Minor Hotels

Stock market performance: DJIA was up 86 points, Nasdaq up 158 points, and S&P 500 rose 33 points, while lodging stocks mostly declined. Wells Fargo raised target prices on lodging stocks, including RHP, APLE, HST , and DHR , maintaining their ratings. Various hotels underwent renovations, including Courtyard Louisville Airport and Chancellor's House Hotel , while new hotels were announced, such as the Hampton Inn & Suites in Pittsburgh and Riversuites in Philadelphia.

Cambodia 's international airports experienced a significant increase in passengers, with a 270% year-on-year growth in the first half of 2023. IHG Hotels & Resorts signed agreements for new hotels in Bhutan and Thailand , expanding its presence in these countries. Radisson Hotel Group achieved strategic growth in the APAC region, adding over 60 hotels to its portfolio, including milestone openings and signings.

Stock market performance: DJIA, Nasdaq, and S&P 500 rose while the 10-year treasury yield was down. Lodging industry updates: Sonder Holdings downgraded, EF Hutton assumes coverage of Selina Hospitality, Ryman Hospitality Properties acquires JW Marriott San Antonio Hill Country Resort & Spa. New hotel developments: Chartwell Hospitality and Rockbridge developing three new hotels, Innisfree Hotels and RREAF Holdings open Fairfield Inn & Suites Pensacola Beach, Great Wolf Resorts opens Great Wolf Lodge Maryland.

Market Performance: DJIA fell 5 points, Nasdaq rose 128, and S&P 500 increased by 16 points; lodging stocks underperformed consumer and leisure stocks. Jefferies Nantucket Conference: Lodging companies report moderation in leisure demand, strength in group business, and mixed recovery of business transient; limited conviction impacting strategies and stock performance. Hotel Industry Updates: Canada's hotel industry shows improved performance; various hotels undergo renovations, acquisitions, and openings across different locations.

American visitor arrivals to Japan increased by 3.6% in the first four months of 2023 compared to the same period in 2019, making the U.S. the only Western nation, apart from Mexico, to experience a rise in tourism to Japan. Hongkong Land unveiled its $8 billion Shanghai West Bund Financial Hub project, which will include office buildings, luxury residential apartments, hotels, a public art center, and retail spaces. The development will be completed in three phases by 2027, and Hongkong Land plans to roll out 10 new developments in China in the next five years. Macau Legend Development announced its intention to sell its Laos gaming operation for $45 million to a Japanese citizen, as the company has faced financial difficulties and its owner has been arrested. After the sale, Macau Legend will have remaining plans to build a hotel and casino in Cape Verde.

Hotel industry in China shows strong recovery with a 60.4% increase in RevPAR compared to the previous year, despite a slight decline of -5.5% compared to 2019. Prominent hotel openings and expansions include Hotel Morris Sydney in Australia, JW Marriott Auckland in New Zealand, Hotel101 projects in Metro Manila and Cebu-Mactan in the Philippines, and Mondrian brand's global expansion. Anantara unveils luxurious villas in Qasr Al Sarab Desert Resort in the UAE, while IHG Hotels & Resorts announces the first voco resort in Egypt's North Coast, and Six Senses Amaala prepares to launch a captivating resort in Saudi Arabia as part of the Vision 2030 program.

Strong RevPAR growth observed in China, Singapore, and India, indicating recovery and resilience in the Asian hotel industry. Minor Hotels plans significant expansion across multiple countries, capitalizing on pent-up demand and strategic partnerships. Radisson Hotel Group signs multiple new hotels in India, while ITC considers a potential demerger of its hotel business, reflecting evolving strategies in the market.

STR's global report reveals positive RevPAR growth in most markets, with notable gains in occupancy, particularly surpassing 2019 levels in half of all markets. Israel, Singapore, Greece, Italy, and Ireland emerge as top performers in terms of RevPAR among countries with over 50,000 rooms, indicating strong tourism and hotel demand. Summer approaches with rising occupancy rates in 40 out of 48 countries , signaling a promising season for the hospitality industry worldwide. However, Vietnam and Saudi Arabia experience significant declines in RevPAR compared to 2019.

China's hotel industry shows strong recovery with a significant increase in RevPAR, benefiting companies like STR and driving pent-up travel demand, particularly from Chinese tourists. Major developments in the hospitality sector are underway in various locations, including Thane (Maharashtra) where Oberoi Realty plans to develop a luxury hotel managed by Marriott International or Hyatt, and Dhaka (Bangladesh) with multiple new five-star hotels expected to open in the coming years. Hotel projects and expansions are also taking place in Nagoya (Japan), Tokyo's Shinjuku area, San Fernando (Pampanga, Philippines), and Nha Trang (Vietnam), indicating growth and investments in these respective regions.

The big news was a rumor with the Wall Street Journal reporting Choice Hotels is making a move to acquire Wyndham Hotels & Resorts . Truist upped their price target on Hyatt Hotels to $149 from $145. This follows H’s Investor Day and the tours of Apple Leisure Group resorts. Pebblebrook Hotel Trust gave their monthly update saying for 2Q23, overall demand and profitability trends continue to remain within expectations .