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Asia-Pacific
Thai Hotels Association Warns Regulations Will Hurt Tourism
The Thai Hotels Association (THA) expresses concerns about new regulations that exclude accommodations with up to eight rooms and 30 guests from the hotel business, anticipating a 15% to 20% loss in tourism revenue and increased safety risks. The THA believes these regulations have more disadvantages than benefits, while the Tourism Council of Thailand supports them. Speculation grows regarding the legalization of casino gambling in Thailand within three years, attracting international and regional operators. The text emphasizes the importance of the government’s approach to legalization, as it could affect investor interest, citing examples from other countries like Vietnam, South Korea, and Japan. New World Hotels & Resorts, an upper-upscale hotel brand under Rosewood Hotel Group, is actively expanding in Asia. They plan to have 18 operating hotels by the end of the year, with two more opening in 2024. The brand is entering various markets, including Mainland China, Vietnam, and Japan. -
North America
Hotel Supply Growth May Not Be as Fast as in the Past
Stock Market Performance: DJIA fell by 291 points, Nasdaq decreased by 158 points, and S&P 500 dropped by 34 points. The 10-year treasury yield increased to 4.31%. Lodging Industry Trends: Lodging stocks, including SLNA and BHR, traded lower. Truist held a conference call on US lodging supply growth, with Marriott having the largest pipeline, and Hyatt showing the largest year-over-year increase. Hotel Performance Forecasts: CBRE Hotels revised down its 2023 RevPAR forecast due to weak summer demand, expecting a 4.6% YoY growth in RevPAR. Hotel supply growth is projected to be 1%, below the industry’s historical average of 1.6% over the next five years. -
Asia-Pacific
Accor’s $300 Million in APAC Hotel Renos and Refurbs
Accor Pacific’s partners have invested over $300 million in hotel renovations and refurbishments across various locations in the Pacific region to enhance guest satisfaction and maintain a leading position in the industry. Centara Udon in Thailand underwent renovations and now offers remodeled facilities, new dining options, and event spaces. S Hotels and Resorts PCL is set to open SO/ Maldives , a new resort on a private island with beachfront and over-water pool villas, and various dining venues in November 2023. -
North America
Certares Closes $284 Million Hospitality Fund
Market Summary: DJIA rose 82 points, Nasdaq fell 17, S&P 500 down 1 point, 10-year treasury yield down to 3.85%. Uncertainty remains about the Fed’s rate hike decision. Certares Real Estate Hospitality Fund : Certares closes its first real estate fund with $284 million in equity commitments, investing in 10 U.S. hotels. Hilton and Travel + Leisure face mixed responses from investors. JD Power study highlights staff service as the highest contributor to guest satisfaction in hotels. -
North America
New MGM Collection with Marriott Bonvoy to Launch in Las Vegas
Airbnb hit a new 52-week high on the stock market, Soho House rose 9%, and Sonder was up 6%. Long-term licensing agreement for MGM Collection with Marriott Bonvoy, encompassing 17 MGM resorts, and loyalty marketing agreement with BetMGM. The City of London plans to convert empty offices into hotels to revitalize the area, attract tourists, and address the growing demand for serviced accommodations in London. -
North America
Travel Industry Sees 40 Percent YoY Decline in Deal Activity
Stock market: DJIA down 245 points, Nasdaq down 22, S&P 500 down 21 points Decline in travel and tourism deal activity: 41% YoY decline, all deal types registered a decline in volume Hotel transactions: Several hotels sold, renovated, or under development in different locations -
North America
Truist Sees Normalization of U.S. Demand for Short-Term Rentals
Stock market sees mixed performance, with DJIA and Nasdaq rising while lodging stocks show mixed results. Wells Fargo initiates coverage on Airbnb with an Underweight rating. Significant developments in the hotel industry, including new hotel projects in Ann Arbor, Ottawa, Mexico City, and Portland, as well as the restoration of Book Tower in Detroit. -
North America
Choice Is Pursing Wyndham
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 . -
North America
CBRE Raises Hotel Performance Forecast for 2023
STR reported US RevPAR for the week ended May 13 was down -1.3% year over year, possibly impacted by Mother’s Day timing. CBRE is again raising its forecast for hotel performance this year . The company has revised its forecast for 2023 RevPAR to $97.89, up 6.0% YOY and an increase of $0.43 from its previous forecast. Hilton announced the opening of Canopy by Hilton San Francisco SoMA . -
North America
Marriott Boosts Quarterly Dividend by 30%
Soho House reported mostly in-line estimates. Adjusted EBITDA was in line despite revenue being slightly lower than expectations. Morgan Stanley upped their target price on Hyatt to $142 from $139 while maintaining their Overweight rating. Marriott International announced a 30% increase in their quarterly dividend, to $0.52 a share.