Hotel Owners See Longest Streak of Profits on Record
PKF Hospitality Research's Robert Mandelbaum, director of research information services, discusses average hotel property earnings and expenses.
The U.S. economy and the hotel industry has had robust double digit growth in hoteliers' bottom lines. The research firm says this growth should extend into 2016 for hotel owners.
But there is a word of caution. "Growth in employment levels will continue to put upward pressure on salary and wages. Revenue and profit growth will cause increases in credit card commissions, franchise fees and (franchisor) management fees," warns Mandelbaum.
"This six year period of double digit gains in the bottom line will be the longest such streak in the nation's hotels since PKF began tracking the industry in 1937," concludes the researcher.