HREC Investment Advisors

Choice Hotels International is expanding its portfolio of solutions for its extended-stay hotel conversions with the introduction of Lobby in a Box, a modular design package.

Hotel rates in the top U.S. markets have risen significantly, with higher-end hotels raising prices the most, affecting travelers' choices on destinations and trip duration.

The Regent Santa Monica Beach opened on October 1 as Regent's first U.S. hotel since IHG's 2018 acquisition, following a $150 million renovation.

Hyatt Hotels Corporation is expanding its luxury and lifestyle hotel portfolio with over 20 recent and planned openings across the U.S., Canada, Latin America, and the Caribbean through 2025.

Quarterly reports were mostly positive, but the week ended on a down note as hospitality stocks were down across the board.

U.S. travel demand is robust across hotel segments, driven by higher-income leisure and business travelers, but lower-income travel is declining, and recovery varies by hotel type and market, with international travel lagging behind domestic recovery.

Truist met with Wyndham and Choice franchisees who had strong opinions about the merger and broad frustrations about brand costs and property valuation in limited service today.

The  DJIA  fell 285 points,  Nasdaq  was down 174, the  S&P 500  fell 38 points, and the 10-year treasury yield was down nearly .10 to 3.91%. Let’s hope the first two trading days do not represent the rest of the year. STR’s  global “bubble chart” update through December 16, 2023 showed 75% of markets with growth in RevPAR compared to 2019. Could there be a hotel building moratorium in one of the most popular areas of Southern Florida?

Major hospitality companies reported mixed trends at the Morgan Stanley Global Consumer & Retail Conference, with lodging demand remaining positive but margins affected by high wages. Several companies, including Crescent Hotels & Resorts and HHM Hotels, announced the addition of new properties to their portfolios. Evermore Orlando Resort is set to open a unique beach paradise, and other hotels are undergoing significant renovations and refurbishments, indicating a continued focus on luxury and expansion in the hospitality industry.

Truist remains optimistic about US hotel demand and RevPAR, favoring C-Corp stocks like HLT, MAR, and H, and recommending Hyatt and Ryman Hospitality among REITs. Hilton is expanding in Baja California, Mexico with Tapestry Collection hotels. Ashford Hospitality Trust faces lawsuits over loan defaults. Accor announced executive appointments and a new hotel in Poland with Allenort Group.