CHICAGO—The recession put a lot of things on hold. Most hotelbrands, for example, allowed owners to curtail expenses by puttingregular property improvement planson the shelf foryears. But now that a recovery seems to have taken hold, manybrands have decided now is the time to implement the plans, knownas PIPs, and press owners to add new amenitieslike big-screen televisions, paint jobs, furniture and signage,among many other features. Many owners have balked at the expense,and some have even decided to cash in now and sell theirproperties, making this a busy time for brokers.

“PIPS are a big concern because they cost a lot of money,”Jeffrey J. Preston, a Chicago-based vice presidentof HREC Investment Advisors, a company thatspecializes in the lodging and gaming industries, told GlobeSt.com.Preston had been speaking as part of a panel on the current climatefor hotel brokerage at last week's North America HotelInvestment Conference in Chicago. “It scares a lot ofpeople when they first look at the numbers.”

Preston added that the hotel owners driven to sell by this don'tyet constitute “a flood,” but “many of them do feel up against it.They have survived the past five years, but once hit with a PIP,they feel they don't have a chance to catch their breath.”