The COVID-19 pandemic has devastated the hospitality industry.

Business and leisure travel have decreased significantly and in turn hotel occupancy rates have fallen greatly in many markets, with employee layoffs and property closures. It is uncertain when the industry will recover. Many hotel properties will need to file Chapter 11 Bankruptcy to successfully reorganize their debt obligations so that they can continue to operate. Recently I gave a bankruptcy consultation to a business that owned and operated a single hotel. That consultation made me realize that hotel bankruptcies present a unique set of issues, that attorneys and hotel owners need to be aware of when contemplating filing bankruptcy, particularly if it is a single hotel.