Articles & publications
- 2020-01-28
Branded residences – fad or fact?
As cap rates remain low due to record interest rates and IRRs are driven down by increased labor and construction costs, developers are reviving the controversial but lucrative model of the branded residences to boost returns. Though branded residences are not a new idea to the hospitality sector, the ever-increasing bid-ask spread combined with the longest growth cycle in the hotel industry, has created a need for owners to review this once gray area of the market. Baron Ah Moo, Managing Director of PKF hotelexperts in the US, provides a concise overview of this sector of the market.
