U.S. Hotel Owners Optimistic About Group Sales
Skift Take
U.S. hoteliers expect strong group sales growth by 2025, driven by demand from tech, healthcare, and construction, with resorts seeing the fastest increase despite federal spending concerns.
CoStar said U.S. hoteliers are predicting a substantial rise in group sales by 2025, driven by demand growth from the tech, healthcare, and construction sectors. CoStar said resorts and upscale properties had witnessed larger bookings due to demand from the tech, medical, and healthcare industries. Construction and infrastructure activities have increased group business at midscale and economy hotels. We don’t know if there has been any change since nearly every C-Corp projected an increase in 2025 group bookings during their 4Q24 earnings report/conference calls. CoStar said despite concerns about potential reductions in federal spending by the Trump Administration, hotel companies remain optimistic about continued growth in group demand throughout the year. Group sales at resorts appear to be experiencing the fastest growth.
Citigroup cut their price target on Host Hotels to $19 from $21. They maintained their Buy rating on the stock.
