The DJIA fell 697 points, Nasdaq was down 295, the S&P 500 was down 82 and the 10-year treasury yield may soon see 4%, up another .13 to 3.96%. Lodging stocks were lower. There was only one mover of note, SLNA with a -6% drop getting near an all-time low today, but there was a sea of red on the screen today.
DiamondRock Hospitality reported a solid 4Q. DRH had given preliminary results in January but still beat expectations even with comparable RevPAR below consensus as margins made up the difference. DRH did not give forward guidance except that they would be spending $100 million to $115 million on capex this year.
IHG reported a good quarter but the highlight was the announcement of a $750 million share buyback for 2023, bigger than analysts expected. IHG said RevPAR in the Americas was up 17% in the fourth quarter year over year and up 9% over 4Q2019.
A total of 38 hotel deals were announced in the sector globally in January 2023, which is a decline of 42.4% in terms of deals volume compared to the previous month. An analysis of a financial deals database revealed that key markets such as the US, the UK, China, Australia, and Japan experienced a decline in deals volume in January 2023 compared to the previous month. There was a decline of 36.8%, 50% and 50% in the number of merger and acquisition deals, venture financing deals, and private equity deals respectively.
Manhattan Hotel Group Capital purchased the 251-room DoubleTree by Hilton Suites Anaheim Resort Convention Center, in Anaheim, California, from O’Connell Hotel Group, marking the fourth largest hotel deal in the last year in Orange County. The full-service hotel has 7,500 square feet of meeting space and three restaurants. MHG funded the purchase with a $40.3 million loan from Taiwan Cooperative Bank Ltd.
IHG Hotels & Resorts announced the opening of its newest property, The Holiday Inn & Suites Detroit – Troy located in Troy, Michigan. Owned by Troy Lodging, LLC, the property features 146 guest rooms, 2,000 square feet of meeting space, an onsite business center, restaurant, indoor pool and fitness center.
Construction is complete on 50 Trinity Place, a 28-story Hotel Indigo in the New York City’s Financial District. Developed by FIT Investment Corporation, the project offers 173 guestrooms.
In November 2021, Dreamscape Companies purchased The Saint Hotel, in Charleston, South Carolina, as part of a larger portfolio it acquired. The company’s first foray into the local lodging market, the 45-room hotel will open in March as The Palmetto. Aimbridge Hospitality will manage the property
After years of delays, the Orchid Tree Resort and Spa project, in Palm Springs, California, has no end in sight. The proposed 74-room hotel, which includes a restaurant, spa and meeting space has been in the works since 2014, however the project recently missed two key deadlines. The project’s developer Richard Weintraub requested changes to his agreement with the city. Among a number of other propositions, Weintraub asked for an extension to break ground until March 2024 and to keep 100% of the resort’s transient occupancy tax for the first 10 years of operations, while also delaying payment of city fees.
In Charlevoix, Michigan, a new hotel project has been proposed by C4C Land Development. Preliminary drawings show a 51-room, three-story building with 27 rooms on the second floor, 24 on the third floor, a main-level parking garage and a rooftop garden area. The hotel development would require razing the existing office building and parking lot.
A new hotel, Pacific 19 Kona, is slated to open this spring in Kailua-Kona on Hawaii Island. The 112-room property occupies one of the two buildings that comprised Kona Seaside Hotel. Nine Brains acquired the building in 2020 for an undisclosed sum. The other 30-room building of the Kona Seaside Hotel is still in operation. The property, closed for renovations, is accepting reservations for dates starting in April. Pacific 19 marks the inaugural project for Nine Brains. The hotel has an on-property eatery and Nine Brains has tapped Springboard Hospitality to oversee the day-to-day operations. Although Pacific 19 Kona might not be open yet, expansion plans are already in the works. Nine Brains is slated to acquire the second building of Kona Seaside later this month, with plans to reopen that property as part of Pacific 19 Kona by 2024.
The lobby refurbishment of Disney’s Boardwalk Inn, in Bay Lake, Florida, is completed. The planned refresh, which is expected to also include guest rooms, was announced in the spring of 2022. The lobby restrooms remain closed for refurbishment.
An entity tied to developer Sam Chang landed $35 million in financing for his Marriott SpringHill hotel project at 223 West Forty Sixth Street in New York City‘s Times Square. State Bank of Texas provided the debt, which included a $20 million gap mortgage and consolidated $15 million in two previous loans from lender Silver Point Finance. McSam Hotel Group broke ground on the 200-key hotel in 2020 and began to wrap up construction on the property’s façade in January and will likely finish the hotel this spring.
Ashford Securities LLC, a subsidiary of Ashford Inc., announced the closing of the offering for the Series E & M Redeemable Preferred Stock of Braemar Hotels & Resorts Inc. Ashford Securities, as dealer manager for the offering, placed $460 million of the Series E & M Redeemable Preferred Stock Offering.
Marriott International, Inc. appointed Saba Landmann, Senior Vice President, Global Brand and Portfolio PR. Ms. Landmann will be responsible for leading communications for the company’s portfolio of 30 diverse and experiential hotel brands. Ms. Landmann joins Marriott from G-111 Apparel Group.
Noble Investment Group announced the appointment of Jenifer Eager as Vice President of Fund and Corporate Accounting. She will be responsible for all aspects of the firm’s accounting and reporting functions. Ms. Eager joins Noble from Stoneweg US, where she served as Controller and interim Chief Financial Officer.
Capital Vacations, LLC announced the appointment of Blake MacKeen as Chief Accounting Officer, filling the vacancy following Mike Federico’s promotion to Chief Financial Officer. Most recently, MacKeen was the Corporate Controller for Pike Corporation.
Sentral announced the addition of new senior team members, as well as key executive promotions, to drive continued strategic growth and innovation across the organization and support Sentral’s continued expansion across the U.S. The additions include three industry veterans who join Sentral through its acquisition of Align Residential: Roman Speron as Chief Development Officer; Sadie Simpsonas Senior Vice President, Operations; and Jeff David as Vice President, Experience. The company also appointed Todd Butler as Chief Technology Officer, Wendy Wood as Chief People Officer and Darrel Reinke as Vice President, Data Strategy and Intelligence. Two key executives were also promoted to the C-suite level. Lisa Tully-Lavian was named Chief Marketing Officer and Louise Parsons-Davey was promoted to Chief Revenue Officer.
Maybourne Hotel Group announced the appointment of Roland Fasel as Chief Operating Officer, from April 2023. In his new role, Fasel will be responsible for the commercial success and quality of the current portfolio of hotels, building on their reputation for unrivaled service and personalized guest experiences, as well as helping spearhead a program of international expansion. Prior to Maybourne Hotel Group, Fasel was Chief Operating Officer with the Aman Collection.
EVOK Hotels Collection has appointed Mazen Kais as Group Technical Director. Mazen joined the EVOK Group in January 2023.
Katherine Beja-McLennan has been promoted to Area Director of Sales & Marketing, leading efforts for a collection of Florida-based Hyatt hotels under Kolter Hospitality Management. In the role, Beja-McLennan is responsible for sales and marketing efforts, developing strategies for revenue growth, managing a team of sales associates, and working with marketing and PR to ensure consistent media messaging and social communication strategy for Hyatt Centric Las Olas, Hyatt Place Fort Lauderdale Cruise Port and Hyatt Place Coconut Point.