In one sentence
A franchisor-required schedule of renovations to bring or keep a hotel at brand standard, funded through reserves.
The longer version
A PIP lists the improvements a hotel must make to satisfy its brand, often triggered by a sale or refinance. Lenders size reserves to fund it and track completion as a post-closing obligation.
PIP funding and completion are monitored servicing items on hotel loans, tied to the franchise and comfort letter.
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