White Lodging

Hilton and Marriott are expected to report strong 2Q23 results with international strength as a key driver. Various hotels in different regions are undergoing significant expansions, renovations, and acquisitions, with Hilton announcing a new property in Cancun and Scandic Hotels Group expanding its portfolio in Sweden . Accor is in exclusive negotiations to acquire a majority stake in Potel & Chabot, potentially becoming the sole shareholder of the company.

US stock indexes rose slightly on Friday, but lodging stocks were mixed with SOND surging 23% after a downgrade of Park Hotels & Resorts by ISI Evercore Group. Chicago broke hotel occupancy records last weekend thanks to Taylor Swift concerts and other events, generating more than $39 million in hotel revenue. Marriott International announced its first-ever all-inclusive resort in Cancun, expected to open in 2024, and JW Marriott Mexico City completed renovations of its guestrooms and suites, with more upgrades to come by 2023.

According to STR , Phoenix’s hotel RevPAR is forecasted to reach $419 for February 10-12, which would be the second-highest level for a Super Bowl weekend . On Friday lodging stocks were lower. SOND was the biggest mover, down -8% while ABNB was down -5% on the day. White Lodging announced the renaming of its new Autograph Collection hotel in San Antonio, Texas , formerly known as The Otis Hotel .

Lodging stocks were higher. SLNA topped the list with a 10% gain followed by AHT and VCSA, both up 6%. We start today’s newsletter on a sad note as many of you probably heard that Bruce White , the founder and chairman of White Lodging , passed away at the age of 70. Pebblebrook Hotel Trust gave a January operations update and include an update on 4Q preliminary results. Remember they roiled the Lodging REIT stocks when they preannounced weaker than expected 4Q results.

The DJIA fell 400 points on Friday while Nasdaq was down 328, the S&P 500 fell 86 points and the 10- year treasury yield pierced the 4% ceiling and probably is not done yet. According to CoStar , boutique hotels are performing well in 2022 and all classes show recovery in ADR, surpassing 2019 peak levels and leading the U.S. hotel industry. Hilton and Dittmar Company announced the signing of Hilton at The Key, Arlington-Rosslyn , located just minutes from Washington D.C. in Arlington, VA.

The  DJIA  surged 765 points while  Nasdaq  was up 234, the  S&P 500  rose 90 points and the 10 year treasury yield was down .15 to 3.66% The  CBRE Hotels Research State of the Union  showcases a review of current hotel trends, leading and coincident indicators of hotel demand, and an update on cost pressures and margin flow-through. Nearly all hotels are experiencing staffing shortages , according to a new member survey conducted by the  American Hotel & Lodging Association .