Target market
Why Extended Stay and Limited Service?
Extended stay and limited service hotels represent the fastest-growing and most resilient segments of the lodging industry. These properties:
- Offer strong margins due to lower staffing requirements and longer average stays
- Are in high demand as multi-family housing costs rise, with flexible stay options for guests
- Require lower development and operating costs than full service hotels
- Have demonstrated strong performance through economic cycles
Leading hotel brands have expanded their extended stay portfolios by more than 50% over the past decade, yet demand continues to outpace supply.
Significant Market Opportunity
Today’s market offers a unique window to acquire assets at attractive risk-adjusted returns, driven by:
- Generational ownership transitions
- Rising debt service costs and required property improvement plans (PIPs)
- Sale of non-core assets by large portfolio owners
- Office-to-hotel conversion opportunities
- Growing pipeline of distressed debt and non-performing loans
TNL is well positioned to capitalize on this opportunity through our deep industry relationships, extensive network within the extended stay ecosystem, and strong presence along the East Coast.
Our Partners
