CHG NEWS
Chandler Hotels Inc. has arranged the sale of the Southfork Hotel in Plano, TX12/2/15
Chandler Hotel Group has arranged the sale of the Southfork Hotel in Plano, TX, a 279-room independent full service property in North Dallas. Jeremy Allen of Chandler Hotel Group's Scottsdale office, represented the seller. The buyer, also represented by the listing agent, is an investment group based in Texas with interests in hotel properties across the state.

"Due to it's location and size, this was an opportunity that offered prospective buyers several value enhancement options including rebranding and reconfiguring the asset into multiple hotels," says Allen. "It shows the diverse set of options that are available for independent hotels today. We presented several strategies to buyers and had extensive involvement with contractors, lenders and city officials to uncover a strategy that worked for all parties."

"Plano is an incredibly sought after location in the Dallas/Fort Worth Metroplex with the sheer number of major corporations relocating to the area and new jobs being added to the market," added Allen.

The Southfork Hotel is prominently located along the North Central Expressway in Plano, Texas. The property is surrounded by a high growth community, just minutes from the new CityLine development, which is set to office several thousand employees in a full scale entertainment district, and walking distance to Plano's historic downtown, an urban transit village with metro-wide DART rail services.
Chandler Hotels Inc. has arranged the sale of the Days Inn in Greeley, CO11/16/15
Chandler Hotel Group has arranged the sale of the Days Inn in Greeley, CO, a 55-room limited service hotel in Northern Colorado. Alex Rizk of Chandler Hotel Group's Scottsdale office, represented the seller. The buyer, also represented by the listing agent, is an ownership group based in Texas.

"Greeley is one of several vibrant Northern Colorado hotel markets right now that we have a lot of investors taking a look at," says Rizk. "This opportunity presented a consistently cash flowing investment in an up and coming market that offered strong long term returns for the buyer," added Rizk.

The Days Inn, Greeley, CO is located conveniently off I-25, minutes from Highway 34, the live/work/play district of Downtown Greeley and the University of Northern Colorado.
Chandler Hotels Inc. has arranged the sale of the Sandman Inn in Santa Rosa, CA11/9/15
Chandler Hotel Group has arranged the sale of the Sandman Inn in Santa Rosa, CA, a 134-room independent boutique hotel in Sonoma County. Alex Rizk of Chandler Hotel Group's Scottsdale office, represented the seller. The buyer, also represented by the listing agent, is an investment firm based in California with plans for expansion nationwide.

"This was a transaction where everybody won, the property sold at a fair market value and still offered upside for the buyer," says Rizk. "We sourced a highly motivated group of potential investors through the marketing process that included several foreign groups."

"Located in one of the most desirable submarkets in Northern California, the property has been well maintained and provides the new owner with significant value enhancement opportunities," added Rizk.

The Sandman Inn is rated as one of the Top 5 hotels for service excellence in Santa Rosa through Tripadvisor.com and is conveniently located just off US-101, minutes from Sonoma County's best wineries, venues, and outdoor activities. A plethora of vineyards and tourism activities are located in close proximity to the hotel, including the Russian River resort area, the Sonoma Coast, Jack London State Historic Park, and the redwood trees of Armstrong Redwoods State Reserve.
Chandler Hotels Inc. Converts, Repositions Hotel to La Quinta Inn and Suites Central Point, Medford OR10/6/15
Scottsdale, AZ – October 6, 2015 – Chandler Hotels Incorporated, an industry leading hotel management company, has a signed a multi-year management agreement with the new owner of the La Quinta Inn and Suites in Central Point, Oregon.

The 68-room newly renovated La Quinta Inn and Suites is located off Interstate 5 at Exit 33, 5 minutes from Medford-Jackson City airport. La Quinta Inn and Suites Central Point – Medford, located in scenic Southern Oregon, sits in close proximity to area outdoor adventures including zip lines, hiking and boating excursions along with some of Oregon's best vineyards and cultural attractions. Highlighted by the area's natural treasures: Crater Lake National Park, Oregon Caves, the Rogue and Umpqua Rivers and thousands of acres of Redwood Forests, the La Quinta Inn and Suites is now welcoming guests to one of Oregon's foremost leisure locations.

Chandler Hotels Incorporated offers a complete service menu to hospitality property owners combining expertise in management and repositioning. With a management portfolio of approximately 2,000 hotel rooms nationwide, the firm is one of the fastest growing management companies in the United States.
CHG Announces The Sale Of The Fairfield/Baymont Inn & Suites in Flagstaff, AZ7/30/15
Scottsdale, AZ – August 04, 2015 – Earlier this year, Chandler Hotel Group has completed the sale of the Fairfield/Baymont Inn & Suites, in Flagstaff, AZ. Alex Rizk and Chandler Hotel Group’s team procured the buyer and negotiated the transaction, which closed six months after the opening of escrow. The new owners are based out of California and are looking to expand nationwide.

The 130-room Baymont Inn & Suites was constructed in 1990 and the hotel is conveniently located just minutes from downtown Flagstaff and other area attractions, including the Grand Canyon, Flagstaff Pulliam Airport and Northern Arizona University. The hotel was originally built as a Fairfield and was converted to a Baymont Inn & Suites early in 2015 and has been performing well since. The hotel is in excellent condition and has a promising future.
CHG Announces The Sale Of The La Quinta Inn, Sedona, AZ7/30/15
Scottsdale, AZ - July 22, 2015 - Chandler Hotel Group has completed the sale of the La Quinta Inn, in Sedona, AZ. Alex Rizk and the Chandler Hotel Group team procured the buyer and negotiated the transaction, which closed six months after the opening of escrow. The new owner owns several hotels throughout Arizona and California.

The 103-room La Quinta Inn was constructed in 1995 and is located just a few blocks from the entrance of Red Rocks State Park at Bell Rock, a popular natural attraction. In addition to, Sedona enjoys an average of 3 million visitors a year, not including special events such as the Sedona Marathon, with 2,300 participants from all over the country and the Sedona International Film Festival.
CHG Announces The Sale Of The Best Western Skies Inn, Lordsburg, NM 7/28/15
Scottsdale, AZ – July 22, 2015 - Chandler Hotel Group has completed the sale of the Best Western Skies Inn. Alex Rizk and the Chandler Hotel Group team procured the buyer and negotiated the transaction, which closed six months after the opening of escrow. The new owner is an experienced hotelier with several properties throughout the Southwest.

The 42-room Best Western Skies Inn was constructed in 1987 and is conveniently located 1 block south of Interstate 10 in Lordsburg, New Mexico halfway between Tucson, Arizona and El Paso Texas. The Hotel is near two ghost towns, 2 miles from Shakespeare, 15 miles from Steins ghost town and in close proximity to the Gila National Forest for seasonal hunting for deer, elk, quail, and dove.
Rising Popularity of Boutique Hotels Fuels Downtown Detroit's Lodging Growth4/20/15
One of the biggest stories in the hotel industry today is the growth of the boutique segment. Independent groups such as Ace Hotels, 21C, Grupo Habita and citizenM registered record growth in the last few years. Meanwhile, all the major brands have incorporated a boutique component.

That trend was reinforced last December when IHG purchased Kimpton Hotels & Restaurants. For its part, Hyatt launched Andaz several years ago, and Marriott has rolled out the Autograph Collection, Moxy, EDITION and AC Hotels in the past few years. Even Best Western has unveiled its new urban boutique concept - Vib.

I get the following question a lot: "Why should we invest in boutique hotels?" The conventional wisdom among investment funds tasked with finding hotel assets is to look for branded assets in the top five markets that are deemed less risky by pundits.

However, some hotel investors don’t realize the substantial RevPAR (revenue per available room) premiums you can get with boutique properties over standard branded hotels. Among boutique properties, we’re seeing RevPAR premiums of 10 to 20 percent - sometimes 50 percent - over traditional hotels (see chart).

Boutique hotels have less rigorous brand standards, if any at all, and offer more opportunity on the exit because there are numerous possibilities for that next buyer. They provide incredible opportunities for investors looking at that three-to-five year window.

Lenders also are taking a closer look at financing these assets because there is trailing 12-month data available that backs up the story. Boutique properties typically excel in urban markets with high barriers to entry and infill sites that cater to both business and leisure travelers who are looking for that localized personal experience.

Motor City’s Moment Arrives
Ten years ago, I was helping Midwest investors find lower-priced assets on the West Coast in up-and-coming growth areas. Now as hotel values have skyrocketed out West, these same investors have sold out and are now targeting Midwest markets with lower-priced opportunities, open financing channels and local municipalities willing to provide incentives.

Detroit is a case study for this movement. The rebounding auto industry and growth in the convention business are among the reasons Detroit is experiencing a resurgence. I grew up in Southeast Michigan at a time when it was common for suburbanites to head downtown for the Detroit Auto Show at Cobo Hall or have a meal in Greektown, but that was the extent of it.

Everyone had a dream to one day become an integral part of rebuilding the city to its original luster. Now I think that dream is becoming a reality for a lot of people.

The reopening of the landmark Book-Cadillac Hotel in 2008 as a 453 room Westin Book Cadillac set the bar for the city. Once groups started seeing the success of this historic property that originally opened in 1924, the floodgates really began to open. Now there are a number of high-profile boutique hotel developments that have recently opened or are in development.

The 136-room Aloft Detroit, which opened last December in the restored David Whitney Building (a 19-story structure completed in 1915), is a great example of the recently opened hotels in the boutique segment.

The historic building has been a great fit for Starwood’s Aloft model, which is now getting into adaptive reuse developments. The Aloft brand hastheDNAofaWHotel,butata lower price point in order to compete with Courtyard by Marriott and the Hilton Garden Inn.

The Aloft brand, which has had incredible growth as of late, is a less costly option to go boutique, fitting well into secondary markets that are missing that element.

The Secret Is Out
It’s become a race to secure locations in downtown Detroit. The Wurlitzer Building has been pegged by a New York group for a 100-room hotel. Meanwhile, Aparium Hotel Group is moving forward with its 100-room project - the Foundation Hotel - in the old downtown Detroit firehouse headquarters. The Ilitch organization also is planning a hotel for the new Detroit Red Wings hockey arena and entertainment district. The arena, which will seat more than 20,000 people, will open in time for the 2017 NHL season.

According to the Detroit Free Press, the Financial Guaranty Insurance Co., one of the city’s former bankruptcy creditors, has development rights for a potential 300-plus-room hotel on the site of the to-be-demolished Joe Louis Arena.

Investors looking at buying hotel assets should consider independent and branded boutique deals due to their emerging appeal and inherent upside. This strategy is clearly gaining momentum in downtown Detroit.

Written by: Jeremy Allen, Senior Associate - Chandler Hotel Group
Jeremy Allen Joins Chandler Hotels Expanding Investment Advisory Team4/20/15
SCOTTSDALE, AZ (March 31, 2015) – Chandler Hotels, a Scottsdale-based, industry-leading hotel investment advisory firm and hotel management company, has expanded its advisory team. Jared Chandler, President of Chandler Hotels, has announced that Jeremy Allen has joined the hospitality investment advisory team in Scottsdale.

Allen previously served as principal at Allen Global Hospitality, and directed valuation, feasibility and consulting assignments for the firm. He started his hospitality career with Marriott International and since has worked for several of the largest and most active hospitality brokerage firms in the country.

"Jeremy is a fantastic addition to our team," Chandler said in making the announcement. "He has an incredible background in hospitality valuation and pairs that with extensive experience selling full service and boutique assets. He will be helping to lead our strategic growth plans going forward."

As activity in the hospitality transaction market continues to increase in 2015, Allen and the Chandler Hotels team are planning to bring several full service properties to market in the coming months.

"I am thrilled to join Chandler Hotels and be on the front line to see the impactful growth this company is having. I've had the opportunity to work in a variety of hospitality real estate roles focused on investment evaluation in all phases of a hotel's life cycle from feasibility through the transaction," Allen said. "I've never been more excited to put all these experiences toward expanding an innovative and specialized hospitality advisory team."

A graduate of Cornell University's School of Hotel Administration, Allen has served as a speaker at The Lodging Conference in Phoenix, Arizona and built his expertise in hospitality investment advisory over 15 years working with brokerage, consulting and valuation firms.

Securing a position as one of the most active intermediaries in the hospitality industry, Chandler Hotels investment advisory team has completed more than $2 billion in hospitality transactions over the past ten years. These transactions include single asset and portfolio sales of branded select-service assets, luxury and boutique properties, select-service hotel portfolios and full service hotels.

Specialized hospitality services include investment sales, asset analysis, portfolio strategy, 1031 exchange expertise, project and development services, feasibility studies, competitive impact analysis and property operations reviews.
CHG Announces The Sale Of The Mark Twain Hotel In Peoria, Illinois3/24/15
Scottsdale, AZ - March 24, 2015 - Chandler Hotel Group has completed the sale of the Mark Twain Hotel in Peoria, Illinois. Alex Rizk and the Chandler Hotel Group team procured the buyer and negotiated the transaction, which closed four months after the opening of escrow. The new owner is an experienced hotelier based in California with an extensive hotel portfolio.

Chandler Hotels Incorporated, an industry leading hotel management company, has signed a multi-year management agreement with the new owner and will manage the boutique asset.

The 111-room Mark Twain hotel was constructed in 1967 and is located in downtown Peoria within walking distance to vibrant nightlife, shopping and the Peoria Riverfront. The property sits three blocks from the Peoria Convention Center and across the street from Caterpillar Headquarters and the Peoria County Courthouse.
Chandler Hotel Group Expands Portfolio, Adds Seven New Properties2/3/15
SCOTTSDALE, AZ (January 27, 2015) – Chandler Hotel Group (CHG), a Scottsdale-based, industry-leading hotel management company, has expanded its reach by adding seven new hotel properties to its portfolio. The new properties are located in South Carolina, Texas and New Mexico and collectively add nearly 1,200 new rooms to CHG’s cache of properties.

“We are eager to introduce these new properties to Chandler Hotel Group’s long-held, unwavering commitment to comprehensive service,” Jared Chandler, CHG founder and CEO, said. “All of these properties will undergo significant upgrades, if they haven’t already, elevating the overall guest experience and creating a renewed staff investment in the property.”

The addition of the Wyndham Garden Inn in Amarillo, Texas, comes amidst a $6 million renovation for the 259-room hotel. The Wyndham property was built in the early 1980s and was previously recognized as the Ambassador Hotel.

The remainder of the hotel properties joining Chandler Hotel Group have already, or will experience extensive upgrades in the coming months. The group of properties includes a trio of Red Lion hotels in Farmington, Gallup and Grants, New Mexico, a Best Western in Roswell, New Mexico, a Quality Inn and Suites in Albuquerque, New Mexico and a Ramada in Columbia, South Carolina.

The strategic addition of these branded hotels represents Chandler Hotel Group’s desire to grow and further its involvement with full-service hospitality properties. Chandler Hotel Group has successfully managed four and five-diamond resorts and full service conference hotels, as well as boutique hotels, across more than 180 transactions totaling more than $2 billion.
Chandler Hotel Group sells $47 million in first quarter3/19/14
In the first quarter of 2014, the brokerage division of Chandler Hotel Group has sold $47 million worth of hotel properties, and has another $20 million in escrow, and $150 million worth of properties listed exclusively for sale. Buyers and sellers include individuals and corporations interested in selling either one property or a portfolio. Check back for details of each transaction.
Chandler Hotel Group Named New Management Company of the Best Western Plus In Peoria, Illinois2/27/14
Chandler Hotel Group, a top third-party hotel management company, is pleased to announce that it has been selected to manage the Best Western Plus in Peoria, IL, on behalf of a private international owner.

This four-story, 85 guest room hotel recently underwent over $1.3 million in upgrades, including new guest room furniture and televisions, new fitness equipment, new breakfast and lobby area furniture, and a new business center.

The addition of this hotel marks the second Best Western in the Chandler Hotel Group management portfolio.

About Chandler Hotel Group Chandler Hotel Group owns and operates 15 hotels across the United States. Through our process of fostering remarkable property level teams, we build strong hotel profit engines and develop marketing plans, guest services, and revenue management for each specific hotel. By building great services, we believe we will create the most value for our partners over the long-term.

For more information please call 480-816-3390.
Sale of Luxury Sedona Hotel, the Kings Ransom2/14/14
Chandler Hotel Group is pleased to announce the sale of the Kings Ransom Inn and Kings Ransom Hotel in Sedona, Arizona. Located 120 miles north of Phoenix, Sedona was recognized as one of the Top 12 Most Beautiful Neighborhoods by Forbes magazine and the Top 10 Best Weekend Getaways by US Travel News.

The buyer is a private international group that has acquired multiple assets in the United States within in the past 18 months. This property provides the new ownership group with exposure to one of the most desired destination markets in the world. Alex Rizk was the broker involved in all negotiations and aspects of the transaction.

The 146-unit boutique hotel sits on 8.8 acres in the heart of Sedona and includes a full service restaurant, courtyard gardens, and spacious guest rooms. The hotel will be managed by Chandler Hotel Group.

For more information please call 480-816-3390.
Sale of the Comfort Inn in Holbrook, Arizona2/04/14
Located 90 miles east of Flagstaff, the city of Holbrook is poised for large economic growth in the coming years due to the opening of the nearby potash mines. This 61-room Comfort Inn was recently renovated and no major improvements were needed upon transfer of ownership.

Chandler Hotel Group was retained as the exclusive broker and closed the transaction with Alex Rizk representing the seller and Nick DiFerdinando representing the buyer. Chandler Hotel Group was heavily involved in structuring and providing financing for the sale.

For more information please call 480-816-3390.

Chandler Hotel Group Has Begun Management of The Wyndham Garden Inn11/07/13
Chandler Hotel Group, a top third-party hotel management company, is pleased to announce that it has begun management of the Wyndham Garden Inn Texarkana, TX. This Wyndham Garden is managed on behalf of a private owner and has 148 newly renovated rooms, an indoor pool and spa, and over 5,000 square feet of meeting space. It is located directly off Interstate 30 in the heart of Texarkana, a metropolitan area with a population of over 143,000.

The property straddles the Texas-Arkansas line, and connects Dallas to Little Rock and beyond. We at Chandler Hotel Group look forward to continuing growth and solidifying our position as the management company of choice for the Southern region and beyond.

For more information please call 480-816-3390.

Chandler Hotel Group Completes sale of Fairfield Inn Rancho Cordova9/13/13
Chandler Hotel Group is pleased to announce the sale of the Fairfield Inn & Suites Rancho Cordova. Located 15 minutes outside of Sacramento, this limited service property was built in 2003 and is complete with meeting space and an outdoor pool and spa.

Sold for a price per key of $82,690, Alex Rizk represented the seller and Nick DiFerdinando represented the buyer, closing the sale in less than 90 days after collaborating to find a buyer who would see success with the property. The buyer will add this property to their portfolio that already includes another Marriott hotel, and has planned a comprehensive renovation for the property in the near future.

For more information please call 480-816-3390.
CHG has taken over management of two neighboring properties in Surprise, AZ9/4/13
Chandler Hotel Group is pleased to announce that it has taken over management of two neighboring properties in Surprise, AZ.

The Days Inn and Quality Inn have a combined 129 rooms are managed on behalf of a private owner. The city of Surprise had a population of over 117,000 in 2010 and is the second fastest growing municipality in the greater Phoenix metropolitan area, making these properties in a desirable location.

We are excited about furthering our Arizona presence and look forward to continuing growth and solidifying our position as the management company of choice for the Southwest region and beyond.

For more information please call 480-816-3390.
CHG Construction awarded the contract to renovate the Holiday Inn Express Tucson Airport6/11/13
CHG Construction, a division of Chandler Hotel Group, has been awarded the contract to renovate the Holiday Inn Express Tucson Airport. The three-story, 98-unit building is undergoing renovations to improve the property, meet current Holiday Inn Express brand standards, and maintain its status as one of the leading hotels in Tucson.

The interior design department at CHG Construction received all franchise approval, permits were acquired, and construction began in early April and is currently ahead of schedule. Renovations will take place in guest rooms, public areas, and the exterior of the building. The lobby will offer a brand new sundry area.

If you are in the Tucson area, please join us in the coming months for the grand re-opening and enjoy food and beverages, entertainment, and chances for giveaways. Exact date has yet to be determined and will be announced shortly.

CHG Construction was the recipient of the IHG "Renovation of the Year" for the Holiday Inn Express in Tempe, Arizona.

For more information please call 480-816-3390.
Sale of Days Inn Airport Albuquerque5/16/13
Representing the buyer and seller, Chandler Hotel Group has successfully completed the sale of the Days Inn & Suites Albuquerque Airport. This 57-unit property is located approximately two miles from the University of New Mexico and one mile from the Albuquerque International Airport.

The sale was completed by Damian Gordillo, a Senior Associate with significant knowledge of the New Mexico hotel market. Working closely with the Institutional Seller, he diligently searched for and found a buyer who would see success with this property. He then facilitated the close of escrow, franchise applications, tax transfer, and transfer of all sales.

Chandler Hotel Group offers sellers the simplest listing agreement in the industry. This sale was completed four months after receiving a signed listing agreement.

For more information please call 480-816-3390.
Sale of Holiday Inn Express Tucson4/15/13
Utilizing our extensive network of professionals, investors, and hoteliers, Chandler Hotel Group has successfully marketed and sold the 97-room Holiday Inn Express at Tucson Airport for $6,111,000.00, at a price per key of $63,000.00. Located less than a mile from the Tucson International Airport, this Holiday Inn Express has operated with a rate of occupancy and average daily rate exceeding its competitors.

Representing the buyer and seller, our Brokerage Division was successful in negotiating the franchise renewal, completing a budget for the renovation required by the franchisor, and sourcing the financing for the buyer. Chandler Hotel Group was retained as the Management Company by the buyer, providing in depth day to day oversight, monthly revenue maximization reports, marketing, risk management assessments, and monthly forecasts based on detailed profit and loss reports.

CHG Construction, a division of Chandler Hotel Group and winner of the "Renovation of the Year" award in 2012 for the renovation of the Holiday Inn Express in Tempe, Arizona, is performing all design, purchasing and construction services to bring the hotel into compliance with the brand standards.

For more information please call 480-816-3390.
Sports Complex Lease Gains Quick Approval1/25/13
By CAROLYN DRYER, Editor | Posted: Friday, January 25, 2013 1:45 am

City council gave quick approval to a ground lease to redevelop the 17-acre parking lot west of the Peoria Sports Complex into an entertainment project designed to be a destination for formal and informal entertainment. Council approved an agreement that is one in a series with Peoria Sports Park LLC that requires the developer to meet certain obligations, including tenant and financing commitments, supplying the city with project-related financial documentation for economic analysis, as well as legal and financial analysis for the development of the city owned parking garages to support the redevelopment project. The initial term of the lease is for 50 years. PSP has the option to extend the lease for two successive terms of 24.5 years. If a development agreement is not executed within a year from the effective date of the ground lease, it will automatically become void.

With that agenda item completed, council moved on to the next item, which did not fare as well. A recommendation for the public art that would greet visitors to the city's newest community park, Pioneer Park at 83rd and Olive avenues, set in motion a less than excited response from city council. As councilmembers viewed the work that was approved by Peoria Arts Commission, they also looked at each other as well as Community Services Director John Sefton for explanation.

Councilmember Cathy Carlat was concerned about the safety of the sculpture, which is a wheel-shaped structure formed of weathered steel. It stands 18 to 20 feet tall. There are two elements to the sculpture and both are separated, one about half the size of the other. Carlat expressed her fear that some individuals would be tempted to climb the sculpture, and that brought liability issues into consideration. A discussion and questions ensued about who decides which work of public art is commissioned. City Manager Carl Swenson explained the process, which historically has come down to the arts commission making the final decision, but the city council deciding whether it is willing to sign the contract for purchase of the art.

Council's hesitation was observed regarding the submission by sculpture Thomas Sayre of Raleigh, N.C. When one councilmember asked how people would be deterred from climbing onto the sculpture, Sefton said a barrier fence could be constructed around it. A member of the audience whispered privately that a fence could alter the artistic value of the piece, i.e., the arts experience. At this time, council and mayor asked for more information about the process of choosing public art, and they wanted to know if they could see the other three finalists' entries. There were 75 artists who responded to the June 2012 call for artists. The arts commission selected Sayre at its Dec. 11 meeting. There will be further discussion before the council makes a decision.
Chandler Hotel Group Is Pleased To Announce The Sale Of The Phoenix West Inn4/04/12
Scottsdale, AZ - March 30, 2012 - Chandler Hotel Group successfully marketed the hotel on behalf of the seller, procured the buyer and successfully negotiated the sale of the Phoenix West Inn located in Phoenix, Arizona. Kurt Peterson, Senior Associate of the firm, negotiated a strong value and closed the transaction in 18 days from the opening of escrow. The new owner is an experienced hotel owner/operator planning a complete renovation of the property which is expected to become a Days Inn. The new owner purchased the REO property at a low price per key that will allow him to drastically improve the standards and overall appearance of the hotel.

The Property is located at 1241 N. 53rd Avenue, Phoenix, AZ 85043. It was built in 1986, and has 43,770 square feet, with 126 rooms, on three floors. It is located on 1.338 acres, just off the 51st Ave. exit on the I-10 Freeway in Phoenix, 10 minutes from the Phoenix Sky Harbor International Airport. With great visibility and access to the I-10 freeway, properties in this area generally attract travelers arriving from the West as they enter Phoenix, often coming from the Los Angeles area.

Chandler Hotel Group, located in Scottsdale, AZ, offers a full service approach to hospitality owners providing a turnkey solution in Hotel Brokerage, Management, FF&E Design, and Construction. Chandler Hotel Group is the market leader in Arizona hotel sales.

Chandler Hotel Group, www.ChandlerHotelGroup.com, is located in Scottsdale, AZ. offering a full service approach to hospitality owners providing a turnkey solution in Hotel Brokerage, Management, FF&E Design, and Construction. Chandler Hotel Group is the market leader in Arizona hotel sales.

For more information on this sale or to discuss how we can assist you, please contact Chandler Hotel Group at (480) 816-3390.
For Immediate Release: Sale of the Best Western, Page Arizona1/17/12
Scottsdale, AZ. - January 17, 2012 - Chandler Hotel Group successfully marketed the hotel on behalf of the seller and procured the buyer in and successfully negotiated sale of the Best Western Arizonian located in Page, Arizona. Alexandre Rizk , Vice President of the firm negotiated a strong value and closed the transaction in 30 days from the opening of escrow. The new owners are experienced regional owners of hotels and are planning a complete renovation of the property.

The complete renovation of the 3 story, 103 room, interior corridor hotel will increase the appeal of the Best Western Arizonainn, as it was voted "Best View" in Page, AZ. The hotel is surrounded by breathtaking views of the Glen Canyon Rim. It is minutes from Lake Powell, Monument Valley, the North and South rims of the Grand Canyon and Bryce Canyon.

Each well-appointed room, many with unobstructed views of the breathtaking Glen Canyon area, features free high-speed Internet access, an iron/ironing board, coffee/tea maker and hairdryer. Hotel guests enjoy complimentary deluxe continental breakfast every morning. For added comfort and convenience, the Best Western Arizonainn comes equipped with a media room, seasonal outdoor swimming pool and hot tub. Hotel guests also enjoy the convenience of hiking, biking and running along the scenic rim trail. Local area excursions include boat tours and kayaking on Lake Powell and river rafting along the Colorado River. The hotel is just one mile from Lake Powell National Golf Course. Guests will also appreciate the hotel's convenient location to a variety of shopping and dining options.

Chandler Hotel Group, www.ChandlerHotelGroup.com, is located in Scottsdale, AZ. offering a full service approach to hospitality owners providing a turnkey solution in Hotel Brokerage, Management, FF&E Design, and Construction. Chandler Hotel Group is the market leader in Arizona hotel sales.

For more information on this sale or to discuss how we can assist you, please contact Chandler Hotel Group at (480) 816-3390.
"Not Everyone Can Play for the Yankees"...10/15/11
By Richard Punch, COO

Remember the late '50s and early '60s, when Mickey Mantle, Roger Maris, Yogi Berra and Whitey Ford slugged and hurled their way, summer after summer into the World Series and the Hall of Fame?

Do you remember years earlier, when the Babe, Di Maggio and Gehrig did the same? They were the best at their game, and in those days, not everyone could play for the Yankees.

Unfortunately, today, not everyone can play for the Yankees either, because not everyone is willing to pay the price to be number one. It doesn't matter whether you're managing a major league team or a little league team, a large corporation or a small business, a large department or a small one. The message is the same. If you, as a manager, want to be the best at what you do, you must continually make tough "people" decisions. This means you must promote and retain your winners and team players on a regular basis and continually replace and retire your non-producers.

I'll give you an example of what it's like to play for the Yankees. A few years ago, I was hired as general manager of a luxurious Dallas landmark hotel. It was the era of decline in Texas oil prices-and of major overbuilding in the Dallas area. A few years earlier, the property had undergone a $12 million renovation that was to have positioned it for greatness. Greatness never arrived; however the property was running at 40-percent occupancy with an average daily room rate of $75, where it had to post 65-percent occupancy with an ADR of $110 to meet debt service.

During my first two weeks at the hotel, I asked my department heads how we, as a team, could improve performance. I soon discovered that nearly half of my managers were telling me emphatically that because of economic conditions, neither they nor the hotel could expect to do better.

I reviewed the property's marketing plan and each sales manager's goals with the sales director and discovered the hotel was attaining only 60 percent of its fair market share.

When I asked the staff about this, I got the same excuses about overbuilding and the Texas oil crises. At an emergency staff meeting I called with all department heads, I wrote "positive trends" on the left side of a flip chart, "negative trends" on the right side.

I then asked each department head to tell me any positive trends relating to the hotel. The list was surprisingly long, and included the $12-million renovation, four-and-a-half-star quality guestrooms, a restored historic landmark (the facility was built in 1924), superior meeting facilities, great restaurant and bar, ample parking, etc., etc. Then I asked for negative trends and, naturally, got the bad economy, overbuilding and a suggestion for additional meeting space.

"If so many of these positive trends have happened or are happening, combined with so few negative trends, how can we only be attaining 60 percent of our fair market share?" I asked

Most department heads agreed there was no excuse, and, given the circumstances, we should be achieving at least 100 percent of our market share.

I then wrote the following on a second flip chart: 65 percent occupancy at $110 ADR, 100 percent of our fair market share, combined food & beverage profits of 30 percent, gross operating profit of 35 percent, and 90 percent positive guest comment ratings.

After going over these goals, I said, "Ladies and gentlemen, it won't be easy, but our obligation as a team, to ourselves and to the ownership of this hotel, is to meet and/or exceed these objectives."

"Now, if any of you believe we can't, I encourage you to immediately find other employment, because we have no choice. The bottom line is, I need each and everyone in this room to commit to reaching these goals."

Within 24 hours of that meeting, I could tell which of my managers would make the team. Two weeks later, I fired my director of sales (the guy was still talking poor economic conditions, along with supply versus demand) and a sales manager. A week later, I let my director of catering and executive chef go. Neither believed $1.5 million in sales or combined food & beverage profits of 30 percent was possible.

When I told various department heads why I'd let these people go, I explained that a positive attitude and a willingness to give 100 percent were essential if we were to reach our goals. "Even if we don't reach our goals," I said, "I want to know each of us has given our best shot."

"Not everyone can play for the Yankees or be number one," I said. "We as a team must always be the best we can be."

I promoted from within and/or hired replacement players for the people I had fired, and six months later, we achieved an 85- percent market share. Fifteen months from the day I arrived, occupancy year-to-date was running at 67 percent, with an average room rate of $114. Our market share equated to 105 percent, and we had met or surpassed our goals in all areas.

A few weeks ago, I received a call from an employee whom we had promoted from within during my early days at the hotel. She was our catering coordinator at the time of my arrival.

After terminating my director of catering, we promoted her to that position, and within a year of that, to director of food and beverage. Soon after I left the hotel for another opportunity, she was promoted to general manager.

She said she just wanted to thank me for teaching her a valuable lesson. Here's what she said it was:

"We must make fair but tough people decisions at all times. If someone isn't making the team, don't wait; let them go. Constantly surround yourself with good people and team players who want to be number one. Never forget that you are only as good as your people. And always remember: "Not everyone can play for the Yankees."

I laughed and thanked her, and to this day, I have wonderful memories of that hotel and the fabulous team that turned it around.

- Richard Punch is the COO of Chandler Hotel Group's management services division. His leadership and expertise is an invaluable part of our executive team and the ongoing success of our clientele. CHG Management Services
Chandler Hotel Group Awarded Management9/12/11
Scottsdale, AZ - September 20, 2011 - Chandler Hotel Group, a Top 100 3rd Party Management Company, has been awarded the management contract for the new Hampton Inn & Suites Riverwalk Hotel opening February 2012. The Hotel is located off Pima Freeway - Loop 101 on the corner of Dobson and Indian Bend Roads. It is adjacent to Talking Sticks Resort and Casino across from the new Arizona Diamondbacks and Colorado Rockies spring training baseball facility.

The 101 room, first class, Hotel features oversized guest rooms and luxury suites with individual Wi-Fi, refrigerators and microwaves, and 32 inch HD Flat Screen Televisions along with a state of the art fitness center and swimming pool and spa. Complimentary full, hot, Breakfast is served each morning. The property’s prime Scottsdale location is ideal for the Leisure, Family, and Corporate travelers with meeting facilities available.

Principle Jared Chandler stated: “We are thrilled to be awarded the management and marketing of this fantastic property by HCW and look forward to tremendous success.”

For more information contact Chandler Hotel Group, Chief Operating Officer, Rick Punch, or Director of Operations, Daron Brotherton at (480) 816-3390.

Chandler Hotel Group is located in Scottsdale, AZ and is a full service Hotel & Resort Management Company specializing in Management, Brokerage, and FF&E Design. Chandler manages multiple Hotels and Resorts in several states including Arizona, California, Utah, Colorado, Arkansas, Missouri amongst others. For reservation and booking information contact (480) 816-3390.
If you can build a hotel, now's the time to do it9/1/11
National Report-- If you have what it takes to build a new hotel, then do it. That’s what lodging experts are saying these days. Just how and why will be discussed further at a panel titled “Is Now the Time to Develop?” at this month’s 17th Annual Lodging Conference 2011 at The Arizona Biltmore Resort & Spa in Phoenix.

Offering a preview of what’s to come, Jim Butler, partner and chairman of the Global Hospitality Group for Jeffer Mangels Butler & Mitchell, gave the green light to those looking to get a start on new-build hotel projects.

“This may be the best time in several years to start a new hotel development project, with a view to opening in 2013 or 2014,” he said. “Of course, all the usual caveats apply regarding paying attention to market fundamentals.”

Trends stemming from a struggling economy, such as a dearth of financing in the past several years, meant little or no new supply in some markets. This paired with hotel industry fundamentals improving and hotel values exceeding cost of replacement in many markets makes now a great time to jump in on a new-construction hotel project, Butler said. He warned, however, that while all of the traditional considerations continue to apply, “debt and equity capital are so selective that only the best projects have a chance to get started now.”

Brad LeBlanc, VP of franchise development, upscale brands for Choice Hotels International, has a similar outlook, albeit from a franchise perspective.

“Yes, absolutely this is a good time to kick-start new-build hotel projects for three reasons: the supply line is dry, forecasts show demand on the rise despite economic uncertainty and it is time to ride the cycle up while taking advantage of things that are still low such as construction pricing,” he said.

It’s not just as easy as that, however, LeBlanc said.

“The tricky part is financing,” he said. “Lenders are looking for both enough equity to minimize their risk and a proven track record by developers. They also like familiar brands.”

In fact, LeBlanc explained that instead of putting up 20 percent equity to get a project done, as was the norm just five years ago, developers are now being asked to put in 50 percent or more because “the banks want no risk, so they do everything they can to minimize it.”

This does pose some challenges to new developers looking to get a lodging deal off the ground, who don’t have a strong history to offer the banks or whose pockets aren’t as deep as they need to be. Also struggling in this equation are the new hotel brands that lack the recognition banks desire.

Franchise companies like Choice are able to offer some help in these instances, LeBlanc said, “by stepping behind the developer and making sure they can get in the game,” he said. Choice often does this when a deal involves a newer brand like Cambria, for example, by offering debt service guarantees or credit enhancements to help get the deal done.

But lodging experts agree that the work needed to get a new build kick-started now is worth it, particularly because construction costs are considerably lower than they have been in recent years. According to Jim Fry, VP of Holder Construction Co., we are in the midst of prime circumstances concerning construction costs.

“What has happened is material costs have flattened or risen minimally, but subcontractors have cut their margins drastically just to stay in business. That makes this a good time to build,” he said. “The key is the timing.”

It is important to get in before things heat up, he said.

“It won’t take long for the market to heat up and prices to go up,” Fry said, noting that it is already happening in some pockets, such as New York and Washington, D.C. “It all depends on how much the market was overbuilt.”
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