Robert Mandelbaum and Tim Dick, Ph.D. | May 4, 2023
By Robert Mandelbaum and Tim Dick, Ph.D. Most management contracts include an incentive management fee in addition to the base management fee. The incentive fees are designed to make management more conscious of the bottom line since owners achieve their returns and pay their debts from profits, not revenue. Incentive management fees are earned by the operator once a designated profit threshold is achieved. Given the depressed performance of hotels during the 2020 industry downturn, unsurprisingly almost no hotel owners paid an incentive fee to their managers that year. Fortunately for U.S. hotel operators, incentive fees have risen con...
Commonwealth Hotels Appoints Stacy O’Reilly as Area General Manager of the Hyatt Place Portland-Old Port and the Docent’s Collection
Levering Cinematic Success With Fairmont The Queen Elizabeth’s Barbie Adventure
Catalysts for Growth – Tech Hubs Are Powering the Indian Hotel Industry’s Growth
Nobu Hotel at Caesars Atlantic City Set for January 2024 Opening
As the first news aggregate for the hotel industry, Hotel-Online is the industry’s must-read daily news source for everything hotel curated for busy professionals. Sign up today for industry news delivered to your inbox.