Robert Mandelbaum and Tim Dick
Robert Mandelbaum is Director of Research Information Services for CBRE Hotels Research. Tim Dick, Ph.D., leads CBRE Hotels’ Southeastern Advisory Practice and serves as the National Practice Leader of the Hotels Asset Management practice. To manage and benchmark the performance of your management company, please contact tim.dick@cbre.com.
Compensation Declaration: Why the Growth of Management Company Fees Slowed in 2023
Prior research conducted by CBRE Hotels Research revealed that hotel management companies were rewarded handsomely as the U.S. lodging industry recovered from the COVID-19 pandemic. An analysis performed by CBRE in April 2023 found...
Supporting Revenue Health: Hotel Spas Were Valuable Contributors During the Recession
As of year-end 2022, the average hotel in CBRE’s Trends in the Hotel Industry survey sample had surpassed its 2018 total revenue figure by 1.5 percent. This was achieved even though the average hotel...
The Return of Incentive Management Fees: Payments to Operators Began Reaching Pre-COVID Levels Last...
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...
Fluctuating Fees: The Impact of the COVID-19 Industry Recession on Management Fees
Hotel management contracts typically include two primary components of compensation for the management company—a base fee and an incentive fee. The base management fee is generally derived as a percentage of total revenue. In...