Green shoots continue to grow and the smell of recovery is in the air, except in the sunshine state, where 300 California Hotels in Foreclosure or Default.
More California hotels are being pushed into foreclosure as tourists and businesses alike scale back their travel plans and owners are unable to pay their mortgages.
Statewide, more than 300 hotels were in foreclosure or default on their loans as of Sept. 30 — a nearly fivefold increase since the start of the year, according to an industry report released Tuesday.
The list of troubled properties includes the St. Regis Monarch Beach in Dana Point, the downtown Los Angeles Marriott, the Sheraton Universal and the W hotel in San Diego.
Most struggling hotels remain open, but industry experts believe many properties are likely to be closed down in the months ahead, even if they are not in foreclosure, because they are losing so much money.
We are often told to look at government issued economic statistics like GDP as an indicator of economic health, but rarely do mainstream media sources point out the real leading economic indicators. In our opinion, the fact that vacation related businesses around the country are going bankrupt, and hundreds are lined up to follow in their footsteps going forward, is a sure sign of a continued contraction. Other real leading indicators we like to consider when trying to understand where we are in this economic cycle are the transportation industry, specifically train, truck and boat cargo, all of which are significantly down from the boom-times of just a few years ago. The smell of this recovery is peculiar — rotten eggs maybe?
Related reading:
CAUTION: Crash/Collapse Dead Ahead Say Faber, Rogers, Dent and Celente
Gerald Celente September 2009: When Commercial Real Estate Crashes There’s Going to Be No Bottom
It Took 22 Years to Get to This Point
The head of the Canadian province of Ontario, Doug Ford, has warned that it will retaliate against...
Iowa's governor Kim Reynolds has extended that bird flu "disaster declaration" after the virus was...
President-elect, Donald Trump has announced that he will enforce tariffs on Mexico, Canada, and...
This article was originally published by Michael Snyder at The Economic Collapse Blog. What in...
This article was originally published by Tyler Durden at ZeroHedge. While it had been reported in...
Commenting Policy:
Some comments on this web site are automatically moderated through our Spam protection systems. Please be patient if your comment isn’t immediately available. We’re not trying to censor you, the system just wants to make sure you’re not a robot posting random spam.
This website thrives because of its community. While we support lively debates and understand that people get excited, frustrated or angry at times, we ask that the conversation remain civil. Racism, to include any religious affiliation, will not be tolerated on this site, including the disparagement of people in the comments section.
Mmm… rotten eggs
Well, all the thanks should go to the “patriot act” & don’t forget “homeland security!!
Going to America on holidays today, is like going on holidays in the 30’s to Soviet Russia!
Who would wanmt to???
Come on, Boris…
Look at the bright side – there should be some smokin’ deals on hotel rooms and stuff.
I’m planning on placing a bid on the Ritz Carlton in Half Moon Bay for $100.
If everything works out, I’m going to give Mac and his family a beach-side room. I might even rename one of the holes on one of their golf courses “Mac Daddy.”
I love it — and so will the wife. I just woke her up (it’s 8am) to tell her we have a free room at the Ritz Carlton Blaine!
My brother just flew out to Atlanta and scored a room at the ‘W’ for 4 days for $500. whaaaat. that’s crazy, if you ask me, considering rooms were easily running $300 a night just a year or so ago.
Many of the W’s, you may recall, are underwater all over the country. If you happen to be in Dallas, TX at anytime in the future, check out the W in downtown during the evening hours. You may see one or two room lights on …. the rest are empty.
I don’t care what the media says. If I am rolling through any metropolitan downtown area (save NYC and maybe LA), there are few lights on in the newly built, multi-million dollar hotels/condos. It’s all good though, if they go bankrupt, the US taxpayer will step in to save the day. That’s what we do now: Socialize the losses, privatize the profit.