INVESTMENT
Guest room rendering from the Hotel AKA Nomad in New York City
DISCIPLINED BIDDERS Over the next two years , Urban says the group hopes to deploy the fund in full , but it will be selective throughout the process . It is primarily targeting independent hotels in major gateways with strong growth potential . EAHG continues to source opportunities in Southeastern Florida , Southern California , Austin , Texas , Nashville , Tennessee , and London , along with additional properties in Miami and New York City .
With supply chain issues impacting renovation schedules and higher interest rates affecting the cost of capital , Urban says deals might be a bit tougher to close because overall yield becomes harder to achieve . “ It will cause us to be more cautious in our underwriting as we move forward ,” he adds . “ We will stay disciplined relative to buying and as realistic as you can about the timeframe of execution .”
Urban says the fund has been outbid on some deals because it wants to stay very disciplined on pricing . “ We try to go after deals that either we have a high confidence level in our ability to execute and or properties that we believe we ’ re getting at a highly
70 hotelsmag . com July / August 2022