News for the Hospitality Executive
Hostmark Hospitality Group Well-Positioned
For Growth, Despite Sector
Downturn Company’s Experience with Distressed Properties Will Be Key
Schaumburg, IL, March 6, 2009— Hostmark Hospitality Group, one of the nation’s largest third-party hotel management companies, anticipates that its quantity of management contracts will increase significantly this year as lenders and owners turn to them to manage the growing number of distressed properties in the marketplace. A successful third- party management firm for over 40 years, Hostmark has been selected to provide services in more than 130 hotel bankruptcies, foreclosures, and receiverships.
“In the current economic climate, it is imperative for owners of distressed hotels to retain an experienced, focused and aggressive management team,” says Robert Cataldo, President /COO, Hostmark Hospitality Group. “Hostmark’s reputation as the industry expert at stabilizing and turning around underperforming properties comes from our wealth of experience in implementing vertically integrated solutions that quickly maximize the potential of these assets. The confidence that banks and mezzanine lenders have shown in Hostmark’s ability to add intrinsic value to distressed assets is borne out by the roster of properties we have been hired to manage,” Cataldo adds.
In the past year alone, Hostmark has operated or transitioned seven properties in foreclosure, receivership or bankruptcy, including high profile properties such as : the historical ship the Queen Mary, Long Beach, CA; Hotel Blake, Chicago, IL; Cortina Inn, Rutland, VT; Holiday Inn, Collinsville,IL; and the former Renaissance Hotel (now the President Abraham Lincoln Hotel and Conference Center); Springfield, IL.
Cataldo notes that because Hostmark has had no turnover among its key executives for nearly two decades, the firm has created a reliable and stable management team that can provide oversight for any property type. “Hostmark executives are among the hospitality industry’s most experienced and respected leaders. Our team’s extensive legal background and experience with distressed properties has made Hostmark the top choice for putting underperforming properties back on track.”
Peter Connolly, Asset Manager for the mezzanine lender currently in possession of the Hotel Blake concurs with Cataldo: “Because of their record of successfully handling hotels in trouble, Hostmark Hospitality Group was our obvious choice when we were selecting a management firm for the Hotel Blake.”
Throughout its 40+ years in operation, Hostmark has become expert at navigating the issues facing distressed properties including:
About Hostmark Hospitality Group: