Ritz-Carlton yacht delayed: The Ritz-Carlton Yacht Collection will now launch service on June 13, 2020, four months later than originally anticipated, due to challenges with the Hijos de J. Barreras shipyard in Spain regarding ship delivery and project cost issues. The project is reportedly about €50 million (US$55 million) over budget. “With additional challenges around the former shipyard management, both the new Board of Hijos de J. Barreras and the Board of The Ritz-Carlton Yacht Collection are working cooperatively towards a long-term solution for the shipyard,” the cruise line said in a statement.
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STR sold: Commercial real estate information provider CoStar Group has entered into an agreement to acquire hotel data provider STR for US$450 million in cash. The acquisition is expected to close in the fourth quarter of 2019 and comprises the entire STR portfolio, including STR, Inc., headquartered in Hendersonville, Tennessee; STR Global Ltd., the company’s international business headquartered in London; Hotel News Now, the company’s digital media arm based in Cleveland; and the Hotel Data Conference, hosted each year in Nashville since 2009.
Airbnb not ready for LA law: Airbnb told the city of Los Angeles on Friday that it needs more time than the November deadline to build a computerized system to share rental information with the city — one of the ways that online platforms can comply with the new ordinance that limits Angelenos to hosting short-term rentals in their “primary residence,” not in a second home or an investment property. Airbnb also says it needs a city contractor to make more progress on the shared system — a process that could take months — before it can move forward. The city says it is preparing to enforce the ordinance on November 1.
US cap rates holding steady: CBRE’s North America Cap Rate Survey for the first half of 2019 revealed that the average U.S. hotel cap rate remained stable in H1 2019 at 8.28%. The most dramatic increases occurred among full-service and economy classes in Tier I cities. Cap rates in Tier I suburban locations for full-service hotels increased by 20 bps to 8.02% in H1. Every market class in Tier III cities recorded declines in hotel cap rates, led by a 10-bp drop in the economy class.
Berlin hotel rebranding: After refurbishment, Germany’s Union Investment will reflag the Sofitel Berlin Gendarmenmarkt to a boutique hotel, Luc. Union Investment is completely revamping a 6,200 sq m hotel property, which is expected to be completed by spring 2020. Munich Hotel Partners GmbH (MHP) will take over as franchisee and tenant, operating the hotel under Marriott’s Autograph Collection Hotels brand.
St. Regis to Oman: Marriott International has signed an agreement with Alfardan Group to introduce the St. Regis brand to Oman. Expected to open in 2022, the 271-room St. Regis Al Mouj Muscat Resort is planned to rise on a beachfront plot within Oman’s lifestyle and leisure destination, Al Mouj Muscat. The project also includes plans for 170 branded residential units.
Minor venture with health center group: Anantara Hotels, Resorts & Spas has entered into a joint venture with Singapore-based Verita Healthcare Group to collaborate on a global network of integrated, property-based health centers. Following the initial collaboration in Bangkok, joint projects will be launched in Thailand and throughout Asia Pacific. Anantara’s first foray into healthcare, the Verita Health facility is currently in development at Anantara Riverside Bangkok Resort and is scheduled to open in Q1 2020. The 677 sqm center will feature dark IV infusion rooms with sleep-promoting light therapy, streamlined VIP suites, a meditative garden and ergonomically-designed private consultations pods.
Choice wins trademark lawsuit: The owners of a Virginia hotel that continued using the “Quality Inn” name after breaching their franchise agreement with Choice Hotels International owes over US$3 million for trademark infringement, the U.S. District Court for the Western District of Virginia said September 30. A Royal Touch Hospitality’s unauthorized use of the name entitled Choice Hotels to an award of damages, lost profits, and attorneys’ fees.
Big Denver hotel sold: TRTG GHD LLC, with a Mexico City mailing address, has purchased the 26-story, 516-room Grand Hyatt Denver for US$115 million (US$223,000 per room), according to public records. The property was sold by 1750 Welton Street Investors LLC, an entity associated with UBS Realty Investors LLC. It paid US$89.85 million for the property in June 2006, according to property records.
Another Wynn lawsuit: Nine women who work at the Wynn Salon as manicurists and makeup artists have filed a lawsuit against Wynn Resorts, alleging sexual harassment by former casino mogul Steve Wynn and retaliation after reports were published in early 2018 detailing misconduct accusations against him. The 30-page complaint, which names Wynn Resorts as a defendant, was filed Monday in Clark County District Court. The plaintiffs previously had filed charges of discrimination with the Equal Employment Opportunity Commission and Nevada Equal Rights Commission. In a statement, Wynn Resorts said the “claims appear to be those already thoroughly investigated by the special committee (set up by the company) and regulators; no new claims of this type have been received by the company since the close of the investigations.”
Better benefits; limited cost: Room Mate Group, Madrid, starting in October is extending team member annual leave by one week, giving all employees a day off during the week of their birthday and adding an extra month to maternity and paternity leave. Its 1,200 employees will benefit from an average of 32% more time off, a decision that will impact the group’s costs by less than 1%, according to Founder Kike Sarasola. The group currently operates 26 hotels and seven apartment buildings. A further 11 hotels and seven new BeMate buildings are due to open over the course of the next 18 months.