Read the latest hotel industry news from around the Americas region.
Blackstone Group Completes $4 Billion Sale of Cosmopolitan
In the largest single-property deal in Las Vegas' history, Blackstone Group completed the $4 billion sale of the 3,027-room Cosmopolitan hotel from one of its funds to another, CoStar News' Mark Heschmeyer reports.
"The deal comes as the Las Vegas hotel market is showing signs of resiliency and is poised for a strong recovery fueled by pent-up demand and limited international options, analysts say. Earlier this month, Fitch Ratings affirmed its AA- rating on Las Vegas’ general obligation bonds and revised its rating outlook for the city to positive from stable," he reports.
Watermark Enters $3.8 Billion Deal With Brookfield
Watermark Lodging Trust announced on May 6 it entered into a definitive agreement to sell off a 25-hotel portfolio to private funds managed by Brookfield Asset Management in a $3.8 billion all-cash transaction by the fourth quarter of this year, reports HNN's Bryan Wroten and CoStar News' Ryan Ori.
Watermark Chairman and CEO Michael Medzigian said in a letter to investors: "We are pleased with the implied valuation premium given the remaining uncertainty regarding the lodging industry’s recovery from the COVID-19 pandemic, the impact of rising interest rates on the financing environment and macroeconomic recessionary concerns.”
How Caribbean Hotels Invest in Staff
Speaking during a panel at the recent Caribbean Hotel & Resort Investment Summit titled "Road to Recovery," hoteliers shared what they're doing to handle labor issues, inflation and travel demand, reports HNN's Bryan Wroten.
Janelle Hopkin, president and managing director of Spice Island Beach Resort, said her property's goal is to educate students early on about careers in hospitality.
“There is definitely a stigma [around working in service-related jobs], and you just have to keep encouraging the young people,” she said. “Everyone's going into banking, they want an office job, but the hospitality industry — you have to love it.”
US Hotel Occupancy in Line With Peak Summer 2021 Levels
Data from STR, CoStar's hospitality analytics firm, for the week of May 15-21 shows the industry is gaining momentum for the summer months when leisure demand is at its peak, writes STR Vice President of Analytics Isaac Collazo. And the nation's top urban markets are improving with increased business travel and graduations.
Occupancy in the U.S. reached 68.6% for the week, which was the highest level since July 2021. To add some perspective, since the start of the pandemic, weekly occupancy has only surpassed 65% on 17 occasions with seven of the occurrences happening this year and the remainder seen last summer," he writes.
Deals, Developments, People on the Move
Viewline Resort Snowmass in Snowmass Village, Colorado, has appointed Craig Waterman as complex general manager and John Hearns as director of operations.
- The Kessler Collection announced plans for a $150-million-plus mixed-use village development in Cashiers, North Carolina, that will include a boutique lodge, mountain cottages, luxury glamping cabins and more. The project is expected to break ground in 2023, with the first phase projected to be complete in 2025.
- A joint venture between Partners Group and Trinity Fund Advisors announced it has purchased the 431-room Four Seasons Resort Dallas at Las Colinas in Irving, Texas, for an undisclosed amount.
Mo Sallah has been appointed regional director of operations for Divi Resorts. Sallah has more than 20 years of experience in leadership and resort operations in the Bahamas, U.S. Virgin Islands, British Virgin Islands, Antigua and Anguilla.