How can you tell a new season is upon us? This spring didn’t feel much like a new season, given the wonky weather. And, to make matters worse, the spring budget offered little to the hotel industry. If that isn’t enough to make us shake our heads, could anyone have imagined the tragedy that struck the Boston Marathon, where three American spectators were killed and hundreds more injured? A new season: some days it feels more like the end of the world.

After a few tumultuous years, hotel financing is back in a big way, but borrowers ready to take the plunge should be prepared to navigate mindfully.

Many factors continue to align and support hotel investment activity in Canada. Sustainable operating performance, the low cost of capital, relatively steady markets and an abundance of available product are key factors laying the foundation for another active year within Canada’s hotel investment market.

The hotel transaction market continued its strong momentum in 2012 with $1.2 billion in sales registered for the year. This surpassed 2011’s $1.1 billion in deal volume and replaced 2011 as the fifth-strongest year since Colliers began recording transaction data in 1985. Sales of lodging properties across Canada marked a third year of growth, nearly tripling in total dollar terms since the full effects of the last downturn. Summary highlights include