September 8 2010 | Latest News08 September 2010
By The HNN editorial staff
New Orleans is leading the RevPAR recovery race coming out of the recession, according to an analysis by STR Analytic’s Orly Ripmaster. The market needs only 6.2% growth in that metric before it returns to peak, pre-downturn RevPAR levels.
In the short term (since April 2010), New York is leading the way with 5% RevPAR growth. Other short-term growth leaders include Denver, New Orleans and Chicago, all of which experienced more than 4% trailing 12 month RevPAR growth since April.
* Read “The RevPAR recovery race.”
Spain’s hotel industry is in need of an overhaul, says HotelNewsNow.com contributor Ã“scar PÃ©rez. The process will require proactive planning and conscious execution highlighted, in part, by the following:
â€¢ Financial institutions must acknowledge they lack hotel expertise;
â€¢ assets must be physically analyzed for capital expenditure needs;
â€¢ the role of the hotel advisors must become truly valued; and
â€¢ potential solutions also must consider the appropriateness of the current operator and brand.
* Read “Spain’s hotel industry in need of an overhaul.”
Dubai Holding said that its arm Dubai Holding Commercial Operations Group LLC (DHCOG) is deferring repayment of part of its US$1.8 billion debt due this month.
In a statement issued Tuesday, the company said, “All parties have agreed to further extend the existing revolving credit facility of $555 million under commercial terms until November 30th 2010.
“The extension is required to enable all those involved to seek an agreement on an extended long term facility.”
Franklin, Tennessee-based Chartwell Hospitality is planning to spend between US$400 million and US$500 million on select-service hotels, taking advantage of recessionary pricing in the sector, according to the Nashville Business Journal.
The hotel investor and operator announced its plans Tuesday, saying it has raised US$200 million for Chartwell Hospitality Fund I, which will be leveraged to create a half billion in investment capital. CEO Phillip McNeill Sr. and president Robert Schaedle â€” who are company co-founders and kicked in a total of US$50 millionâ€”hope to recreate the acquisition strategy they used in the early 1990s and 2001.
Global hotel chains Accor and Starwood Hotels & Resorts Worldwide are ramping up India operations. The hospitality majors will open more hotels and bring their upscale and economy brands in India, reports The Economic Times.
The U.S.-based international company Starwood, which runs brands like Sheraton and Le Meridien, has eight brands in its portfolio. It’s fine-tuning services in some of its full-service hotel brands to include branded spas or branded food-and-beverage outlets. The Starwood brand yet to debut in India is W, but it could come soon in Mumbai.
The Accor Group, which is present in India through its partnership with InterGlobe, has brought in a new partner for its India expansionâ€”an investment fund comprising an affiliate of the Singapore government-promoted GIC Real Estate Pte and the New York Stock Exchange-listed Host Hotels & Resorts.
Compiled by Patrick Mayock.