Performance Comparison of Lodging REITs, Hotel C-Corporations and Resorts and Casinos

Woo Gon Kim, Leonard A. Jackson and Jun Zhong
Additional contact information
Woo Gon Kim: Dedman School of Hospitality, College of Business, Florida State University, 288 Champions Way, UCB 4116, Tallahassee, FL 32306, USA and International Scholar from Kyung Hee University, 1 Hoegi-dong, Dongdaemun-gu, Seoul 130-701, Republic of Korea
Leonard A. Jackson: Kemmons Wilson School, Fogelman College of Business and Economics, University of Memphis, TN 38152, USA
Jun Zhong: School of Hotel and Restaurant Administration, Oklahoma State University, 210 HESW, Stillwater, Oklahoma 74078, USA

Tourism Economics, 2011, vol. 17, issue 1, 91-106

Abstract: The purpose of this study is to examine the performance of lodging real estate investment trusts (REITs), hotel C-corporations and resorts and casinos as compared to the overall market, and to compare the relative performance of lodging REITs, lodging C-corporations and resorts and casinos during 1995–2005. Excess returns on three portfolios are regressed against the excess returns on the value-weighted Center for Research in Security Prices (CRSP) portfolio. Lodging REITs provide the highest returns between the two different types of investment portfolios (resorts and casinos and C-corporations), as well as the market benchmark (the overall market portfolio). As an investment vehicle, lodging REITs command respectable returns with relatively low volatility in comparison with stock investments. The excess returns of lodging REITs were not found to be significantly different from zero during the three subperiods of 1995–2005: growth, recession and recovery. Investors who are interested in increasing their share of real estate investments may find lodging REITs a relatively attractive investment vehicle that could be added to their portfolios.

Keywords: lodging REITs; excess return; lodging C-corporation; risk-adjusted performance (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://journals.sagepub.com/doi/10.5367/te.2011.0023 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:toueco:v:17:y:2011:i:1:p:91-106

DOI: 10.5367/te.2011.0023

Access Statistics for this article

More articles in Tourism Economics
Bibliographic data for series maintained by SAGE Publications ().