Hotel Group Gears Up for 50th AnniversaryKANSAS CITY, MO—Hotel Brokers International (HBI), the nation’s largest hotel brokerage organization with more than 30 offices from coast to coast, has brokered its landmark 10,000th hotel transaction.
The deal comes as HBI prepares to celebrate its 50th anniversary in 2009.
“Financing, while more difficult to obtain, remains available, particularly for hotel transactions below the $10 million to $15 million level. We expect hotel real estate transaction activity to gain momentum later this year and accelerate into 2009.”
A $10.2 million package deal of two Holiday Inn Express hotels included the 77-unit Holiday Inn Express, Austinburg, Ohio, (middle left photo) which sold for $5.6 million, and the 64-unit Holiday Inn Express, Newton Falls, Ohio, which sold for $4.4 million.
“We’ve sold more than 150 different branded hotels and countless independents in our 49-year history,” said H. Brandt Niehaus, (top right photo) CHB, president of HBI and Louisville-based Huff, Niehaus & Associates, Inc.
“These mid-market properties are typical HBI sales. The vast majority of our hotel transactions are in the mid-market segment, which, of course, dominates the industry.
“These mid-market properties are typical HBI sales. The vast majority of our hotel transactions are in the mid-market segment, which, of course, dominates the industry." No organization sells more hotels in this sector than HBI. We also are active in virtually all the other segments from upper-upscale through economy.
“Through the first six months of 2008, HBI transactions remained strong, compared to the rest of the industry,” he said. “However, we expect hotel sales to pause while the market digests all of the changes currently taking place on Wall Street.
“Financing, while more difficult to obtain, remains available, particularly for hotel transactions below the $10 million to $15 million level. We expect hotel real estate transaction activity to gain momentum later this year and accelerate into 2009.”Errol D’Souza, (middle left photo) CHB, president, Laurel Real Estate Co. of Columbus, Ohio was the HBI selling broker. “We arranged financing through the CDC in Ohio for two SBA 504 loans in order to get the transaction done in today’s market,” D’Souza said. “Mid-market hotels remain in high demand, and, fortunately, financing at historically attractive rates is available from multiple sources.” 
Asmukh Patel and Rakesh Patel of New York, new owners of the properties, commented, “Errol D’Souza brought us two good assets and a professional management team to operate the hotels for us.”
Raxit Shah, (bottom right photo) president, Liberty Group of St. Petersburg, Fla. said, “As the seller, we found Errol’s professionalism created a transaction that allowed us to retain the management of the hotels. It worked out beautifully for both sides.”
CONTACTS:
Glenda Webb, Hotel Brokers International, (816) 505-4315
Jerry Daly, Patrick Daly, Daly Gray Public Relations, (703) 435-6293
Located in the K Street corridor of Washington, D.C. on Franklin Square, 1401 K Street is within walking distance of the McPherson Square Metrorail station, the Red Line at Farragut North Metrorail station, The White House, the Treasury Department building and the Department of Commerce building. The property was renovated in 1997. 
