Covivio’s big deal: Covivio, through its subsidiary Covivio Hotels, has completed the acquisition of the portfolio of eight hotels located in Rome, Florence and Venice, as well as in Nice, Prague and Budapest, for €573 million (US$676 million). This portfolio of high-end establishments includes the Palazzo Naiadi in Rome, the Carlo IV in Prague, the Plaza in Nice and the New York Palace in Budapest. Totaling 1,115 rooms, the hotels will be operated by NH Hotel Group through long-term triple net lease contracts with minimum guaranteed variable rent.
New York’s Royalton Hotel sells for US$42M: New York City-based MCR, which launched the retro-styled TWA Hotel at John F. Kennedy Airport, has added another property to its lodging portfolio: New York’s Royalton Hotel, which it bought for US$42 million — a 24% discount from what it last fetched in 2017. The Royalton, mostly recently owned by Rockport Group and Highgate Holdings, is currently closed but will reopen on September 30, according to its website. The low purchase price reflects weakness in the city’s hotel market, which was hurt by over-supply even before the pandemic struck last winter.
Judge voids U.S. “joint employer” rule: A U.S. federal judge struck down a Trump administration rule that narrowed the definition of “joint employer,” and which the attorneys general of 17 states and Washington, D.C., said would eliminate important labor protections for workers. The judge said the rule was “arbitrary and capricious” because the Department of Labor failed to justify it or account for its costs to workers, which the states estimated at more than US$1 billion annually.
Radisson in Brazil: Radisson Hotel Group signed a master franchise agreement with Atlantica Hotels in Brazil. The two companies have held a relationship for nearly 20 years. Atlantica Hotels was previously a licensee for Radisson Hotel Group’s brands in Brazil, including Radisson Blu, Radisson RED, Radisson and Park Inn by Radisson. The agreement will cover all seven of Radisson Hotel Group’s brands. The signing of this agreement extends the relationship between the two companies for another 20 years while growing Radisson Hotel Group’s presence throughout the country.
Vogue Hôtel Montréal Downtown sells: Canadian private real estate investment and management company SageBlan Investments has acquired the Vogue Hôtel Montréal Downtown, in partnership with Holand Real Estate Group and Serruya Private Equity. The hotel will soon join the Curio Collection by Hilton brand under the management of SageBlan Investments and will be the brand’s first property in Canada. The property will also undergo a significant renovation that will cover the hotel’s exterior facade, lobby, public areas and guestrooms in the next 12 to 24 months. A source confirmed the upcoming renovations should total approximately CAN$50 million (US$38 million).
Aman Nai Lert Bangkok: Singapore-based Aman Resorts signed a long-term partnership with Nai Lert Park Development, a subsidiary of Nai Lert Group, to manage Aman Nai Lert Bangkok, comprising branded residences and a luxury hotel slated for completion in 2023. Architect Jean-Michel Gathy, founder of Denniston and a long-time collaborator of Aman, will design the 52-suite hotel.
The Bucks boutique hotel: Madison, Wisconsin-based North Central Group partnered with the American professional basketball team the Milwaukee Bucks to bring a boutique hotel to downtown Milwaukee. The hotel will be part of Marriott International’s Autograph Collection. The Bucks will lease the land to North Central Group, which will develop, own and operate. Opening is scheduled for early 2023.
Drury co-founder dies at 92: Charles L. Drury Sr. — a visionary businessman known for his philanthropy and a national chain of hotels that bears his family name — died Monday night in St. Louis, Missouri at the age of 92. Along with his brothers, Drury established the Drury hotel brand in 1973. Over the past 47 years, Drury Hotels has grown to more than 150 locations in 27 states.
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