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REVPAR International Sees Increased Advisory Work as
Leading Indicator that Lender Waiting Game is Abating;

Reports Surprising Level of Due Diligence Requests for New Hotel Projects


Washington DC, September 16, 2009 - REVPAR International, a leading hospitality advisory and asset management firm, announced today that the firm’s L3 Services are effectively meeting the increasing demand for third-party advisory services as the number of problem loans, foreclosures and other legal matters affecting hotel real estate increase during these challenging economic times. 

REVPAR International launched L3 in January 2009 to assist Lenders, Lawyers, and Loan Servicers (and other industry professionals) weather the economic downturn and better position themselves for the inevitable rebound.  Although the L3services found immediate traction, in the last three months there has been a noticeable uptick in demand for these services. 

REVPAR believes this is a leading indicator suggesting that the inaction and waiting game plaguing hotel lenders over the past 12 months is abating, with 2010 gearing up to be a watershed of meaningful activity for both advisory services and transactions. 

Already this year, REVPAR has delivered on a diverse range of L3 services to benefit clients. Key results include:

  1. Valuing distressed hospitality assets for the benefit of lenders, loan servicers and buyers;
  2. Assisting landlords and tenants in revising the terms of existing hotel leases and attendant documents originally drafted for more “normalized” hotel market conditions;
  3. Providing expert witness services on a broad range of issues to hospitality-centered lawsuits;
  4. Delivering deal-structuring activities advice to purchasers of distressed hotel debt, and;
  5. Advising government agencies on the optimal disposition of their hospitality holdings.
“The principals of REVPAR have been through more than one severe downturn,” remarked Randall Carroll, who heads up the asset management division of REVPAR, “and we know that the initial paralysis caused by free-falling markets eventually gives way to strategic positioning efforts as owners and lenders try to make the most of the inevitable ramp back.  Over the past 60 to 90 days, there has been a subtle shift and clients, still suffering from recession-induced distress, are now asking us to assist them to plan for and implement various asset maximization strategies.” 

“We are keeping pace with strong demand for these services,” commented Rick Pastorino, who spearheads advisory work at REVPAR International. “New engagements are increasing as the floor on values begins to take shape and visibility improves on a go-forward basis.” 

Both Carroll and Pastorino perceive the firm’s recent engagements to be positive indicators for the investment side of the hotel industry since the nature of those assignments strongly suggest that more lenders (and borrowers) are actively purging their problem debt, thereby setting the stage for recovery, instead of continuing the stalemate of the past 12 to 18 months. 

Specific to this work, Mr. Carroll adds, “Each property has its own unique set of circumstances and opportunities. Our team’s significant years of hands-on experience and expertise enable them to identify those issues and formulate appropriate strategies for the stakeholders that work in this distressed CRE environment.”

Mr. Pastorino also reports the firm is providing a steady flow of due diligence services related to new ground-up hotel projects, despite the very challenging environment for securing debt. 

The Company’s L3 services encompass all facets of hotel operations including operational reviews, reorganizations, asset management, work-outs, insolvencies, liquidations, refinancing, and capital needs for distressed hospitality real estate or loans.  Clients include hotel lenders, loan servicers, pension funds, insurance companies, private equity groups, trustees, attorneys and government agencies with assets or interests in the U.S., Caribbean, Europe, and Asia.

The L 3 services provided by the REVPAR International team include: 

  • Expert witness for attorneys relative to valuations, workouts, changes in management or franchise, and more. 
  • Advisory services related to loan defaults, bankruptcies, reorganizations, receiverships, orderly liquidations, and other insolvency-related matters. 
  • Comprehensive and effective hotel asset management and operational review services with best practice recommendations that include monitoring of on-site operations from the perspective of loan security and collateral protection. 
  • Due diligence for acquisition and disposition of assets and loans;
For more information and to find out how REVPAR can help optimize your hotel investments during these turbulent times, please call Rick Pastorino or Randy Carroll at 703.838.9707 or email or

About REVPAR International
Founded in 1992, REVPAR International is one of the hospitality industry’s oldest and most highly regarded full-service hospitality advisory consulting firms. Headed by Rick Pastorino, the dedicated team has successfully completed thousands of assignments throughout the United States, Caribbean, Europe and Asia.  REVPAR is the insider’s recommendation to owners and developers by major hotel brands for a wide array of advisory services.  The consultants of REVPAR International each have extensive operational backgrounds in addition to their advisory experience.  In 2007, REVPAR merged with Lazer Lodging Asset Management, a well-known third-party hotel asset management company founded by Randall Carroll, former SVP of Real Estate & Asset Management for MeriStar Hospitality Corporation.  The merger of REVPAR and Lazer created a unique, full-service advisory and asset management platform serving the needs of owners and lenders with hotels, resorts, timeshare, fractional and other leisure realty interests. To learn more about REVPAR International, please visit their website at


REVPAR International
8000 Towers Crescent Drive
Suite 1200
Vienna, VA 22182

Sharon Lemon

Also See: REVPAR International Launches L3 Services to Assist Hospitality Lenders, Lawyers, Loan Servicers / January 2009
Lazer Lodging And REVPAR International Merge To Create Formidable Hospitality Asset Management and Advisory Services Company / October 2007


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