When the coronavirus pandemic first struck in March, US banks granted scores of deferment and modification requests from hoteliers on loans; since then, they have spent time understanding the challenges and circumstances of individual properties so they better understand their borrowers’ issues and how best to mitigate them.

More than half of the 600-plus hoteliers responding to a recent AHLA survey said they are facing foreclosure.

Findings show that business centre, resort, high-end and airport properties are under the greatest stress, but while forbearance is no longer automatic, bankers have said they are willing to work with borrowers to give them time to recover and become fully profitable again.

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