Paul Reitz
Scope of Service Experience Paul's real estate expertise includes brokerage, equity & debt financing, development, and investment of office, industrial, retail and hospitality properties. He has serviced his client's real estate needs throughout the United States, Canada, Latin America and the Caribbean. He has been featured speaker & panelist at major real estate conferences including The Global Property Forum- Toronto Canada 2007 & 2008 ; Eiendomsdagene -Kvitfjell, Norway 2009; Queen's University Executive Seminar on Corporate & Investment Real Estate, Toronto, Canada 2009 and The Nordic Business Arena-Stockholm, Sweden 2009. Education BS & MS degrees The Pennsylvania State University Background & Experience Paul has been in the commercial real estate business for 26 years. His transaction volume includes over $1 Billion of leasing, sales, development, financing & investment of commercial real estate. Paul has been a principle in the DFW broker member of New America Network (predecessor to NAI Global), and a founding partner of its first Mexico City broker member in the 1990's. He has been a past Chairman of NAN Investment & Industrial Councils and has served on the network's national advisory board. Paul's development expertise included the development of a 300,000 sf neighborhood shopping center; an award winning re-development of a 16 story historic office building and the construction of two urban parking lots. As the Chairman/Founder of Sinclair Resorts & Hotels, Inc.-an owner of 5 luxury boutique resorts valued at $100 Million, Paul directed the acquisition, financing, deal structuring and operations of the company. Recent accomplishments include the sale of a 5,000 square meter Class A office tower in Rio de Janeiro; advisory services for the proposed Waldorf Astoria Hotel & Residences in Montreal Canada. Paul is coordinating the activities of the Latin American investment team & actively working globally on behalf of his clients.. Additionally, Paul is directing NAI Global's Hospitality group and is a regional director for the companies Strategic Asset Solutions group targeting advisory and disposition services of bank REO properties & portfolio loan sales. Professional Affiliations & Designations CCIM SIOR (inactive) Licensed Real Estate Broker- The State of Texas Significant Transactions LTV Aerospace & Defense Company- several million sf office & industrial leases & acquisition of 300,000 manufacturing facility; Bridgestone Firestone 300,000 sf industrial lease; Homeowners Warranty 60,000 sf office lease; Holiday Inn Sunspree Resort $56M acquisition; Two Bunch Palms Spa Resort $20M sale; L'Auberge de Sedona $14M acquisition; acquisition, redevelopment & sale of 100k sf Sinclair Office Bld, Fort Worth, Tx.; acquisition, completed development & sale of 300k sf Good Homes Plaza Shopping Center, Orlando, Fla. $13M; acquisition, redevelopment & sale of 117 room West Vail Lodge, Vail, Co. $6M; equity & debt financing of Sinclair Resort & Hotel Companies hospitality portfolio $100M; sale of 5,000 square meter Class A office bld. (Shell Oil) in Rio de Janeiro; sale of 440,000 sf Sherwin Williams Distribution Center, Waco, Tx.; acquisition of 106,000 sf Martin Brower Distribution Center, Lewisville, Tx.; advisor to Monit Inc. in negotiations with Hilton Hotels regarding the proposed development of Waldorf Astoria Hotel & Residences, Montreal Canada; advisory services & master planning of proposed major industrial airport, Mexico City.
Posts by Paul Reitz
A Perspective on the “Value of a Sale-Leaseback” on Hospitality Properties
Apr 4th
Sale leaseback transactions have been an excellent tool for businesses to leverage the equity in their real estate while maintaining operational control of their property. Typically, an investor bargains for a long term passive income stream from the property in exchange for purchasing the real estate at a price that reflects both the underlying real estate value as well as the quality of the income stream that is created by the lease. With today’s challenging real estate climate, this financial tool has a new application that is gaining interest in the hospitality industry.
Operating performance from hotels has generally decreased substantially from the peak in 2007 as a result of the economy. More >
Guest Reviews at the Speed of Cyberspace
Dec 3rd
There was an old adage that said that one {un}satisfied customer would spread the word to 10 others who in turn would continue the process until their message had reached thousands. In today’s internet based world this process has gone “viral” and the impact on your hospitality property can be significant. More >
Rate vs. Occupancy
Sep 20th
A longstanding debate in the hospitality industry deals with the question of whether it’s better to have a higher hotel occupancy or higher average daily rate. Since typically your largest income component and department profitability come from your rooms revenue, this question is of key importance to the hotel operator/owner. Arguably, it is possible to offset a change/decrease in either rate or occupancy with a corresponding increase in the other. However, the issue does go a little deeper. More >
Sale Leasebacks – a Timely Alternative
Aug 30th
In financial markets such as we are experiencing now, financing real estate for operations or investments can be a challenge. An excellent alternative that remains attractive for corporations and investors is the Sale Leaseback. Essentially, the sale leaseback enables a corporation to make use of the captive equity in its real estate at a cost that is generally lower than its return on equity or long term debt costs. Utilizing long term leases with renewal options, the corporation maintains operational control of its facilities without having to tie up its capital. Further, a sale leaseback provides 100% leverage in comparison to mortgages that generally provide 60% to 70% leverage. From the standpoint of the investor, the sale leaseback offers several advantages: More >
Bridging the Bid Ask spread in Difficult Times
Jul 21st
A common scenario in today’s real estate landscape is the following situation:
- A property has lost a significant part of its value due to market conditions.
- The borrower is in violation of their loan covenants and is in default
- The Lender has its own financial problems
- The Owner is out of money, ideas and alternatives
- The property is in receivership; forclosure is looming
- A sale at market value can’t produce enough proceeds to solve anyone’s problem
- Ownership is concerned over personal guarantees
- Negotiations between parties are futile and fustrating
Sound familiar? More >
