from the San Diego Daily Transcript, August 4, 2011:

Hotel consultant and developer Robert Rauch said despite the decline in defaults, there will be more foreclosures this year.

“Lenders know where the floor is and we’re seeing the end of extend and pretend. So I believe we’re going to see more foreclosures, not less,” Rauch said.

Rauch wasn’t totally pessimistic, however. He said the foreclosures should have pretty much run their course by the first quarter of next year.

“It’s an election year and I think the economy is going to be a lot stronger,” Rauch said.

Looking at the state as a whole, Atlas found that the number of lender-owned hotels almost doubled year-over-year, from an even 100 in the second quarter of 2010 to 148 in the first quarter of 2011 to 191 in the year’s second quarter.