What's Trending in 2023
With the price of materials such as lumber and steel falling from last year’s highs, U.S. hotel developers had been counting on a reprieve in building costs, which would allow them to add or update inventory as travel demand returns to and exceeds pre-pandemic levels.
Saudi Arabia, United Arab Emirates Lead Region's Markets With Highest Construction Activity
A pair of industry experts—Greg Winey of NorthPointe Hospitality Management and Larry Spelts of Indigo Road Hospitality Group—offer some helpful tips on ensuring that renovation projects succeed without disrupting the guests. Winey and Spelts detail a number of successful projects, such as The Carlyle, a Rosewood Hotel, in New York City; North Carolina’s Skyline Lodge; and the conversion of the Jekyll Island Hotel to a Hilton Tapestry.
Industry experts expect a difficult economic environment to keep CMBS issuance volume down while existing loans may see higher delinquency rates.
It’s not your imagination: People really are flocking to Florida. The Sunshine State had the fastest-growing population in the country last year — the first time the state has taken the top spot since 1957, according to U.S. Census Bureau estimates released last week. The nation’s third-largest state grew by 1.9% from July 2021 to July 2022 — netting over 400,000 new residents to reach an estimated population of 22,244,823.
Tourist Development tax revenue in Orange County was up 46% in October 2022 compared to the last year. Tim Giuliani, CEO of Orlando Economic Partnership, said that signals the return of tourism which has led to more hiring. "Travel and Leisure, and hospitality has grown the most," he said. "But they were also set back the most by the pandemic." Also, since the beginning of the pandemic, Giuliania said there's more jobs in financial and professional services than in travel and hospitality.
Hotel revenue strategists have learned to better adapt through the uneven recovery across the industry in 2022, which at times required being willing to take risks, reports Hotel News Now's Dana Miller.
Cory Chambers, senior vice president and chief revenue officer at Hospitality Ventures Management Group, said the traits he looks for in revenue strategists are creativity, willingness to try new things, openness to outside ideas and leading with data.
"[They need to be able] to own a decision that didn't work and eliminate that, but now we know because we tried it and no one can say we didn't," he said. "We would far rather see a risk be taken and a negative outcome occur than no risk be taken and nothing changes."