Editor's Note: Some linked articles may be behind subscription paywalls.
1. European Central Bank increases rates as Middle East conflict, energy crisis intensify
Struggling with persistent inflation fueled by war in Iran, the European Central Bank has increased its key interest rate a quarter point to 2.25%, CNBC reports.
“The war in the Middle East is generating inflation pressures, and the decision to raise rates is robust across a range of scenarios mapping out how the shock might evolve and affect the medium-term outlook for the euro area,” The ECB’s Governing Council said in a statement about the decision.
Hopes for a quick conclusion to the U.S.-Iran war and an opening of the Strait of Hormuz seem to be dwindling as hostilities between the U.S. and Iran ramped up. Officials announced the U.S. struck an Iranian oil tanker and President Donald Trump threatened further bombings as Iran closed all traffic on the Strait, The New York Times reports.
2. Bank buys real estate for full control of DC Old Post Office building
BDT & MSD Partners has purchased the real estate of the historic Old Post Office Building in Washington, D.C., CoStar News' Jonathan Lehrfeld reports. The bank also held the leasehold rights on the property, consolidating its control of the former Trump hotel.
The Wall Street Journal reports the federal government sold the building and land for $80 million, citing unnamed sources, and BDT & MSD is eyeing a sale of the now Waldorf Astoria-branded property in the range of $400 million.
3. Egypt sees wave of luxury hotel growth
The Egyptian hotel industry is undergoing a transformation as more investors look at it as a safe haven in the larger Middle East and Africa regions, CoStar News' Terence Baker reports. Improving infrastructure and government support are spurring a push to higher-segment hotels.
Hala Matar Choufany, president for the Middle East, Africa and South Asia and managing partner at HVS, said most new supply in the country is in the luxury segment.
“The question is a function on execution. Will [developers] be able to deliver those products and uplift the market? There are a lot of existing opportunities that are being under-managed,” she said.
4. South Street Partners buys Crystal Springs Resort in New Jersey
Private equity investment firm South Street Partners has announced the acquisition of the 1,400-acre Crystal Springs Resort in Sussex County, New Jersey, for an undisclosed price.
The property includes two hotels and six golf courses.
South Street bills itself as "one of the largest owners and operators of private residential club and resort communities in the United States," and its portfolio includes the PGA National Resort in Palm Beach Gardens, Florida.
5. Marriott reaches 10,000 hotels
Officials with Marriott International say the company's full hotel portfolio has now reached 10,000 properties following the opening of the JW Marriott Ranthambore Resort & Spa in Rajasthan, India.
“Marriott was founded 99 years ago as a nine‑seat root beer stand, and as of today, has grown into a global portfolio of 10,000 properties spanning 146 countries and territories. I’m immensely proud of this tremendous milestone, made possible by our global teams and the owners who continue to place their trust in Marriott brands,” President and CEO Anthony Capuano said in a statement. “Marking this accomplishment with a property carrying the JW Marriott brand is especially meaningful given its naming after our co-founder, J. Willard Marriott. He and Alice S. Marriott built an incredible legacy of opportunity, service and innovation that we’re privileged to carry forward.”