have received more than the usual number of inquiries from hotel owners and developers asking, "Is anyone still making hotel loans?" And of course the second question is "Who is providing capital for hotel development and hotel refinancings in this market?"

While the hotel lawyers at JMBM's Global Hospitality Group(R) have always sought to facilitate the flow of capital, we received far fewer of these calls over the last couple of years. Frankly, until very recently, most hotel investors could find their own capital fairly easily in a hyper-efficient market.

An alternative when the usual channels of finance are clogged

But as the Commercial Mortgage Backed Securities (CMBS) markets have virtually collapsed, and the credit markets have tightened, it has become markedly more difficult to find debt and equity financing for hotel deals. And that is why this year's Meet the Money(R) is more important to the industry than ever.

JMBM's 18th Annual Meet the Money(R) conference -- sponsored by JMBM's Global Hospitality Group(R) -- is the best place in the industry to be to meet the players, to find out what kinds deals they are doing, and to put yourself in the flow of business. Better yet, you can do this in 2-1/2 intensive and focused days. Everybody comes to this conference for one reason, and the name says it all -- to "Meet the Money(R)."