Lodging Stocks End Higher While Hotel Index Stock Drops
Skift Take
- The DJIA jumped 551 points today while Nasdaq was up 354, the S&P 500 was up 95 points and the 10-year treasury yield was up .01 at 4.02%.
- The Baird/STR Hotel Stock Index fell -9.1% in September. Despite continued strong RevPAR, both year over year and 2019 comps, the stock index has dropped -20.6% in the first 9 months of the year.
- Driftwood Capital broke ground on the Element by Westin, a new 130-key extended-stay hotel located on prime oceanfront property in Melbourne, FL.
The DJIA jumped 551 points today while Nasdaq was up 354, the S&P 500 was up 95 points and the 10-year treasury yield was up .01 at 4.02%. Lodging stocks were higher. VCSA was up 10%, SOND was up 8%, ABNB was up 7% and SVC was up another 5%, still sporting a dividend yield of more than 10% even after a 33% jump in a week. Also rising 5% today were HT, PK, INN and MCG.
The Baird/STR Hotel Stock Index fell -9.1% in September. Despite continued strong RevPAR, both year over year and 2019 comps, the stock index has dropped -20.6% in the first 9 months of the year. The Hotel Brand sub-index was down -7.7% from August while the Hotel REIT sub-index was down -13.5%.
Driftwood Capital broke ground on the Element by Westin, a new 130-key extended-stay hotel located on prime oceanfront property in Melbourne, FL. Located adjacent to The Crowne Plaza Melbourne, another property owned and operated by Driftwood Capital, Element Melbourne Beach is the first Marriott-branded hotel in Melbourne Beach. When complete in 2024, the six-story hotel will offer an all-natural saline pool, 24/7 Motion Fitness Center, vehicle charging stations, on-site laundry and approximately 175 parking spaces.
The downtown district of Huntsville, AL is continuing to grow as a new hotel and mixed-use development has been finalized. The project is anchored by the AC Hotel by Marriott and Eclipse apartment complex. The new hotel will be a Moxy, a 100-room boutique hotel located adjacent to the AC Hotel and Eclipse. In addition to apartments, the mixed-use development will include office and retail space. The long-planned food hall would be approximately 15,000 square feet of the ground floor of the Moxy hotel.
Tharaldson Hospitality Management announced the opening of the brand-new Hampton Inn & Suites Santa Rosa Wine Country in Santa Rosa, CA. Located in the heart of Sonoma Wine Country, the 4-story, 100-room hotel offers parking and business center and more. Tharaldson Hospitality will own and operate the property.
Plans are underway to build a new hotel, office space and residential development to Ontario, Ohio’s shopping district. Moment Development, who recently bought six parcels of land, presented preliminary plans for a four-story hotel and other projects to the Ontario Planning Commission. Mom
