Newport News, Va.—Mumford Company, a full-service hospitality brokerage advisory firm since 1978, is forecasting robust sales results for the first and second quarters of 2019. They anticipate companywide transaction metrics including average deal size and per unit pricing to continue the increases seen over the last few years.
“Transaction volume is clearly up, and the pace of new listings has increased significantly as owners evaluate property-level operating results in relation to long term investment objectives,” said Ed James, managing principal, Mumford Company. “There is still plenty of runway ahead in this market cycle, and financing for reasonably underwritten acquisitions remains readily available.”
“There is still plenty of runway ahead in this market cycle, and financing for reasonably underwritten acquisitions remains readily available.”
Mumford Company has closed multiple properties in the first quarter including the Fairfield Inn and Suites Charlottesville, Virginia; Wingate by Wyndham, Las Colinas, Texas; Hampton Inn Charlottesville, Virginia; and the Holiday Inn Express, Cambridge, Ohio.
“Market conditions indicate the supply and demand curve has tilted toward the supply side in many markets potentially impacting future earnings. This should lead to a significant increase in inventory this year,” said Steve Kirby, managing principal, Mumford Company. “Debt and equity continue to be available, and even if interest rates increase slightly later this year, Mumford Company believes it will have little impact on deal flow. We continue to review our clients’ portfolios to ensure existing assets fit or determine a disposition strategy to maximize returns.”