CoStar: On Compensating Operators: A Mini-Festo

Murphy Asset Management’s Steve Steinberg recently wrote an article for CoStar entitled, “On Compensating Operators: A Mini-Festo: Hotel Management Companies Should Be Paid Based on Profits”.

“One of the early scenes of the movie “Jerry Maguire” shows the protagonist sharing the details of his manifesto to the sports agency industry. The manifesto is essentially a “quality over quantity” argument that has bounced around lots of industries for decades. While the argument has merit, I found the way Jerry Maguire managed his brainstorm to be a tad self-indulgent and a whole bunch of naïve. Re-tooling a long-standing, widely held construct is no easy task. On the other hand, challenging the status quo can lead to meaningful advances. So, I present to the hotel ownership community the following mini-manifesto — a mini-festo, if you will — with optimism tempered by the notion that change is an uphill battle.”

Read the full article