Sonnenblick-Eichner Company Arranges $26,750,000 of First Mortgage Financing for Two Northern California Hotels
Sonnenblick-Eichner Company | January 10th, 2023
Hilton to Bring First Waldorf Astoria Property to Costa Rica
Hilton | November 15th, 2022
Paramount Lodging Advisors Closes Out the Sale of the Courtyard by Marriott and Hampton Inn Statesville, NC
Paramount Lodging Advisors | October 28, 2024
Paramount Lodging Advisors (PLA) has successfully transacted the Courtyard by Marriott and Hampton Inn Statesville, NC. PLA Partners Mike Schlictman and Andrew Makhlouf represented the seller in the transactions. The 94-room Courtyard and 80-room Hampton Inn are both proximate to all local leisure demand generators, most notably Statesville Civic Center, Lake Norman, and Statesville Park and Soccer Complex. The properties were sold individually as part of a larger institutional portfolio sale. “As part of our ongoing efforts to deliver exceptional results for our clients, we’re proud to have recently brokered the sales of two instit...
Accor Adjusts Guidance as It Sees Strong Demand at Luxury Hotels
October 24, 2024
By Marta Maciag and Nathan Vifflin (Reuters) -Accor, Europe's largest hotel group by portfolio, on Thursday raised the bottom end of its forecast range for 2024 core profit on strong demand for its luxury hotels. The French group, however, said China was weak, echoing other big hotel groups that are seeing declining demand there. Accor, operator of luxury hotel group Sofitel and budget brand Ibis, now forecasts 2024 gross operating income of between 1.100 and 1.125 billion euros ($1.08 and $1.22 billion), against 1.095 and 1.125 billion euros previously anticipated. "This good performance was driven in particular by the dynamism o...
IMF Cuts Forecasts for German Economy This Year and Next
October 22, 2024
By Maria Martinez NEW YORK (Reuters) -The German economy is expected to stagnate this year, the International Monetary Fund said on Tuesday, cutting its forecast for Europe's biggest economy, while growth is expected in all the other G7 countries. The IMF had forecast 0.2% growth for Germany in its previous forecasts. "Geopolitical strength needs economic strength, this is why I'm worried given the economic situation of the European Union and especially my country," German Finance Minister Christian Lindner said on Tuesday. "At the moment we are not as successful as we should be and as we used to be in the European Union," he said...
Growth Across Pacific Slows as Post-Pandemic Rebound Fades, Says World Bank
World Bank | October 17, 2024
By Kirsty Needham SYDNEY (Reuters) - Growth across the Pacific Islands is expected to slow to 3.6% this year, down from 5.8% in 2023, as a post-pandemic rebound fades and Fiji, contributing half of the region's output, slowed significantly, the World Bank said on Tuesday. A long-term slowdown was caused by weaker investment, increasing climate risks, and structural challenges, a report said. Without immediate action to ramp up investment, Pacific Island nations may struggle to reduce poverty and generate new economic opportunities, it added. The Washington-based global lender said investment had shrunk on average across Pacific Island coun...
Jamie Dimon Charts JPMorgan Expansion Plan Into Africa
JPMorgan Chase | October 17, 2024
By Nupur Anand NEW YORK (Reuters) -JPMorgan Chase, the largest U.S. lender, plans to enter Kenya and Ivory Coast this year and grow its footprint in Africa, CEO Jamie Dimon told Reuters. International markets are a growth area for JPMorgan, which has more than $4.2 trillion in assets and operates in over 100 countries. That compares with Citigroup, which does business in almost 180 countries and has the largest global footprint among U.S. banking giants. "We want to add a country or two (enter or deepen presence) in Africa, every couple of years or so," Dimon said by phone from New York on Friday before departing on a trip to Africa. The c...
Dusit International Partners with Paljor Global Corp for South Asian Expansion
Dusit International | September 26, 2024
Building on their successful collaboration at Dusit Princess Kathmandu hotel, both companies aim to introduce more Dusit brands and businesses in Nepal – and throughout the region. Bangkok, Thailand, 26 September 2024 – Dusit International, one of Thailand’s leading hotel and property development companies, has signed a strategic partnership agreement with Paljor Global Corp Private Limited, a leading Nepalese investment firm and luxury carpet manufacturer, to seek opportunities to introduce Dusit’s diverse offerings in Nepal and throughout South Asia. Building on their successful collaboration at Dusit Princess Kathmandu—ow...
Global Travel and Tourism Sector Deal Activity Fell by 12.6% YoY During January-August 2024
GlobalData | September 19, 2024
A total of 456 deals (mergers and acquisitions (M&A), private equity and venture financing) were announced in travel and tourism sector for the period of January to August 2024, which was a year-on-year (YoY) decline of 12.6% in deal volume, according to GlobalData, a leading data and analytics company. An analysis of GlobalData’s Deals Database revealed that the travel and tourism sector saw the announcement of a total of 522 deals during January-August 2023. Aurojyoti Bose, Lead Analyst at GlobalData, comments: “The travel and tourism sector’s deal activity reflects a cautious approach by deal-makers even though the reg...
HVS U.S. Hotel Development Cost Survey 2024
Luigi Major, MAI | August 19, 2024
By Luigi Major In 2023, the national lodging market continued to achieve high performance levels. While occupancy growth was minimal, compared to the level achieved in 2022, average daily rate (ADR) and revenue per available room (RevPAR) reached all-time highs. This robust performance reflects a strong recovery and growth trajectory following the disruptions caused by the COVID-19 pandemic. Data for 2024 illustrate that the hotel industry has continued to experience minimal improvements in key performance metrics. Despite occupancy remaining relatively flat, both ADR and RevPAR have shown continued growth thus far this year. These healthy...
Aptech Teams With BirchStreet Systems To Bring Procure-to-Pay Processing to Twenty Four Seven Hotels
Aptech | July 17, 2024
Aptech provides hotels with invoice-level, vendor and general ledger spend while BirchStreet Systems manages the remainder of the P2P workflow process PITTSBURGH, July 17, 2024 — Aptech has teamed with Birchstreet Systems to deliver efficiency and automation where it is most needed – the procure-to-pay (P2P) process. Based on customer demand, this collaboration brings together the best in cloud-based enterprise accounting and P2P software to deliver better control over purchase orders, invoicing, budgeting, order delivery, flexible payment options, invoice imaging, and financial review efficiency with drill down from P&L to invo...
HFTP, AHLA and GFC Unveil Groundbreaking 12th Revised Edition of the Uniform System of Accounts for the Lodging Industry (USALI™)
AHLA | July 11, 2024
The USALI is the worldwide, authoritative standard for lodging financial and operating reporting. The adoption date for this newest edition is January 1, 2026. AUSTIN, TEXAS (July 11, 2024) – A newly-revised edition of the Uniform System of Accounts for the Lodging Industry (USALI™) is now available, published by Hospitality Financial and Technology Professionals (HFTP®). The publication is available for purchase and download here. The revision process for the 12th Revised Edition has been overseen by the Global Finance Committee (GFC), jointly sponsored by the American Hotel & Lodging Association (AHLA) and HFTP. The G...
Measuring Economic Impact Is a Win-Win for Developers and Municipalities
David J. Sangree | June 28, 2024
June 2024, by David J. Sangree, MAI, CPA, ISHC Introduction: At a time when financing for hospitality development projects is challenging for developers, it can often mean that some projects won’t ever come to fruition. At the same time, municipalities would like to increase their hotel or resort offerings to attract travelers to their destinations while remaining fiscally responsible. When developers seek government assistance for development projects, state and local authorities must balance the needs of developers in the community with the financial realities of the project. Commissioning an economic impact study will provide important ...
How the Right Asset Management Firm Helps Optimize Hotel Investments
Kasia Russell | June 27, 2024
When implemented effectively, partnering with the right asset management firm can help maximize investor returns and real estate property values. Asset management is particularly important in this post-pandemic environment where macroeconomic conditions are in constant flux, geopolitical issues continue to intensify, and domestic monetary policy has considerable implications for real estate wealth management. These factors present both challenges and opportunities; however, without the proper analysis and expert tactics of skilled asset managers, risk becomes more difficult to anticipate and opportunities more challenging to harness. The ...
Alternative Financing to Help Close Hotel Deals
Emil Iskandar | June 12, 2024
Like other commercial real estate (CRE) sectors, the hospitality industry has seen a drop in deal volume. The very stubborn inflation level kept benchmark lending rates elevated for most of last year, and this trend is expected to continue this year. To make matters worse, lenders—particularly local and regional banks—are facing their own issues with maintaining sufficient liquidity to make loans, as well as managing CRE concentration and sub-performing loans in their books. The pool of active hospitality lenders is arguably much smaller today, and those who are still actively lending are very selective in adding new loans to their balanc...
Navigating the Future of Extended-Stay Hotels: Opportunities and Challenges
Ned Washburn | May 2, 2024
By Ned Washburn The extended-stay hotel sector has experienced a remarkable evolution over the past decade, emerging as a significant component of the hospitality industry. This growth is driven by a unique blend of benefits for both guests and investors, strategic design elements, and its adaptation to the changing dynamics of travel and work. However, like any burgeoning sector, it faces its own set of challenges and opportunities, particularly in the contexts of economic development, rising costs, and global industry impacts. Extended-stay hotels offer a distinct value proposition to guests, providing a home-like environment with ame...
Q1 2024 Major U.S. Hotel Sales Survey
Daniel Lesser | May 2, 2024
By Daniel H. Lesser While the U.S. economy continues to expand and is currently a major driver of global growth, inflation has recently ticked up after falling considerably from a peak of 9.1% nearly two years ago. Many now perceive that in the near term, the U.S. Federal Reserve will not reduce borrowing costs, and some anticipate a resumption of raising rates by early 2025. Unless a severe economic downturn occurs, interest rates are likely to remain relatively elevated for an extended period. A tight labor market and strong household net worth have led to remarkable resilience in U.S. consumer spending as Americans continue to enjoy...
Sonnenblick-Eichner Company Arranges Strategic Joint Venture Equity Investment for Pacific City Lodging Portfolio, Pacific City, Oregon
Sonnenblick-Eichner Company | April 22, 2024
Los Angeles, CA – April 22, 2024 – Sonnenblick-Eichner Company has arranged a strategic joint venture equity investment into the ownership entity of the Pacific City Lodging Portfolio, located in Pacific City, Oregon. The Pacific City Lodging Portfolio is an irreplaceable collection of iconic oceanfront resort properties comprised of the Headlands Coastal Lodge & Spa, the Inn at Cape Kiwanda, Hart’s Camp, and the Cape Kiwanda RV Park. Noble House Hotels & Resorts of Kirkland, Washington provided the investment into the partnership. This investment from Noble House allowed the existing ownership an opportunity to realize equit...
Hospitality Financial Leadership: The Top 10 Cash Controls
David Lund | April 15, 2024
By David Lund Cash is King. That’s an old expression but it’s also one that still rings true today. Everyone likes cash even if we don’t carry so much with us personally anymore. It’s important to recognize that some people will help themselves to your cash if you let them. That might sound extremely clinical and you’re right it is, but it’s also a fact. The only way to minimize your risk is to have a set of controls in place to keep honest people honest and the less than trusty, on their back foot. That’s what this piece is all about – keeping more of what’s yours and making sure it’s properly controlled. Cash contr...
2023 European Hotel Transactions
Matthias Hecht | April 4, 2024
By Matthias Hecht, Serena Yang, Gauthier Champlong Introduction High inflation and consequential rises in interest rates had major impacts on investment markets throughout 2023, including slowed hotel transaction activity in Europe. Reaching €10.7 billion overall[1] , total volume was 19% lower than in 2022, which represented the second lowest level of investment in the last decade. There were 6% fewer transactions than in 2022, indicating that the average price per room was also down in 2023. Source: HVS – London Office Total Transaction Volume Chart 1: Total Assets Average Price Per Room 2015-23 Source: HVS ...
Riding the CFO Roundabout: Securing Hospitality’s Financial Leadership Future
Bill Conn | April 4, 2024
By Bill Conn CFOs are on the move. Since 2022, the hospitality sector has witnessed a dramatic shift in its financial leadership environment. Data shows that during the first six months of 2023, 103 CFO (Chief Financial Officer) changes occurred in Fortune 1000 companies.[1] This number represents a 30% increase from the 79 changes in the same period in 2022. From a hospitality perspective, this CFO “carousel” and the high demand in 2023 for CFOs and other finance executives is unlike anything the industry has ever experienced. The demand for top talent has risen across all disciplines, but 2023 was definitely the year of the CFO. Sur...
Sonnenblick-Eichner Company Arranges $19,500,000 of First Mortgage Financing for Texican Court, Irving, Texas
Sonnenblick-Eichner Company | April 2, 2024
Los Angeles, California – Sonnenblick-Eichner Company on behalf of Valencia Hotel Group, has arranged $19.5 million of first mortgage debt to refinance the Texican Court hotel in Irving, Texas. The non-recourse five-year, fixed-rate loan was funded by a Wall Street investment bank. The loan is interest-only for the entire term at an interest rate of 7.74%, which included a buydown of the rate required by the lender. Built in 2019, the 152-room upscale boutique hotel features a retro-aesthetic design of the mid-century motor court with elements inspired by “Old Texas” architecture. Amenities include a full restaurant, poolside bar,...
Hotel Investment in the Alps Heats Up
JLL | March 26, 2024
Climate change is driving record transaction levels in high-altitude, luxury hotels Long famed for its ski resorts, mountain towns in the French Alps have recently seen an uplift in investor interest. The Savoie and Haute-Savoie regions alone have seen hotel transaction volumes double over the past two years, breaking records with more than €800 million ($875 million) of hotel deals closed, JLL data shows. “Due to the warming climate, and limited new supply of ski resorts, more snow-sure locations at higher altitudes are commanding premium values,” says Matthieu Subit, JLL’s Vice President of Hotels and Hospitality for EMEA Cap...
Otelier Launches Rec: The Automated Financial Reconciliation Tool to Drive Profits
Otelier | March 19, 2024
Otelier Rec, a software tool that can automate reconciliation workflows to save hotels thousands of dollars per month, is the newest addition to Otelier’s unified performance optimization platform. ATLANTA, MARCH 19, 2024 – Otelier, the hospitality performance optimization platform that puts data and efficiency at the heart of hotel operations, has launched an innovative new product, called Otelier Rec, that automates financial reconciliation workflows, saving hotels potentially thousands of dollars per month. Rec tackles the increasingly difficult challenge of identifying and resolving discrepancies in financial records, preventin...
Industry-Leading Finance Technology To Be On Display at ‘Hunter Hotel Investment Conference’
Aptech | March 13, 2024
As a Silver Sponsor, Aptech will showcase the latest in enterprise accounting, business intelligence, and budgeting/forecasting automation in Booth #812 PITTSBURGH, March 13, 2024 — With relationship building always top of mind, Aptech will be exhibiting at the 35th Annual Hunter Hotel Investment Conference to display its integrated enterprise accounting, business intelligence, and budgeting/forecasting software for hotels. To be held March 19 to 21 at the Atlanta Marriott Marquis, the event is designed to foster networking and create connections. In addition to learning about upcoming investment trends and connecting to the indust...
Avison Young Closed 12 Hotel Transactions Over Last 90 Days
Avison Young | March 11, 2024
ATLANTA – March 11, 2024 – Avison Young announces today that the firm has closed 12 hotel transactions over the last 90 days. Four of the sales were Hilton-branded hotels, two were Marriott-branded hotels, and an IHG and other brands made up the balance. Geographically the hotels were located in the following states – IN, KY, PA, CO, VA, AR, MA, GA, and TN. Of special note, Thierry Roch and Rick George closed a sale on a boutique hotel in the Cape Cod area for close to 1m per room and Chris Kilcullen closed the sale for the upscale Ascent on Main in Parker, CO. Chris Stark, Brad Sinclair, Mike George, Thierry Roch and Rick George were t...
