Hospitality Industry Takes a Breather

Chicago’s new Nobu Hotel in the West Loop.

CHICAGO—Hotel owners and operators in the Chicago region had a fantastic 2015, including many lucrative sales, but even though this year looks strong as well, the sector has reached a plateau in terms of pricing. And part of the reason for that, along with the recent completion of thousands of new rooms, is the influence of Wall Street, according to Daniel G.M. Marre, partner, Perkins Coie LLP.

“When I first started working in the hospitality industry, it was not a business that had captured the attention of Wall Street,” he tells GlobeSt.com. “But now we have more hotel companies organized as public REITs,” and many big investors have decided to exit or moderate their stake in the industry, largely due to the decline in the growth in revenues.