Skip to content

Search

Latest Stories

Baird/STR Hotel Stock Index rose 19 percent in August

Future remains uncertain as summer leisure travel dwindles

THE BAIRD/STR Hotel Stock Index jumped up 19 percent in August, driven by medical progress against the COVID-19 pandemic and new interest rate policies, according to STR. That optimism may end, however, after Labor Day as summer travel winds down with no real replacement in sight.

The stock index was up from July when it dropped 1.7 percent month over month. However it was still down 32 percent year to date through the first eight months of 2020. The index outperformed the S&P 500 by 7 percent and the MSCI US REIT Index by 0.7 percent. The hotel brand sub-index increased 21 percent from July while the hotel REIT sub-index grew 12.3 percent.


“Hotel stocks significantly outperformed in August along with other travel-related stocks as investors cheered continued progress on the medical front and accommodative interest rate policies that are expected to be in place for the foreseeable future,” said Michael Bellisario, senior hotel research analyst and director at Baird. “Both the hotel brands and the hotel REITs outperformed their respective benchmarks by more than 10 percentage points during the month even as the broader stock market’s momentum remained positive.”

However, the future is hard to predict, said Amanda Hite, STR’s president.

“As summer vacation season officially comes to a close, hoteliers are bracing for a post-Labor Day lull as corporate travel remains muted and group business is almost non-existent,” Hite said. “Leisure travelers have lifted U.S. performance metrics in recent months, with occupancy even topping 50 percent in mid-August, but demand has since retracted. We revised our latest RevPAR forecast slightly downward to negative 52 percent for this year, and we do not foresee any catalyst to materially change this outlook for the better.”

More for you

U.S. Firms Lose $2.4 Trillion by Skimping on Business Travel

Report: Business travel gaps cost U.S. firms $2.4T

Summary:

  • U.S. companies risk losing more than $2.4 trillion in sales due to underinvestment in business travel, says GBTA.
  • An 8.3 percent T&E increase could drive a 6 percent sales gain, despite post-COVID virtual meeting tools.
  • Current T&E spending is $294 billion—$24 billion short of the $319.1 billion needed for peak profitability.

U.S. COMPANIES ARE missing more than $2.4 trillion in potential sales due to underinvestment in business travel, according to a Global Business Travel Association report. Despite a post-pandemic rebound, travel and entertainment spending remains $66 billion below 2019 levels.

Keep ReadingShow less
Newly renovated Marriott Saddle Brook hotel in New Jersey, now managed by Stonebridge Cos.

Stonebridge to manage Marriott in Saddle Brook, NJ

Summary:

  • Stonebridge Cos. has added the Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service portfolio.
  • The renovated property is owned by Victory Worldwide LLC, led by CEO Anil Monga.
  • Located 20 miles from New York City, it is near the Meadowlands Sports Complex, Garden State Plaza and Hackensack University Medical Center.

STONEBRIDGE COS. RECENTLY added the 244-room Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service managed portfolio. The property is owned by Victory Worldwide LLC, led by CEO Anil Monga.

Keep ReadingShow less
International bookings drop at US mountain hotels; occupancy dips despite rate hikes, DestiMetrics reports

Report: Travel decline weighs on western resorts

Summary:

  • International tourism to U.S. western mountain destinations fell in May, lowering occupancy 0.7 percent, according to DestiMetrics.
  • Summer booking hesitancy persisted as bookings from Canada, Europe and Mexico declined.
  • DestiMetrics tracks data from about 28,000 lodging units across 17 mountain destinations in seven western states.

MOUNTAIN DESTINATIONS IN the western U.S. saw a drop in international tourism in May amid economic uncertainty, affecting resort occupancy, according to DestiMetrics. ADR rose 2 percent, while occupancy fell 0.7 percent year over year.

Keep ReadingShow less
Salamander D.C. Joins Preferred Hotels’ Legend Collection
Photo credit: Salamander Collection

Salamander D.C. joins Preferred’s Legend Collection

Summary:

  • The 373-key Salamander Washington, D.C. joined Preferred Hotels & Resorts’ Legend Collection after a full renovation.
  • The hotel is part of Salamander Hotels & Resorts, led by founder and CEO Sheila Johnson.
  • Preferred Hotels & Resorts is the largest independent hotel brand, with more than 600 properties in 80 countries.

SALAMANDER WASHINGTON, D.C., located on the city’s southwest waterfront, joined Preferred Hotels & Resorts’ Legend Collection. The 373-room hotel recently completed a property-wide renovation that includes updated communal spaces, redesigned guest suites, a two-level Salamander Spa and Dōgon by Kwame Onwuachi.

Keep ReadingShow less
WTH Conference Returns to Los Angeles July 17

WTH conference returns to L.A. on July 17

Summary:

  • The 2025 Women in Travel & Hospitality Conference returns to Los Angeles on July 17.
  • The event gathers women in travel, tourism, hospitality, investment, wellness, and lifestyle.
  • It also will mark the launch of the new Travel Industry Executive Women’s Network website.

THE 2025 WOMEN in Travel & Hospitality Conference, hosted by the Travel Industry Executive Women’s Network and supported by the Boutique Lifestyle Lodging Association, will return to Los Angeles, California, on July 17. The event brings together women from around the world working in travel, tourism, hospitality, investment, wellness and lifestyle.

Keep ReadingShow less