Global Hotel Transaction Volume Hits $42.1 Billion

The DJIA was up 309, Nasdaq rose 254, the S&P 500 was up 37 points and the 10-year treasury yield was down .04 to 4.18%. Lodging stocks did ok but there was no real follow-through from yesterday’s REIT surge. WH, IHG, XHR, and PLYA traded up to new highs while SOND and VCSA were the big gainers, up 12% and 6% respectively.

Truist updated price targets post 3Q earnings for their lodging coverage. ABNB’s PT goes to $123 from $124, CHH goes to $136 from $134, Marriott’s new PT is $277 from $254, and PLYA goes to $13 from $10. Their RevPAR Roadmap (formerly RevPAR Monitor) had Truist upping their 4Q RevPAR projection to +2% to +4% from the prior Flat to +2%. They introduced their 1Q25 forecast of +2.5% to +4.5%, with business/Group demand to benefit from Easter shifting to April from March. In 2Q25, they expect RevPAR to only be up 1% to 3%.

In the third quarter of 2024, global hotel transaction volume reached $42.1 billion, up 13.6% year over year, according to JLL’s Global Hotel Investment Trends Q3 2024 report obtained by Hotel Dive. Large transactions, specifically, are on the rise. In the third quarter, there were 29 hotel transactions valued at $250 million-plus globally, 13 more than for the same period last year. For the remainder of the year and beyond, multiple stress points and robust fundamentals will catalyze hotel transactions, according to JLL. In the U.S., hotel investment is expected to snowball in 2025, spurred by additional anticipated interest rate cuts. New York City followed London as the second-largest global market for hotel transaction volume in Q3, totaling $1.6 billion in hotel deals. The EMEA region will see the largest hotel transaction volume growth in 2024, followed by the Americas and APAC.

JLL Capital Markets announced, on behalf of Woodvale Opportunity Fund I, the closing of a $25 million acquisition of the Southaven Marriott Portfolio and the $11 million acquisition of the Fairfield Inn & Suites Buford. The Southaven Portfolio includes the Courtyard Memphis Southaven (85 keys) and the Residence Inn Southaven (78 keys), both located in Southaven, Mississippi, part of the greater Memphis metropolitan area. The Fairfield Inn & Suites Buford includes 94 suites and is located in a northern suburb of Atlanta, Georgia. JLL worked on behalf of the buyer, Woodvale Opportunity Fund I, who purchased the portfolio from Chartwell Hospitality.

STR reported on U.S. hotel data for the week ended 11/30. The Thanksgiving shift worked in the other direction as U.S. hotel RevPAR was down -10.5% year over year. Group RevPAR was down -70.3%.

Hospitality Ventures Management Group added eight new hotels to its portfolio in 2024, bringing the total number of properties it holds to 51. The new additions include a mix of Marriott and Hilton branded hotels covering lifestyle, select-service, full-service, and extended-stay categories.

Red Cliffs Lodge Zion, A Tribute Portfolio Hotel by Marriott, has opened in Springdale, Utah, following a full property renovation. The newly branded and re-imagined hotel boasts 132 guestrooms, a signature restaurant, over 1,000 square feet of meeting space, a fitness center, and an outdoor pool and hot tub. Zion’s newest hotel is managed by Azul Hospitality Group.

Columbia Sussex announced the completion of a multi-million dollar renovation of the Marriott Phoenix Resort Tempe at The Buttes located in Tempe, Arizona. The renovation included all 353 renovated guestrooms and suites, fitness center, and expansion of outdoor meeting space and the lobby bar’s outdoor dining area.

Hilton St. Louis at the Ballpark is redoing its fitness center in a project that will cost nearly $1 million. The 671-room downtown hotel’s second-floor fitness center will get new flooring, equipment, and lighting as part of the renovation. Demolition on the project began at the end of October, and the renovations are expected to be completed by December 31.

Wyndham Hotels & Resorts reported that due to Mexico’s tourism activity and the phenomenon of nearshoring or relocation of companies, it sees potential for growth in nine states of the country: Chihuahua, Queretaro, State of Mexico, Coahuila, Guanajuato, Baja California, Puebla, San Luis Potosi, and Durango, representing an important area of opportunity for the development of new projects for the company.

Auberge Resorts Collection has been appointed to manage Moncayo, a new beachfront resort within the expansive 1,100-acre Moncayo community on Puerto Rico’s pristine eastern coastline. The project, slated to open in 2027, is spearheaded by Juniper Capital and Capital United, along with esteemed investors Jose E. Feliciano and Kwanza Jones. The 68-suite, 15-villa resort will be positioned directly on the beachfront, while the Branded Private Residences will be situated on elevated hillsides. According to Travel and Tour World, the resort will feature a variety of dining venues, pop-up events, live entertainment, and the Auberge Spa.

AIC Hotel Group announced the expansion of its UNICO brand into the UNICO Hotel Collection. New destinations will include Puerto Vallarta, Mexico, Montego Bay, and Jamaica. This expansion follows the seven-year success of UNICO 20°87° Riviera Maya, which continues to set the standard for luxury all-inclusive vacations and redefine the category for adults-only travel. The UNICO Hotel Collection will continue to offer distinctive cuisine, mixology, art, wellness, fitness, and curated adventures. The first property in the expansion, UNICO 20°105° Puerto Vallarta, is set to open in fall 2025 with 141 rooms.

LivAway Suites continues its nationwide expansion with the grand opening of its newest location in Missoula, Montana. This will be LivAway Suites’ third grand opening in November alone and the brand’s fourth location overall. LivAway Suites plans ambitious growth with expectations of reaching 50 locations open or under construction by late 2026.

The Majestic Hotel South Beach, in Miami Beach, Florida, is listed for sale for $35 million. The three-story, 49-room boutique property was listed on LoopNet by Gale Group International, an affiliate of One Sotheby’s International Realty. The property offers an onsite restaurant and a bar.

Melia Hotels & Resorts announced the opening of Melia Casa Maya - Cancun, an exceptional new all-inclusive resort set to welcome its first guests on December 16, 2024. The resort features multiple culinary offerings and Splash Island, a family-friendly water park.

The historic Wawona Hotel, in Yosemite National Park, California, closed its doors on Monday. The National Park Service announced the closures were necessary to conduct a comprehensive condition assessment. The National Park Service has not provided an estimated reopening date for the hotel.

HREC Investment Advisors arranged the sale of the 180-room Crowne Plaza North Augusta, located in North Augusta, South Carolina. Flacks Group has acquired the property. HREC Investment Advisors exclusively represented a joint venture between Ackerman & Co. and Greenstone Properties as the seller.

Rosen Hotels & Resorts’ new CEO, Frank Santos, vowed to sustain the vision of the company’s late founder, ruling out a sale of the business and pledging to continue its much-lauded commitment to charitable giving. Santos, a longtime associate of founder Harris Rosen, will take the reins of leadership. His promotion comes about a week after Rosen’s death. Rosen recruited Santos in 1985 to become his chief financial officer, a job Santos held for almost 39 years. Santos expects expansions to proceed for the company’s flagship, Rosen Shingle Creek, and Rosen Centre on International Drive. The projects had been put on hold because of the coronavirus pandemic.

The Dominican Republic’s northern coast is gearing up for the opening of the Zemi Miches All-Inclusive Resort in the first quarter of 2025. Part of Hilton’s Curio Collection, the resort boasts 500 accommodations, including guestrooms, suites, and 20 exclusive beach bungalows; more than 11 dining and bar venues; an open-air theater; a sprawling pool complex with a waterpark for kids, a rooftop infinity pool for adults, and private plunge pools; and a spa with 11 treatment rooms, a salon, and a sauna. The resort also offers yoga classes, a juice bar, and a fitness center. Zemi Miches is the first all-inclusive property in the Dominican Republic for Hilton’s Curio Collection.

Melia Hotels International announced the expansion of its INNSiDE by Melia brand in the Dominican Republic. The plan includes the opening of two new establishments in Punta Cana, Melia’s first franchised hotels in the Caribbean. INNSiDE Punta Cana Downtown (290 rooms) and INNSiDE Punta Cana Bay (186 rooms) are two new-build projects developed by Spain’s Vivantia Homes, set to open in 2027. Both properties will offer a diverse range of dining options, a wellness area, meeting rooms, a pool, a gym, and a cinema.

Personnel Move

First Hospitality announced the appointment of Chuck Moses as vice president of sales. In this pivotal role, Moses will oversee all sales-driven segments, including group, business travel, and catering. He will analyze market competition and trends and collaborate with owners, corporate leadership, and general managers to ensure sales goals are achieved. Moses will also be responsible for leading the development and growth of the global sales force while establishing best practices, standards, and incentive programs to drive success. Most recently, Moses held the position of senior regional director of sales and markets at Davidson Hospitality Group’s lifestyle operating vertical, Pivot.

Europe Highlights

Tite Street Capital, along with Marriott Bonvoy, announced the debut of Four Points Flex Sheraton in London, marking the brand’s second location with the opening of Four Points Flex by Sheraton London Shoreditch East. This newly re-imagined hotel features 161 guestrooms and a lobby lounge. Cycas Hospitality will manage the newly opened Four Points Flex by Sheraton London Shoreditch East.

During ILTM Cannes, Hyatt Hotels Corporation showcased a pipeline of over 50 luxury and lifestyle hotels set to open worldwide by 2026. Hyatt’s pipeline includes openings like Miraval the Red Sea, set to debut in late 2025, which marks the Miraval brand’s international debut. Other luxury and lifestyle Hyatt openings over the next two years include Park Hyatt Kuala Lumpur and Park Hyatt Johannesburg, as well as the Andaz Miami Beach and Andaz Gold Coast. To unlock the next level of this international growth, Hyatt is introducing specific portfolios that reflect greater focus and differentiation and can maximize the potential of each of its brands, including The Luxury Portfolio, including brands such as Park Hyatt, Alila, and Miraval, and The Lifestyle Portfolio, encompassing brands such as Andaz, Thompson Hotels, and the newly acquired Standard International brands, including The Standard and Bunkhouse.