Accor and Choice Hotels Report Earnings

The DJIA fell 451 points, Nasdaq was down 94, the S&P 500 fell 27 points and the 10-year treasury yield was down .03 to 4.50%. Lodging stocks were lower, although the movers were to the upside, with SOND up 8% and SVC up 5%. WH traded up to another new all-time high.

Host Hotels reported a strong 4Q beat, gave lower-than-expected 2025 guidance due to margins, and did not buy back any shares in 4Q. The stock was down a bit. Park Hotels reported a solid 4Q, at least from an adjusted EBITDA standpoint. They bought back 1.8 million shares for $26 million and announced a big $100 million renovation at the Royal Palm. 2025 guidance was cautious due to Hawaii, expenses, and the renovation. The stock went down a bit. Choice Hotels had a 4Q earnings beat, but the reason was that the “other revenues” provided the upside. The NUG was surprised, but their pipeline took a bit of a hit. CHH bought back 200,000 shares for $29.2 million, and 2025 guidance was ahead of expectations. The stock went up a decent amount.

Accor reported a strong 4Q, but the other things they announced about the earnings seemed to be more important. They will buy back 440 million euros worth of stock this year. They did not give guidance for 2025. They said it may be time for them to sell their 30% stake in AccorInvest, something they are looking to complete before the end of 2026. They noted investor interest already in the stake. Fortress Investment Group is also interested in acquiring Accor’s super-budget brand F1, which has 127 hotels/9,929 rooms in France. Accor also said they will appoint Isabelle Simon as Board Vice-Chair, replacing Iris Knobloch. They also proposed the renewal of Sebastien Bazin’s mandate for a term of 3 years as CEO at the AGM.

STR reported US hotel data for the week ended 2/15. RevPAR rose 3.4% year over year, with ADR up 2.2%. Group RevPAR was up 16.1%. The Valentine’s Day timing being on a Friday may have boosted overall results.

DiamondRock Hospitality Company completed the sale of the 410-room Westin Washington, D.C. City Center for a contract price of $92.0 million.

Thompson Thrift announced that AC Hotels by Marriott has committed to open their first Indiana location at The Union at Fishers District in the Indianapolis suburb of Fishers. The hotel will be owned and operated by Dora Hospitality. The 135-room hotel, seated on top of approximately 15,500 square feet of retail space, will feature meeting space, fitness equipment, and food and beverage offerings. In addition to the AC Hotel, the mixed-use development will offer approximately 57,000 square feet of retail, restaurant, and entertainment space, 251 luxury apartment homes, and 70,000 square feet of Class A office space. The Union is expected to break ground in the first quarter of 2025.

Tucked away in the expanse of Scottsdale’s McCormick Ranch, The Scottsdale Resort & Spa, a Curio Collection Resort by Hilton, unveiled its most luxurious addition yet: The Stillman Villas, a secluded enclave of 12 two-story villas designed to offer guests unparalleled privacy and indulgence. The unveiling of The Stillman Villas marks the final chapter in the resort’s recent $40 million transformation. A private pool, reserved solely for villa guests, is the centerpiece of this enclave, further adding to the intimate “resort within a resort” ambiance. Located in Scottsdale, Arizona, The Scottsdale Resort & Spa, a Curio Collection Resort by Hilton, features the Luna Spa, multiple eateries, a main pool, McCormick Ranch Golf Club championship courses, The Social Boardroom, and a workout facility.

Wyndham Hotels & Resorts and Reside announced the opening of two new Washington D.C. properties under the Reside, a Wyndham Residence line. The two new properties, Reside Navy Yard (81 units) and Reside NoMa (67 units), mark the latest milestone in the 10-year tie-up between Wyndham and Reside. The new properties offer professionally managed, upscale accommodations designed for both business and leisure extended-stay travelers.

Hyatt Hotels Corporation and Birkla Investment Group announced plans for Hyatt Centric Cincinnati, slated to open in 2026. The 170-room hotel marks the entry of the Hyatt Centric brand in Ohio. The property is owned by Birkla Investment Group and managed by Commonwealth Hotels.

Sonesta International Hotels Corporation announced the opening of Sonesta Essential Blue Springs, an 83-room, upper-midscale hotel located in Overland Park, Missouri.

IHG Hotels & Resorts, in collaboration with owner DNC Parks & Resorts Tusayan Hotel, Inc. and management company Delaware North, celebrated the opening of a newly converted Holiday Inn Resort hotel in Grand Canyon, Arizona. Holiday Inn Resort The Squire at Grand Canyon offers 322 fully renovated guestrooms, 5,000 square feet of meetings and events space, multiple dining options, indoor and outdoor pools, year-round hot tubs, a fitness center, and family entertainment like bowling, an arcade, and lawn games.

Gateway Arch Park Foundation has the Millennium Hotel under contract to purchase and would serve as a caretaker for the site, which includes a pair of towers, one 28 stories, the other 11, and hand it off to a developer to transform. The hotel site has been vacant since 2014 and is among a group of massive vacancies in downtown St. Louis. The foundation has not yet closed on its purchase of the property.  Gateway Arch Park Foundation received three qualified proposals for the Millennium Hotel site and all three submissions called for demolishing the former hotel towers. The foundation said Cordish’s $670 million proposal rose to the top and hit all the necessary marks. Cordish’s preliminary plans for the site include a collection of Class A office space, upscale residential, an amphitheater, public spaces, a food hall and event space.  The development could also include the Gateway Arch National Park’s archives.  The foundation will share additional details on when it expects to close on the hotel site as they become available.  The foundation has declined to disclose the purchase price of the former 780-room hotel property, saying it plans to finance the acquisition with its own funding.  The seller is Millennium & Copthorne Hotels of London.  Cordish’s redevelopment plan is expected to be reviewed Tuesday at the city’s Land Clearance for Redevelopment Authority’s monthly meeting.  The St. Louis Board of Aldermen would need to give final OK to any abatement.

Garrett Farmer of NA Legacy is planning to build a boutique hotel and event center in Two Harbors, Minnesota, adjacent to Castle Danger Brewing. The hotel would include 118 guestrooms. Construction is planned to begin in early 2026.

The Maidstone New Orleans officially opens its doors under the ownership of ISMD following their successful revamp of The Maidstone East Hampton property in 2024. The Maidstone New Orleans marks the start of the brand’s expansion, the first of many hotels to join its growing collection.  The intimate hotel has 18 rooms and suites, The Maidstone Lounge, The Moon Garden and a saltwater pool with a bathing deck. 

Sandos Hotels & Resorts debuted upgrades at all four of its unconventional all-inclusive properties. The new Luxury Platinum Tower Suite Collection at Sandos Playacar, in Playa del Carmen, Mexico, is home to 40 luxury rooms. The new suites grant full access to everything the resort has to offer including 10 pools; 17 onsite restaurants and bars; two waterparks; a full-service spa; tennis, paddle and pickleball courts; rescue animal barnyard; entertainment and themed parties; and a water sports center.  Sandos Caracol Eco Resort has unveiled two new F&B concepts adding to its 13+ existing food and beverage experiences; a renovated lobby bar; new beach club and brand new Cenote Venado.  The property also added a new adults-only beach club reserved for guests staying in the Select Club (18+) section of the resort. The iconic Sandos Cancun has officially transitioned into the brand’s first exclusively 18 and up resort in Mexico. On Mexico’s West Coast, Sandos Finisterra has added two pickleball and one Padel court to its exiting tennis and basketball facilities. 

The Museum of Ice Cream just announced its biggest and boldest project yet: a sprawling flagship located at AREA15 in Las Vegas, complete with the world’s first-ever ice-cream-themed hotel. Set to open in 2026, the Las Vegas edition of MOIC will cover a whopping 30,000 square feet, making it the museum’s largest location to date. By day, expect MOIC’s signature family-friendly fun place, think giant dessert-themed playgrounds, a buffet of endless ice cream flavors and the ever-popular sprinkle pool.  By night, the space will transform into a buzzing nightlife hotspot. There’s even an onsite ice cream lab and an ice-cream-themed wedding chapel. 

CIM Group announced its CIM Real Estate Debt Solutions business, on behalf of a CIM-managed fund, has closed a $15.6 million whole loan to Ad Astra Capital for the acquisition of the Hilton Garden Inn Casper in Casper, Wyoming. Hilton Garden Inn Casper is a four-story, 123-room, select-service hotel featuring a fitness center, indoor pool, 3,000 square feet of business and meeting space, lobby lounge and the Garden Grille & Bar.

Melkonian Capital Management and RAL Companies unveiled the groundbreaking and public sales launch of Mandarin Oriental Residences, Grand Cayman. Slated for completion in the first quarter of 2028, the project marks Mandarin Oriental’s first-ever new construction resort and residential offering in the Caribbean. The event marked the start of construction for two residential collections: The Beach House and Ocean House Residences. The Beach House residences consist of 20 luxurious units located atop the 91-key Mandarin Oriental Grand Cayman resort. Just beside the resort, The Ocean House collection features 22 residences within a private, boutique building.  Onsite offerings include a 1,000 foot private crescent beach, a spa and fitness center, private infinity pools, diving experiences, marine activities, and several oceanfront dining options. 

Personnel Move

The Stafford Collection announced the promotion of John McLean to the role of Managing Director following his appointment to General Manager back in May 2024. In his new role as Managing Director, John will oversee the entire portfolio, which includes The Stafford London, Northcote, and restaurant Norma.  Before joining the Stafford Collection in 2024, John held numerous leadership roles including Interim General Manager at The Cadogan Hotel in Chelsea. 

Europe Highlight

Belfast’s largest hotel operation, Andras House, has bought the Travelodge in the city center for £8.75m. The company said it would spend additional money to refurbish the 90-bedroom property.