Termination clauses in hotel management agreements (“HMAs”) are keenly negotiated by owners to ensure the liquidity of their investment. These usually include a termination provision in the event the operator underperforms, generally known as a performance test clause. How are these clauses challenged before the courts in France?
International hotel brands will continue to pour into Spain, according to Global Asset Solution’s Spanish Hotel Market Outlook 2024. The company said that it expected to see budget brands join the swelling numbers of luxury flags as both domestic and international tourism grew.
The resurgence of travel activity in Venice following the years afflicted by the COVID-19 pandemic has not only been a sign of recovery but also an indicator of evolving trends within the city's tourism sector. In line with what was observed in other Italian cities, Venice's hotel market experienced an unprecedented surge in the post-pandemic era. While overall occupancy rates remain below pre-pandemic levels, the upper upscale and luxury market segments appear to have fully rebounded. This recovery, along with a significant increase in average rates, has resulted in a notably positive impact on Revenue Per Available Room (RevPAR).
The City of Light enjoys a well-balanced blend of business and leisure demand resulting in both a broad seasonality and strong average rates. Since 2015, Paris has faced multiple challenges which highly disrupted hotel performances. As the city was recovering from the 2015-16 terrorist attacks, the ‘yellow vests’ movement and pension reform strikes of 2018-19 and the transportation strike of 2019, the COVID-19 pandemic hit the world. The market has since shown remarkable resilience and has gradually recovered, reaching record levels of RevPAR in 2023. Despite and throughout this tumultuous period, Paris has maintained its status as one of the most sought-after destinations for hotel investment, owing to its robust underlying fundamentals.
With a population of more than 930,000 , the capital city of Amsterdam lies on the coast of the province of North Holland. The city – known for its historic canals, the famous Van Gogh Museum, the Rijksmuseum, and the coffee shops of the Red Light District – is also a significant financial and business centre in Europe. There were more than 3,500 international companies in the Amsterdam Metropolitan Area (AMA) in 2023, representing more than 30% of the private-sector jobs. The city is highly accessible via local, national and international transport links. Amsterdam has excellent domestic and international connections via Amsterdam Schiphol Airport, the European high-speed rail network and the North Sea Canal.
Turkey has always attracted visitors with its deep-rooted history, culture and stunning scenery. Furthermore, its enhanced air connections and transportation networks have elevated its appeal for both leisure and business trips. Despite recent obstacles, like economic setbacks, inflation and currency devaluation, Turkey’s hospitality industry remains resilient.
Approximately £1.7bn of UK real estate was transacted by hotel investors in the first quarter of 2024, according to new data from real estate advisory firm Cushman & Wakefield. This represented a surge in activity to the tune of 138% versus Q1 2023.
A few weeks ago, I had the unique opportunity to visit Switzerland to attend the Young Hospitality Summit in Lausanne, Switzerland. I spent my first two days wandering Zürich, the largest city in the country, and I encountered a completely different model of hospitality. The straightforward service was complemented by unique, heartfelt experiences, and all workers were attentive and professional. I found myself efficiently and kindly served, and I began to think that the Swiss-German model of service has something to teach other countries. I believe that the simplicity of the hospitality in Zürich could refresh the sometimes-overwhelming hospitality we experience here in the United States.
Following a slow start, hotel investment activity surged in the second half of 2023, exceeding €1 Bn (+74% vs H2 2022). Total investment volumes for 2023 amounted to €1.5 billion (+1% vs 2022), reaffirming hospitality as a leading sector in the Italian real estate market. Key transactions included the acquisitions of Six Senses Rome, Aermont Pellicano Portfolio, and the sale of Blackstone’s 35% stake in HIP.
Spain was the most active hotel investment market in Europe, with €4.2Bn transacted during 2023, a 44% increase relative to 2022. Portfolio dealsrepresented more than half of 2023 volume, among which are the sale of Blackstone’s 35% stakes in HIP to GIC (63 properties out of 77 in Spain) andPortfolio Equity Inmuebles to ADIA (17 hotels). Sovereign funds and other players with less reliance on debt drove the activity.
During my career inside hotels, I had the pleasure of opening and transitioning several hotels to our brand, processes and systems. This was always a lot of work but well worth it because you got to meet a lot of new cool people and on top of that traveling to some pretty nice locations.
Earlier this month at ITB Berlin, I had the privilege to meet up with Irnya Sidletska, President of the Ukrainian Hotel & Resort Association. My meeting with Irnya was part of a significant event where several Ukrainian Tourism stakeholders showcased the "We Are Here" campaign, a poignant message of presence and perseverance amidst adversity. Developed with the support of Debbie Flynn, the global travel practice leader at Finn Partners, this campaign represents a collective effort to spotlight Ukraine's tourism potential against the backdrop of ongoing conflict.
This article examines Florence's tourism industry resilience amidst crises, including the COVID-19 pandemic, analyzing key performance indicators such as airport statistics, hotel supply, and operating performance. Despite setbacks, Florence witnessed a remarkable recovery, notably in 2023, with record-breaking Revenue Per Available Room (RevPAR). The analysis also highlights investment trends and future challenges, including concerns about over-tourism and evolving market dynamics.
Wars, recessions, and outbreaks—No matter the hardship that arrives at hospitality’s door, its foundations remain stable and sturdy. Despite enduring significant challenges in recent years, the sector has shown impressive resilience and continues to grow at a rate of 5.9%, almost double that of the UK economy.1
The French ad hoc mandate is a confidential procedure for the out-of-court settlement of disputes Its aim is to remedy a company’s financial situation before it is declared insolvent. The merits of ad hoc mandates , subject to the article L 611-3 of the French Commercial Code , are well established since these legal mechanisms have proved their worth in preventing and dealing with business difficulties.
We have written several articles regarding hotels that are part of what we call ‘The Mille Club’. Mille, translating to thousand, identifies those properties that have seen their typical ADR move above the thousand (dollar, Euro, pound, CHF) rate.
Competition amongst hotels in the UK is higher than anywhere else in Europe, with nearly half of all hotel construction occurring in the UK1. With the sector more competitive than ever, hotel owners need to be mindful of how they can stand out from the crowd and develop their hotels to meet the rapidly evolving demands of their guests.
In this installment of the Mille Club column, we are going to address some of the little things that differentiate your property. To recap, membership qualification for the Mille Club is simple: offer rates of more than a thousand (hence ‘mille’) dollars, pounds, Euros or equivalent. If you’re already there (or very close), or aspire to this lofty room rate level, you’re in!
The latest figures released by the Federal Statistical Office (FSO) have put even more spring in Swiss tourism’s step. Night stays in Switzerland for the months of June and July 2023 were recently published. And the news is good! Night stays (or hotel stays) were 8.6% higher in June 2023 versus June 2023. This confirms an earlier report indicating that in the first half of 2023, night stays increased 13.8% year on year.