Jin Jiang’s purchase of Radisson Hospitality finalized: In August Jin Jiang International Holdings announced it would purchase 100% of Radisson Holdings and 51.5% of the outstanding shares of Radisson Hospitality AB, and on Tuesday the deal officially closed, according to a news release from Jin Jiang.
Following the completion of the acquisition, Radisson Hospitality CEO and COO John Kidd said in a release, “This marks yet another incredible milestone in our company’s storied history and one that I’m confident will elevate Radisson Hotel Group to a new level of strength as a global leader in the hospitality industry. When we announced our re-branding earlier this year to Radisson Hotel Group, we shared our vision for the company, which was to be the company of choice for guests, owners and talent.”
With its new owner, Radisson is on a mission to grow its European footprint, writes Hotel News Now’s Terence Baker. Radisson is now the eighth-largest hotel group in Europe, according to Elie Younes, EVP and chief development officer, Radisson Hotel Group. Jin Jiang is now the second-largest hotel chain by hotel and room count in Europe behind AccorHotels, he added.
Israel’s Fattal Group feeling pressure from Airbnb: Hotels in Israel have been losing market share to Airbnb, according to Israeli newspaper Haaretz, and now hotel chain Fattal Group is partnering with the alternative-accommodation platform instead of fighting it. Fattal has reportedly listed two buildings in two Tel Aviv neighborhoods as short-term rentals on Airbnb and other sites under Fattal’s “Master” brand in its Leonardo Hotels unit.
The news outlet reports in Tel Aviv alone, Airbnb offers about 9,000 properties for short-term rentals. And while tourism is increasing in Israel, the amount of overnight hotel stays has declined 3% year over year as of September. However, most Israeli hotel chains aren’t in a position to be able to lease buildings like Fattal has.
Fattal released a statement following the news saying, “For some time we have been observing the changes occurring in the hotel sector globally where the biggest chain entered the short-term apartment rentals segment. We intend to continue examining closely those changes and update the services of the chain as all the world is changing.”
Executives look at what’s to come in 2019: Officials with publicly traded hotel companies and real estate investment trusts shared their full-year 2018 expectations on a batch of third-quarter earnings calls, and some even shared what they’re looking ahead to in 2019 such as renovations and group business, writes HNN’s Danielle Hess.
“The ongoing renovation at our largest asset, The Marriott Louisville Downtown, and non-repeat project business at other hotels in the market resulted in our (revenue per available room) declining by 17.1% during the quarter,” said Leslie Hale, president and CEO, RLJ Lodging Trust. “With ongoing renovations during the fourth quarter and comping against an 11% RevPAR growth last year, we expect weakness to persist in the fourth quarter. For 2019 however, we are encouraged by the renovation-related tailwinds and the strong group pace at the Marriott Downtown.”
Africa’s Tsogo Sun terminates $1.72b sale of hotels, casinos: South African company Tsogo Sun announced it has called off its previously planned sale of seven casino and hotel businesses to Hospitality Property Fund for $1.72 billion as shareholders haven’t been giving support, according to Reuters.
Tsogo originally wanted to sell the businesses as part of its plan to diverge into three separately listed divisions, which would focus on property, gaming and hotel management, Reuters reports.
“The sale of shares and subscription agreement has been terminated by agreement between Tsogo, Hospitality and the remaining parties to that agreement,” the South African company said in a statement.
Colombia’s tourism growing amid new government: Two years ago the Colombian government signed a peace agreement to end five decades of a civil war, and while the country is still in the process of adopting a new government and new president, it is “seeing massive growth in its tourism sector,” reports NBC News.
Colombia’s trade ministry recorded more than 3 million visitors had come to the country in 2017, a 200% increase since 2006, mostly attributed to more American and international tourists coming to the destination, the news outlet reports. In September, Hilton signed three new hotels in the country to its growing portfolio of hotels in the region: the Atolón Hotel Cartagena Tierra Bomba, Curio Collection by Hilton; Hilton Garden Inn Pereira and Hilton Garden Inn Cartagena, according to Travel Agent Central.
Compiled by Dana Miller.