Two conflicting undercurrents coursed through the crowd at last month's Americas Lodging Investment Summit in San Diego. One set of speakers and attendees seemed resigned to more pain and distress in the hotel industry in 2010. For this gang of sad naysayers, this year will be a write-off, so we should focus on 2011. In the opposite (and I hope majority) camp were industry executives who believe force of will, combined with old-fashioned entrepreneurialism, may be enough to turn around the business this year. Some speakers, notably Laurence Geller of Strategic Hotels & Resorts, forecast that RevPAR will turn positive as early as May.

During a panel discussion on financing, Geller stepped out of his typical curmudgeonly persona to strike a tone of hope and optimism for both the present and future. "I've got no bad news, and I've seen an increasing amount of good news in the past eight to 10 weeks," said Strategic's president & CEO. "There's optimism among consumers and business is beginning to pick up. We'll have a better year than we expected."

He further speculated we'll see fewer problems with hotels under distress than many believe. "In general, logic will prevail in the marketplace," he said. "Those properties with real problems will be the exception rather than the rule."

And while it's easy to talk optimistically in private or even on a conference stage, some companies are acting instead of talking. Starwood Hotels, for example, is very upbeat on even the short-term, and certainly the long-term, health of the hotel industry.

Earlier this month, the company issued a flurry of press announcements demonstrating its bullishness, particularly for its iconic but undervalued Sheraton flag. First, the company announced the launch of a $20-million marketing campaign to highlight the on-going, three-year, $6-billion revitalization effort for Sheraton. So far, about half of the chain's North American hotels have been renovated, and 60 properties, including big-box convention hotels in Phoenix and San Juan, have been added to the chain since 2007.

Even more boldly, Starwood announced it's pulling the flag from the 665-room Sheraton Manhattan to upgrade and redevelop the property and probably rebrand it with another Starwood flag. It will remain a non-branded Starwood hotel during the transition. It's a gutsy move to de-brand a hotel in tough economic times in a market with depressed rates. Yet it shows Starwood is willing to back up with action its well-publicized pledge to revitalize the Sheraton system.

Starwood's not alone in acting decisively during this time of fragile recovery for the hotel business, but it's a good example of what's right about this industry. As I've preached before, perception is part of both the problem and the solution of every issue. A hotel industry that appears to be vibrant will become so in the eyes of bankers, developers, government leaders and, ultimately, consumers. It's talk like Geller's and action like Starwood's that just might make 2010 the turnaround year for the hotel industry. Prepare for today and let 2011 take care of itself.