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Daniel H. Lesser 
Senior Managing Director – Industry Leader Hospitality & Gaming GroupCB Richard Ellis, Inc.One Penn Plaza, Suite 1835New York, NY 10119Phone: 212.207.6064Fax: 212.207.6069Email: daniel.lesser@cbre.com
The U.S. Hotel InvestmentMarket: The Glass Is Half Full
 
Presented to:
JMBM’s 18
th
Annual“Meet the Money
®
” Conference
 
CB Richard Ellis | Page 2
Investment Overview of the U.S. Lodging Industry
Economic Overview
Much talk about the Big “R” Consumer ConfidenceGDP GrowthHome SalesConflicting opinions on Main Street & WallStreet
Bear Stearns debacle – near failure to $2 per share, thenback to $10 per share (400% weekly change)Volatile stock marketsProfits still being generated at household name firms–General Electric, Lehman, JP Morgan, Goldman Sachs,ViacomSome industry experts predict business will pick up after2008; others predict 2010
 
CB Richard Ellis | Page 3
Statistics Are What They Are …. Or Are They?
Economy – Commodities (gold, wheat, oil) at all time highsHotel Operations – RevPAR still showing year over year growth
2008 increases are over 2007 records
Supply & Demand – As of Q2 2008, Lodging Econometricsreported a record 760,000 rooms in the pipeline
2.5% net supply growth in 2007
3.0% net supply growth forecasted for 2008
Finance
Widening spreads, higher DCR’s, lower LTV & LTC’s
Non-existent CMBS market,
Lower volume of transactions
Decline in overall value of transactions;
Virtual halt to M&A and portfolio deals … for now
So, What does this really mean?

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