Choice Hotels Marks One-Year Anniversary of WoodSpring Suites Acquisition with Opening of Brand's 250th Hotel
Milestone Caps off Year of Record Performance and Rapid Growth
The WoodSpring Suites brand recently surpassed another milestone with the opening of its 250th hotel in the greater Portland, Ore., area. This landmark achievement coincides with the one-year anniversary of the Choice Hotels International, Inc. (NYSE: CHH) acquisition of the WoodSpring brand and franchise business.
- RevPAR increased 7.6 percent in 2018 over the previous year, exceeding the industry by 470 basis points.
- Coast-to-coast expansion in key markets, including Atlanta; Charlotte, N.C.; Chicago; Houston; Reno, Nev.; and Seattle.
- A year of record-setting development growth with 75 contracts awarded, which significantly exceeds the number of new franchise agreements previously granted in a single year for the WoodSpring brand. In fact, the total number of new extended-stay franchise agreements Choice awarded increased by 156 percent, including a 37-percent increase for MainStay and Suburban.
- A pipeline of 117 hotels, the largest in brand history.
- Operational improvements, including a 24-percent increase in website revenue delivery, a 5.5-percent improvement in call-center conversion rate, and an 18-percent increase in the brand's corporate accounts.
- Impressive extended-stay occupancy with almost 90 percent of WoodSpring Suites guests staying for over a week.
"Choice evaluates growth opportunities carefully—and our deliberate strategy to welcome WoodSpring Suites into our family of brands is paying off," said Patrick Pacious, president and CEO, Choice Hotels. "The WoodSpring Suites brand has seen significant business delivery growth nearly every month since the acquisition. As we continue to integrate the power of Choice with the brand, WoodSpring Suites' trajectory as one of the fastest growing and most profitable hotel brands is expected to yield high returns on investment for its owners. In addition, the acquisition has benefited our entire extended-stay portfolio, including the MainStay Suites and Suburban Extended Stay brands, and solidifies our position as a leader in the extended-stay segment."
The WoodSpring Suites brand expects to open approximately 20 hotels this year in markets, such as Miami and Orlando, Fla.; Sacramento, Calif.; and San Antonio. Choice anticipates having around 300 WoodSpring Suites hotels open and serving guests across the country by the end of 2020.
To learn more about WoodSpring Suites, visit www.woodspring.com/ourbrand/.
Choice Hotels International, Inc. conducted a nationwide survey of 1,100 Americans to better understand how travel impacts their work relationships. The survey was done in collaboration with survey platform Pollfish.
About Choice Hotels
Choice Hotels International, Inc. (NYSE: CHH) is one of the largest and most successful lodging franchisors in the world. With more than 7,000 hotels, representing nearly 570,000 rooms, in over 40 countries and territories as of March 31, 2019, the Choice® family of hotel brands provide business and leisure travelers with a range of high-quality lodging options from limited service to full-service hotels in the upscale, midscale, extended-stay and economy segments. The award-winning Choice Privileges® loyalty program offers members benefits ranging from everyday rewards to exceptional experiences. For more information, visit www.choicehotels.com.
This communication includes "forward-looking statements" about future events, including anticipated development and hotel openings. Such statements are subject to numerous risks and uncertainties, including construction delays, availability and cost of financing and the other "Risk Factors" described in our Annual Report on Form 10-K, any of which could cause actual results to be materially different from our expectations.
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