Anticipating a tsunami of hotel refinancing, development and refurbishment projects as the hotel industry continues to recover, industry leaders today announced plans to host the inaugural Hotel Equity & Lender Perspectives (HELP) conference, a two-day hotel investment event scheduled for May 2 – 3 at the Westin Waterfront Hotel in Boston.
According to HVI co-authors Michael L. Mele, Chu Xu, and Rebecca Lee, "The U.S. economy is continuing its recovery from the financial crisis. Growth occurred at a relatively slow pace in the first half of 2011, but accelerated in the latter half. The factors which impeded growth in the first half of the year included: the stock market turmoil, the downgrade of the U.S. Treasuries' credit rating, European debt crisis and uncertainty over the debt ceiling impasse. However, the outlook of the U.S. economy today has become more positive and concerns of a second recession have dwindled."
The details behind the spin-off of Marriott's timeshare business, with Arne Sorenson, Marriott International president/COO. Since its founding nearly 85 years ago, never has Marriott International, Inc. (NYSE: MAR) been as fully focused on its core lodging management and franchise business as today, concluding the spin-off of its timeshare business. To complete the spin-off, equity shares of the new company, Marriott Vacations Worldwide Corporation (NYSE: VAC), are being distributed tax-free to Marriott International shareholders.
The Baird/STR Hotel Stock Index ended October with a 21.7-percent increase to 2,005 and is down 15.2 percent year-to-date 2011. The index ended 2010 at 2,364. The roller coaster that the global economy has been on continues to leave investors with questions, although it looks like they are finally starting to gain back some confidence in the markets,” said Randy Smith, co-founder and chairman of STR. “This was the first monthly increase the Baird/STR Hotel Stock Index reported since May, which is an encouraging sign that investors like the performance metrics of hotels, which generally have held up well throughout the year. However, lingering concern surrounding the European debt crisis might have a negative impact on the hotel industry in 2012.”
The Company emerged today following the closing of the $1.02 billion sale of 64 Innkeepers' hotels to a joint venture between the private equity firm Cerberus Capital Management, L.P. and the real estate investment trust Chatham Lodging that was approved by the U.S. Bankruptcy Court, Southern District of New York last week. Chatham Lodging had previously purchased five of the Company's hotels that served as collateral for loan trusts serviced by LNR Partners, LLC, for approximately $195 million.
Officials from Concord Hospitality Enterprises, one of the nation’s top-ranked hotel developer/owner/operators, today announced that the company is on track to invest nearly $18.5 million this year in hotel renovations in four states and Canada. In addition, the company has acquired a 32,000 square-foot office building outside of Wake Forest, N.C., that it plans to convert into its world headquarters facility, bringing the company’s total spend in 2011 to nearly $25 million.
The Baird/STR Hotel Stock Index ended September with an 8.9-percent decrease to 1,647 and is down 30.3 percent year-to-date 2011. The index ended 2010 at 2,364. Robert W. Baird & Co. (Baird) and STR partnered to create the Baird/STR Hotel Stock Index—the first widely available U.S. hotel stock index in the hotel industry. The index combines Baird’s financial markets expertise, the data processing of STR and the up-to-the-minute distribution capabilities of HotelNewsNow.com, the industry’s leading news website.
After two years of declining revenues and profits, U.S. hotels turned the corner in 2010. According to the 2011 edition of Trends® in the Hotel Industry published by PKF Hospitality Research (PKR-HR), the average hotel in the nation achieved a 4.8 percent increase in total revenue during 2010. While 70 percent of the properties in the Trends® sample enjoyed an increase in total revenue in 2010, only 60 percent were able to convert that into more money on the bottom line.
Affiliates of Five Mile Capital Partners and Westmont Hospitality Group, in a joint venture, have acquired the ownership of 143 Red Roof Inns, totaling nearly 17,000 rooms. The joint venture has committed over 70 million dollars for renovating and upgrading the portfolio with sleek and modern NextGen® design elements. Five Mile Capital has deep hospitality experience, having been involved in Extended Stay America, Innkeepers and CNL Resorts.
The Baird/STR Hotel Stock Index ended July with a 4.7-percent decrease to 2,135 and is down 9.7 percent year-to-date 2011. The index ended 2010 at 2,364. Robert W. Baird & Co. (Baird) and STR partnered to create the Baird/STR Hotel Stock Index—the first widely available U.S. hotel stock index in the hotel industry. The index combines Baird’s financial markets expertise, the data processing of STR and the up-to-the-minute distribution capabilities of HotelNewsNow.com, the industry’s leading news website.
Hospitality Financial and Technology Professionals (HFTP®) recently launched an online practice exam for the Certified Hospitality Accountant Executive (CHAE) and is currently working on an online practice exam for the Certified Hospitality Technology Professional (CHTP). The CHAE Practice Exam is an actual sampling of questions taken from the CHAE Examination that have been rewritten for examination preparation. The practice exam includes US and Canadian versions with select questions from each section of the exam, for a total of 25 questions, and a results page showing a percentage passed in each section.
The Baird/STR Hotel Stock Index ended June with a 5.9-percent decrease to 2,240 and is down 5.2 percent year-to-date 2011. The index ended 2010 at 2,364. The Baird/STR Hotel Stock Index underperformed the S&P 500 and the RMZ. The S&P ended June with a 1.8-percent decrease and the RMZ ended the month with a 3.7-percent decrease.
Record prices being paid by investors for U.S. hotels may be outpacing gains in room rates and stays as the slow economic recovery damps a lodging revival. Prices for lodging properties climbed to about $185,000 a room in the first quarter, according to research firm Real Capital Analytics Inc. Values had peaked at $153,000 per room in 2006, then plunged 37 percent to a low two years ago.
Pebblebrook Hotel Trust (NYSE: PEB) (“Pebblebrook”) and the Denihan Hospitality Group (“Denihan”) today announced that they have entered into agreements pursuant to which Pebblebrook will invest in a joint venture with affiliates of Denihan that own six upper upscale hotels in Manhattan. The six upper upscale hotels – Affinia Manhattan, Affinia Shelburne, Affinia Dumont, Affinia 50, Affinia Gardens and The Benjamin – currently comprise 1,640 guestrooms, which will be increased to 1,730 guestrooms following the completion of a renovation at the Affinia Manhattan this fall.
New York's hotel industry continues to show dazzling numbers on both the supply and the demand side. In 2010, there were 25.7 million overnight stays in the city's hotel rooms, up from 23.6 million in 2009 and 23.3 million in 2008, according to Eastern Consolidated.
Slightly more Americans will be hitting the highways, skyways, railways and waterways over the Memorial Day weekend and holiday this year as compared to 2010, but higher transportation and leisure costs will influence their travel plans, according to a new survey from Deloitte.
M3 Hotel Accounting has relocated its corporate offices to 340 Jesse Jewell Parkway SE, Suite 600 in Gainesville, Georgia. The move doubles operations space for the growing hotel accounting and payroll services company, where more than 15 jobs have been added in the last few years. Enhanced customer service, data center and training facilities have been designed to support improved company operations and workflow, in a facility that offers 24-hour security features and an on-site maintenance staff.
Hospitality Financial and Technology Professionals (HFTP®) will honor Brian L. Hightower, CHTP, as the 2011 CHTP (Certified Hospitality Technology Professional) of the Year during the Opening Session of the 2011 Hospitality Industry Technology Exposition and Conference (HITEC®) on Monday, June 20. In its 14th year, the CHTP of the Year honors the individual that scored the highest on the CHTP certification exam in a given year.
If guests are going to criticize hotels for "nickel and diming" them by charging resort fees and surcharges, then they should also be aware of the services and amenities that U.S. hotels provide on a complimentary basis. In 2009, a select sample of hotels that routinely offer gratis services to their guests spent an average of $723 per available room (PAR) to provide complimentary food, newspapers, and cocktails. This is the actual cost to the hotel, not the theoretical "retail value" of savings afforded to the guest.
Marriott's Chief Financial Officer Carl Berquist says business is picking up overseas but that demand in North America is less than expected and the hotel operator believes revenue per available room will come in at the low end of its guidance. Marriott's stock fell 5 percent Monday, or $1.82, to $35.84 in early trading.