Finance Reports - Hospitality Net

Advertisement

November 7, 2008

HVS EMEA Hospitality Enews - Week Ending 7 November 2008

RZB Takes 75% Of The Hilton Vienna | Raiffeisen Zentralbank Österreich (RZB) and Soravia Group are now “brothers” bound by a common interest in the Hilton Vienna. This band of brothers is a silent order; it remained tight-lipped while several months of due diligence was conducted and agreed to say nothing about the price RZB paid Soravia for a stake of 75% in the 572-room hotel. Soravia retains a stake of 25% in the hotel, which stands in the Austrian capital Vienna. Hilton’s long-term lease is unaffected by the deal.

November 6, 2008

Hotels in India | Trends & Opportunities | HVS

As HVS completes its 11th year of operations in the Indian subcontinent, we consider ourselves fortunate to have been witness to a full cycle of events pertaining to the Indian hospitality sector. In 1996-97 when we first started tracking this market we witnessed a trend that started with a correction of occupancy and then average rates. The subsequent downturn in the industry lasted for a good five to six years before recovery took place around 2002. Starting 2005, the markets gaines in strenght year after year. HVS would like to highlight the fact that most markets in India are showing consistent demand trend.

November 5, 2008

US Performance: STR reports two key measurements drops

The U.S. hotel industry posted year-over-year declines in all three key performance measurements during the week of 26 October-1 November, according to data from STR. In year-over-year measurements, the industry’s average daily rate for the week rose 0.7 percent to end the week at US$106.45—up from US$105.67 a year ago. Occupancy dropped 7.3 percent to finish the week at 55.9 percent (60.3 percent last year). Revenue per available room for the week decreased 6.6 percent to end the week at US$59.53 (down from US$63.72 in 2007).

November 5, 2008

European RevPAR declines in October | STR Global reports

European hotel performance data showed a sharp slowdown in the sector during October, according to preliminary data from STR Global. STR Global collects daily data from about 3,500 hotels in Europe. “Looking at occupancy, average room rates and revenue per available room data for selected 17 European capitals, we see occupancy declining across the board”, commented James Chappell, Managing Director of STR Global. “Unfortunately, average room rates and RevPAR have started to fall for a majority of capitals this month. The decline of rates comes earlier and faster than expected”.

November 3, 2008

HVS EMEA Hospitality Enews – Week Ending 31 October 2008

Hilton Checks Out Two New Hotels In London. This week Hilton has signed a franchise agreement with London-based Surejogi Hotels, owned by Indian business man Joginder Sanger, which will result in Hilton’s second Waldorf Astoria property in Europe and its third Doubletree hotel in the UK. The chosen city is London and the two chosen properties are the 64-room Bentley Hotel London, in Knightsbridge, which is to be rebranded as a Waldorf Astoria, and the 112-room Courthouse Hotel, in the West End, which is to become The Courthouse Doubletree by Hilton London Regent Street on 18 November 2008. Both hotels, which are owned by the Sanger family, were previously operated under the Kempinski brand until earlier in the year.

October 31, 2008

U.S. hotel industry to remain stagnant for 6 to 8 months

The U.S. hotel industry is virtually frozen by the uncertain state of the global economy. As the credit crisis continues to dominate headlines and water-cooler conversations, reality has set in within the hotel industry in the form of an unknown and impossible to predict short term future. While there’s not a lot of optimism for the immediate future, there are some indicators that make the long-term picture a bit brighter. Let’s start with the supply-and-demand equation. Right now, with supply growing and demand declining you have both of these key indicators trending in the wrong directions, as far as lodging performance is concerned. However, if there is one silver lining to all of the financial chaos going on right now, it’s that the supply pipeline is slowing, and will continue to slow. It seems likely that it will take several years to see the same pipeline activity that we saw during the past three years.

October 30, 2008

STR reports three key measurements drop during the week ending 25 October 2008

The U.S. hotel industry posted year-over-year declines in all three key performance measurements during the week of 19-25 October, according to data from STR. In year-over-year measurements, the industry’s average daily rate for the week fell 0.4 percent to end the week at US$108.92—down from US$109.37 a year ago. Occupancy dropped 6.6 percent to finish the week at 63.1 percent (67.6 percent last year). Revenue per available room for the week decreased 7.0 percent to end the week at US$68.76 (down from US$73.95 in 2007).

The next-gen metrics that move hotel P&L

Hotel tech has changed what's possible – and measurable. RevPAR and ADR aren't enough; discover the metrics that really matter.

Ad Be seen. Be trusted.

Why Hospitality Net Leads B2B in Hospitality

Learn what makes us the industry-leader in what we do.

Hospitality Net

October 28, 2008

European Chain Hotels Market Review – September 2008

Profit falls furthest in Paris Profit and occupancy fell in most key European hotel city markets during September, according to the latest HotStats from TRI Hospitality Consulting. Average occupancy was down in all of the ten cities surveyed, and only Hamburg reported a year-on-year increase in profit. Income before fixed charges (IBFC) - also known as gross operating profit - fell the furthest in the French capital, down by 31.7 per cent to a daily figure of €98.83 per available room. In absolute terms, the profit plunge knocked Paris into fourth place in the table behind London, Amsterdam and Berlin, the three most profitable markets in the survey.

October 27, 2008

HVS EMEA Hospitality Enews - Week Ending 24 October 2008

Crete, Meet Sol Meliá | The island of Crete will next summer greet a five-star hotel from Sol Meliá. The Spanish hotelier has signed a management agreement with Greek firm Hellas Holidays Hotels on a 250-room Gran Meliá hotel in the Ágios Nikólaos region of the Mediterranean island. The hotel, which will be Sol Meliá’s third in Greece, will also provide 50 villas.

October 24, 2008

Latest results for HotStats UK Chain Hotels Market - London hotels hit by banking chaos

Occupancy and profit fell at London chain hotels in September, according to the latest HotStats survey from TRI Hospitality Consulting. The sample of 108 full-service London hotels reported a 10.9 per cent fall in profit - expressed as income before fixed charges (IBFC) – to a daily figure of £66.66 per available room. Average occupancy fell year-on-year from 86.8 per cent to 82.7 per cent. The shock collapse of Lehman Brothers and subsequent crisis in the banking sector had a negative impact on rack and corporate lets particularly for five-star hotels in Docklands and the City. This contributed to the 4.2 percentage point fall in average occupancy. In contrast, many five-star West End properties continued to enjoy buoyant, albeit seasonal, leisure demand from the Middle East.

October 24, 2008

STR Global, STR release September 2008 worldwide hotel performance results

The global hotel industry recorded declining occupancy rates and mixed average daily rate and revenue per available room results for the month of September 2008, according to data from STR and STR Global. Data for reports was gathered from more than 36,150 hotels comprising 4.93 million guestrooms worldwide. “The latest data see us following the similar pattern of the year, with occupancy levels falling as demand falls, without this translating into a drop in rates,” said James Chappell, managing director of STR Global. “Whereas at some stage this would seem inevitable, the industry seems to have learned from previous cycles that discounting in and of itself is not enough to stimulate demand and is, in most cases, counterproductive.”

October 23, 2008

STR: U.S. weekly performance declines

The U.S. hotel industry posted declines in two key performance measurements and was essentially flat in a third measurement during the week of 12-18 October, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 7.3 percent to end the week at 64.2 percent. Average daily rate increased 0.1 percent to finish the week at $108.61. Revenue per available room for the week fell 7.1 percent to close at $69.76.

October 22, 2008

STR reports occupancy, RevPAR drops in September

The U.S. hotel industry posted year-over-year declines in occupancy and revenue per available room during September, but experienced a gain in average daily rate, according to data from STR. In year-over-year measurements, the industry’s ADR rose 3.0 percent in September to $107.31 (from $104.14 during September 2007). Occupancy in September fell 5.9 percent from September 2007 to 60.6 percent from 64.5 percent. RevPAR for the month declined 3.1 percent to $65.08 from $67.13.

Ad Be seen. Be trusted.

Why Hospitality Net Leads B2B in Hospitality

Learn what makes us the industry-leader in what we do.

Hospitality Net

October 20, 2008

HVS EMEA Hospitality ENews | Week ending 17 October 2008

Tulip Residences To Flower In Morocco | Ramada Goes Supersize In Saudi Arabia A Jumeirah For Scotland | A Centro by Rotana For Dubai World Central | A New Hotel Makes A Grand Entrance In Dubai | The Ascott Group Goes Shopping In Paris | Three New Hotels For Hilton | A Second Park Inn For Hungary | Get Down In The Bunker In Switzerland’s New Budget Hotel | Whitbread Reports Its Half-Year Results | Kiessling’s Corner | New Opportunities For Mexico’s Tourism Industry |

October 20, 2008

What Credit Crunch? More Luxury for New Money | European Rising Stars and Established Markets

This article investigates how luxury is currently perceived, the main drivers for demand for luxury accomodation, the current and future supply of luxury hotels, and the leading luxury brands in Europe. We conclude by analyzing performance levels and future supply of luxury hotels in five key cities - London Paris Munich Milan and Barcelona - and offering a view on the impact the global economy may have on the sector.

October 16, 2008

STR reports U.S. industry data for week ending 11 October

The U.S. hotel industry posted declines in all three key performance measurements during the week ending Saturday, 11 October 2008, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 7.2 percent to end the week at 63.3 percent. Average daily rate declined 1.0 percent to finish the week at US$106.28. Revenue per available room for the week dropped 8.1 percent to finish the week at US$67.24.

October 10, 2008

STR reports preliminary U.S. hotel performance for September 2008

Smith Travel Research (STR) – the global leader in lodging industry performance tracking and benchmarking – announced preliminary September 2008 figures for the U.S. lodging industry and STR chain scale segments today. STR projects the industry's overall year-over-year occupancy rate for September to be down between 5 percent to 7 percent from September 2007. It projects revenue per available room to be down between 2 percent to 4 percent. In the individual chain scales, STR projects:

October 10, 2008

HVS EMEA Hospitality Enews – Week Ending 10 October 2008

A Royal Exchange | The prestigious Grosvenor House, a JW Marriott Hotel on Park Lane in London has connections with the British royal family, being built in the 1920s on the site of the former London home of the Dukes of Westminster. Rumours abound that the five-star, 149-room hotel has now caught the attention of another royal family…the Bahraini royal family has expressed an interest in buying the hotel and are reportedly negotiating a sale of £720 million with the hotel’s owners the Royal Bank of Scotland, which bought the property in 2003. This wouldn’t be the first trip to London by the ruling family of Bahrain as they already own the nearby 219-room Four Seasons Park Lane.

October 9, 2008

What drives investment in luxury hotel assets? | PKF

What drives investment in luxury hotel assets? Is it the perception that this asset class is more stable and therefore could provide a more consistent level of return? Is it because luxury hotel assets can deliver higher returns than other investments? Or is it that the desirability and scarcity value together evoke an emotional attachment that ultimately entices investors? There are clear links between economic activity/prosperity and visitation on a luxury hotel’s performance, and ultimately on the decision to invest in these assets. But these are not the only reasons. There is evidence to suggest that luxury hotel assets do not necessarily deliver the highest returns when compared to, say, other property investments. However, there may be other elements, such as desirability and status, that could well be influencing factors.

October 9, 2008

STR reports U.S. industry data for week ending 4 October

The U.S. hotel industry posted declines in all three key performance measurements during the week ending Saturday, 04 October 2008, according to data from STR. In year-over-year measurements, the industry’s occupancy fell 11.1 percent to end the week at 59.4 percent. Average daily rate declined 2.4 percent to finish the week at US$103.90. Revenue per available room for the week dropped 13.2 percent to finish the week at US$61.70.