Thursday, September 23, 2010

Virgin to Debut Hotel Chain


The Virgin Hotel group, which debuted its Web site this week, is in the initial stages of acquiring existing properties in North America. The hotels will be midsize — 150 to 400 rooms, depending on the market — and will include restaurants and communal public spaces, in the hope of attracting local residents as well as hotel guests...

Though the hotels aren’t likely to open before six months to a year..possible choices for first-phase locations include what he called “gateway cities”: New York, Los Angeles, San Francisco, Boston, Washington D.C.
Like I said, it's a great time to buy a house (or I guess start a hotel change)

I'm not sure if the savvy Richard Branson realizes that buying up hotels at the present time is a great inflation hedge, especially if it is financed long term at current rates. Further, as an old time real estate man once pointed out to me, there is no built in constituency calling for price controls on hotel rooms as there is for the residential rental market.

This is a great move by Branson (If he locks in his financing long term at current rates.

No comments:

Post a Comment