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John Strauss

As of YTD 2018, hotel transaction volume in the United Statesreached $29.7 billion, more than a 25% year-over-year increase,according to new JLL stats.

There are several reasons for the increase, John Strauss, seniormanaging director and co-head of Americas Hotel Capital Markets forJLL tells GlobeSt.com: The industry got a boost of energy in partbecause of tax reform, for starters. Also, hotel performance tendsto track and is tightly correlated with GDP. The growth of the lastyear or so has created momentum in the hotel sector's underlyingfundamentals–hence the strong appetite for investors to buy intothis sector, he says.

Private Equity Leads the Way

But who are these investors? Not surprisingly, given theirubiquity across the commercial real estate asset classes, this yearprivate equity represents 37% of hotel acquisitions in the UnitedStates, or $11 billion. This compares to 30% ($7.1 billion) for allof 2017.

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.