Checking Out CANADA'S HOTEL MARKET.

Mortgage BankingVol. 60 Nbr. 10, July 2000

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Summary


Abreast of the Market - People - Industry Overview - Statistical Data Included

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Checking Out CANADA'S HOTEL MARKET.

Paradoxically, most hotel markets in Canada are strong--yet investor/lender interest plunged like a rock last year. Some observers say they've been spooked by overbuilding and the underwhelming financial performance of the U.S. hotel industry.

MUCH OF THE RECORD U.S. traffic to Canadian border cities is for same-day shopping and/or gambling excursions. Yet some Americans also are coming for a few days or weeks to sample the country's broader natural and cultural attractions. Small wonder, since they are getting a bargain 40 to 45 percent premium on their dollars.

More than 15 million visitors from the United States alone (roughly half the population of Canada) came across the border last year--up nearly 3 percent over 1998--and spent a record $2.5 billion (all dollar figures in this article are in Canadian funds).

Not all of them stayed overnight, and not all who did needed hot...

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