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1. French territory Mayotte devastated by cyclone
A cyclone ripped through the French archipelago Mayotte on Saturday, leaving hundreds — possibly thousands — dead, CNN reports. Cyclone Chido, a category 4 storm, was the strongest storm to hit the island in more than 90 years at 136 miles per hour, according to Meteo-France.
Bruno Garcia, owner of Hotel Caribou in Mayotte's capital of Mamoudzou, said "the situation is catastrophic, apocalyptic."
"We lost everything. The entire hotel is completely destroyed," he said. "There is nothing left. It's as if an atomic bomb fell on Mayotte."
2. Minor International proposes to delist former NH Hotel Group
Minor International, the parent firm of Thai hotel company Minor Hotels, has proposed to delist its hotel operating company Minor Hotels Europe & Americas, which was formerly NH Hotel Group, HNN's Terence Baker reports. Shareholders will vote on the proposal on or around Jan. 20.
“The proposal aims to provide MHEA minority shareholders an attractive exit opportunity while offering enhanced asset and capital management flexibility to [Minor International]. As such, this move is designed to benefit both Minor International’s and MHEA’s shareholders,” a news release said.
3. Interest rate cut expected in December
The U.S. Federal Open Market Committee will meet on Tuesday and Wednesday, and hotel industry experts and economists alike anticipate there will be a third consecutive interest rate cut during the meeting, HNN's Bryan Wroten reports. The expectation is for a second straight cut of 25 basis points after the Fed's initial 50-basis-point cut in September.
After this meeting, though, experts expect there will be a cautious approach to rate cuts once President-Elect Donald Trump returns to the White House in January.
"I think the Fed is going to continue to cut, but I think you could see them go on hold just to see what legislative policy comes out of the new Congress," said Kevin Davis, Americas CEO for JLL Hotels & Hospitality. He added a top priority seems to be a new tax bill.
4. International insurers push into US markets
As large U.S. insurance firms such as State Farm and Allstate pull out of markets affected by catastrophic weather events, international companies are swooping in to take their places, Reuters reports.
These international insurers are charging high premiums — homeowners' premiums in areas such as Los Angeles and southeast Florida have risen as much as 100%. A report from Swiss Re shows that 2024 will be the fifth consecutive year that global insured losses from natural catastrophes exceed $100 billion.
5. New hotel brand to offer apartment-style rooms
HomeAwhile, a new Maine-based hotel brand, will have apartment-style rooms that also offer housekeeping and on-site staffing. The owners of Maine Course Hospitality Group, Peter Anastos and Paul Lohnes, are launching the brand with the hope that this style of a merged hotel and alternative accommodation will pique the interest of consumers, the Portland Press Herald reports.
“It will be more like an apartment than a hotel, with services available à la carte,” said Jonathan Bogatay, company president at Maine Course Hospitality Group. “If you want housekeeping services, we can provide them. If you don’t, you can be on your own.”
The first HomeAwhile property is currently under construction in Scarborough, Maine, and is set to open in 2026.