Ashford buys Remington’s hotels: Hospitality asset manager Ashford Inc. acquired the hotel management business of Remington Holdings LP, another U.S.-based property management company, for US$275 million. The business operates about 90 hotels. The transaction is expected to close in the fourth quarter. Ashford’s CEO is Monty J. Bennett, who also owns Remington with his father, Archie Bennett Jr.
Hospitality Properties to buy portfolio: Hospitality Properties Trust, a U.S. REIT, signed an agreement to acquire a net-lease portfolio of 774 commercial properties from Spirit MTA, another U.S. REIT, for US$2.4 billion. The Newton, Massachusetts-based company owned 326 hotels as of the end of 2018, managed by or leased to major operators such as Marriott International Inc, InterContinental Hotels Group Plc and Hyatt Hotels Corp.
Tapestry to enter Caribbean: Hilton signed the ROK Hotel, Kingston, Tapestry Collection by Hilton. Slated to open in 2020, the 168-room property is the brand’s debut in the Caribbean and is owned by PanJam Investment Limited. The 12-story hotel, originally the Oceana Hotel, will be part of a multi-use complex on the city’s waterfront including retail, entertainment and commercial spaces.
China warns against U.S. travel: The Chinese government issued a safety warning for its citizens and companies in the U.S. amid trade tensions between the two countries. Earlier this year, the U.S. State Department told Americans to “exercise increased caution” when traveling to China due to occasional attempts by the country to prevent U.S. citizens from leaving.
Pebblebrook sells: U.S. REIT Pebblebrook Hotel Trust agreed to sell the 132-room Hotel Amarano Burbank in Los Angeles, California, for US$72.9 million. The purchaser was not named. According to Pebblebrook, the sale price reflects a 15.8x EBITDA multiple. The sale is expected to close later this year.
Four Seasons in Colombia: Four Seasons Hotels & Resorts and San Francisco Investments, a subsidiary of Colombia-based Valorem, will partner to open a hotel and residences in Cartagena. The Four Seasons Hotel and Private Residences Cartagena will include the restoration of several historic buildings, including two dating to the 16th century. The 113-room hotel will have a pool, spa, meeting and event space, and 16 residences.
Spending surge in Puerto Rico: Occupancy spending in Puerto Rico from January to April of this year reached US$373.6 million, the highest in the past eight years, and an increase of 12.4% compared with 2017 pre-hurricane Maria levels. The increase has been driven by a rise in vacation rental property bookings, according to Discover Puerto Rico, the island’s marketing organization formed in the year after the hurricanes. As well, 2019 year-to-date leads and bookings in the MICE space are the highest in the past five years.
Trump trouble in Panama? A former business partner of Trump International Hotels Management is seeking at least US$19 million in a lawsuit filed against the company claiming that it evaded income taxes and under-reported employee salaries on a project in Panama. Orestes Fintiklis and Ithaca Capital Investments, which assumed control over the hotel property in 2018 after the Trump organization withdrew from it, claims that the alleged tax underpayments made the development’s finances appear better than they actually were. The Trump Organization denies the accusations.
Scholarships to NYU students: The NYU School of Professional Studies Jonathan M. Tisch Center of Hospitality announced a universal scholarship program for all new graduate students entering the center’s master’s program in hospitality, tourism and event management studies, starting in fall. The scholarships are financed through an endowment of sponsors of the NYU International Hospitality Industry Investment Conference. The announcement was made at the NYU’s annual conference.