THE HOSPITALITY PRACTICE

L&K provides a full range of legal services to the hospitality industry.

DEVELOPMENT AND CONSTRUCTION

L&K has been involved in every aspect of the development process, including pre-acquisition environmental and due diligence evaluations, land acquisitions, negotiating land use and entitlements with cities, counties and the California Coastal Commission, negotiating architectural and construction contracts, and obtaining certificates of occupancy and business licenses. We know where the land mines are hidden that can create liability for our clients and in turn, can shift liability away from our clients. We also utilize contracts that reward high quality, prompt performance and penalize poor or untimely performance. Our expertise streamlines the entitlement and construction process, which allows our clients to open their hotels sooner.

HOTEL PURCHASE AND SALE TRANSACTIONS

L&K has been involved in the sale and in the purchase of a multitude of hotels, ranging from select service to full service luxury, such as the Grand Wailea on Maui. As a consequence we encourage our clients to use our form letter of intent from the outset to avoid making unnecessary concessions. L&K has developed specially tailored forms that specifically address all of our clients’ concerns (even the ones that they are not aware that they should have). We have developed sound relationships with appraisers, surveyors, escrow and title companies who provide high quality and cost-effective services for our clients.

FRANCHISE NEGOTIATIONS AND TERMINATIONS

L&K advises on all aspects of the franchise process. We negotiate favorable terms, such as limits on liquidated damages and termination windows, into the franchise agreement for our purchasers. In the right circumstances L&K will negotiate the termination of an existing franchise, on a contingency basis, in connection with changing franchises.

LENDING / REFINANCING

Having represented both lenders and borrowers, we are intimately aware of the traps and pitfalls of financing documents and how to avoid them. We also know where and how to be creative when necessary to find or qualify for financing and limit guarantor exposure. We have worked with local banks, national institutions and Wall Street to borrow money and refinance hotels.

OPERATIONS AND PROPERTY MANAGEMENT

L&K regularly provides advice to clients on the issues that arise in the ownership and management of hotel properties, including negotiating the initial management contract, ground leases with cities, leases with operators, retail, restaurant and utility tenants. We are also involved in the termination of existing retail and restaurant leases. We also advise our clients on how to limit Americans with Disabilities Act (“ADA”) and defend frivolous ADA lawsuits.

EMPLOYMENT LAW

L&K’s labor department advises clients on what the law is and how to comply. Shortcuts get you sued. We help streamline the process of implementing policies and procedures by drafting understandable and legally compliant employee handbooks. We also defend clients against wage and hour class action suits, wrongful termination, discrimination and harassment suits.

WORKOUTS AND BANKRUPTCY

Our attorneys include individuals who have practiced at boutique bankruptcy firms and are intimately familiar with how to utilize the threat of bankruptcy or actually filing a Chapter 11 to solve issues with unreasonable lenders and creditors. Because we know the language of lenders and the constraints imposed upon them by the regulators, we are able to craft solutions that are win-win for everyone. Our major strengths are our knowledge, creativity, flexibility and common sense.

TAX STRUCTURING

L&K’s tax department advises on all forms of 1031 exchanges; the entity best suited for our owners and investors; and tax strategies to minimize tax burdens. We plan not only for the immediate operations, but also for the ultimate disposition strategy. Our firm regularly advises clients on how to mitigate the estate, gift and generation-skipping transfer tax consequences related to property transfers.

REPRESENTATIVE HOTEL TRANSACTIONS

  • Argyle Hotel, Sunset Strip, Los Angeles, CA
  • Aurora Park Hotel, Aurora, CO
  • Aviara Four Seasons, Carlsbad, CA
  • Balboa Inn, Newport Beach, CA
  • Bayview Holiday Inn, Santa Monica,CA
  • Biltmore Hotel, Downtown Los Angeles, CA
  • Candlewood Hotel, Bakersfield, CA
  • Camelback Sahara Hotel, Phoenix, AZ
  • DoubleTree Hotel, (LAX, CA; and Aurora, CO)
  • Econo Lodge, Fontana, CA
  • Four Seasons Wailea, Maui, HI
  • Grand Wailea Hotel, Wailea Maui, HI
  • Guest Suites, Tulsa, OK
  • Hilton, Tulsa, OK
  • Holiday Inn (Fresno, CA; LAX, CA; Marina, CA; West Covina, CA; and JFK, NY)
  • Hotel Indigo, Vernon Hills, IL
  • Hotel Fullerton, Fullerton, CA
  • Howard Johnson, Anchorage, AK
  • Hyatt Regency, La Jolla, CA
  • Inlet Tower Hotel & Suites, Anchorage, AK
  • Intercontinental Hotel, Los Angeles, CA
  • Lemon Tree Hotel & Suites, Anaheim, CA
  • Library Hotel, New York City, NY
  • Marriott Suites at Symphony Towers, San Diego, CA
  • Milner Hotel, Los Angeles, CA
  • Northwood Suites, Big Bear, CA
  • Ivy Palm Resort and Spa and Mesquite Golf Course, Palm Springs, CA
  • Pea Soup Anderson, Carlsbad & Buelton, CA
  • Pocono Palace Resort, Paradise Stream Resort Hotel, and Cove Haven Resort Hotel, PA
  • Radisson Hotel Denver SE, Aurora, CO
  • Radisson Inn and Suites, Covina, CA
  • Rancho Malibu Hotel, Malibu, CA
  • Red Lion Inn, Aurora, CO
  • Sierra Inn, Riverside, CA
  • Welcombe Hotel, England
  • Red Roof Inn (Bentonville, AR; Hartford, CT; Clearwater, FL; Neptune Beach, FL; Springfield, IL; and Wichita, KS)