Company: INTG
Filing Date: 2025-09-30
Form Type: 10-K
Source: 0001493152-25-016154
Chunk: 8

Company: INTERGROUP CORP
Filing Date: 2025-09-30
Form: 10-K
Item: Item 1
Chunk 8
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 in Item 1A- Risk Factors.

These
risks include, but are not limited to:

    ●
    Competition for guests
    and meetings from other hotels including competition and pricing pressure from internet wholesalers and distributors;

    ●
    increases in operating
    costs, including wages, benefits, insurance, property taxes and energy, due to inflation and other factors, which may not be offset
    in the future by increased room rates;

    ●
    labor strikes, disruptions
    or lock outs;

    ●
    dependence on demand from
    business and leisure travelers, which may fluctuate and is seasonal; 

    ●
    increases in energy costs,
    cost of fuel, airline fares and other expenses related to travel, which may negatively affect traveling;

    ●
    terrorism, terrorism alerts
    and warnings, wars and other military actions, pandemics or other medical events or warnings which may result in decreases in business
    and leisure travel;

    ●
    natural disasters; and

    ●
    adverse effects of downturns
    and recessionary conditions in international, national and/or local economies and market conditions. Other factors such as cybersecurity
    incidents impacting travel infrastructure, extreme weather events linked to climate change, or public health crises could also disrupt
    travel patterns and negatively affect hotel performance, as discussed in Item 1A- Risk Factors.

ENVIRONMENTAL
MATTERS

In
connection with the ownership of the Hotel, the Company is subject to various federal, state and local laws, ordinances and regulations
relating to environmental protection. Under these laws, a current or previous owner or operator of real estate may be liable for the
costs of removal or remediation of certain hazardous or toxic substances on, under or in such property. Such laws often impose liability
without regard to whether the owner or operator knew of, or was responsible for, the presence of hazardous or toxic substances.

Environmental
consultants retained by Justice and its lenders conducted updated Phase I environmental site assessments in fiscal year ended June 30,
2014 on the Hotel property. These Phase I assessments relied, in part, on Phase I environmental assessments prepared in connection with
the Partnership’s first mortgage loan obtained in December 2013. Phase I assessments are designed to evaluate the potential for
environmental contamination on properties based generally upon site inspections, facility personnel interviews, historical information,
and certain publicly available databases; however, Phase I assessments will not necessarily reveal the existence or extent of all environmental
conditions,