Category Archives: Career

Move over Darling

In the world of hotel real estate, the best markets and the best investments 120 days ago are now among the worst markets and the worst investments. The blog title is “move over darling” because what were the darlings of the industry are now the duds of the industry.

One market in particular is Nashville Tennessee. 120 days ago, everyone wanted to own a hotel in Nashville and now many of the hotels in Nashville are closed and the ones that are open, are running less than 8% occupancy. Some of the Florida Beach markets, 120 days ago were known as the redneck riviera and very few investors wanted any part of it. Now, those markets are running the best numbers in the country because people can drive there.

Who would have imagined in early February that the world of hotel real estate would literally turn upside down? It has been the most significant shift in the industry in my 30 years.

The point is that we should always recognize that things change, shift and evolve and very few things in life stay the same. Look at transportation as an example. In the late 1800’s and early 1900’s cities were building lavish train stations all over the country because it was viewed as the future of travel. Well, now most of them are just old dilapidated mothballed buildings. The world changed with automobiles and airplanes and train travel became less and less of a factor.

There is no industry, no market, no business model that is immune from change. The best you can do is hope you see it before it gets there. KT

It’s not my fault

I have watched and lived the last 100 days as the real estate world has changed (possibly long term) due to the COVID crisis. For the lodging, leisure and travel industry, it has been devastating. It has been devastating because as my friend Dave Akridge likes to say, it is unprecedented.

The one thing I have yet to see or hear is anyone standing up and admitting they were possibly at fault for poor decisions. Everyone it seems wants to blame someone else or something else and nowhere (so far) is the person who simply says, “I was wrong, and it is my fault.”

I remember when I was starting out in the restaurant business and was the director over seven Mrs. Winners that were converting to Wendy’s. I oversaw all operations and the entire construction process. As a young man, it was a little daunting.

I remember once we converted the Ga Tech location to a Wendy’s and the very first month, our cost and expenses were way out of line, and we lost money. The investors I worked for were all sitting around the table and ready to hand me my hat. They expected me (like most people) to blame the situation on this or that event etc. as the reason for the loss. They were so mad they were red faced. I looked at them and told them it was all my fault and if they wanted to fire me, I would understand.

Their steam and anger just went poof and they didn’t know what to say. I told them in detail where I needed to make changes and what the plan was. I left the meeting and they were satisfied on the plan. Had I refused to take blame; it probably would have ended very differently.

The point is, it is ok to take the blame if the mistake was in truth, your fault. It is really the only right answer. In life you will find that people will respect you more and put more confidence in you if they know you are honest. There are so many passages in the bible about this very subject it would take three pages to list them all. In psalms it is referenced as being upright with integrity. The fact is we all make mistakes and not admitting it, generally makes the mistake worse.

Whatever the situation, financial, business, family, relationships, jobs etc. people will think more you if you admit to being at fault. It makes you real, trustworthy, approachable and memorable. In short it tells them who you really are. The world needs more of this. KT

When things happen

Sometimes things just happen in life. They weren’t planned but just showed up.

Years ago, I was flying to a meeting with a guy and got to the airport and the flight was delayed several hours. I was frustrated and anxious about missing the meeting and he said something to me that I have adopted as my own ever since. He said, “when things happen like this, I choose to see it as God protecting me from being in the wrong place at the wrong time.” From then on, when something unexpected happened, I just whispered a silent prayer of thanks for God making me take a pause.

A vehicle GPS is an amazing thing. God’s spiritual GPS is even more amazing. They both have one thing in common. When you miss a turn, they will (if you will listen) try to redirect you to the same planned destination. You will get there but just a little later than expected. KT

If you could fast forward, would you do it

When I look at 2020 (so far) I am reminded of the movie Click, with Adam Sandler. The movie (while maybe not intended) had a very powerful message. Be there today. In 2020 the country has experienced some things that have shaken our nation to the core.

I spoke with a friend of mine in New Orleans and we had this conversation regarding hotel real estate in the last 90 days. He tells me that on top of everything else, that hurricane Cristobal is heading straight for New Orleans this Sunday.

So, my point is that if there was ever a period (like in the movie) we would like to fast forward through, it may be the balance of 2020. Ha. The truth is we are going get through this together. The economy (not the tech companies) has been handed a set of circumstances (COVID) no one knows how to handle because no one imagined it could have happened. Except for the beach markets, the hotel industry and most all other commercial industries are holding their breath on what could likely be a very difficult financial year.

In the middle of all that has happened this year, we have been blessed with our third granddaughter and when I hold her, I promise to myself that I will preserver as best I can so she will have a better life. While I don’t know, I suspect that is what the 418,000 United States service men and service women who died fighting in WWII also thought. We all need to leave it better than when we found it and raise our families so they can make it better for the next generation. KT

Enough is sometimes never enough

120 years ago, the two richest men in America battled it out, for the number one slot. John D Rockefeller and Andrew Carnegie were vastly more wealthy than any of the tech moguls today. John D was worth at his peak, 300 billion in today’s dollars. Andrew Carnegie was worth at his peak between 350 and 375 billion.

To put that in perspective, depending on stock value, Jeff Bezos and Bill Gates are considered the two wealthiest people in the world. Bezos at 116 billion and Gates at 100 billion. That means that Rockefeller and Carnegie were worth three rimes what Bezos and Gates are worth.

But that still wasn’t enough for either one of them. The title is “enough is sometimes never enough.” Rockefeller and Carnegie fought like dogs to destroy the other and were vehement enemies. You ask, “they had so much money, why couldn’t they be satisfied with enough.” That is the point. Sometimes, not every time, enough is not enough. These two men fought, strived, battled and probably lost sleep and years of joy over what? Who was going to be the richest?

When you look at sex, drugs, alcohol, smoking, weight, food, exercise etc. you can see what I mean. When you start down that road, it is common to think, just a little more, and that will be enough. I will use a silly example, so I don’t have to get into the real important issues mentioned above. Let say you like Cheetos. You buy a big bag and carry it over to your chair while you watch TV. You say to yourself; I am just going to eat a few. Well, you eat a few and then eat a few more and before you know it, half the bag is gone. Then you say well, I might as well finish them off, so you eat the whole bag. You just wolfed down 4k calories in one sitting because enough was not enough? Ha

In life we need to set boundaries in everything we do. There needs to be a stopping point. Forrest Gump started out running down the driveway and ended a few months later, running across America. Ha. That is not what we do in real life. If you are a runner, everyone knows you decide before you start, how far you will run that day. No runner just goes out and runs until he gets tired. No one.

The point is, in the real issues of life, find satisfaction in enough. You will find that people with the most joy, best sleep and greatest satisfaction are the ones you said, enough is enough. KT