Brandt Hospitality Group Getting Great Results From Accounting Software Partner
Aptech | June 5, 2024
Hospitality Financial Leadership: Why Prioritizing Employee Development Has the Best ROI for Owners Too
David Lund | March 27, 2023
Finance
Baird/STR Hotel Stock Index Dipped 3.4% in August
STR | September 13, 2021
HENDERSONVILLE, Tennessee, and MILWAUKEE — September 13, 2021 — The Baird/STR Hotel Stock Index dipped 3.4% in August to a level of 4,911. Year to date through the first eight months of 2021, the stock index was up 7.4%. “Hotel stocks continued their streak of relative underperformance in August as investors remained focused on the impact of the Delta variant and the likely changes to post-Labor Day business travel trends,” said Michael Bellisario, senior hotel research analyst and director at Baird. “The near-term trajectory of the recovery has flattened; however, investors appear to have priced in near-term downside sce...
Hospitality Financial Leadership – Understanding REVPAR Index
David Lund | September 7, 2021
By David Lund ...
U.S. Hotels Surpassed 2019 Profit Level in July
STR | September 1, 2021
HENDERSONVILLE, Tennessee — September 1, 2021 — Estimated U.S. hotel gross operating profit for July 2021 came in at 111% of the 2019 comparable, according to STR‘s latest monthly P&L data release. In addition to total GOP estimates above July 2019, EBITDA came in at 116% of the pre-pandemic comparable. On a per-available-room basis, each of the key profitability metrics, aside from labor, came in higher than any month since February 2020. GOPPAR: US$62.33 TRevPAR: US$156.58 EBITDA PAR: US$41.81 LPAR (Labor Costs): US$46.24 “It is first important to note that one, or even a few months, wi...
Hospitality Financial Leadership: Critical Importance of Accruals and Deferrals
David Lund | August 30, 2021
By David Lund A lot gets written about certain things in the hotel industry and others not so much as a mention. I am not saying it is simply a matter of blatant favoritism or anything like that but it is not lost on me that certain items get the limelight. In this piece, I am going to shine a light on two of the hotel team’s third-line mainstays. This pair keeps us on track month after month and they need a little more respect. Part of respect comes from understanding their function and how important it is to the team’s performance. Without this pair playing well, we are doomed. Each part of our operation needs to underst...
Why It’s Time for Hotels to Prioritize Long-Term Controlled Spending
Ryan Hamilton | August 17, 2021
By Ryan Hamilton After the year that was 2020, 2021 seems to be a period defined by cautious optimism. A world on the precipice of a long-awaited reopening, with a predicted surge of social and economic activity ready to shift our respective communities from the ‘new’ normal to the normal we once knew. The desire for this return is palpable and warranted, but we must acknowledge that much still remains uncertain in that same breath. Our attention is fixed on the future, but what does that future hold from an economic perspective? More importantly, what is the most fiscal path forward for businesses – especially those in sectors that ...
IHG Releases Interim Results to 30 June 2021
IHG Hotels & Resorts | August 10, 2021
REPORTABLE SEGMENTS1 Reported Underlying1 2021 20202 %Change3 %Change Revenue1 $565m $488m +16% +14% Revenue from fee business1 $505m $375m +35% +31% Operating profit1 $188m $52m +262% +314% Fee margin1 44.1% 20.1% +24%pts Adjusted EPS1 40.4¢ 4.9¢ +724% GROUP RESULTS Total revenue $1,179m $1,248m (6)% Operating profit/(loss) $138m $(233)m NM Basic EPS 26.2¢ (115.4)¢ NM Total dividend per share - ¢ - ¢ - % Net debt $2,458m $2,515m (2)% Key metrics vs 2019 $7.9bn total gross revenue1 ...
Spirides Provides $4.1 Million Loan to Refinance Debt of Best Western in San Angelo, Texas
Spirides Hospitality Finance Company | August 10, 2021
TAMPA, FLORIDA—Spirides Hospitality Finance Company has successfully provided and the borrower has officially closed a $4.1 million loan to refinance the existing mortgage debt of the Best Western SureStay in San Angelo, Texas. Also known as the Pearl on the Concho, this iconic 164-room hotel is located at 333 Rio Concho Drive in the heart of the downtown historic, cultural, commercial, and entertainment district of San Angelo, Tom Green County, Texas. The hotel is a full-service, midscale, family-centric hotel that was first built as one of the original Holiday Inn Holidomes which feature a very large indoor recreational atrium with s...
Host Hotels & Resorts, Inc. Reports Results for Second Quarter 2021
Host Hotels & Resorts | August 9, 2021
BETHESDA, Md. – August 9, 2021 – Host Hotels & Resorts, Inc., the nation’s largest lodging real estate investment trust (“REIT”), today announced results for second quarter 2021. OPERATING RESULTS (unaudited, in millions, except per share and hotel statistics) Quarter ended June 30, Percent Change Percent Change Year-to-date ended June 30, Percent Change Percent Change 2021 2020 vs. Q2 2020 vs. Q2 2019(2) 2021 2020 vs. Q2 2020 vs. Q2 2019(2) Revenues $ 649 $ 103 530.1 % (56.2 )% $ 1,048 $ 1,155 (9.3 )% ...
U.S. CMBS Delinquencies Tumble in July With Strong Hotel Resolutions
Fitch Ratings | August 6, 2021
Fitch Ratings-New York-06 August 2021: Fitch Ratings’ U.S. CMBS delinquency rate fell 22 bps to 3.59% in July from 3.81% in June, due to more loan resolutions, fewer new delinquencies and strong new issuance. Resolution volume was strong, totaling $1.7 billion in July, up from $1.6 billion in June. Most resolutions were hotel ($958 million) and retail ($524 million) loans. Borrowers continue to bring loans current as property cash flows improve, although some are still receiving debt relief. New delinquencies were $853 million in July, down from $1.0 billion in June. The roll rate of 30 to 60 days delinquent was 35% from June to July,...
MGM Resorts International Reports Second Quarter 2021 Financial and Operating Results
MGM Resorts International | August 6, 2021
LAS VEGAS - August 6, 2021 - MGM Resorts International ("MGM Resorts" or the "Company") today reported financial results for the quarter ended June 30, 2021. "We delivered a strong second quarter, driven by robust demand and productivity efforts across our domestic portfolio. Our Las Vegas Strip and Regional Operations Adjusted Property EBITDAR margins reached all-time records and our Regional Operations also delivered an all-time quarterly record in Adjusted Property EBITDAR. Our U.S. sports betting and iGaming venture, BetMGM, continues to outperform as the number two operator nationwide," said Bill Hornbuckle, Chief Executive Of...
Ryman Hospitality Properties, Inc. Reports Second Quarter 2021 Results
Ryman Hospitality Properties, Inc. | August 6, 2021
NASHVILLE, Tenn. - August 6, 2021 - Ryman Hospitality Properties, Inc., a lodging real estate investment trust (“REIT”) specializing in group-oriented, destination hotel assets in urban and resort markets, today reported financial results for the second quarter ended June 30, 2021. Second Quarter 2021 Highlights and Recent Developments: Net Loss in second quarter improved sequentially to $(63.0) million from $(117.1) million on 103.0% revenue growth Consolidated Adjusted EBITDAre for the second quarter was approximately $28.2 million, primarily driven by improvement in group performance during June Since the ou...
New AAHOA/Oxford Economics Study Details Extent of AAHOA Members’ Economic Impact and Industry Influence
AAHOA | August 5, 2021
AAHOA announced the results of a new study conducted in partnership with Oxford Economics, a global leader in forecasting and quantitative analysis, on the economic impact and industry influence of the association’s nearly 20,000 Members. The study analyzed the share of U.S. hotels and rooms owned by AAHOA Members, hotel operations, hotel guest ancillary spending, capital investment, and indirect and induced impacts supported by AAHOA hotels in other parts of the U.S. economy. Among the study’s impressive conclusions, the 34,260 AAHOA Member-owned hotels account for 60 percent of all hotels in the U.S., 3.1 million guestrooms, and 2.2 mil...
Choice Hotels International Reports 2021 Second Quarter Results
Choice Hotels® | August 5, 2021
ROCKVILLE, Md. - August 5, 2021 - Choice Hotels International, Inc. (NYSE: CHH), one of the world's largest lodging franchisors, today reported its results for the three months ended June 30, 2021. "The strategic investments we have made in launching and enhancing our brands, strengthening our marketing and reservation systems, and bolstering our platform capabilities drove impressive second quarter results that further positioned the company to increase our share of travel demand in the years to come," said Patrick Pacious, president and chief executive officer, Choice Hotels. "Our goal is not to return to our 2019 performance levels...
Hyatt Reports Second-Quarter 2021 Results
HYATT HOTELS CORPORATION | August 4, 2021
CHICAGO - August 4, 2021 - Hyatt Hotels Corporation today reported second-quarter 2021 financial results. Net loss attributable to Hyatt was $9 million, or $0.08 per diluted share, in the second quarter of 2021, compared to net loss attributable to Hyatt of $236 million, or $2.33 per diluted share, in the second quarter of 2020. Adjusted net loss attributable to Hyatt was $117 million, or $1.15 per diluted share, in the second quarter of 2021, compared to Adjusted net loss attributable to Hyatt of $183 million, or $1.80 per diluted share, in the second quarter of 2020. Refer to the table on page 11 of the schedules for a summary of special it...
Marriott International Reports Second Quarter 2021 Results
Marriott International | August 3, 2021
Marriott International, Inc. (NASDAQ: MAR) today reported second quarter 2021 results. Anthony Capuano, Chief Executive Officer, said, “The rate of global lodging recovery accelerated during the second quarter and momentum has continued into July. We are particularly pleased with the resilience of RevPAR [1] in markets where consumers feel safe traveling. Worldwide occupancy continued to build, reaching 51 percent for the quarter. We also saw strong improvement in global average daily rate in the second quarter, which was down only 17 percent compared to the second quarter of 2019. “The swift resurgence of lodging demand once the v...
Chatham Lodging Trust Announces Second Quarter 2021 Results
Chatham Lodging Trust | August 3, 2021
WEST PALM BEACH, Fl — August 3, 2021 — Chatham Lodging Trust (NYSE: CLDT), a lodging real estate investment trust (REIT) that invests in upscale, extended-stay hotels and premium-branded, select-service hotels, today announced results for the second quarter ended June 30, 2021. Second Quarter 2021 Operating Results Portfolio Revenue Per Available Room (RevPAR) – Increased 170 percent to $87, compared to the 2020 second quarter. Average daily rate (ADR) rose 32 percent to $127, and occupancy jumped 105 percent to 68 percent for the 39 comparable hotels owned as of June 30, 2021. All Chatham hotels remained open throughout the pa...
Agilysys Reports Fiscal 2022 First Quarter Revenue of $38.7M
Agilysys | July 28, 2021
Reports Record Recurring Revenue of $23.2M Inclusive of Subscription Record Revenue of $10.2M Reports Adjusted EBITDA of $6.9M and Positive GAAP EPS of $0.06 With Quarterly Free Cash Flow of $7.7M and Cash Balance Increase of $4.7M to $103.9M Alpharetta, GA – July 28, 2021 – Agilysys, Inc. (Nasdaq: AGYS), a leading global provider of next-generation cloud-native SaaS and on-premise hospitality software solutions and services, today reported operating results for its fiscal 2022 first quarter ended June 30, 2021. (Please click here for complete financial information.) Summary of Fiscal 2022 First Quarter Financial Results ...
Hospitality Financial Leadership: GOPPAR Characteristics
David Lund | July 26, 2021
By David Lund If you only use RevPAR index, then you are missing the bulk of the story From time immemorial, revenue per available room, or RevPAR, has been the go-to key performance indicator in the hotel industry. A simple calculation of average daily rate and occupancy rate, it is often thought of as the barometer of health for a hotel by those who work in the industry and those who make a living analyzing it. Right or wrong, it has obtained monolithic stature. Is it time for it to be shattered? Most scholarly studies note limitations in the research. These are weaknesses within a research design that may influence outc...
Sonnenblick-Eichner Company Arranges $38,000,000 of Interim First Mortgage Leasehold Financing for The Portofino Hotel & Marina, Redondo Beach, C
Sonnenblick-Eichner Company | July 21, 2021
Beverly Hills, California – July 21, 2021 – Sonnenblick-Eichner Company announced today that it has arranged $38,000,000 of interim first mortgage leasehold financing for The Portofino Hotel & Marina, a 161-room full-service hotel located in Redondo Beach, California. The new five-year floating-rate LIBOR-based loan replaces a maturing loan. The hotel features a full-service restaurant and lounge, lobby bar and indoor/outdoor meeting and event space. Amenities also include an outdoor pool, a jacuzzi and a fitness and business center. The property includes a 181-slip marina and 19 apartments. The hotel is located within Los A...
Baird/STR Hotel Stock Index Dropped 3.0% in June
Baird | July 7, 2021
HENDERSONVILLE, Tennessee, and MILWAUKEE — July 7 2021 — The Baird/STR Hotel Stock Index dropped 3.0% in June to a level of 4,993. Year to date through the first six months of 2021, the stock index was up 9.2%. “Hotel stocks declined again in June and continued their relative underperformance versus the benchmarks for the fourth consecutive month,” said Michael Bellisario, senior hotel research analyst and director at Baird. “Despite continued sequential fundamental improvement and strengthening demand trends, especially domestically, hotel stocks have been laggards since the reopening momentum peaked in March. Investors remain f...
Is C-PACE the “New EB-5″ Financing? Doesn’t the Latest Court Decision (Behring v. Wolf) Revitalize EB-5?
Jim Butler | June 29, 2021
By Jim Butler On June 22, 2021, in the case of Behring Regional Center LLC v Chad Wolf, a federal court in the Northern District of California effectively invalidated the final rules for EB-5 which became effective in 2019. These rules raised the minimum foreign immigrant investment from $500,000 to $900,000 and imposed other restrictions. Many commercial real estate developers are hoping this development will launch a new surge of EB-5 financing that could fuel their projects, as was the case for years (until a few years ago when the music stopped). Don’t get too excited about reliable EB-5 financing coming back – but ...
Impact of Gallagher Amendment Repeal on Property Taxes for Colorado Hotels/Motels
Bethany Cronk | June 24, 2021
By Bethany Cronk Introduction Local government authorities use property tax revenues to fund services including police and fire protection, hospitals, transportation, and schools for municipalities. For tax purposes, property is considered residential or nonresidential, with nonresidential property constituting commercial businesses, farms, ranches, and oil/gas operations. In 1982, the Gallagher Amendment was implemented in Colorado to hold the proportion of taxable value derived from residential property at approximately 45%. According to the Legislative Council of the Colorado General Assembly, “Gallagher sought to protect homeow...
Could REIT M&A Be on Track for a Record Year?
JLL | June 23, 2021
CHICAGO – June 23, 2021 – REIT M&A activity has totaled $70 billion year-to-date, putting it on track to be a record-breaking year as companies emerge from the COVID-19 pandemic. JLL Capital Markets’ M&A and Corporate Advisory group’s latest M&A and Strategic Transactions Monitor report shows how the positive themes in the public capital markets space are contributing to this M&A surge. “The record in this economic cycle was set in 2006 when REIT M&A volume reached $103 billion for the year,” said Steve Hentschel, head of JLL M&A and Corporate Advisory. “REITs have enjoyed a strong run ...
Avison Young May 2021 Transactions
Avison Young | June 2, 2021
ATLANTA – June 2, 2021 – Avison Young Hospitality Group announced that the firm closed 10 hotel transactions for the month of May. The transactions covered many geographical areas and covered many hotel brands. Sellers represented large cap companies, lenders, banks and CMBS special servicers. The last deal of the month to close was a 400-room full-service Marriott in the northeast US led by Michael Bernath and Brad Sinclair. Keith Thompson said, “The closings for May were widespread and leaned toward the upper tier brands in commercial areas. It was good to see corporate hotels transacting at a more brisk pace than over the last 15...
