International Visitors Spent Nearly $20.1 Billion Traveling Within the United States in March
National Travel and Tourism Office (NTTO) | May 23rd, 2024
CBRE Expects RevPAR Growth to Improve in H2 2024, Driven by Holiday and International Travel
CBRE Group, Inc. | May 16th, 2024
U.S. Pipeline Growth Continues to Accelerate as Operating Metrics Hit Record High
Lodging Econometrics | May 19, 2015
May 19, 2015 - PORTSMOUTH, NH - Now at 3,885 Projects/488,230 Rooms, the Total Construction Pipeline has shown seven consecutive quarters of growth, with the last three quarters posting Year-Over-Year (YOY) gains of 20% or greater. The Pipeline is approximately half way though the expansion phase of the current real estate cycle but is still a third below the peak of 5,883 Projects/785,547 Rooms established in the first quarter of 2008. The Pipeline has at least two more years of rapid growth ahead before entering the maturity, or "topping out," phase of the cycle. US Construction Pipeline Projects Under Construction and those Schedule...
Fitch Ratings: Hotel and Lodging Radar Screen
May 19, 2015
Starwood Considering Strategic Alternatives: Starwood Hotels & Resorts and Host Hotels & Resorts discussed options to create shareholder value that could potentially include creditor unfriendly strategies during their respective 1Q15 earnings conference calls. Starwood indicated that "no options are off the table" as part of a formal review of the company's strategic and financial alternatives it will undertake to increase shareholder value. Fitch views the most likely outcomes as a transformative merger (with Starwood likely the target) or brand acquisition. Real estate private equity funds are also awash in cash and could cons...
Fixed Expenses Aren’t Really Fixed!
Kirby D. Payne | May 18, 2015
By Kirby D. Payne, May 15, 2015 In most hotel P&Ls, usually towards the bottom, is a heading called Non-Operating Income and Expense, formerly known as Fixed Expenses. Few costs are uncontrollable in a hotel. There are simply some expenses which take longer to reduce than others! Somewhere on most hotel financial statements, usually towards the bottom, is a major heading called Non-Operating Income and Expense. Before the 11th Edition of the Uniform System it was known as Fixed Expenses. I firmly believe that General Managers and Comptrollers created the former title for two reasons: Either owners handled the items bundled in there...
Executives to Discuss Differentiating Brands in a Sharing Economy
GBTA Convention | May 15, 2015
ALEXANDRIA, Va., May 15, 2015 -- The Global Business Travel Association (GBTA) – the voice of the global business travel industry – today unveiled another panel in an exciting line-up of speakers for GBTA Convention 2015, July 25-29 in Orlando, Florida. Differentiating Brands in a Sharing Economy Monday, July 27, 9 a.m. Moderator: Guy Langford, Vice Chairman, Deloitte LLP, and U.S. Travel, Hospitality and Leisure practice leader Panelists: Kaye Ceille, President, Zipcar Chip Conley, Head of Global Hospitality & Strategy, Airbnb Federico Gonzalez Tejera, CEO, NH Hotel Group Greg Stubblefield, Chief Strategy Officer and Executive ...
Convenience Trumps Cost for Business Travelers
the GBTA Foundation | May 12, 2015
Says Inaugural GBTA Business Traveler Sentiment Index™, in Partnership with American Express Millennials Take the Lead Using Newer Travel Services and Social Media NEW YORK, May 12, 2015 -- Business travelers value convenience over cost savings, according to new research from the GBTA Foundation, the education and research arm of the Global Business Travel Association (GBTA), in partnership with American Express. According to the first in a series of GBTA Business Traveler Sentiment Index™ reports, U.S. business travelers put a high premium on convenience, particularly when it comes to their flight schedule choices. When booking fli...
U.S. Hotel Supply Growth Still in Check with Demand
Susan Furbay | May 12, 2015
by Susan Furbay MAY 2015 Years of rising average daily rates and demand, among other factors, have made the ground fertile for new hotel supply. How will the growing pipeline of new hotels impact hotel markets in the near term? The U.S. hotel industry has reaped sizable benefits from the remarkable growth in the U.S. since the Great Recession. Nationwide lodging demand has been up year after year. RevPAR growth in 2014 was one of the highest on record, and demand across all chain scales shows every sign of accelerating in 2015. This is particularly true for urban gateway markets, where high demand for rooms allows owners to raise rate...
3 Hot Topics Presented at the HOLA Investment Conference 2015
May 11, 2015
By Mariana Jackson The 2015 HOLA (Hotel Opportunities Latin America) Conference took place April 28-30 at the J.W. Marriott Marquis Hotel in Miami. The conference projected a focus on occupancy in Central America since supply has been outpacing demand since mid-2012. An emphasis on this current strategy to attract demand is critical to support further hospitality development in Central America. Plenary sessions, however exuded enthusiasm and optimism. Here is just a handful of the critical "takeaways" from last week's HOLA event: 1) What is the Outlook for Destination Cuba - The Undiscovered Country? Not surprisingly, panelists were con...
Cuba: The Legendary Queen of the Caribbean Approaching a Monumental Opportunity
Arturo Garcia Rosa | May 11, 2015
By Arturo Garcia Rosa Cuba. It is now six years since I first started to take a personal interest in the country and when I began to travel there. I wanted to explore the traditional destinations and attractions and meet the important decision makers at the Ministry of Tourism. I've also had the opportunities to meet the premier players in hospitality in Cuba and the Cuban hotel companies. For the largest island in the Antilles, the one-time "Queen of the Caribbean," changes are becoming significant and, in terms of the travel industry, they are even greater than expected. It is true that the announcement made by United States President...
Three Key Takeaways: 2015 HELP – Hotel Equity & Lender Perspectives Conference
Anne R. Lloyd-Jones | May 5, 2015
By Anne Lloyd-Jones, Brian Bisema, and Preston Puleo Hotel experts and stakeholders convened in Boston to present positive trends in U.S. hotel lending, development, performance, and values. For Boston-area hoteliers, the potential impacts of a 2024 Olympics bid took center stage. The fourth-annual Hotel Equity & Lender Perspectives (HELP) Conference was held at the Seaport Boston Hotel, situated on the waterfront overlooking Boston Harbor. Fittingly, the conference theme was "Making Waves," and panel discussions hinged on forces of stimulation and disruption in the U.S. hotel industry. With approximately 400 attendees, the HELP c...
What Does the California Drought Mean for the Hospitality Community?
Diane Vondrasek | April 30, 2015
By Diane Vondrasek This article summarizes the impact of the California drought on the hospitality community, including a review of the recent Executive Order on water conservation and its impacts on water availability, rates, and hotel operating practices. As you have probably heard in the news lately, California is experiencing its worst drought in recorded history. There was less rainfall in 2013 than in any year since California became a state 165 years ago. Precipitation and snowpack levels remain well below average, and there does not appear to be an end in sight. To mitigate impacts from the drought, California Governor Edmund G....
Lifestyle Hotels: The Emergence of a New Creative Class
HVS | April 23, 2015
April 2015 How It All Started The Lifestyle niche has gained momentum in recent years and has evolved into an established category of hotels. This article aims to explore the dynamics and behavioral patterns of this unique market and to reveal the emerging trends that encompass this modern subdivision of the industry. The Conception of Lifestyle Hotels The travel industry of the 21st century has been marked by a rising creative movement. Demand is slowly gearing toward the desire for unique experiences based on originality, design, authenticity, and cultural connections. Consequently, the definition of luxury has evolved as it is no lo...
US Cities Achieve World Class Status as Foreign Investment Booms
Kathy Conroy, MAI | April 22, 2015
By Kathy Conroy, Apr 16, 2015 This article offers a comparison of international investment in US Hotels during periods of strong hotel operating performance and a close look at Florida. In September 2013, my colleague at HVS Miami, Andrew Cohan MAI, published an article entitled "Miami's Leap to Global Gateway Status". In that article, Cohan pointed out several interesting facts denoting Miami's shift to a global or world gateway city. One of the factors noted by Cohan was the movement in the HVS Hotel Valuation Index for Miami -- from just above the national average index in 2002 to almost four times the national average index by 2011...
HVS Report Reveals Franchising is the Preferred Method of Expansion
HVS | April 22, 2015
2 April 2015, London: Over half of the world's hotels are now branded properties, with franchising being the operating model of choice for most of the large hotel operators, according to a new report from hotel consultancy HVS London. Five of the largest branded hotel companies (IHG, Accor, Marriott, Hilton and Starwood) make up 30% of the current global branded room supply and 65% of the development pipeline, which demonstrates the increasing shift away from independently operated hotels worldwide. The report, which examines trends in the way hotels are being operated, identifies the proliferation in the number of players and stakehold...
Spring Travel Heats Up with New Group Reservations Leading the Charge
TravelClick, Inc. | April 21, 2015
Hoteliers Advised to Plan Ahead and Generate Advanced Reservations for Peak Travel Period NEW YORK - April 21, 2015 - Hotels in major North American markets continued to maintain positive growth in rate according to data from the April 2015 TravelClick North American Hospitality Review (NAHR). TravelClick's data reports new group reservation pace - up 13 percent year-over-year - is offering an encouraging sign for hoteliers heading into the peak travel season. "While 75 percent of the top North American travel markets are experiencing growth, hoteliers, need to monitor the pace of transient reservations, particularly business travelers ...
Five Key Takeaways from Hunter Conference 2015
Mike Brophy | April 14, 2015
The 2015 Hunter Hotel Conference shone light on how hoteliers can take advantage of present performance trends and high demand. Experts also raised concern over rising costs and a tipping point for new supply. The 2015 Hunter Hotel Investment Conference hit its 27th year in stride, with delegates in hearty spirits after a year of very healthy industry performance. Conference founder and co-chair Bob Hunter has consistently coordinated an event that speaks to the concerns of hotel owners; in fact, the ratio of hotel owners to other industry agents (such as developers, consultants, and lenders) is far greater at Hunter than at the other ...
Six Proven Strategies for Investing in Your Hotel’s Back of the House
Kevin A. Goldstein | April 14, 2015
By Kevin A. Goldstein Hoteliers who invest in their back of the house equipment both reduce their utility costs and minimize the possibility of revenue disruption from failure of key building systems. This article summarizes proven investment strategies in this area. Hotel owners routinely invest capital into the front of the house to drive revenue growth, as well as comply with brand standards and product improvement plans. However, investments into the back of the house are typically only made after building equipment is approaching (or past) the point of imminent failure. Owners and operators who wait to invest in their back of the h...
My Place Hotels of America Selects Rainmaker’s Revcaster Competitive Intelligence
Rainmaker | April 13, 2015
Revcaster Comp-Set Rate Data Maximizes Rates, Evaluates Value of New-Build Projects in Multiple Markets PORTLAND, OR - April 13, 2015 - My Place Hotels of America, LLC, an expanding chain that meets the demands of the economy traveler with properties in 7 states implemented Revcaster competitive data intelligence to standardize and optimize rates and evaluate markets for new properties before they open their doors. Revcaster a Rainmaker Group Solution, maximizes ADR based on same-day competitive rate information and is the trusted leader in flexible, cost effective hotel rate shopping tools. "Revcaster enables My Place Hotel Franchisees...
2015 Hunter Conference Recap
April 7, 2015
Prepared by: Vince Ciepiel Bob Hunter Intro Development Plans – 61% say develop a new hotel in 2015 (in line with the 59% at conf last yr) Baseball again – 6th or 7th inning of a double header (same view as last yr) The Opening Panelists Liam Brown (Marriott), Javier Rosenberg (Carlson) , Pratik Patel (REM) , Rajiv Trivedi (La Quinta) Key Quotes: "Brands looking at my P&L and saying here is how we would help...that's my dream." "AirBNB...don't be taxi drivers....Adapt vs. complain." Themes: Acquisition costs – now exceed replacement in many cases...development should increase Own the guest experience – that's t...
Metamediaries Forcing Hotels to Adapt
Chris Nieberding | April 7, 2015
By Chris Nieberding Online travel agencies (OTAs) were among the first to enter this realm. Today, new companies are attempting to compete with the OTAs through a different business model to control the search platform rather than the booking process itself. Introduction The growing use of online shopping is drastically changing travel consumer behavior. This shift in behavior is transforming the business dynamics of hotels at a rate with which the industry has been unable to attain. The customer now has countless ways to interact with hotels, whether directly or indirectly, on all points of their experience: from the hotel search to t...
DoubleTree San Diego-Hotel Circle Sold
CBRE Group, Inc. | April 7, 2015
Newport Beach, California - April 7, 2015 - CBRE Hotels arranged the sale of the 219-room DoubleTree San Diego-Hotel Circle. The sellers, two locally-based investment entities, sold the property to an affiliate of Oak Coast Properties LLC, a Southern California-based real estate investment company. The buyer purchased the leasehold and land in two separate transactions that closed concurrently. The property will be managed by Portfolio Hotels & Resorts and will continue operating under the DoubleTree by Hilton flag. Financial terms of the sale were not disclosed. The eight-story hotel property includes the Panini Restaurant, meeting...
Revcaster Rate Shopping Data Optimizes Rates for Westmont Hospitality Group Properties
Revcaster | April 1, 2015
Westmont Property Managers Use Real-Time Comp-Set Intelligence for Budgets, Short Term Forecasts PORTLAND, OR - April 1, 2015 - "Revcaster gives my division's GMs a clear, real-time, understanding of their comp-set's rates to help us increase revenue," this from Vinay Zore, regional director of operations for Westmont Hospitality Group. Revcaster LLC, a Rainmaker Group Company, maximizes ADR based on same-day competitive rate information for Westmont and establishes rate parity across OTA channels. Revcaster is the trusted leader in flexible, cost effective hotel rate shopping tools. Westmont Hospitality Group was founded in 1975. What ...
Travel Oregon CEO Todd Davidson Named U.S. Travel National Chair
U.S. Travel Association | March 30, 2015
Committed to Affirming the Importance of Travel to the U.S. Economy and American Life WASHINGTON (March 30, 2015)—The U.S. Travel Association on Thursday announced the appointment of Todd Davidson, CEO of Travel Oregon, as its new national chair. Davidson, who previously served as the association's first vice chair, succeeds Interstate Hotels & Resorts CEO Jim Abrahamson. "We are thrilled to welcome Todd as our new national chair," said U.S. Travel Association president and CEO Roger Dow. "With the travel industry driving U.S. economic growth, jobs and exports, Todd is well-positioned to further expand the reach and influence of ...
Global Hotel Ranking 2015: A Second Chinese Operator Climbs Into the Top 10
MKG Group | March 26, 2015
The takeover of the French Operator Louvre Hotels Group by the Chinese group Jin Jiang, announced at the end of 2014 and finalized at the beginning of the year 2015, boosts the Asian group into 10th place in the global ranking of hotel operators with a total of 241,910 rooms operational as of January 1st. Jin Jiang is thus the second Chinese group to join the Top 10, after Home Inns which already ranked 9th last year. Methodology: Differences with respect to data published by certain groups listed on the Stock Exchange may be explained by the fact that the 2015 ranking is realized on a constant structure basis for all groups mentioned: ...
Fitch Ratings Lodging & Leisure Update Reveals Growth Decelerating, but Remains Solid
Fitch Ratings | March 25, 2015
Growth Decelerating, but Still Solid: Fundamentals in the U.S. lodging industry will remain strong during 2015 against the backdrop of accelerating U.S. GDP growth and low levels of new supply. Robust demand has boosted occupancy rates, providing hotels with material pricing power. We expect U.S. RevPAR to increase by 6% during 2015, based on a 1% increase in occupancy and 5% ADR growth. Measured Supply Growth: We expect hotel supply to grow during 2015, up modestly from 0.9% in 2014. Although development is picking up, it remains comfortably below the 1.8% average growth rate over the last 25 years. Pockets of oversupply have emerged i...
