Our Chief Development Officer, Brittney Jones, recently spoke on the panel “Elevating Hospitality – Chief Development Officers’ Outlook” at LendingCon 2025, alongside executives from Hilton, Choice Hotels International, and Red Roof. The conference brought together lenders, developers, and operators at a time when capital is available, but only for those with discipline, creativity, and strong fundamentals.

The overarching theme this year was adaptation in a tighter capital environment. After years of easier financing, higher interest rates, insurance costs, and construction expenses have created a more selective market. Deals are still being made, but success depends on fundamentals, partnerships, and a willingness to think differently.

High points from the panel and conference discussions included:

• Cost discipline remains critical. Investors and lenders are laser-focused on expense control, from construction inputs to ongoing operations, as a condition for securing capital.
• Partnerships are essential. In today’s environment, strategic relationships, whether between lenders and developers, or between operators and ownership groups, are often the difference-maker in securing financing.
• Creative structures keep deals moving. Tools like C-PACE financing and municipal incentive packages are helping make projects pencil in ways that traditional capital stacks no longer can.
• Managing noise in the economy. With constant shifts in media headlines and economic forecasts, staying grounded is key. I emphasized that at BRH, we focus on what’s most relevant to our markets and our product types, our regional leisure destinations, rather than chasing every headline.
• Leisure demand and airfares. Elevated airfares are impacting travel behavior, shifting demand patterns, and requiring closer alignment between pricing and guest expectations.
• AI’s operational impact. Beyond the hype, AI is showing promise in efficiency and decision support, not as a silver bullet, but as a tool for better workflows, forecasting, and finding the right talent.
• Biggest challenges today. The cost of capital, insurance, and construction remain the three toughest barriers to growth, requiring creative, resilient approaches.

For BRH, participation on this panel reinforced our position as a disciplined operator and investment partner. Our ability to bridge the conversation between ownership, operations, and financing is a key differentiator as we continue to expand.

Looking forward, the opportunities are still there, but the bar is higher. Those with operational depth, strong fundamentals, and strategic partnerships will be best positioned to thrive in this cycle. For BRH, that means leaning on discipline, creativity, and long-term alignment with our partners.