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This report presents analysis of the vacant Hotel Carter located next to Times Square. It presents a case based on assumptions derived from recent market data, comparable transactions, and historical information of the property and prior renovations. The model that drives this report makes reasonable assumptions for Net Operating Income, a financing structure, exit value, cash flows and return metrics.

The results of this report show that an acquisition and renovation is not feasible for this property under fair financing and operating assumptions. Even at a highly discounted price, capital required for renovating this hotel and fixing its brand will likely require upwards of $100M. A more likely outcome is a private investor buying it at a low price and waiting for better market conditions to sell. The building could also be converted into apartments, condos, or a mix of residential and retail.