Read the latest hotel industry news from around the Americas region.
Choice Launches Hostile Takeover of Wyndham
Choice Hotels International made a move in December that officially took its takeover plans of Wyndham Hotels & Resorts hostile by announcing an exchange offer for all outstanding shares of Wyndham.
Wyndham responded with a statement days later urging its shareholders to reject Choice's latest acquisition offer. The Parsippany, New Jersey-based company stated the offer "ignores significant regulatory and business risks."
F1's Impact on Las Vegas
Hotels in Las Vegas generated almost $220 million in rooms revenue from the Formula One Las Vegas Grand Prix. CoStar's Emmy Hise reports guests' length of stay was longer in this destination compared to the races in Austin and Miami.
Hotel average daily rate on the Las Vegas Strip rose significantly Monday through Sunday the week of the event. Thursday through Saturday night achieved the highest hotel rates and occupancy levels.
Luxury-class hotels, making up more than 40% of the Las Vegas Strip's hotel room count, had rates of $952 and $962 on Friday and Saturday nights, respectively. This represents a more-than-$500 increase compared to 2022.
Ashford REIT Hands Back Five Hotels
In December, real estate investment trust Ashford Hospitality Trust gave back the keys to five hotels that the firm previously said it would stop servicing loans on. Ashford has said it will hand back keys to another 14 hotels in early 2024.
The five hotels are the Embassy Suites Flagstaff in Flagstaff, Arizona; Embassy Suites Walnut Creek in Walnut Creek, California; Marriott Bridgewater in Bridgewater, New Jersey; Marriott Raleigh Durham Research Triangle Park in Durham, North Carolina; and the W Atlanta Downtown in Atlanta.
LA Hotel Workers End Contract Dispute
More than 1,700 hotel employees across 10 Los Angeles-area hotels, including at Marriott and Hilton properties, signed a tentative agreement to cease a long-standing contract dispute over wages and benefits.
The new deal includes wage increases, affordable healthcare and better pensions.
CEO Shake-Ups in 2023
Several hotel companies in 2023 underwent CEO changes, including Marriott International, Aimbridge Hospitality and IHG & Hotels & Resorts.
Among the changes are: Aimbridge Hospitality President and CEO Mike Deitemeyer stepped down from his role at the end of 2023; Gilda Perez-Alvarado left her role as global CEO of JLL Hotels & Hospitality to join French hotel firm Accor; G6 Hospitality CEO Rob Palleschi left the company in early 2023; and IHG Hotels & Resorts CEO Keith Barr stepped down from his role after 23 years with the company.
Deals, Development, People on the Move
- Waramaug Hospitality appointed Ferit Ferhangil as CEO. He was previously partner and principal of the privately held hotel investment and asset management firm.
- Tom Magnuson, CEO and co-founder of London-based Magnuson Hotels, stepped down from his role. Chief Revenue Officer Adnan Malik was appointed CEO.
- Hard Rock International appointed John Rees as senior vice president of hotel operations.
- Fungai Muzunze has been appointed general manager of the Lodge at Sonoma, an Autograph Collection Resort.
- The Moxy Phoenix Downtown Hotel opened in Phoenix in the historic Luhrs Building. Hill Partners acquired the building at the end of 2019, then renovated it and converted it into a hotel under the management of PEG Hospitality Group.
- The SpringHill Suites by Marriott Las Vegas Convention Center Hotel sold to Apple Hospitality REIT for $75 million, or $251,000 per room. The hotel has 299 rooms.
- Foley Entertainment Group purchased the MacArthur Place Hotel & Spa from Lat33 Capital for $65.6 million.
- D.C.-based full-service development firm Weller Development Partners is set to begin construction on the more than $250 million development of the Six Senses Residences Grand Bahama this quarter. It has selected real estate brokers HG Christie and Bespoke Real Estate to lead the branded residential sales for the project. It will be comprised of 64 resort villas and 28 branded residences.
- Dolly Parton and The Dollywood Co. are expected to convert a downtown Nashville office building into a hotel. The 11-story office building at 211 Commerce St. was purchased by Parton and The Dollywood Co. for $75 million.