TIDBIT : CENTRAL AND SOUTH AMERICA HOTELS continue to report upward growth. Occupancy rose 4.5% to 57.6% during past 30 days; ADR increased 7% to $1908; and RevPAR rose 12.l8% to $62.
WHILE CENTRAL/SOUTH AMERICA ROSE MIDDLE EAST AFT RICE saw ADR drop 4.5% land RevPAR slide by 3.7%.
TIDBIT : AMHB MEMBER MONTANA and WYOMING OFFICES (Chuck Platt – Billings; Pat Green – Gillette, Wy.) are reporting are upping their game in terms of one-of-a-kind activities designed to provide guests with exceptional experiences to be remembered as guests return home. Many exciting experiences are now being offered….as an example, “saddle up with cowgirl legends as hotel activities go off the beaten path in exciting Western Style adventures”.
TIDBIT : NAPA Valley
The Napa Valley Register reports that the famous Napa Valley experienced a 36% year over year drop in October hotel revenues. Smith Travel further reported a 22% decline in occupancy which extended into November. Experts expect similar numbers to be experienced regarding the December fires in Ventura and lower Santa Barbara Counties, California
TIDBIT : Current SBA 504 November
Interest rates are:
20 Year Purchase Rate: 4.503%
20 Year Refinance Rate: 4.560%
10 Year Purchase Rate
Nov – Dec: 4.373%
TIDBIT : 54 YEARS AGO THIS MONTH……
The body of President John F. Kennedy was laid to rest at Arlington National Cemetery. His Widow, Jacqueline, lit an “eternal flame” at the grave-site.
TIDBITS OF CURRENT NEWS
California reports $6.2 Billion 2017 sales transactions.
This upward trend continues for 2018 according to American Motel Hotel Brokers accumulated statistics. Further, United Kingdom transactions are reportedly up 32% from Overseas Investors….including much American with a combined figure accounting for more than half.
Canada hospitality business ‘jumps’……
AMHB Network from their Canadian reports receive data of Occupancy and Rate growth similar to USA during first quarter, 2018. ADR is up 4.7% to $154.55 ($117.13 USA); and RevPar up 7.5% to $94.88 ($73.07 USA).
WHOA ! INFLATION SLOWS…..
Per the US Government Reporting Agencies, Inflation slowed during February in USA…..
MARCH 16th, 2018
Following a South American hotel lodging surge, Brazil is reporting a 10.2% increase in year over year occupancy increase for early 2018.
2017 ENDING WITH HOTELIERS SOLID GAINS…. As American Hoteliers end 2017, the North American Hospitality Review (NAHR) reports the following up ticks in Occupancy, Occupancy and RevPar. All travel segments have enjoyed: ADR, up 1.4%; OCC,up 3.9%; RevPar up 5.4%. Group Travel appears to lead the segments with : ADR , up 1.9%; OCC up 5.5%l and RevPar up 7.5% But, the lowest being Transient Leisure hit: ADR,up 0.5%; OCC up 4.3%; and RevParup 4.8%. It is surmised these upward trends are a result of favorable economic trends. It is expected that Holiday travel will increase nicely this year. Most regions of America are reporting very favorable Thanksgiving travel results.
CITIES USING HOTELS TO ‘REVIVE’ RETAIL CENTERS Cities with struggling retail centers are offering developers tax breaks to build Hotels in such usable space. The cities objective is long term. The development of tax revenues utilizing new Hotels as their product is catching on with American cities such as the Hotel and Convention Center in Brookfield, Wisconsin. DAYLIGHT SAVING TIME ENDS NOVEMBER 5TH…… Do not forget to change your clocks this coming Sunday… except in Arizona, parts of Indiana and New England… where time does not change !…… GREAT BRITAIN INVESTIGATING OTAs…… Hotel Smart Brief reports that Online Travel Agencies are under the British “official scrutiny” in Great Britain. The British authorities scrutiny is founded on “suspicion of misleading consumers and possibly violating the law”. The practice of unclear and inaccurate information on the OTAs is increasing the difficulty for the Users of these OTA’s to get accurate and not misleading information. This is resulting in difficulty for Users to in finding the ‘best deals’; the accuracy of what seems to be the ‘best deal’, the Competition and Markets Authority of Great Britain asserts.
CHOICE HOTELS AIM FOR COMFORT EXPANSION… Choice is reporting focus on increasing Comfort Inn distribution in No America.. They have opened 10 new ‘builds’ and/or ‘conversions’ last 3 months.. Texas (2) – Kansas (2) – and one each Mississippi, Tennessee, New Mexico, Michigan, South Carolina and Canada. The goal is to open at least one per month. Vice President of Development states current Comfort Inn lead in Upper and Mid-Scale segments. He says, “Choice is providing the tools not just for today, but support for our Hoteliers in future”. American Motel Hotel Brokers Network, America’s longest continuous named hospitality and lodging brokerage servicing Owners and Buyers throughout USA and some International venues, reports that Bruce Barnes, 40 year Veteran Hotelier has become Vice President of Member Development. Barnes will be concentrating on the continuous opening of new geographical markets within Canada and USA. Offering to experienced Hospitality/Lodging Brokers and Agents the opportunity to provide their Clients with an Inventory of over $300M hotels FOR SALE..and those ready to sell, the opportunity to have their Hotels offered to over 20,000 pre-qualified Buyers.
SAVANNAH . . . GEORGIA HOTEL & LODGING ASSOCIATION PRAISES – SEPTEMBER 6, 2017 Savannah occupancy in 2016 was up by 5%, speakers at GHLA Meeting reported. All signs indicate this trend will continue upward in 2017 reaching 71.8%. This compares to last year’s rate of 70.8%. It is reported that nationally, hotels are expected to finish 2017 at 65.6%. American Motel Hotel Brokers Network concurred with the occupancy increases, stating they are offering for sale a Best Western that is enjoying a 6% occupancy increase this year . . . and a guest revenue increase of over $400,000. S
AVANNAH VISITORS KEEP GROWING: 2012 12.4 Million 2013 13.0 Million 2014 13.4 Million 2015 13.7 Million 2016 13.9 Million 2017 14.2 Million (forecast) CHINA FOREIGN INVESTMENT FACING RESTRICTIONS – SEPTEMBER 6, 2017 The beginning signals of a China “slow down” in USA investment opportunities shows signs of moving into the Hospitality and Lodging sectors, stated Mike Sprinkle, CEO of American Motel Hotel Brokers Network, at a recent AMHB Network market study forum for AMHB Member Brokers. Major Chinese investors who also have interests in hotel investing such as HNA Tourism Group, Shanghai Jin Jiang Int. Hotels, Anbang Insurance, and others are receiving government restrictions in China related to overseas investing. The Chinese government is beginning to “cry alarms,” Sprinkle repeated when asked why the underlying change in Chinese investing in America. Sprinkle indicated the primary cause is that the Chinese government is concerned about the levels of bank-secured debt Chinese companies are deploying abroad. However, Sprinkle went on to state that the influx of new money coming into our Hospitality and Lodging Industry surely seems to be offsetting any telling effects on AMHB Network sales. HOSPITALITY/LODGING INDUSTRY CAN EXPECT MERGERS – SEPTEMBER 5, 2017 American Motel Hotel Brokers Network is reporting an anticipated development of mid-size companies considering mergers. The Fitch Ratings seem to agree with American Motel Hotel Brokers Network’s research, except Fitch is taking their opinion down to even smaller companies. This anticipated business change is attributable primarily to Marriott International and Hilton Worldwide market control of pricing. As those companies enlarge their holdings, their control over increasing higher room rates continues to grow. This factor of increased distribution of “product” and the market control factor of allowing increased rates could well entice smaller and mid-size firms to merge. NEW HOTEL OPENINGS SPEAR INDUSTRY INTEREST – AUGUST 2017 Combined Industry Research reflects a surge of new hotels to be opened through year 2019. Spearheading this estimated 114,906 new hotel openings is the South Atlantic Coastal region with an estimated 24,698. Closely behind is the West South Central Region of Texas, Arkansas, Mississippi and Louisiana with an estimated 21,190. The Pacific Region of Washington, Oregon and California trails expectations, but still expects 17,881 new openings. Arizona and the vast Mountain Regions are slightly behind the Mid-Atlantic (14,3890) and East North Central (10,494) with 8,943 expected new openings. The smallest number of new hotel openings being forecast lives in the New England area, where approximately 3,045 are expected. A portion of these numbers are actual that cover the next six months. The remainder are forecast. THE FINANCIAL POWER OF TOT’S OVERLOOKED BY SOME – AUGUST 2017 The Transient Occupancy Tax is an important source of income for Municipalities. As a ‘pass-through’ tax, your guests are paying, but it is often not used by Hoteliers to advance their business. The economic impact of TOT from meetings, conventions, family gatherings, organizational meetings, and other small and larger group events is much respected by most cities and towns. Hotels using their Chamber of Commerce, local Universities/Colleges, Hospitals, etc., with the support of the City and County where located, can promote such events. American Motel Hotel Brokers, the oldest continuous Hospitality and Lodging Brokerage Firm in America, when providing service to their buyers at time of purchasing a hotel, introduces the new Owners to the city/town organizations. It is found that such introductions, combined with Owners’ use of the city and town support, builds ‘new’ sales growth for the Buyers (new owners). Especially the younger population of hotel guests, it is found by AMHB, will often use these city/town organizations as a resource for lodging, entertainment, dining, recreation, etc. LOVE HOME SWAP PURCHASED BY WYNDHAM – AUGUST 2017 The six-year-old Love Home Swap, with over 100,000 homes listed worldwide, is now part of the growing Wyndham organization. This “home exchange” platform was purchased by Wyndham for a reported $44,600,000. As the home exchange market, together with the home overnight rental markets, continue to grow, more American companies are entering. RED LION HOTELS FIND A NEW “HOME” – AUGUST 2017 Red Lion, after 43 years being in Spokane, Washington, is moving its primary headquarters to Denver, Colorado. Red Lion management intends to keep a Regional office in Spokane. Red Lion was originally formed as a primarily Northwest Hotel company with tentacles into California, etc. some 43 years ago. Citing the need, as they grow, for improved airline connections cemented their decision to relocate. ISLAND OF BALI LAUNCHES INTERCONTINENTAL HOTELS GROUP FIRST RESORT! – JULY 2017 Hotel Indigo Bali Seminyak Beach set to open today for IHG. It is the brand’s first Resort, and also their initial property in precious Bali. The resort covers over 4.7 hectares with beautiful landscaped gardens that add glamour and appeal to this 289 guest room hotel. Giving the total of 289 are 19 Balinese styled villas which offer private swimming pools and featuring seven lifestyle dining offerings for entire Resort. APPS……AND MORE APPS ! – JULY 2017 American Motel Hotel Brokers released information today that their New APP program for hotel owners, and those considering becoming owners in the Hospitality and Lodging business, has exceeded their initial goal by over 65%. For those interested in obtaining their AMHB APP….FREE.…go to the Apple Store or Google Play Store and ask for the APP. You may also contact American Motel Hotel Brokers at: email@example.com,…..or call, 602-230-9244. Comments from “recent users” are all positive, stated Joan Golden, Director of Technology.
NOVEMBER 9th, 2017
HOTEL RESERVATION CALL CENTERS BEING WASTED…….
A HTC Survey of over 20 Brands hired by Cloud5 is scheduled next week to issue an alarming report. The Report will state based upon a study that the hotel reservation call centers are being wasted as a revenue builder. They are being operated cheaply and the performance for their clients is poorly measured the study concludes.
OCTOBER 26, 2017
GET PREPARED !…….
Day Light Saving time changes Sunday, March 5th..
BEST WESTERN “SureStay” GETTING GOOD MARKS..
The new BW Brand is adding the Best Western name as ‘the brand’, as well
as including the popular Best Western Awards Program…
SEPTEMBER 21, 2017
Lodging Econometrics is stating that the Asia-Pacific new hotels under construction, excluding China, amount to approximately 342,670 rooms. The primary Hotel Companies in this Asia-Pacific construction mecca are Accor Hotels with a reported 52,487 (245 projects), followed by Marriott International with 239 projects, and IHG with nearly 200.
SEPTEMBER 19, 2017
Sanitaire reports that guests’ final choices for a hotel can vary. But, “cleanliness” is not a variable. Guests will book elsewhere if rooms are not clean . . . and will not repeat.
SEPTEMBER 18, 2017
SmartBrief reports that 76% of Senior business executives travel for business at least once per month. Reportedly, there are over 1,000,000 such travelers. They tend to devoted customers who maximize business travel through “Awards Programs,” and lean toward ‘Extended Stay’ accommodations.
BEES! BEES! DO NOT BEGONE – SEPTEMBER 7, 2017
New York City’s Hilton Midtown Hotel is adding 450,000 bees to its rooftop, “Insiders” reports. Purpose? Bees are assisting Hotel to harvest 300 pounds more or less of honey per year. The Hotel can now offer several honey dishes on its menu.
FRENCH TOURIST TRAFFIC – August 2017
The French tourist traffic is coming back strong after the 2016 terrorist attacks. Paris occupancy figures are up some 10% compared to 2016. The AMHB European Office reports that Melia Hotels, a major Spanish company, is aggressively seeking development opportunities in France.
FEDERAL PER DIEM RATES FOR FISCAL 2018 – August 2017
The General Services Administration, GSA, has announced that Federal Per Diem rates for Fiscal 2018 become effective October 1, 2017. The Standard Rate will be increased from $91 per night to $93 per night for Lodging.
ARE YOU TAKING ADVANTAGE OF THESE TRENDS/OPPORTUNITIES? – JULY 2017
The advancement of mobile phones, together with the numbers being used, give businesses great opportunities! As a Hotelier, follow this trend! Utilize this trend for your Social Media Marketing! It works . . . it makes you money! American Motel Hotel Brokers, America’s oldest, continuous Hospitality/Lodging Brokerage, altered their marketing and their Offerings for Sale . . . and their Sales have increased and phone calls have practically doubled from Clients.
HILTON LONDON HEATHROW AIRPORT SOLD – JULY 2017
American Motel Hotel Brokers Network European office reports a group from Norway, “Pandox,” has entered into contract to purchase. It is a 398 room hotel connected to Terminal 4. Price is 80 Million Pound.
AAHOA HOSTS “INDEPENDENT HOTELIERS CONFERENCE” – JULY 2017
On July 31 at the Hyatt Regency in Dallas, AAHOA will hold their Conference for those that are Independent Hotel Owners….AND….those interested in becoming Independent. The theme of the Conference is “a can’t miss opportunity” for Independent Ownership! With more discussion today about ‘going independent,’ the timing of AAHOA is worth. You can find more details on the AAHOA.com Website.
THIS IS HEADLINE NEWS – JULY 2017
AccorHotels with aggressive acquisitions is surging forward with “home-sharing” market. Accor is merging Squarebreak and Travel Keys into their One fine stay company. This will give Accor in range of 10,000 rental properties.
AMERICA’S “TOP” REV PAR GROWTH MARKETS – JUNE 2017
RevPar….Revenue Per Available Room….has become a more recognizable measure of profitability in recent years. It is also a measure for a market’s growth on dollars being spent on existing Lodging in a market. Based on a recent survey, it is reported that Tucson, Arizona leads America currently in RevPar Growth. Here are the ten top ‘growth markets’ for current and forecasted generation of Revenue Per Available Room for period 2016-2018.
City/State/% RevPar Change
Tucson, AZ 5.9%
Kansas City, KS/MO 5.7%
Jacksonville, FL 5.2%
Sacramento, CA 5.2%
Dayton, OH 4.6%
Richmond, VA 4.6%
Atlanta, GA 4.4%
Salt Lake City, UT 4.2%
Washington, DC 4.1%
San Antonio, TX 4.1%
HOTELS “PROFITABLY” BRING 2017 INTO THEIR OPERATIONS! – JUNE 2017
From various sources AMHB has ‘confirmed’ that Cordless upright vacuums DO clean a guest room 5X faster than a corded upright vac. From Survey that American Motel Hotel Brokers took, it was determined that if used correctly a cordless upright vac can save an average of 5 minutes for a standard guest room…for a 100 room hotel at 70% occupancy, that is a DAILY savings of 350 minutes = 5.8 hours. At $10 per hour labor, it is a daily savings of $58…and ‘really’ taking it to the NOI line, it is an additional profit for hotel of $21,170 annually.
Interested? Here is the product information AMHB discovered for you. These are ratings established by Amazon Prime. Rated from 9.8 to 7.6.
3. Black & Decker
Here are some costs provided by Amazon Prime.
1. Dyson VE CordFree….rated 9.8….$279
2. Hoover Cruise….rated 9.6….$143
3. Black & Decker SmarTech….rated 8.5….$150
SLOW YEAR FOR TRANSACTIONS…PROVING TO BE UNTRUE AT AMHB – JUNE 2017
According to Hotel Management magazine: “2017 is expected to be flat for U.S. hotel transactions”. The combination of lenders exhibiting caution, uncertainty surrounding interest rates, tax deductions, and income tax rates is giving investors “pause”.
This however is playing out to be untrue. The CEO of American Motel Hotel Brokers recently stated in an interview, “The largest number of new buyers we have experienced in the last five years are purchasing hospitality and lodging from AMHB in 2017. We receive calls continually from Owners. Last week alone 11 new hotels were put under contract to sell. We cannot comment on what others, within our industry are experiencing, but we do not see a so called ‘flattening’ of hotels for sale, nor ‘flattening’ of buyers wishing to buy.”
Statistics provided by AMHB sure show a different trend than forecasted:
Q1 – 32% increase in hotels, motels, and resorts placed in our inventory to sell for Owners
Q1 – 41% increase in hotels, motels, and resorts placed under sales contract by AMHB Member Brokerages
Year to date – over $160,000,000 total transactions within AMHB Network of Brokerages
Forecast by AMHB Corporate offices for 43% total transaction increase over 2016.
TIDBIT: Summer Season “Smells the Roses” – JUNE 2017
TIDBIT: 8TH Consecutive Year of Occupancy Growth – JUNE 2017
The increase in hotel demand in the first quarter of 2017 increased to almost 3%. This resulted in a 61.1% occupancy rate for the first quarter, which is the highest in the past 30 years according to STR. Given the positive economic outlook for the remainder of the year, STR is projecting demand to outpace supply once again in 2017, thus resulting in an eighth successive year of occupancy growth for the U.S. lodging industry.
TIDBIT: Good News for Hotel and Motel Owners – JUNE 2017
AAA estimates 39.3 million people will be traveling this Memorial Day weekend between Thursday, May 25 and Monday, May 29 and a majority of them will be traveling by automobile.TIDBIT: Brexit Could Cut Off Hospitality’s Labor Pool – JUNE 2017
The UK’s hospitality industry is heavily dependent on workers from outside of Britain, and Hyatt is cautioning that any loss of access to EU workers could hurt the industry. “I think the labor situation in the case of Brexit needs to be studied very carefully,” said Hyatt Hotel Corp.’s Peter Fulton.CUBA CONTINUES HOTEL ATTENTION! – MAY 2017
The famous 800 room and suite Cayo Santa Maria Resort has reopened under the Warwick Hotels and Resorts brand. Warwick completed a massive maintenance program preparing for the anticipated tourism growth for Cuba. The new, improved Warwick Cayo Santa Maria Resort is located on beautiful north shore of Cuba. It is close to the Santa Clara Airport.
Stepping forward also is Star-wood. The United States government has authorized Star-wood Hotels/Resorts to proceed with the operation of three hotels in Cuba. To further foster this enterprising gesture by the USA it is notably to emphasize that in giving permission to Star-wood the Company will be the first to do so in the past 60 years. In taking over operations of the Hotel Quinta Avenida, Santa Isabel and Hotel Inglaterra, they will precede operations by undergoing renovations and re-branding.
AMERICAN MOTEL HOTEL BROKERS NETWORK ENTERS DUAL BRAND POPULAR OPTION! – MAY 2017
As recently reported by Hotel Business, dual-branding is becoming an ever increasing popular option for hotels. “The sharing operational costs is a big ‘plus’ feature”, states Alex Kovacs, AMHB Member Brokerage in Denver, Colorado market. Kovacs goes on to say, “creating designs for each brand that are compatible to the total combined hotels can be interesting, but manageable”. AMHB Network, through their Denver Member office has announced a new ‘purchase opportunity’ for two major dual-brands consisting of over 140 guest rooms and doing between $4.5M and $5M in guest sales annually.
TIDBIT: American Motel Hotel Brokers ‘Research and Review’ Department joins in agreement with MCR Development CEO Tyler Morse in a Recent Hotel and Lodging Smart Brief – MAY 2017
The Hospitality and Lodging industry is currently “participating in a great ecosystem.” Mr. Morse states, “is going to last a long time”. AMHB’s Research and Review Department recently announced to their offices in the US that contrary to what some industry people earlier predicted, ‘hotel transactions thus far in 2017’ are robust.
Quatar Intends $6.3 B Infusion in Next Three to Five Years in British Hospitality Industry – MAY 2017
At the Pounds falling value, tourism in Great Britain is benefiting. In the planned $6.3B investment, Quatar will add to its already $40 billion + investment in British hospitality.
AAHOA CONVENTION & TRADE SHOW FEATURES INSPIRATIONAL SPEAKERS – APRIL 2017
The magnificent City of San Antonio…..founded in 1720 and completed in 1782…. Mission San Jose is the largest of the city’s 5 missions, and still an active Parish shares early April national ‘spot light’. This year from April 11 – 14, the fine City will be the Host for the Asian American Hotel Owner’s Association’s annual convention. AAHOA will feature these well-known ‘inspirational’ speakers in helping the hotel owner become more successful.
Marcus Lemonis Star of highly popular television “The Profit”
Davis Robinson NBA Legend, and Hotel Owner
Laura Ingraham Most listened to female Talk Show Host in America
Grover Norquist President of Americans for Tax Reform
Scott Kelly History Making U.S. Astronaut
ARIZONA’S TOURISM CONTINUES TO GROW – APRIL 2017
As more and more US citizens, and International travelers, come to understand Arizona is much more than it’s beautiful, interesting deserts, the State is becoming a year around mecca for travelers. One of its treasured jewels is Native American history and culture. Arizona is home to 22 sovereign American Indian nations. These Nations guide the state’s distinct spiritual, cultural and economic richness. Phoenix, the State’s Capitol, is home to the incredible Heard Museum which lays claim to one of America’s premiere Indian Nation’s historical and cultural museum’s. On most days one will find tourists both national and international vacationing in Arizona.
AAHOA SPEAKS WITH DUE PRIDE – MARCH 2017 – MARCH 2017
Gleaming from the 28th Year Anniversary of AAHOA at this year’s Convention in San Antonio was a pure message. PRIDE !! The Members of AAHOA today own and/or operate approximately 50% of the hotels in America. The Association that does marvelous activities benefiting both its membership but also our Industry today has 16,650 Members. As for this year’s San Antonio Convention, an approximate attendance of 6,500 was presented with motivational, educational and leadership platforms they will take ‘home’ to improve their businesses and their relationships with staff and guests.
NORTH DAKOTA REVIEWS SPEED INCREASE – MARCH 2017
The North Dakota legislature has introduced a Bill which would raise speed limits on two major Freeways, I-94 land I-29, to 80 MPH. Senator Laffen of Grand Forks comments that Cars have become safer to drive. By raising these limits, the forecast for increased traffic can have a positive influence for hotels along those routes.