Using public-private partnerships to fund hotel development projects

Abstract

This paper discusses the private-and public-sector roles in jointly developing hospitality projects, including each sector's motivation and criteria for participating in these projects, and methods of financing them. Additionally, data on 36 public-private hotel projects across the USA is presented to highlight recent trends in hotel financing structures. These trends generally support the concept that large, first-class hotels in urban locations require some form of public participation to attract the necessary private financing and equity investment.