What does a hotel receiver do?
A hotel receiver acts as a neutral, court-appointed or lender-supported steward responsible for protecting the property, preserving cash flow, and maintaining operational continuity. In hospitality, this often includes oversight of management, expense controls, brand compliance, reporting, vendor coordination, and recovery planning while ownership or lender decisions are resolved.
When should a lender appoint a receiver for a hotel?
A lender may consider appointing a receiver when a hotel is in default, cash controls are weak, operations are deteriorating, or collateral value is at risk. Receivership can help stabilize the asset, improve transparency, secure financial reporting, protect guest experience, and create a controlled path toward workout, sale, refinancing, or REO ownership.
How is distressed hotel management different from normal hotel management?
Distressed hotel management focuses on immediate stabilization, risk control, and value preservation rather than routine optimization alone. The work typically involves cash flow triage, labor and expense review, revenue strategy resets, brand or operator assessment, stakeholder reporting, and fast execution under legal, lender, or ownership constraints.
Can you manage REO hotel assets for banks?
Yes. Latitude Asset Management supports lenders and financial institutions with REO hotel assets, including operational oversight, performance diagnostics, asset management, disposition preparation, and operator coordination. The goal is to protect value, create credible reporting, improve marketability, and position the hotel for recovery, recapitalization, or sale.
Do you help with hotel brand or operator transitions?
Yes. Latitude Asset Management manages brand and operator transitions, including RFPs, due diligence, franchise and management contract negotiations, and 90–180 day handover coordination. This is especially important in distressed situations where the current operator, brand, or contract structure may no longer support the asset’s recovery plan.
How quickly can Latitude Asset Management stabilize a distressed hotel?
Initial stabilization can often begin as soon as access, authority, and essential property information are available. Early priorities include cash controls, operating diagnostics, staff and vendor communication, revenue review, and lender or owner reporting. A deeper turnaround plan is then developed as financial, operational, and market data are validated.
What information is needed to evaluate a distressed hotel asset?
Helpful materials include recent financial statements, STR or market performance reports, franchise agreements, management contracts, loan documents where applicable, capital expenditure history, payroll summaries, vendor obligations, insurance details, and current operating reports. These inputs help identify liquidity risks, performance gaps, contractual constraints, and recovery opportunities.
Do you support asset disposition after stabilization?
Yes. Latitude Asset Management provides asset disposition support for lenders, banks, and owners when a sale becomes the preferred strategy. Support can include performance stabilization, data room preparation, buyer-facing asset narratives, operator coordination, market positioning, and practical recommendations to improve execution before and during the disposition process.