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1. San Diego's higher hotel tax goes into effect
San Diego's voter-approved hotel tax increase goes into effect today after years of legal battles, Fox 5 San Diego reports. The tax applies to hotels, motels and short-term rentals as well as stays at RV parks and campgrounds.
The city's transient occupancy tax was at 10.5%, but it will now increase by different amounts based on how close a property is to the San Diego Convention Center, according to the article. The zone closest to the convention center will have a 13.75% tax, and the other two will be taxed at 12.75% and 11.75%.
The city expects the increased tax will generate about $82 million for fiscal year 2026 and more than $1 million in additional revenue within the first 10 years after it begins.
2. Rome hotel performance rises due to Pope Francis' funeral
Hotels in Rome saw occupancy, average daily rate and revenue per available room reach their highest levels so far this year due to the funeral of Pope Francis, according to data from CoStar. The market reached its peak on April 25, the night before his funeral, in which occupancy reached 88.8%, ADR was €351.13 ($397.54) and RevPAR was €311.90.
Room rates and RevPAR were at their second highest on April 26, the day of the funeral, at €336.45 and €285.25, respectively. Occupancy was the fourth-highest for the year at 84.8%.
“We have seen the continued power of events across Europe; however, most events, be it sporting tournaments or concerts, are announced months in advance, allowing guests and hoteliers alike to plan and understand their budgets accordingly,” said Alexander Robinson, regional manager at STR, in a news release. “Pope Francis’ funeral was announced just five days in advance — a short-term booking window for such a level of compression for the market, which makes this performance even more unique.”
3. Wyndham, Whitbread and MGM Resorts report earnings
The first-quarter earnings season has started in earnest for the global hotel industry, with Wyndham Hotels & Resorts, Whitbread PLC and MGM Resorts International all reporting results within the last 24 hours.
Wyndham reported global openings of 15,000 rooms during the quarter, a 13% year-over-year increase and new record, according to its earnings release. Its development pipeline grew 1% sequentially and 5% year over year to a record 254,000 rooms. Its global RevPAR reached $36.13, a 2% year over year increase.
Whitbread reported its full-year results, comparing the 52-week period ending Feb. 27, 2025, with the 52 weeks ending on Feb. 29, 2024. The company added 1,075 rooms during its year, and it expects another 1,000 to 1,200 rooms to open in its 2026 fiscal year. It achieved RevPAR of £50.90 ($67.78), up 15% year over year.
MGM Resorts reported net revenue of $2.2 billion at its Las Vegas Strip properties, down from $2.3 billion in the first quarter of 2024 primarily due to a decrease in ADR as a result of the Super Bowl being hosted in Las Vegas last year, according to its earnings release. Segment-adjusted earnings before interest, taxes, depreciation, amortization and rent costs was $811 million, a 2% year-over-year decrease.
Check out this page for ongoing coverage of hotel brand company and real estate investment trust earnings calls.
4. US buyers race to beat start of tariffs
U.S. consumers and companies are rushing to buy imported goods ahead of new tariffs going into effect, the Wall Street Journal reports. That is, at least for now, the opposite effect the Trump administration wanted to see with its tariffs on imported goods.
“The tariff front-running is exactly what the U.S. didn’t want happening,” said Melanie Debono, senior Europe economist at Pantheon Macroeconomics. “The U.S. wants to limit trade [deficits] with everyone else.”
Reuters reports that U.S. consumer spending increased in March as many households bought vehicles to avoid higher prices and potential shortages caused by tariffs.
5. US weekly jobless claims rise by 18,000
The U.S. Department of Labor reports that initial jobless claims for the week ending April 26 increased by 18,000 to a seasonally adjusted 241,000, according to a news release. The previous week's level was revised up by 1,000 to 223,000.
The four-week moving average, which helps smooth out volatility, increased by 5,500 to 226,000. The previous week's average was revised up by 250 to 220,500.