Marriott’s Stronger Q4 Met With Weak Response

Correction: Because of an editing error, the email version of this report listed deals that did not take place. These errors included the brands Marriott, Hilton, Wyndham, Choice, Accor, and Four Seasons. Skift regrets the error.

Marriott reported a better-than-expected 4Q24, but investors took the stock down, along with most of the group. While you could probably say MAR gave more conservative guidance than Hilton did, it still was a complete reverse reaction to what happened after Hilton reported. As for what was negative, you have softer net unit growth guidance for 2025, not just for MAR but for their peers. EBITDA and adjusted EPS guidance were a bit lighter than expectations. MAR’s repurchase of 2 million shares for $500 million was way lower than in previous quarters.

CoStar said among the U.S. markets, New York City and Nashville are projected to open the most rooms in 2025. New York City leads with 5,719 rooms, with Nashville at 2,849 and San Diego and Dallas not far behind with 2,818 and 2,749, respectively. CoStar is expecting 2025 overall to see 953 new hotels open with 108,366 rooms, with 2026 projected to be 1,865 hotels opened with 198,319 rooms. For 2025, they expect nearly 34,000 Upper Midscale rooms to open, the segment that currently leads the in-construction room count.

Marriott International announced the grand opening of The Ann Savannah, Apartments by Marriott Bonvoy, nestled in the heart of the Savannah, GA Historic District. The hotel includes 157 suites ranging from a studio to expansive four-bedroom lofts, all offering full-sized kitchens. Amenities include a fitness center and a pool for leisure guests. The on-site restaurant, Little James, is set to open this March, offering a welcome space for guests, opening early for breakfast and staying open until late, even serving cocktails. The Malin, an upscale hospitality-driven workspace, will open across from The Ann.

LCR Capital Partners announced its latest EB-5 investment project, the AC by Marriott & Element by Westin Hotel, a dual-branded development in Las Vegas, NV. The 441-room hotel is set for completion in December 2025 and is developed by Jackson Shaw, partnering with HALL Structured Finance II LLC, providing USCIS-permissible guarantees for investors. A minimum investment of $800,000 is required to participate in the project.

HSL Properties acquired a portfolio of two hotels in Mesa, AZ, the 180-room Sheraton Mesa Hotel at Wrigleyville West and the 129-room Courtyard Mesa at Wrigleyville West, for $50.25 million. Cushman & Wakefield brokered the transaction, which also includes 15,000 square feet of retail spaces, a commercial laundry facility, a full spa, and 18,000 square feet of meeting spaces. Cushman & Wakefield’s Western Hospitality Advisory Group in Phoenix represented the Power Hotel Group, the sellers. The Sheraton hotel will undergo a multi-million dollar renovation, while the Courtyard opened in the fall of 2020. The hotels are adjacent to Sloan Park, the Spring Training home of the Chicago Cubs.

Hilton reached a deal to operate a hotel at the former Atlantic Club Casino in Atlantic City, NJ. Colosseo Atlantic City Inc. has plans to rehabilitate the former Atlantic Club Casino, which has been vacant since closing in 2014. They plan to turn one tower into 100 condos while the other tower will be hotel rooms. The property could reopen by 2026. Hilton actually operated the casino-hotel at that building until 2012.

Aperture Hotels announced the addition of two fully renovated properties to its management portfolio: the Embassy Suites Memphis East Memphis Germantown Area and the Hampton Inn & Suites East Memphis Germantown. Both hotels were completed in 2024 and are in the East Memphis area in Tennessee. The Embassy Suites Memphis East Memphis Germantown Areahas 220 suites and Grissini’s Italian Restaurant. The Hampton Inn East Memphis Germantown has 133 guest rooms, an outdoor pool, a fitness center, and complimentary breakfast.

IHG Hotels & Resorts’ Crowne Plaza Hotels & Resorts brand announced recent renovations across several of their American hotels. Their New Modern design establishes defined zones for productivity, restoration, and collaboration among its refreshed public and guest spaces. Guest rooms are being updated, and New Modern communal areas feature groupings of designated public and private work and leisure areas. IHG expects that 70% of Crowne Plaza’s Americas estate will showcase updated designs by the end of 2025.

Sonesta International Hotels Corporation announced the execution of 23 new franchise agreements during the fourth quarter of 2024, representing growth at 9 of the company’s 13 brands. They expanded their footprint across the U.S. with a total of 71 executed franchised agreements in 2024.

Brittain Resorts & Hotels, in collaboration with EOS Hospitality, is investing $58 million in renovations across three properties - Caribbean Resort & Villas, Ocean Reef Resort, and Compass Cove Resort, all in Myrtle Beach. Caribbean Resort & Villas has undergone a $20 million renovation, transforming rooms in the Dominican and Cayman buildings into modern coastal retreats. The lobby and common areas have been redesigned, with a new Grab & Go market offering fresh dining options. Ocean Reef Resort received a $15 million upgrade, with all towers featuring redesigned guest rooms along with enhancements to the common areas.

The world’s first Lego Duplo hotel rooms are slated to open this weekend at Legoland Hotel in Carlsbad, CA. The jungle-themed rooms are designed especially for children ages 18 months to 5 years old, featuring Duplo bricks for playing, separate sleeping areas for kids with bunk beds, a trundle bed, and Lego Duplo animal décor. The Duplo rooms are some of the 65 newly themed hotel rooms that will be unveiled at Legoland Hotel. The hotel announced plans for 48 newly themed Lego Ninjago rooms, as well as 12 completely remade Lego Friendsrooms.

India’s OYO announced plans to invest $10 million to grow the digital assets of G6 Hospitality, which they acquired. OYO bought the Motel 6 and Studio 6 brands from Blackstone Real Estate for $525 million. OYO plans to accelerate G6’s growth, targeting the addition of over 150 hotels this year under the Motel 6 and Studio 6 brands. The $10 million investment will grow the Motel 6 website and My6app, with a goal of increasing app installs by 4x before the summer season kicks in.

Hunter Hotel Advisors announced the placement of a $35.5 million senior note for the Moxy Miami Wynwood (Moxy). Baywood Hotels secured the financing from Synovus Bank, with Hunter representing the borrower. The hotel officially opened in October 2024, developed through a 50/50 JV between Baywood Hotels and Dolphin Capital Partners. The hotel offers 120 keys and features two signature restaurants and a rooftop club.