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
Hospitality Lodging Systems Grows Significantly in 2021
January 26, 2022
Hospitality Lodging Systems (HLS) grew during 2021 by 16% in hotels and 21% in rooms, ending the year with 73 hotels and 5,967 rooms. Of these properties, 42 with 4,201 rooms operate under the Budgetel Inn & Suites brand; 21 with 1,171 rooms operate under the AmeriVu Inn & Suites brand; and 10 with 595 rooms operate as Haven Hotel. This compares to the end of 2020 when HLS had 63 hotels with 4,929 rooms. “We are attracting owners who want to keep more of the money they earn, which is especially appealing in today’s post-pandemic marketplace when improving ROI is a top priority,” said Doug Collins, Chairma...
Avison Young Hospitality Group – Hotel Closings
Avison Young | January 19, 2022
ATLANTA, GA – January 19, 2022 – Avison Young announced today that over the past four weeks they have closed sale transactions on the following hotels. Kimpton Hotel Monaco Chicago IL, a 15 story IHG hotel in downtown Nashville TN, The Fall River Resort, Estes Park CO, Hampton Inn Newburgh NY, Hampton Inn Central Valley NY, Outlanders River Resort, VA, Home 2 Suites, Middletown NY, Two Marriott assets Charlotte NC, Hilton Garden Inn Cranberry PA, Hampton Natchez MS and seven other branded hotels The brokers involved in the closings were Chris Stark, Andy Broad, Brad Sinclair, Michael Bernath, Chris Kilcullen, Wendy Blissett, Mike Georg...
PM Hotel Group Announces Merger With Modus Hotels
PM HOTEL GROUP | January 18, 2022
Chevy Chase, MD – January 18, 2021 – PM Hotel Group, one of the US’ leading hotel management companies, today announces its merger with Modus Hotels. The company’s expanded lifestyle portfolio will combine Modus’ proven operational excellence and diverse lifestyle properties with PM Hotel Group’s proven record of success. Together the union will deliver extraordinary hospitality experiences for guests while driving performance and maximizing profitability for owners. “Our approach and values have been aligned with Modus’ for years. The opportunity now to join together to harness our combined talent, teamwork and expert...
Summit Hotel Properties Completes Acquisition of NewcrestImage Portfolio
Summit Hotel Properties | January 14, 2022
Austin, TX - January 14, 2022 - Summit Hotel Properties, Inc. (NYSE: INN) (the “Company” or “Summit”) today announced that it has completed an initial closing of the previously announced portfolio acquisition through its existing joint venture with GIC from affiliates of NewcrestImage. The initial closing included 26 of the 27 hotels totaling 3,533 guestrooms, two parking structures, and various financial incentives. The remaining hotel to be acquired is the currently under construction 176-guestroom Canopy by Hilton New Orleans which is nearing completion, and the joint venture expects to close on the acquisition of the hotel during ...
NewcrestImage Becomes Minority Shareholder and Selects Aimbridge Hospitality for Management of 27-Hotel Portfolio
Aimbridge Hospitality | January 14, 2022
DALLAS, TX – January 14, 2022 – NewcrestImage, an award winning hotel development company based in Dallas, announces it will transfer its existing hotel management agreement rights to Aimbridge Hospitality, a leading, global hospitality company, and the two companies have identified new growth opportunities together. Specifically, NewcrestImage and Aimbridge will build on their respective strengths, with NewcrestImage developing and acquiring new hotels and Aimbridge further building on its value added services as one of the largest global hotel operators. NewcrestImage has acquired minority ownership in Aimbridge Hospitality. “We a...
Sonnenblick-Eichner Company Arranges $39 Million Interim Leasehold First Mortgage Financing for Moxy Portland Downtown Hotel in Portland, OR
Sonnenblick-Eichner Company | January 13, 2022
Beverly Hills, CA - January 13, 2022 - Sonnenblick-Eichner Company has arranged $39 million of non-recourse interim leasehold first mortgage financing for Moxy Portland Downtown, a 197-room hotel located in the West End District of downtown Portland, OR. The hotel opened in March 2021 and consequently has limited operating history. Proceeds from this financing were used to pay off the construction loan, provide funds for an interest reserve as well as closing costs and fees. The five-year LIBOR-based floating rate loan was sized to approximately 76% of total project costs. The property was developed and is managed by Graves Hospitality...
KSL Capital Partners Enters Majority Ownership of Eden Hotels in The Netherlands
KSL Capital Partners | December 20, 2021
Amsterdam – December 20, 2021 – Eden Hotels (“Eden”), the Dutch hotel group owned by the Dijkstra family, announced today that an affiliate of KSL Capital Partners (“KSL”) made a majority investment into the group. The Dijkstra family will retain a significant minority stake in the group, and Eden CEO Leon Dijkstra will remain in his role in Eden Hotels. The combined ambition is to expand Eden Hotels into Europe. Terms of the investment are undisclosed. Eden Hotels owns and operates 14 hotels with almost 2,000 rooms predominantly in Amsterdam and other major Dutch cities. The business has been built up by the Dijkstra family ov...
Recovery of U.S. Hotel Profitability Stalled in October
STR | December 6, 2021
HENDERSONVILLE, Tennessee — December 4, 2021 — U.S. hotel profitability increased from the previous month on a per-available-room basis but was down when indexed to 2019, according to STR‘s October 2021 monthly P&L data release. All of the key profitability metrics increased from September as October is historically a higher revenue month. GOPPAR: US$62.75 TRevPAR: US$165.03 EBITDA PAR: US$44.14 LPAR (Labor Costs): US$52.17 Estimated industrywide gross operating profit was 89% of the 2019 comparable, after coming in at 97% when using the same index comparison in September. Labor costs reached 91% of p...
Condor Hospitality Completes Sale of Its 15 Hotels Portfolio
Condor Hospitality Trust, Inc. | November 23, 2021
NORFOLK, NE – November 23, 2021 – Condor Hospitality Trust, Inc., a hotel-focused real estate investment trust (“REIT”) headquartered and incorporated in the state of Maryland, today announced that it has completed the sale of the Company’s 15 hotels. The sale of the hotels was completed pursuant to the previously announced Hotel Purchase and Sale Agreement, dated September 22, 2021, between the Company and B9 Cowboy Mezz A LLC, a Delaware limited liability company and an affiliate of Blackstone Inc. (the “Buyer”), in which the Company agreed to sell the hotels to Buyer and Buyer agreed to purchase the hotels for a purchase p...
Valor Hospitality Partners Announces Joint Venture With Moroccan Real Estate Operator, Yamed Group
Valor Hospitality Partners | November 23, 2021
ATLANTA, GA – November 23, 2021 – Valor Hospitality Partners, a global, full-service hotel acquisition, development, management and asset management company, announced today their joint venture, Valor Hospitality North and West Africa (NWA), in partnership with industry leading real estate asset manager, investor, and operator, Yamed Group. This joint venture highlights the pairs’ ambition to be the leader in hotel investment and management through Morocco, Tunisia, Egypt, Senegal and Ivory Coast. The new partnership utilizes Valor Hospitality Partners’ unique industry expertise from managing over 80 global hotel assets througho...
OTA Insight Raises $80M Series B Funding From Spectrum Equity to Bring Data-Driven Decisions to Hospitality Industry
OTA Insight | November 18, 2021
The dynamic market intelligence platform empowers hospitality providers across the globe to make better-informed commercial decisions. London, Denver & Singapore – November 18, 2021 – OTA Insight, the global leader in cloud-based hospitality business intelligence, has raised $80 million from Spectrum Equity, a leading growth equity firm focused on internet-enabled software and transformational data companies. Spectrum Equity joins existing OTA Insight investors Eight Roads, F-Prime Capital and Highgate Technology Ventures. This latest investment will support the company in furthering its mission to enable smarter commercial decision...
New Capital and Strategies Targeting Hospitality
Daniel MacDonnell | November 10, 2021
By Daniel MacDonnell, Bradley Hoban Given the significant traction in distribution of the COVID-19 vaccines throughout the United States and general international travel restrictions, leisure travel has begun to recover in 2021 and is expected to continue increasing, with Americans seeking so-called “revenge travel” to a domestic getaway. Business travel is also beginning to show signs of recovery, and some group business related to conference attendance is returning. While the lodging recovery is still rather disjointed throughout the U.S., emerging optimism has led to the restart of hotel construction and a marked increase in tradin...
Summit Hotel Properties Acquires NewcrestImage 27-Hotel Portfolio for $822M
Summit Hotel Properties | November 4, 2021
AUSTIN, TX – November 4, 2021 – Summit Hotel Properties, Inc. (NYSE: INN) (the "Company" or "Summit") today announced that it has entered into a definitive contribution and purchase agreement to acquire a 27-hotel portfolio totaling 3,709 guestrooms, two parking structures and various financial incentives through its existing joint venture with GIC for total consideration of $822 million (the "Transaction") from affiliates of NewcrestImage. The total consideration for the Transaction is comprised of $776.5 million, or $209,000 per key, for the 27-hotel portfolio, $24.8 million for the two parking structures and $20.7 million for the var...
Marriott International Reports Third Quarter 2021 Results
Marriott International | November 3, 2021
Marriott International, Inc. (NASDAQ: MAR) today reported third quarter 2021 results. Anthony Capuano, Chief Executive Officer, said, “We were pleased to see continued meaningful improvement in global trends in the third quarter, despite the impact of the Delta variant during the second half of the quarter. For the quarter, worldwide RevPAR[1] was down 26 percent compared to the 2019 third quarter, a significant improvement from the second quarter RevPAR decline of 44 percent compared to the same quarter in 2019. Third quarter occupancy topped 58 percent, driven largely by continued strength in leisure demand. Average daily rate, which ...
Canada’s Hotel Construction Pipeline Continues to Show a Slight Decline at Q3’21 Close
Lodging Econometrics | November 1, 2021
PORTSMOUTH, NH – November 1, 2021 – Analysts at Lodging Econometrics (LE) report that, in the third quarter of 2021, Canada’s hotel construction pipeline stands at 257 projects/34,167 rooms. Pipeline projects declined slightly at the close of Q3’21, down 7% by projects and 5% by rooms, year-over-year (YOY). Projects under construction stand at 70 projects/9,039 rooms, down 20% by projects and 12% by rooms YOY. Projects scheduled to start construction in the next 12 months stand at 85 projects/10,449 rooms, down 17% by projects and 13% by rooms YOY. Projects in the early planning stage show an increase in Q3, with 102 projects/14,67...
Swire Properties Sells EAST, Miami to Trinity and Certares
Swire Properties Inc. | October 28, 2021
MIAMI, FL – October 28, 2021 – Swire Properties Inc., one of South Florida’s leading international developers, announced today that it has completed the sale of the 352-key EAST, Miami hotel to a joint venture among funds managed by Trinity Fund Advisors LLC, an affiliate of Trinity Real Estate Investments LLC (“Trinity”), and funds managed by Certares Real Estate Management LLC (“Certares”). The deal represents a significant real estate transaction in Miami’s hospitality sector, having attracted numerous competitive offers. Swire Hotels, a division of Swire Properties Limited, will continue to manage and operate EAST, Miami u...
Agilysys Reports Fiscal 2022 Second Quarter Revenue of $37.9M
Agilysys | October 27, 2021
Reports Record Recurring Revenue of $24.0M Inclusive of Record Subscription Revenue of $11.1M Reports Adjusted EBITDA of $6.3M and Positive GAAP EPS of $0.02 With Quarterly Free Cash Flow of $3.2M and Cash Balance Increase of $2.5M to $106.4M Alpharetta, GA – October 26, 2021 - Agilysys, Inc. (Nasdaq: AGYS), a leading global provider of next-generation SaaS and on-premise hospitality software solutions and services, today reported operating results for its fiscal 2022 second quarter ended September 30, 2021. (Please click here for complete financial information) Summary of Fiscal 2022 Second Quarter Financial Results Total net...
Q3 2021 Major U.S. Hotel Sales Survey
Daniel Lesser | October 14, 2021
By Daniel Lesser The U.S. economy is expected to grow roughly six percent for the year, however with one quarter to go in 2021, this year has done its best to be as tumultuous and volatile as the last. It feels like we’ve been on this road for a while, with the same kinds of bumps to navigate including COVID, deepening supply chain issues, higher energy prices, a recent cutback in consumer spending, and the scarcity of materials. What everyone had hoped would be a more normalized environment has turned out to be anything but that. After a rapid rebound in U.S. economic growth during Q2 2021, news of the fast-spreading Delta coronaviru...
Baird/STR Hotel Stock Index Rose 5.2% in September
Baird | October 12, 2021
HENDERSONVILLE, Tennessee, and MILWAUKEE — October 12, 2021 — The Baird/STR Hotel Stock Index rose 5.2% in September to a level of 5,167. Year to date through the first nine months of 2021, the stock index was up 13.0%. “Hotel stocks rebounded strongly in September and finally broke their streak of six consecutive months of relative underperformance,” said Michael Bellisario, senior hotel research analyst and director at Baird. “Delta variant concerns mostly subsided during the month, and hotel stocks benefited from higher interest rates and the broader market rotation that lifted all travel-related stocks.” “The post-Lab...
The REIT M&A Boom Continues With Record-Breaking Year
JLL | October 7, 2021
CHICAGO, IL – October 6, 2021 – Outperforming strong expectations and driven both by strategic and private capital, 2021 has already been a record year for REIT M&A, which hit $108 billion in transaction volume as of September 30, 2021. JLL’s Capital Markets M&A and Corporate Advisory group’s new M&A and Strategic Transactions Monitor report details the positive themes in the public capital markets space contributing to this unprecedented M&A surge. REITs have shown strong earnings growth in 2021, with 63% of REITs beating consensus FFO estimates in the second quarter of 2021. This has contributed to REITs out...
Hotels Owners Interested in Interest
Robert Mandelbaum | October 1, 2021
By Robert Mandelbaum, Mark K. Owens The decline in the operating performance of U.S. hotels during 2020 has been well documented. According to the results of CBRE’s 2021 edition of Trends® in the Hotel Industry, total operating revenue during the year declined by 62.2 percent, which resulted in an 82.6 percent drop in gross operating profits (GOP). Similar to the decline in total operating revenues, the 30-day average annual LIBOR rate declined by 68.9 percent. 30-day LIBOR is historically the benchmark rate used by lenders for floating-rate loans, which are a preferred loan type of most institutional hospitality investors. Dec...
NewcrestImage Sells Hyatt Place in Amarillo, Texas to an Affiliate of KAMP Hotels, LLC
NewcrestImage | September 30, 2021
September 30, 2021 – NewcrestImage has sold its 91-room, four-floor Hyatt Place in western Amarillo to an affiliate of KAMP Hotels, LLC. The hotel opened in December of 2019. “The Hyatt Place is an attractive opportunity for us because of its high-traffic, high-visibility location in the heart of the city’s medical district,” said Kevin Nelson of KAMP Hotels, which is headquartered in Amarillo. Another affiliate of KAMP Hotels recently purchased a nearby property from NewcrestImage – the 90-room, 4-floor Tru by Hilton, located immediately adjacent to the Hyatt Place and open since August of 2018. KAMP Hotels also owns and ...
MGM Resorts International Closes Purchase of Infinity World’s 50% Interest in CityCenter for $2.125B
MGM Resorts International | September 29, 2021
LAS VEGAS, NV - September 28, 2021 - MGM Resorts International today announced the closing of the previously announced purchase of Infinity World Development Corp's ("Infinity World") 50 percent interest in CityCenter Holdings, LLC for $2.125 billion. In addition, MGM Resorts and Blackstone have also closed the previously announced sale-leaseback agreement for Blackstone to acquire the real estate assets of Aria and Vdara for $3.89 billion. Following the transaction, MGM Resorts has leased the property from Blackstone and continues to manage, operate and be responsible for all aspects of the property on a day-to-day basis. In connect...
Knighthead Funding Provides $19 Million Loan for Full-Service Hotel in Dallas, TX.
Knighthead Funding LLC | September 27, 2021
Greenwich, CT — September 27, 2021 — Knighthead Funding LLC (“Knighthead”) has provided Napali Capital (the “Sponsor”) with a $19 million first mortgage loan for the acquisition of a 152-room full service hotel in Dallas, TX. The financing is secured by the Tru Hotel by Hilton, a full-service, 152-key property located at 1949 N. Stemmons Freeway in Dallas’ Design District. The property’s location makes it a desirable destination for both corporate and leisure travelers. It sits in close proximity to the Dallas Market Center, one of the world’s largest wholesale merchandise marts, as well as Trinity Groves, a 15-acre resta...
