Optimism continues to characterize the hotel industry, however concern of a Canadian economic slowdown following the U.S. economy was prominent among speakers and attendees.   With analysts predicting a slowing U.S. economy, easing interest rates, a slightly stronger dollar and a continued tight labour market, it may mean a softer year for the Canadian hotel industry. 

Technology was a major focus of the Conference.  The need to keep up with ever-changing technology is a must for hoteliers according to Jim Carroll, Globe & Mail columnist and author of Lightbulbs to Yottabits, as the demands of travellers are and will continue to become increasingly more sophisticated.  For example, advances in technology permit guests to customize, on-line, their desired room layout, the temperature of their room, if they want goose or down pillows and what they would like in their refrigerator when they arrive.  Carroll notes that hotels must react to the challenges of technology and plan how to respond to the opportunities.

Although financing continues to be constrained, conduit financing is becoming an increasingly available source of capital.  John Ho, Director of Commercial Mortgages for Merrill Lynch described their strategy of providing conduit-based loans.  Ho explained that by building a diverse portfolio and spreading the risk across property types and locations, significant losses are prevented when an economic slowdown affects one geographic area.  While Merrill Lynch may be focusing conduit-based lending on well-established hotels with good track records, debt and equity for new construction remains problematic.

Hotelier�s special conference supplement, which is included in the March/April issue of the magazine, contained a variety of articles based on interviews with panellists.  The consensus from the View from the Top panel was that �despite fears of recession, the Canadian industry will undoubtedly continue to benefit from more valuable, selective supply in coming years.  The still low Canadian dollar will also continue to make the country attractive to foreign travellers and investors, recession or not.  As Tom Oliver notes: �Canada is clearly one of the long-term growth markets from an international perspective.��  

The Conference was sponsored by several hotel industry leaders including: Avaya Canada; Bass Hotels & Resorts; Blake, Cassels & Graydon; Choice Hotels Canada Inc.; Hilton Hotels Corporation; Hotelier; Interval International; Ryerson University; and Stikeman Elliott.  

Organized by Colliers International Hotels and KPMG, the Conference donates the majority of the proceeds to Ryerson University to support the next generation of hoteliers.  Katherine Penny, Director of the School of Hospitality and Tourism Management and Claude Lajeunesse, President and Vice Chancellor of Ryerson University graciously closed the 5th Annual Canadian Hotel Investment Conference.  

Colliers International Hotels and KPMG wish to thank the speakers, sponsors, planning committee, and the attendees, all of whom contributed to making the Conference such a great success.