Selling Your Hotel

If you're considering the sale of a hotel or hospitalityWhile you're completing staging and repairs, begin
property, it's important to secure representation togetting your books in order. Buyers and attorneys will
protect your financial interests. Hotel brokers can helpexpect two to three years of tax returns, and may
you choose the best timing for your sale, price youralso wish to see your bank statements. It's also
hotel competitively and market your property tocritical that you track all expenses so you can
ensure a successful, lucrative experience. Don't try toprovide realistic documentation to potential buyers.
sell your hotel, condo or bed and breakfast withoutExpenses may include hotel-owned automobiles, legal
an expert consultant to guide you-and don't expect itexpenses, utilities and previous renovation costs.
to take less than several months, or even a year.When your physical property and your accounting are
Things to Consider Before Sellingin order, your hotel will show well to interested
Before you put your hotel on the market, determineparties.
what you need to get from it. Since hospitality realFinally, remember to keep your hotel running
estate is currently a buyer's market, you may notsmoothly while it's for sale. Preparing for a sale is no
profit the way you had hoped. You may discover,excuse to let your business go downhill, and buyers
however, that you're better off getting out fromcan tell when your hotel is poorly kept and
under the property than waiting for a marketcustomers are dissatisfied. Be diligent about
turnaround. This is where hotel brokers come in.monitoring the property's staffing, cleaning and
They can help you determine what sales price tomaintenance until you're no longer responsible.
expect, based on property valuations and yourHiring a Hotel Broker
present equity. They can also predict whether you'reA reputable hotel broker can streamline your sale and
better off waiting to sell.ensure you get the most out of your hotel. Before
Remember that selling a hotel is similar, in somecommitting, make sure your selected consultant is
respects, to selling your home. It's important, forlicensed, and inquire about their previous sales
instance, to clean up the property and stage it to sell.experience. Ask for references, and meet with
In addition, you have to decide what remodeling andbroker candidates to assess their market knowledge
upgrades to complete to ensure that your propertyand industry savvy. Finally, make sure you mesh with
"shows well." Make sure you talk about your fix-upthe hotel brokers you select, and that you're
plans with your hotel broker, though, since somecomfortable with the way they do business. Good
tasks may not increase your property value enoughcommunication is critical to a successful working
to bother.relationship.