International Visitors Spent Nearly $20.1 Billion Traveling Within the United States in March
National Travel and Tourism Office (NTTO) | May 23, 2024
CBRE Expects RevPAR Growth to Improve in H2 2024, Driven by Holiday and International Travel
CBRE Group, Inc. | May 16, 2024
Market Reports
HVS Market Pulse: Charlotte, NC
Patricia Shih | September 20, 2017
By Patricia Shih Charlotte, North Carolina, is one of the biggest cities in the southeast, second only to Jacksonville, Florida, by population, and among the top three fastest-growing metro areas in the U.S. Home to two professional sports franchises (the NBA's Charlotte Hornets and the NFL's Carolina Panthers), NASCAR's Sprint Cup and All-Star stock car races, and numerous museums, Charlotte enjoys a strong base of leisure demand. Commercial and meeting/group demand are strong in the city, as well. The following HVS Market Pulse article details some of the major developments in Charlotte and their impact on the area's hotel industry. C...
An Analysis of Franchise Fees
Robert Mandelbaum | September 20, 2017
By Robert Mandelbaum In the current market environment of modest growth in revenue, hotel owners and operators are paying extra attention to their operating expenses. Per the June 2017 edition of Hotel Horizons®, RevPAR growth in the U.S. is forecast to remain under 3.0 percent from 2018 through 2021. Therefore, it will be management's ability to control expenses that will enable profits to grow. One expense that management has less control over are franchise fees. Most of the fees charged by the franchising companies (brands) are assessed as a percent of a source of revenue. Therefore, owners and operators have mixed emotions when ...
Hotel Construction Pipeline in the Middle East Is Growing with Projects Up 13% YOY
Lodging Econometrics | September 18, 2017
September 18, 2017 – PORTSMOUTH, NH – Analysts at Lodging Econometrics (LE) report that the Construction Pipeline Trend Report for the Middle East states that the Total Pipeline has 561 Projects/154,627 Rooms, up 13% by projects Year-Over-Year (YOY). There are 339 Projects/98,653 Rooms Under Construction, up 20% by projects YOY. Those Scheduled to Start Construction in the Next 12 Months are at 125 Projects/32,116 Rooms, up 21%, while projects in Early Planning at 97 Projects/23,858 Rooms are down 12%. The top hotel companies in the Middle East's Construction Pipeline are: Marriott International 94 Projects/22,641 Rooms, Hil...
HVS Market Pulse: Silicon Valley
John Berean | September 14, 2017
By John Berean Home to numerous high-tech corporations and startup companies, Silicon Valley encompasses the southern portion of the San Francisco Bay Area. As defined by the 2017 Silicon Valley Index, this region covers the cities in San Mateo County and Santa Clara County. The index also incorporates portions of Alameda County, including the cities of Fremont, Newark, and Union City, as well as Scotts Valley in Santa Cruz County. For purposes of this article, the greater Silicon Valley area will follow the aforementioned definition, with the exception of Scotts Valley. This article will primarily focus on new hotel development, and ho...
The Europe Hotel Construction Pipeline Is up 25% With 1,186 Projects in the Total Pipeline
Lodging Econometrics | September 14, 2017
September 14, 2017 – PORTSMOUTH, NH – The Europe Hotel Construction Pipeline Trend Report states that the Total Pipeline has 1,186 Projects/185,799 Rooms, up 25% by projects Year-Over-Year (YOY) according to Lodging Econometrics (LE). There are 559 Projects/94,170 Rooms Under Construction, up 32% by projects YOY. Projects Scheduled to Start Construction in the Next 12 Months are at 401 Projects/58,646 Rooms, up 70%, while projects in Early Planning at 226 Projects/32,983 Rooms are down by 23%. The top hotel companies in Europe's Construction Pipeline are: AccorHotels with 201 Projects/24,593 Rooms, Hilton Worldwide with 166 ...
Tips for When You Become a Semi-Retired Hotel Consultant
Larry Mogelonsky | September 14, 2017
By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) For financial or a variety of other reasons, many folks in the hotel industry refuse to accept any form of clear-cut retirement, resulting in an incomplete transition from an employee to a semi-retired entrepreneur. This can be a daunting task, but it is nonetheless one that I have taken for myself within the past six months and can therefore offer some advice for them of you considering a similar move. Typically, the higher up you are in any organization, the further away you are from the basic tasks required just to manage your new 'one person' consulting operation. The myriad of ...
Latin America’s Construction Pipeline Is Stalling
Lodging Econometrics | September 13, 2017
September 13, 2017 – PORTSMOUTH, NH – The total Construction Pipeline in Latin America has 878 Projects/146,312 Rooms, the exact same number of projects as last year. There are 418 Projects/72,690 Rooms Under Construction, up 4% by projects Year-Over-Year (YOY). Rooms Scheduled to Start Construction in the Next 12 Months are at 211 Projects/33,542 Rooms, up 22%, while those in Early Planning are at 249 Projects/40,080 Rooms, down 18%. The top hotel companies in Latin America's Construction Pipeline by projects are: AccorHotels with 150 Projects/22,136 Rooms, Marriott International with 94 Projects/14,880 Rooms and Hilton Wor...
2016/17 United States Hotel Franchise Fee Guide
Kasia M. Russell | September 12, 2017
By Kasia M. Russell and Bomie Kim The selection of an appropriate franchise affiliation affects a property's ability to compete in its local market, generate profits, and achieve a desirable image and market orientation. Because the success of a hotel is based primarily on the cash flow generated, owners and lenders must weigh the benefits of a brand affiliation against the total cost of such a commitment. Please note that the study results are not indicative of the impact an individual brand may have on a hotel's overall profitability because only the costs, and not the benefits of the franchise affiliations, have been analyzed. Furthe...
China’s Construction Pipeline Remains Strong Up 7% YOY with Shanghai Leading the Way
Lodging Econometrics | September 12, 2017
September 12, 2017 – PORTSMOUTH, NH – Analysts at Lodging Econometrics (LE) report that according to the recent China Construction Pipeline that the Total Pipeline has 2,410 Projects/525,225 Rooms, up 7% Year-Over-Year (YOY). There are 1,724 Projects/356,816 Rooms Under Construction, up 4% by projects YOY. Projects Scheduled to Start Construction in the Next 12 Months are at 324 Projects/74,225 Rooms, up 15%, while projects in Early Planning at 362 Projects/94,184 Rooms are up by 2%. The top hotel companies in China's Construction Pipeline are: Hilton Worldwide with 292 Projects/71,895 Rooms, Marriott International with 253 ...
Extended-Stay Hotels Set for Substantial Growth According to U.S. Hotel Construction Pipeline
Lodging Econometrics | September 8, 2017
September 8, 2017 – PORTSMOUTH, NH – Through the first half of the year, there are 1,288 Projects/136,649 Rooms of extended-stay projects in the U.S. Hotel Construction Pipeline according to Lodging Econometrics (LE). 400 Projects/44,738 Rooms are Under Construction, and account for 26% of all projects Under Construction in the Total Pipeline. 643 Projects/68,242 Rooms will Start Construction in the Next 12 Months while an additional 245 Projects/23,669 Rooms are in Early Planning. Home2 Suites by Hilton currently has 343 Projects/35,845 Rooms of extended-stay projects in the Pipeline, the largest of any brand. The second la...
IHG Forms New Operating Region for Europe, Middle East, Asia & Africa Leading to Two Regional Chief Executive Officer Appointments
IHG | September 7, 2017
Kenneth Macpherson, currently IHG's CEO of Greater China, will lead the new EMEAA region, which will be created by bringing together two of IHG's current operating divisions: Europe; and Asia, Middle East & Africa. Taking over from Kenneth is Jolyon Bulley, who has been promoted to CEO, Greater China. These changes will take effect at the beginning of 2018. Kenneth, who currently has responsibility for the management, growth and profitability of the company's fastest growing region, joined IHG in April 2013 from Diageo - a company he had been with for almost 20 years. He has lived and worked in China since 2005 and during his career...
Upper Midscale and Upscale Are the Largest Chain Scales in the U.S. Construction Pipeline
Lodging Econometrics | September 7, 2017
September 7, 2017 – PORTSMOUTH, NH – Analysts at Lodging Econometrics (LE) report that the Upper Midscale category stands at 2,060 Projects/205,270 Rooms, and has the largest project count of all chain scales in the Total Construction Pipeline. The second largest is the Upscale category which has 1,258 Projects/162,609 Rooms. Together, the Upper Midscale and Upscale Pipelines comprise 67% of all projects in the Total Pipeline. The brands with the largest number of projects in Upper Midscale are; IHG's Holiday Inn Express with 426 Projects/39,393 Rooms, Hilton's Home2 Suites 343 Projects/35,845 Rooms and Hampton Inn with 322 ...
Hotel Business Plan Development 2018: Getting Ready for 2018 Budgeting
Robert A. Rauch | September 7, 2017
By Robert A. Rauch Before we complete our business plans for 2018, a review of macroeconomic data is in order. China's growth might be slowing but we anticipate a fairly steady U.S. economy in 2018. We will likely slow to about a 2 percent GDP growth rate over the next year as this economic recovery reaches the 100 month mark next year. Unemployment is low, consumer confidence is solid and household spending is strong. Interest rates remain low, business confidence is strong and nothing to derail the economy is imminent. Oil prices have been unusually flat notwithstanding the speed bump caused by Hurricane Harvey. All of this informatio...
Top Franchise Companies in the U.S. Construction Pipeline are Marriott, Hilton and IHG Comprising 67% of Projects in the Total Pipeline
Lodging Econometrics | September 6, 2017
September 6, 2017 – PORTSMOUTH, NH – According to the recent United States Construction Pipeline Trend Report from Lodging Econometrics (LE), the franchise companies with the largest pipelines are; Marriott with 1,288 Projects/166,096 Rooms, Hilton with 1,243 Projects/140,912 Rooms and IHG with 817 Projects/84,676 Rooms. These 3 franchise companies comprise 67% of all projects in the Total Pipeline. The largest brand for each of these companies are; Marriott's Fairfield Inn with 283 Projects/27,244 Rooms, Hilton's Home2 Suites with 343 Projects/35,845 Rooms and IHG's Holiday Inn Express with 426 Projects/39,393 Rooms. The co...
In Focus: Ibiza, Spain
Ezio Poinelli | September 6, 2017
By Ezio Poinelli, Nana Boussia, and Paolo Buffa di Perrero Introduction LOCATION OF IBIZA Ibiza is an island in the Mediterranean sea off the east coast of Spain and is the third largest island of the Balearic Islands (Mallorca, Minorca, Ibiza and Formentera), an autonomous community of Spain. The island comprises five municipalities: Ibiza or Eivissa (Ibiza town), Santa Eulària del Rio, Sant Antoni, San José and San Juan Bautista while it covers an area of 572 km² and has 210 kilometres of coastline. Its population is 141,000 , of which around 76% are Spaniards while 24% are foreign residents. The island's major ci...
Portions of Travel Trends Index Revised Sharply Downward on New Data
U.S. Travel Association | September 6, 2017
Inbound International Travel Volume Posted Overall Decline in Q1 WASHINGTON (September 6, 2017)—The latest Travel Trends Index (TTI) offers a substantially more pessimistic assessment of the U.S. travel economy than in months past, after a revised analysis reveals major storm clouds for the inbound international travel market. The report updates earlier numbers with newly available data, and finds that international visitation—initially found to have grown consistently this year—actually contracted in four of the seven months for which data is so far available. The declines were steepest in February (6.8 percent) and M...
Marriott Has the Largest Construction Pipeline of Any Franchise Company in the U.S.
Lodging Econometrics | September 5, 2017
September 5, 2017 – PORTSMOUTH, NH – Marriott International currently has the largest construction pipeline of any franchise company with 1,288 Projects/166,096 Rooms. Their largest brands in the Pipeline are: Fairfield Inn with 283 Projects/27,244 Rooms, Residence Inn with 187 Projects/23,617 Rooms and TownePlace Suites with 184 Projects/18,757 Rooms. Marriott has the most rooms currently Under Construction with 482 Projects/67,434 Rooms, which represents almost 1/3 of all Pipeline rooms Under Construction. Additionally, they have the most rooms Scheduled to Start Construction in the Next 12 Months with 619 Projects/76,451 ...
U.S. Hotel Demand Hits an All-Time High
Richard Barkham, Ph.D. | September 5, 2017
By Richard Barkham Good News for the Business Cycle and the New Economy Hotel demand has just reached an all-time high in the U.S., according to CBRE Hotels' Americas Research. Occupancy levels and demand for rooms are also buoyant in Europe and Asia Pacific.1 Demand for hotel rooms is highly sensitive to business conditions, particularly on the downside. When business revenues and personal incomes are squeezed at the end of the cycle, hotel demand drops away very quickly. Hotel demand has shown strong growth since the middle of 2016, suggesting that business conditions in the U.S., and elsewhere in the world, are robust despite relativ...
Fitch: Need for Scale Could Drive More US Lodging Consolidation
| September 1, 2017
Fitch Ratings-New York/Chicago-1 September 2017: The growing power of the largest U.S. hotel brands is altering the hospitality industry competitive landscape and will likely drive more lodging consolidation, according to Fitch Ratings. Smaller lodging operators are taking more balance sheet risk to grow their rooms systems, as hotel owners and franchisees increasingly align themselves with industry leaders Marriott and Hilton. Marriott and Hilton are well ahead of their peers in terms of system size and average daily room rates (ADR) and are taking development share away from smaller brand operators in the U.S. Scale-related competitiv...
2017 HVS Lodging Tax Report – USA
Thomas A Hazinski | August 31, 2017
By Thomas A Hazinski , Alex Moon , Joe M Moseley In this sixth annual Lodging Tax Study, HVS Convention, Sports, and Entertainment Consulting surveys lodging tax rates and revenues across the United States. Our study includes a broad range of cities and tracks policy trends in lodging tax impositions. This research identifies the lodging tax rates levied at the state, county, city, and special district levels. We provide data on the collection and distribution of revenue from lodging taxes levied in all 50 States and the 150 largest cities in the United States. To view full report click on PDF icon or visit HVS.com ...
Value of African Hotel Markets Increased in 2016
| August 31, 2017
HVS, the global hospitality consulting firm and host of the THINC Africa conference, have launched their 2017 African Hotel Valuation Index (HVI) at the conference. This year sees the fourth edition of the African HVI, which includes more markets and increasing progress for Africa. "The number of markets included in the study continues to grow each year, exemplifying the ever-increasing interest in the African hotel market. In the first edition, we had 14 cities. That grew to 18 in the second edition, third edition featured 21 cities, and we are now delighted to include 23 cities with the addition of Abidjan, Dakar, Kampala, Maputo in t...
Hotel Investment Less of a Risky Business Now
| August 31, 2017
Africa is of huge strategic value to the hotel investment sector in terms of business, which is why the global president and CEO of hospitality consultancy, HVS, decided to settle in Cape Town. Stephen Rushmore Jr addressed the THINC Africa conference in Cape Town on global hotel valuation trends. "What happens in the United States is indicative of what is happening elsewhere," said Rushmore. "It is at the peak of its hotel cycle, which has seen eight years of consecutive growth. Many more markets are close to, or at peak. So if you're a hotel investor, you need to think about where you get value appreciation." Rushmore said hotel inves...
New York Market Leads U.S. Markets with the Largest Construction Pipeline Followed by Houston and Dallas
Lodging Econometrics | August 30, 2017
August 30, 2017 – PORTSMOUTH, NH – In the second quarter, analysts at Lodging Econometrics (LE) report that the five U.S. markets with the largest hotel construction pipelines by project count are: New York with 190 Projects/31,923 Rooms; Houston with 159 Projects/17,472 Rooms; Dallas with 147 Projects/18,429 Rooms; Nashville with 125 Projects/16,697 Rooms; and Los Angeles with 109 Projects/17,029 Rooms. Dallas has the most New Hotel Openings forecasted for 2017 with 42 Hotels/5,029 Rooms, then New York, which is expected to open 38 Hotels/5,657 Rooms followed by Houston with 31 Hotels/3,182 Rooms. In 2018, New York is forec...
U.S. Travel Association Presents Florida Governor Rick Scott with Distinguished Leadership Award for Commitment to Travel and Tourism
U.S. Travel Association | August 30, 2017
HOLLYWOOD, FL - Florida Governor Rick Scott has received a distinguished leadership award from the U.S. Travel Association in appreciation for his work on travel and tourism promotion. In remarks at the Florida Governor's Conference on Tourism, U.S. Travel Association President and CEO Roger Dow highlighted Governor Scott's successful efforts to attract more visitors to Florida amid challenges that have faced the state. "Throughout his term, Governor Scott has demonstrated an outstanding commitment to travel as a critical pillar of the economy and jobs base in the Sunshine State," said Dow. "Faced with numerous natural and man-made chal...
