Hotel Investors Beam With Optimism
Skift Take
The ALIS Conference reflected cautious optimism about the hotel industry's future, with hopes for policy changes, modest RevPAR growth, transaction market challenges, and a suggestion that Taylor Swift could boost travel demand.
The DJIA fell 137 points while Nasdaq was down 101, the S&P 500 was down 28 points, and the 10-year treasury yield barely budged after the Fed officially adopted a ‘wait and see’ attitude, something most already knew. Lodging stocks were lower, but the star of the day was SHCO, which jumped 12% on a new high on the Dan Loeb news. IHG also traded up to a new high.
The tone at the ALIS Conference is what was to be expected: some optimism about a new administration in Washington, positive on the higher-than-expected RevPAR in 4Q, and hope that the transaction market and a more business-friendly regulatory environment will cause a more active 2025. Analysts said there was more of a focus on unit growth than RevPAR. That is not surprising since nobody is expecting more than low single-digit RevPAR growth this year. Also, it was not surprising that hoteliers noted ICE raids were taking place in some hotels as well, and there was concern
