Hotel performance in 2024 - An unpredictable market with silver linings
So what are hoteliers doing to remain competitive in this climate, and what opportunities and challenges are they facing in the road ahead?
News
Shaping The Future Of Hospitality Investment
The Middle East hospitality industry is at the brink of transformation, driven by technological advancements, shifting consumer preferences, and an increasing focus on sustainability.
Where Your Hotel’s Finance Team Should be at this Point in Budget Season
It’s that time of year – budget season. "Budget" – even the word sounds daunting to most people. The good news is the budgeting process for your hotel doesn't have to be overly difficult. The key assets when building a budget for your hotel company are:
By Jill Wilder, President, Aptech
Your Vision, Our Data Precision: CBRE's Formula for Global Hotel Asset Management Excellence
In just one year, CBRE's Global Hotel Asset Management practice has grown to oversee 40+ properties with 8,500+ rooms worldwide. Our success stems from leveraging CBRE's vast resources and our team's global expertise to deliver unmatched results.
By Andrea Grigg, Senior Managing Director and Head of Global Hotel Asset Management, CBRE Hotels
Userguest Secures €2.2M in Seed Funding to Revolutionize Hotel Technology
Userguest, the pioneering force in hotel technology dedicated to maximising direct revenue, is thrilled to announce the successful closure of a €2.2M seed funding round. Led by Al Mada Ventures and bolstered by CDG Invest, Saviu Ventures, UM6P Ventures, Kalys VC, Plug & Play and esteemed business angels Philippe Limes and Thane Kuhlman, this investment marks a transformative moment for the hotel tech start-up as it prepares for rapid expansion and groundbreaking product innovation.
The Future of Investments and Financing - Hospitality Sector Trends
The hospitality sector is experiencing major transformations influenced by several key factors. As the industry grows, investors will prioritize opportunities that balance profitability with social and environmental responsibility, ensuring a dynamic and forward-thinking hospitality industry.
By Hala Matar Choufany, President - HVS Middle East, Africa and South Asia, Dubai, HVS
Why You Want to Use a Rolling Forecast
Rolling forecasts are nothing new but I must point out that most hotels don’t use them, and they really should. It’s an incredibly useful tool that is literally worth its weight in gold. That being said, it doesn’t weigh much but once you start to use one it’s an indispensable tool that you must have each month, and its impact and importance usually gains weight and momentum into the final few months of the year. Like the plot in a good mystery, it can take a sudden turn and produce an unexpected ending.
By David Lund, The Hotel Financial Coach, David Lund
Asia Pacific Hospitality Newsletter - Week Ending 30 August 2024
HVS is Thrilled to Announce the Return of Henrich Huang and Chariss Kok to Our Team in Key Leadership Roles, LOTTE REITs to Acquire L7 Hotels Gangnam Tower for KRW330 Billion, Schwartz Family Company Acquired Leura Gardens Resort for AUD25 Million, Hostel Brand Selina Sold to Collective Hospitality, Dusit Hotels and Resorts Enters Strategic Partnership with Generator and Freehand Hotels, Correction for Last Week’s Newsletter Titled Star Asia Acquires Four Hotels in Japan for JPY34.7 Billion.
HVS Launches TrendTrack CompSet, a Hospitality Econometric Modeling Tool Designed to Help Clients Make More Informed Hospitality Decisions
HVS, the leading global hospitality consulting and services firm, is pleased to announce the launch of TrendTrack, a proprietary tool that enables hospitality clients to make better business decisions.
Optimizing Hotel Operational Management With a Hotel Performance Analysis
Hotels as an investment engine are easily considered one of the most, if not the most, complicated real estate classes because revenue levels can be unpredictable and are especially vulnerable to changes in the economy and external factors such as market conditions and weather.
By Kasia Russell, Managing Director and Senior Partner with the HVS Portland office, HVS
Why Smart Hospitality Companies are Accelerating CapEx Digital Transformation
Historically, hospitality professionals have viewed procurement as a cost centre. But now, after years of social, economic, and political upheaval, procurement is evolving into a strategic function that helps hospitality organisations realise their broader business goals.
By Johannes Vocke, Chief Financial Officer, FutureLog AG
Sonesta Introduces Procurement Incentive Program for Owners
Sonesta, the 8th largest hotel company in the US, today announced a new incentive program that provides a 2% incentive to franchisees who utilize Sonesta’s procurement program for purchasing needs. This initiative offers significant financial benefits to owners and underscores Sonesta's commitment to transparency, innovation, and strong franchise relationships.
Federal Per Diem Set for 2024/25: A Win for the Lodging Industry
The federal government per-diem rate is made up of a lodging allowance, a meals allowance, and an incidental expense allowance. The per-diem lodging rates, which set the maximum amount a federal traveler can reimburse, are based on the average rates for mid-priced hotels and are set annually by the U.S. General Services Administration (GSA).
By Chelsey Leffet, Managing Director, Northeast Leader, HVS
Asia Pacific Hospitality Newsletter - Week Ending 16 August 2024
Kasumigaseki Capital Transacted Two Japanese Hotel Development Sites, Osaka’s New Mixed-use Development Opens with Three New Hotels, The Light City Mixed-Use Development in Penang is Set to Welcome Two New Hotels, Malaysia Set to Enhance Cruise Tourism Infrastructure, Grand Fortune Hotel Bangkok to be Rebranded into a New Avani Hotel in Bangkok.
U.S. Hotel Development Cost Survey 2024
Each year, HVS researches and compiles development costs from our database of actual hotel construction budgets. This source provides the basis for our illustrated total development costs per room and per product type.
By Luigi Major, Managing Director, Advisory of HVS Americas, HVS
What Hotel Procurement Leaders Can Learn from the Paris 2024 Olympics
This summer, as we witnessed the world's top athletes compete in the 2024 Olympics in Paris, there were some profound parallels between pursuing excellence in sports and leading procurement in hospitality. Both domains demand precision, innovation, and a deep commitment to collaboration.
By Johannes Vocke, Chief Financial Officer, FutureLog AG
The Number 1 Financial Mistake Hoteliers Make
Now that’s a big statement to put out there, but I’m very confident that I’m pretty close to 100% correct with my observations. The reason why I’m so sure is that I know most hoteliers are not financial people and they are oblivious to the issue I am going to explain. On top of that – I see this all the time.
By David Lund, The Hotel Financial Coach, David Lund
Europe Hotel Transactions Bulletin - Week Ending 02 August 2024
Premia to acquire two hotels in Greece from Nordic Leisure Travel Group, Atom divests Exe Coruna hotel in Galicia, Spain.
Hotel Market Beat 2024 H1 - Spain
Spanish hotel transactions exceeded €1.6Bn in H1 2024, involving 56 properties and over 8,100 rooms. This is about a 3% increase compared to H1 2023 and 56% above the 5-year average (2019-2023). The Balearics, Barcelona, and Madrid were the most active hotel investment markets, supported by healthy operating results. Elevated investment activity is expected going forward, likely exceeding €3.0Bn by the end of 2024.
By Albert Grau and Bruno Hallé
Marriott International Reports Second Quarter 2024 Results
Anthony Capuano, President and Chief Executive Officer, said, “Marriott reported strong second quarter results, with net rooms up 6 percent year over year and worldwide RevPAR[1] growth of nearly 5 percent, as consumers continued to prioritize travel. International RevPAR increased more than 7 percent, with Asia Pacific excluding China leading the way, posting an impressive 13 percent RevPAR increase from the year-ago quarter.