Arabia exits at Sunstone: Sunstone Hotel Investors has named Douglas Pasquale as interim CEO, effective immediately. Pasquale, who is the current chairman of the Sunstone board, will succeed John Arabia, who will leave his role as President and CEO, and has also resigned as a director of the company, effective immediately. The board plans to hire an executive search firm to find a permanent CEO. Until then, Pasquale is expected to serve as interim CEO and will also continue to be chairman of the board.
W Washington DC sold: The 326-room W Washington D.C. has been sold for an undisclosed amount by an affiliate of the Investment Corp. of Dubai to a joint venture between global investment firm Pimco and Schulte Hospitality Group. The hotel reportedly will be rebranded as an independent. The hotel recently completed a US$50 million renovation and is well known for its roof deck, which overlooks the White House and Treasury Department.
Apple REIT buys in South Carolina: Apple Hospitality REIT has acquired the 130-room Hyatt Place in downtown Greenville, South Carolina for approximately US$30 million, or US$231,000 per key. The hotel opened in December 2018 and according to STR data exceeded the company’s full portfolio averages in June 2021, reporting 79% occupancy, US$153 ADR and RevPAR of US$121. Following this acquisition, the Apple Hospitality portfolio includes 214 hotels with more than 27,900 guest rooms.
U.S. performance continues to drop: U.S. hotel performance continued to decline from previous weeks, according to STR’s latest data through August 28.
- Occupancy: 61% (-8.4%)
- Average daily rate (ADR): US$131.91 (+3.2%)
- Revenue per available room (RevPAR): US$80.53 (-5.5%)
Among the top 25 markets, Norfolk/Virginia Beach recorded the highest occupancy (+2.8% to 71.4%) and RevPAR (+21.1% to US$106.68) increases over 2019. San Francisco/San Mateo saw the steepest decline in occupancy (-43.2% to 50.3%). Miami reported the largest ADR increase (+27.5% to US$173.61). The largest RevPAR deficits were in San Francisco/San Mateo (-65.6% to US$81.15) and New Orleans (-46.5% to US$37.96).
Wyndham’s new hotel in Tbilisi: Wyndham Hotels & Resorts, Parsippany, New Jersey, announced the launch of The ART Tbilisi, its first Registry Collection Hotel in Georgia, located in city’s historic district of Abanotubani. The 100-room newly built property is expected to open in early 2023. Wyndham has a pipeline of 11 hotels across the Eastern European country. Its 21st brand, the Registry Collection luxury soft brand, launched in June 2021 with the opening of the Grand Residences Riviera Cancun.
Business travel on the decline: Business travel is gradually losing its favor among big companies with 84% of companies planning to spend less on travel post-pandemic, as per a Bloomberg survey of 45 large businesses in the U.S., Europe and Asia. Most of the respondents cutting travel budgets see reductions between 20% and 40%, with two in three slashing both internal and external in-person meetings. The ease and efficiency of virtual software, cost savings and lower carbon emissions were the primary reasons cited for the cutbacks. According to the Global Business Travel Association, spending on corporate trips could plummet to US$1.24 trillion by 2024 from a pre-pandemic peak of US$1.43 trillion in 2019.
New methodology measures waste: The World Wildlife Fund (WWF) and Greenview, a global sustainability consulting group — launched the Hotel Waste Measurement Methodology, developed in collaboration with Accor, Hilton, Hyatt, IHG Hotels & Resorts and Marriott International — to measure waste across hotel chains and help them solve the problem of waste management. The methodology is designed to provide a way for the hotel industry to collect data and measure and report waste. It was reviewed by several industry stakeholders — including WRAP, one of WWF’s food loss and waste partners — to ensure it addresses the specific challenges faced by hotel companies. The common waste metrics and definitions will ensure that those who follow the methodology will calculate, identify and fill gaps, and report their waste data in a comparable way.
Centara makes vaccination mandatory:Â Thai hotel operator Centara Hotels & Resorts announced that all visitors to its Centara Grand Beach Resort & Villas Hua Hin in Thailand are required to show proof of vaccination. The new policy will go into effect from September 9 as Hua Hin gears up to reopen to international travelers as a quarantine-free destination in October. Centara Hotels & resorts plans to expand this policy to further hotels as quarantine-free travel opens up in more destinations. The new policy mandates all guests to show proof of at least one dose of a Thai FDA-approved COVID-19 vaccination. Travelers who have recovered from COVID are also required to show proof of vaccination. Children aged below 18 years are exempt from the policy if accompanied by vaccinated parents.