Thread by @somehotelguy

1/ On Market Diligence:

I go as deep as I can, albeit not right away.

2/ Early on I try to identify direct competitors and their historic performance, any new supply, any major known changes to market demand drivers (e.g., ‘the factory’s closing’), and any major new developments.

3/ I also try and get a quick handle on what other developable land is zoned for hotel, so I can figure out potential future supply. During this time, I’m looking for major employers and any info on travel dynamics I can get. This is my “desktop” screen.

4/ Next step is to go in-market. Here I’ll drive EVERY INCH to see what site access and visibility are like, what demand drivers are most proximate, how my site’s accessibility to those drivers compares to my comps.

5/ I’ll start pulling into local office parks and writing down the name(s) of every business listed. I’ll look for construction sites, meet the chamber of commerce, read the local paper.

6/ Every meal is at a different local restaurant, and always at the bar – I’m always talking to the bartender / server about what’s happening in the area. If possible, I like to meet the GMs of competitive hotels to hear anything they’ll tell me.

7/ In short, I’m just trying to get a feel for the place, you know?