The Hotel and Hospitality sector continues to evolve rapidly in 2025, driven by capital migration into Southeast growth markets, stronger travel fundamentals, and renewed investor appetite for branded select-service properties. While rising borrowing costs reshaped transaction volume over the last 24 months, hotel assets remain one of the most attractive commercial real estate classes for yield-oriented investors — especially those seeking inflation-protected income and asset types with pricing elasticity tied to daily rate strength. The Southeast hotel landscape — specifically Tennessee, Georgia, Alabama, the Carolinas, and Florida — is emerging as one of the most aggressively pursued investment corridors in the United States. Population inflows, business relocations, tourism resiliency, and corporate travel recovery have accelerated investor focus on this region, creating a clear opportunity for hotel owners who are considering disposition within the next 12–24 months.
Several Southeast metros are outperforming national averages in RevPAR growth, ADR resilience, and occupancy stability — giving hotel investors more confidence in underwriting forward performance. Nashville continues to lead the region due to its combination of convention demand, tourism, healthcare anchors, and large-scale corporate relocation activity. Chattanooga, Knoxville, Birmingham, Huntsville, Greenville (SC), Charleston, Jacksonville, Savannah, and Tampa-St. Petersburg is also attracting institutional investor attention due to strong demand drivers, new job creation, and limited supply relative to population growth. Even second- and tertiary-market hospitality assets are seeing meaningful price traction — specifically in submarkets along the I-75 and I-65 corridors — where select-service hotels remain at attractive price-per-key ranges with stronger yield projections.
While 2023 and portions of 2024 saw pricing compression and uncertainty around rate stabilization, 2025 is bringing back structured capital, active private equity hotel groups, and investor confidence in select-service assets. Successful transactions in 2024–2025 have been heavily weighted toward Hilton Garden Inn, Hampton Inn, Fairfield Inn & Suites, Courtyard, Holiday Inn Express, Home2 Suites, and Hyatt Place hotels — where buyers can capitalize on brand strength, predictable RevPAR, and stabilized room revenue mix. The market is showing a clear separation between investor-preferred branded-flagged assets and unbranded independents. Institutional buyers continue to rotate away from operationally heavy full-service properties and focus on clean, scalable select-service portfolios that produce consistent cash flow with fewer moving pieces.
2025 is expected to be a year of strategic exits — not forced exits — and hotel owners who proactively position their assets for market visibility will be able to capture stronger pricing than reactive sellers waiting until everyone else moves at once.
As David Melton, Principal Broker of Pointe Commercial Real Estate, stated, “The hospitality sector rewards owners who plan their exit on the front side — not the back side. In today’s market, timing and positioning can easily swing seven-figure valuation outcomes.”
Rates are stabilizing, pent-up capital is active again, and demand is returning to normalized patterns — but construction cost escalation continues to limit new supply delivery, especially in secondary Southeastern markets. This structural imbalance gives existing hotel owners meaningful pricing leverage in 2025, particularly for well-located branded select-service hotels with limited deferred maintenance.
Investors today are not just underwriting location — they are underwriting simplicity, brand security, staffing efficiency, and limited food & beverage exposure. This dynamic directly benefits 70–140 key properties under Marriott, Hilton, Hyatt, and IHG flags — making them prime trade candidates for institutional buyers seeking reliable revenue streams and operational clarity.
Pointe Commercial Real Estate is positioned at the center of this emerging Southeast hospitality capital surge. Our Hotel Brokerage and Hospitality Capital Advisory platform is designed for select-service hotel owners with strong brands who want a high-level capital advisor — not a mass-market listing broker. We help owners strategize exit timing, evaluate PIP impacts, underwrite revenue position vs competitive sets, and market assets directly to pre-qualified buyer pools actively placing capital in the Southeast.
Our focus is institutional-grade assets, qualified buyers, and controlled, strategic dispositions engineered to maximize exit value. We engage early, advise deeply, and control process integrity from valuation to closing — because hotel transactions should be built around data, capital strategy, and ROI clarity… not speed.
As David Melton notes, “Hotel brokerage at this level is not transactional — it is intentional. Owners deserve a firm that understands both the operational realities and the capital markets discipline needed to exit at maximum value.”
The hospitality sector in 2025 is defined by select-service strength, Southeast investor demand, and high-value strategic exits. For hotel owners considering a sale, this is a pivotal window — especially for branded assets with stabilized RevPAR and clean operational performance. Pointe Commercial Real Estate stands ready to help hotel owners capitalize on this moment with a capital-markets driven brokerage approach engineered for maximum return, disciplined execution, and institutional buyer reach across the Southeast.
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