Blackstone buys Biltmore: The Arizona Biltmore has reportedly sold for US$403.4 million to New York-based Blackstone Real Estate Advisors on April 20. Blackstone, which also owns the Motel 6 chain, is the largest private real estate equity firm in the world. The Biltmore sale is the largest in Arizona since the Phoenician sold in 2015 for US$400 million and the hotel last changed owners in 2013 when the Singapore government took ownership of it through bankruptcy court.
More from the Phoenix Business Journal
Margaritaville in NY: Margaritaville Holdings will manage a new Margaritaville Resort in Times Square: a 234-room, 29-story property expected to open in late 2020. Once complete, the US$300 million project will boast several Margaritaville food and beverage concepts, a rooftop LandShark Bar & Grill and pool, retail space and more. The resort will be developed by Sharif El-Gamal’s Soho Properties, in partnership with Chip and Andrew Weiss and MHP Real Estate Services.
Japan gets 1st Bulgari: Real estate firm Mitsui Fudoson has signed an agreement with Bulgari Hotels & Resorts to open Japan’s first Bulgari hotel near JR Tokyo Station by the end of 2022. The Bulgari Hotel Tokyo with 98 guest rooms will occupy the top seven floors of a 45-story skyscraper planned for completion by August 2022. In addition to hotel rooms, the luxury tower will house offices and various commercial facilities.
Pebblebrook, LaSalle proposal: Pebblebrook Hotel Trust has issued a letter to the Board of Trustees of LaSalle Hotel Properties in which Pebblebrook provided a final merger proposal. The company said the non-binding proposal for 100% of LaSalle’s outstanding common shares represented an implied price of US$32.49 per LaSalle common share in addition to an option for LaSalle’s shareholders to receive up to 20% of the consideration in cash (vs. 15% previously), which would be funded partially with LaSalle’s existing cash on hand.
IHG in Giza: InterContinental Hotels Group (IHG) signed a deal for two new hotels in Giza on Sunday, Egypt-Holiday Inn Giza Sun Capital and Staybridge Suites Giza Sun Capital, in partnership with Arabia Hotels, a subsidiary of Arabia Holding. The announcement was made at the Arabian Travel Market 2018. Scheduled to open in 2023, the 200-room Holiday Inn Giza Sun Capital and 150-room Staybridge Suites Giza Sun Capital will be the first IHG hotels to open in the area.
World tourism barometer: The World Tourism Organization has released results of its latest UNWTO World Tourism Barometer. China consolidated its leadership as the biggest spender in travel abroad in 2017 with US$258 billion in expenditure (+5% in local currency). The other three BRIC economies all substantially increased expenditure in 2017. The Russian Federation (+13%) rebounded after a few years of declines, to reach US$ 31 billion, climbing three places to re-enter the top ten at number 8. Brazil (+20%) also recovered strongly and moved up eight places to number 16 with US$ 19 billion in expenditure. India continued its rise with 9% growth in spending to US$ 18 billion and moved up four places in the ranking to 17th.
The entrepreneurial spirit: A recent report from the Young Hoteliers Summit (an international summit hosted at Ecole hôtelière de Lausanne by a student committee), The annual survey, which interviews nearly 2,000 future hospitality leaders, focuses on the latest trends in the hospitality industry through the lens of that group. When choosing future employment possibilities, career path and advancement were the greatest motivators for the 1766 respondents. In contrast, a good salary or job security was ranked much lower. Contrarily, the motivation to work in traditional hospitality has seen an upward trend after it had taken a major dip in 2016 and 2017. Some 28% of all participants were extremely motivated to work in entrepreneurial companies in the industry. The trend of opening up an own company is in line with the respondent’s inclination to leave their first company after less than five years.
To read the report, go to YHS’s website