Hyatt's Grand Ambitions for 2023
Skift Take
- 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 rose 331 points on Friday while Nasdaq was up 288, the S&P 500 rose 74 points and the 10 year treasury yield was up .09 to 3.48%. 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. If you get a chance, try to read some of the tributes/quotes from various lodging icons. They really tell the story of what an icon he was and the respect so many people had for him. Our condolences to the White family and everyone at White Lodging.
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 4Q results seemed a little ahead of their previous guidance but still below the guide they gave with 3Q results. While their important San Francisco market remains weak, PEB’s January update suggests a good start to the year there even with the heavy rain which has brought some cancellations.
The U.S. hotel industry reported lower performance from the month prior but improved comparisons with 2019, according to December 2022 data from STR. December 2022 (percentage change from December 2019): Occupancy: 53.6% (-0.8%); ADR: $146.72 (+15.8%); and RevPAR: $78.63 (+14.8%). Among the Top 25 Markets, New York City had the highest occupancy level (82.8%). Markets with the lowest occupancy for the month included Minneapolis (43.8%) and St. Louis(47.6%). San Francisco reported the steepest decline in occupancy when compared with 2019 (-23.9%).
According to 2022 data from STR, the U.S. hotel industry reported ADR and RevPAR that were the highest for any year on record for the full year. 2022 (percentage change from 2019): Occupancy: 62.7% (-4.9%); ADR $148.83 (+13.6%); and RevPAR $93.27 (+8.1%). Among the Top 25 Markets, Oahu Island reported the highest occupancy level (75.4%). While none of the Top 25 Markets reported an occupancy increase, Tampa came closest to its pre-pandemic comparable (-0.8% to 71.6%). Major markets with the lowest occupancy for the year included Minneapolis (55.5%) and Houst
