DiamondRock adds in Florida: DiamondRock Hospitality has acquired the 96-room Kimpton Goodland Fort Lauderdale Beach from Banyan Investment Group for $18.9 million (approximately $198,000 per key). This is DiamondRock’s second property in the city. The hotel REIT owns some 33 hotels across the United States, including seven in Florida.
Florida hotels sell for $110 million: A joint venture of Kohlberg Kravis Roberts & Co. and Riller Capital has acquired the 110-key Aloft and 112-key Element in Tampa, Fla., and the 160-room Hyatt Place in Jacksonville, Fla., for $110 million US dollars. The seller was a partnership between Whitman Peterson and Concord Hotels & Resorts. The sale was organized by The Plasencia Group. The Aloft and the Element are the anchors of Midtown, a $500 million mixed-use development in Tampa.
Radisson is developing its African portfolio: Radisson Hotel Group has signed five deals across Africa, adding approximately 600 rooms to its portfolio. The group plans to add a dozen more hotels this year, reaching more than 100 hotels in operation and under development on the continent. Currently under construction, the Radisson Hotel Addis Ababa Bole Airport will be the first Radisson branded hotel in East Africa and is expected to open in 2023. Once opened in 2024, the Radisson Resort Dakar Saly in Senegal will be the first Radisson resort in Africa and the second Radisson-branded property in Senegal. The Radisson Hotel Sfax in Tunisia, which will open later this year, is set to become the first global-branded upscale hotel in the city. In Tunis, Tunisia, the independent hotel La Maison Blanche Tunis will undergo a complete refurbishment before reopening as a Radisson Individuals-branded property in January 2023. In Accra, Ghana, Number One Oxford Street Hotel & Suites will open later this year as a Radisson Individuals-branded property.
Rebranding of hotel management services: Hotel Management Services, Johnson City, Tennessee, has relaunched under a new brand and name – Envoy Hospitality. The rebranding comes at a time when the company is aiming to expand its services. The new brand will replace the previous brand with a new set of resources to train their team members and a new website to help future team members as well as current and potential partners understand the change.
Uber will add flight and hotel reservations to the app: Uber Technologies has launched a pilot project in the UK to include offers from travel partners in Uber’s app to create a “door-to-door travel experience“, allowing customers to book planes, trains, buses and hotels from the app, aligning with the company’s plan to become a travel “super app”. The company will not provide the travel service but will partner with third party booking agencies to provide tickets and collect service fees on bookings. Train and bus reservations are expected to be available on the app from this summer, while flight and hotel reservations are expected to launch later this year.
US performance drops slightly: U.S. hotel performance was down slightly from a week ago, reflecting the continued seasonal slowdown in spring break travel, according to STR’s latest data through April 2.
- Occupancy: 64.1% (-6.4%)
- ADR: $145.74 (+11.7%)
- RevPAR: $93.48 (+4.5%)
Of the top 25 markets, only Phoenix saw an occupancy increase from 2019 (+0.2% to 79.9%), while Minneapolis saw the largest occupancy decline from 2019. to 2019 (-23.9% to 51.3%). Boosted by the NCAA Men’s Final Four, New Orleans saw the biggest increase in ADR over 2019 (+43.1% to US$237.69). The largest RevPAR shortfalls were recorded in Minneapolis (-40.6% to $63.07) and San Francisco/San Mateo (-37.1% to $106.88).
Legendary Capital sponsors acquisition of Fairfield Lakewood: Legendary Capital sponsored the acquisition of Fairfield Inn & Suites Denver Southwest Lakewood, Colorado in a US$19.4 million deal. The transaction utilized Legendary’s proprietary equity preservation UPREIT structure, in which the property contributed the hotel in exchange for a special class of bridging partnership units, enabling potential equity preservation of the contributor as ownership stabilizes. This is Legendary’s second deal where they have helped owners complete a new build or conversion. The 142-key hotel is in the final stages of conversion to a Fairfield Inn & Suites.
Sonnenblick-Eichner arranges loan to refinance Pismo Beach Hotel: Sonnenblick-Eichner Co., Beverly Hills, Calif., has arranged long-term, fixed-rate financing of US$30 million for the 104-key Inn at the Pier, a full-service luxury boutique hotel located in Pismo Beach, California. The non-recourse loan was funded by a life insurance company and was priced in the low 4% range with interest-only payments for the full term. The proceeds of the loan also provided for a return of equity to the borrower. This is the third time that Sonnenblick-Eichner has arranged financing for the hotel, including construction, mid-term and long-term fixed rate financing of the property.
Kempinski’s 125and anniversary offers: Celebrating 125 years of Kempinski Hotels, the company has launched a dedicated website that will feature the 125 Anniversary Special, a collection of offers that includes discounts of up to 25% on hotel bookings through September 30 with a flexible cancellation policy. The website will also highlight some of the important chapters of Kempinski’s journey. Currently, Kempinski manages a collection of 80 hotels, resorts and residences in 34 countries, with 26 additional projects under development.
Turkey’s popularity among the budget conscious: Turkey is set to become a favorite destination for budget-conscious travelers this year, according to GlobalData. Although the average stay of inbound travelers (9.7 days) is the second longest in Europe in 2021, in-destination spending is relatively lower in Turkey. Compared to average inbound spending in popular leisure destinations, such as Spain and Portugal, travelers are likely to save between US$230 and US$770 per trip if they travel to Turkey, the database found. Although average spending is expected to increase in Turkey this year due to inflation, compared to average spending in other European destinations, it will remain lower. The gap is set to widen as Western European countries continue to suffer from economic difficulties.
Dream Hotels to offer Karl Lagerfeld amenities: Dream Hotels, New York, has added bath and beauty fashion house Karl Lagerfeld to its global portfolio and will offer an exclusive range of Karl Lagerfeld premium skincare products at its properties. Customers will discover the Karl Lagerfeld Arguments and Vetiver product line, a five-piece collection of soaps, shampoos and lotions. Some sites will also offer Karl Lagerfeld extension items such as lip balms, eye and face creams, facial cleansers, hand cleansers, and bath salts.