Recession drives hotel investment to five-year low; Problem not raising equity but tight credit

National Post / Financial Post Investment in Canadian hotels last year dropped to levels not seen since 2004, when the industry was dealing with the aftermath of SARS, according to a new report. Colliers International Hotels says there were $414-million in hotels purchased in 2009, a 61% decline from a year earlier. The figure was the lowest since the $360-million of transaction activity in 2004, when tourism was still recovering from the SARS outbreak. At the height of the market in 2007, there was $4.58-billion in activity.