Credit: Cheryl Sarfaty, North Bay Business Journal.
What if you are a hotel buyer in these times?
Believe it or not, it’s doable.
John Manderfeld, founder and president of Sausalito-based Marin Management, Inc., recently scooped up a branded hotel in Shasta County.
“For a hotel like the Holiday Inn in Redding, it would be an example of where an owner was managing his own hotel previously, and at a time like this, really needs help more than ever,” Manderfeld said.
He noted that hotel operators managing their properties in good times can become overwhelmed when the economy suddenly turns downward.
“When you have the task of running the hotel, plus applying for PPP loans, handling unemployment claims and dealing with closing down parts of the hotel and then reopening them, it’s a lot of work that you might just want to pay professionals to handle,” he said.
Even though Marin Management was able to pick up the Holiday Inn, Manderfeld said that’s not typical these days.
“We’ve had other transactions that we thought would be completed that haven’t been just because hotel buyers are having trouble getting financing,” Manderfeld said.
Marin Management’s hotels in the North Bay include the DoubleTree Hotel & Spa Napa Valley, located in American Canyon, and Hotel La Rose, which has anchored Santa Rosa’s Railroad Square since 1907. Both properties are doing OK, with no layoffs to-date, he said.