The hotel industry, like so many others, is cyclical. At NYU Tisch Center, the first week of our graduate program looks at demand and supply trends with data from Smith Travel Research, who often elegantly graphs annual, monthly and global hotel cycles. Industry insiders and observers know that the recent acquisitions of various hotel portfolios are part of that cycle.
Marriott recently bought Delta Hotels, one of Canada’s leading lodging brands, after buying Protea Hotels in South Africa in late 2013. IHG finished 2014 by acquiring Kimpton Hotels and Restaurants, and Wyndham began 2015 by collecting the gem of Dolce Hotels and Resorts. Of course there are single property acquisitions and sales each week in the hotel game.
So, all you students of the game of buying and selling properties on the Monopoly board, I ask you: What brand or portfolio is next? If you aren’t willing to publicly speculate: When do you think the acquisition trend will peak in this cycle? It is exciting to watch!