SEARCH

Could The Manhattan Hotel Boom Be Headed For A Bust

A Four Seasons coming in Lower Manhattan. Boutique hotels rising in Chelsea. Several big names making their debut in Midtown. It isn’t hard to find examples of New York City’s hotel-construction boom-antidotes to travelers seemingly insatiable thirst for additional rooms in recent years- but could a sagging economy soon burst this real estate bubble? Some signs for concern could be here. Develop Sam Chang, who heads up McSam Hotel Group, has reportedly been heading overseas for new projects as lenders yank in the reins here at home. ‘The tightening credit market is slowing me down,” Chang told Crains earlier this month. Architect Gene Kaufman, currently juggling about three-dozen hotel projects in Manhattan, said hospitality construction is strong, though there are some areas of unease.
[see attachment for more details]