The DJIA ended Friday down 145 points while Nasdaq was down 131, the S&P 500 fell 24 points and the 10-year treasury yield was up .06 to 4.30%. Lodging stocks were mostly lower. SOND was up 11% but AINC and SLNA fell -7% and AHT was down -5%.
Barclays updated their US lodging REIT estimates ahead of the onslaught of earnings that are coming. Barclays is expecting lodging REITs to initiate relatively conservative 2024 earnings guidance in terms of RevPAR growth and margins but expresses optimism regarding group bookings, stabilization of leisure demand and continued improvement in business transient demand. Expense pressure will again be the focus. Barclays expects Group and Urban to likely be the favored segments into 2024. Barclays made some modest changes to price targets with Host Hotels being the biggest change, upping their PT to $23 from $21. Pebblebrook and Sunstone were the others they raised targets on, $16 from $15 and $10 from $9 respectively.
HRI Hospitality and Hilton announced the opening of the 306-room Tempo by Hilton Nashville Downtown. Developed and owned by HRI Hospitality and operated by HRI Lodging, the 16-story hotel features over 9,500 square feet of flexible indoor and outdoor meeting spaces, a fitness center, immersive Topgolf Swing Suites, vast rooftop outdoor bar and pool area, outdoor event space, and a variety of food and beverage concepts.
Ashford Hospitality Trust, Inc. signed a definitive agreement to sell the 144-room Residence Inn located in Salt Lake City, Utah for $19.2 million. The sale is expected to be completed in early March and is subject to normal closing conditions.
Ahma & Co announced the launch of the first postnatal retreat at Waldorf Astoria Monarch Beach in Dana Point, California, set to welcome new mothers beginning March 15, 2024.
Bjarke Ingels Group unveiled a new set of renderings of its proposal for Freedom Plaza, a potential mixed-use casino development on the border of Murray Hill and Tudor City. Developed by the Solviev Group, which currently owns the property, in a joint collaboration with Mohegan Gaming & Entertainment, plans call for two new residential skyscrapers rising 50 to 60 stories with 1,325 apartments, including 510 affordable housing units, as well as two 51-story hotel towers with 1,200 guestrooms split between Banyan Tree and Mohegan branding. A new landscaped waterfront park, a below-grade casino, and a museum would sit beneath the skyscrapers. The 6.5-acre property is the largest undeveloped plot in Manhattan.
The Kansas City Royals will build the team’s new baseball stadium in the Crossroads district of Kansas City, Missouri. The new stadium would occupy the space where the abandoned Kansas City Star printing press is. The Royals’ plans include a baseball stadium, team offices, a hotel, a residential and entertainment venue, improvements to Grand Boulevard and a bridge connecting the stadium to the planned $200 million South Loop Link project. The entire development will require a $2 billion investment, which the team says is the largest public-private partnership in Jackson County. The Royals will invest $1 billion of private funds into the project and hope to open the stadium by 2028.
Select Registry welcomed 22 properties into membership in 2023. These 22 new members represent independent properties across the U.S. from 14 different states and one new member in Canada. The newest members include: A’ Tuscan Estate Bed & Breakfast in McMinnville, OR; Bottger Mansion of Old Town, Albuquerque, NM; Brass Lantern Inn, Stowe, VT; Christopher Dodge House, Providence, RI; Cuthbert House Inn, Beaufort, SC; The Everett Hotel, Bryson City, NC; Farm Road Estate, West Dover, VT; Forsyth Park Inn, Savannah, GA; GraceNote Inn & Spa, Bethel, ME; The Grand Hacienda, Abiquiu Lake, NM; Harwelden Mansion, Tulsa, OK; Hidden Serenity Bed and Breakfast, West Bend, WI; Inn of the Turquoise Bear, Santa Fe, NM; Justin Trails Resort, Sparta, WI; Lindenwood Inn, Southwest Harbor, ME; The Lodge at Moosehead Lake, Greenville, ME; Maple Cove B&B & The August House, Leonard, MI; McCully House Inn, Jacksonville, OR; Old Manse Inn, Brewster, MA; Pillow & Paddock Bed and Breakfast, La Grange, KY; Springbank House, St. Catherines, Ontario; and Top of the Ridge Farm Bed & Breakfast, New Durham, NH.
Best Western Hotels & Resorts announced the opening of the Best Western Heritage Inn & Suites in Broussard, Louisiana. The hotel is owned by Divi Hospitality and features 67 guestrooms and kitchenette suites. The hotel recently completed a renovation and now offers re-imagined guestrooms, a fitness center, outdoor pool, guest laundry and business center.
StayAPT Suites announced the grand opening of its newest location in Killeen, Texas. The 3-story, $5.2 million new hotel boasts 76 guestrooms and features apartment-like furnishings. Killeen marks the 19th StayAPT Suites hotel to open nationally from the brand. According to the company, StayAPT Suites is slated to have 40 or more hotels open by the end of 2024.
SCSF Ventures LLC is proposing a six-story, 232-room hotel in Santa Cruz, California. Known as the Cruz Hotel, the property would feature ground floor retail, conference space, a restaurant and bar, café, sym, spa and rooftop pool. A parking structure would be built below ground.
Hotel Rock Lititz, in Litiz, Pennsylvania, plans to add 70 rooms, increasing the hotel’s capacity to 209 rooms; a 150-seat entertainment venue; new conference room space and expanding the hotel‘s parking lot. Hotel Rock Lititz also includes a pool and fitness facilities. The hotel is operated by As One Management who co-owns the property with Amerimar Realty Co. and American Development Co.
The Knott’s Hotel, formally known as the Knott’s Berry Farm Hotel, has completed its multimillion-dollar hotel transformation. Located in Buena Park, California, the rebranded hotel now has a new coffee bar, restaurant, courtyard and expanded gift shop. The hotel’s 322 guestrooms and 20,000 square foot meeting space were also renovated.
JLL Capital Markets said they arranged $30.6 million in financing for the 122 key Hotel Granduca in Houston, TX. JLL represented the borrower, Transwestern Hospitality Group, and secured the five-year, floating-rate loan from Prime Finance. The six-story hotel was built in 2006 and sits on 3.57 acres of land and features an Italian-inspired design. The ground floor of the building will undergo renovation in the second half of 2024. The lobby, breakfast area, bar, seating areas and event space will be completed redesigned and the gym will be relocated.
Personnel Moves
Matthews Southwest announced the appointment of Phillip Geheb as its new senior vice president. In this key role, Phill will be responsible for leading corporate strategy and operations, capital markets, and development projects across all divisions at Matthews Southwest.
Vail Resorts, Inc. announced Julie DeCecco, the company’s current deputy general counsel and vice president, has been appointed general counsel and executive vice president. DeCecco succeeds David Shapiro who is leaving the company to pursue a new career opportunity. DeCecco will be effective in the role immediately and Shapiro will be supporting a successful transition through February 23, 2024. Prior to joining Vail Resorts in 2017, DeCecco was associate general counsel for DaVita and chief litigation counsel at Sun Microsystems.
Europe Highlights
The Four Seasons Hotel George V, Paris unveiled luxurious new suites by Designer Pierre-Yves Rochon. Exuding the feel of typical Parisian apartments, the new suites include two Duplex Suites, The Parisian Suite and The Grand Premier Suite.
German real estate group Derag has purchased the former U.S. consulate building in Hamburg for €17 million. Derag, which owns the Living Hotels brand, will add the listed building to its portfolio of hotels across Germany. Following conversion, the new hotel will be called The Jefferson.
