New Delhi-based Sorrel Hospitality is BWH's master franchisee in the sub-continent
By Vishnu Rageev RJan 17, 2024
ARIZONA-BASED BWH Hotels, known for brands like Best Western Hotels & Resorts, plans to expand into South Asia by introducing WorldHotels to markets including India, Bangladesh, and Sri Lanka. BWH Hotels, the company that acquired WorldHotels in 2019, is now established in South Asia through Sorrel Hospitality, the master franchisee based in New Delhi. According to Indian media reports, Sorrel Hospitality will extend its presence into Bangladesh and Sri Lanka.
The company expects to have around 51 hotels by the end of 2024, including 3,000 rooms once the pipeline becomes operational. All these hotels are signed in these three markets, with an additional six hotels in the India market, the report in the Economic Times said.
Larry Cuculic, president and CEO of BWH Hotels, expressed the company's commitment to strengthening its presence in India and raising standards in accommodation and guest satisfaction.
“This move, fueled by the landmark acquisition of WorldHotels in 2019, underscores BWH Hotels' unwavering dedication to delivering exceptional service and creating unparalleled guest experiences throughout the diverse landscapes of South Asia,” he told the Economic Times.
Atul Jain, COO for India, Bangladesh, and Sri Lanka at BWH Hotels, said that the company currently operates 31 hotels in India, with an additional 20 in the pipeline. Jain, who is also the cofounder of Sorrel Hospitality, said he anticipates more hotel openings in India in 2024, and Ron Pohl, president of WorldHotels and of international operations for BWH Hotels, also said the company’s expansion in the country is ongoing.
"Partnering with Sorrel Hospitality, our esteemed master franchisee, we are poised to extend our influence in the dynamic South Asian market," Ron Pohl, president of international operations and of WorldHotels, told the Economic Times.
“India is the biggest democracy in the world with a huge population and limited number of properties,” Pohl said. “We see that as a significant opportunity, especially as we look at not only the luxury hotels that exist there, but especially in the mid-scale, the upper mid-scale segment, as that economy continues to grow, and the middle class continues to expand. Obviously, our membership is 65 percent, Indian ownership as well, so it’s a great interest to them to see us grow in their in their native country.”
The challenge, Pohl said, is finding financing for projects. There is money there, he said, to build in the right areas. Some of that investment also comes from Indo American hoteliers in the U.S., he said.
“There’s interest there. I think what we need to do is a better job of sharing the story and the opportunity back here with them,” Pohl said. “They have said to us on numerous occasions, I would love to create some opportunities funding to do more development in India. So it’s complicated, but it’s certainly something to consider.”
Built on the foundation of Best Western Hotels & Resorts, BWH Hotels was formed following BWHR’s acquisition of WorldHotels. It has a collection of hotels and resorts in destinations around the world in the upper upscale and luxury segment.
Cuculic further said that WorldHotels comprises four brands with 560 properties globally and an additional 35 hotels in the pipeline.
"It's not just about quantity; it's about quality. We aim for the right hotels and communities to deliver the experience customers seek," he said.
The company operates through diverse formats in India, including franchising and hotel management contracts. With a robust presence in Punjab, India, particularly in Amritsar district, with eight properties, its current emphasis is on the North Indian market. However, the company plans to extend its reach, targeting locations along highways across India.
BWH Hotels is a global hospitality network comprising three hotel companies: WorldHotels, Best Western Hotels & Resorts, and SureStay Hotels. The company operates 19 brands, with five currently running hotels in India.
North America recorded a 10 percent decline while Central America dropped 12 percent.
THE GLOBAL TRAVEL and tourism sector recorded an 8 percent year-on-year decline in total deal activity during the first half of 2025, according to market data firm GlobalData. Reduced investor appetite was seen across major deal types: mergers and acquisitions, private equity and venture financing.
GlobalData’s analysis shows venture financing deals fell by about 25 percent and private equity deals dropped by around 20 percent compared to the same period last year. M&A activity proved more resilient with a smaller 3.5 percent decline in volume. North America saw a 10 percent decline while Central America saw a 12 percent decline.
“The overall decline underscores a broader trend where macroeconomic factors and investor sentiments are reshaping deal-making strategies within the industry. The subdued activity suggests that dealmakers are becoming increasingly cautious, likely due to macroeconomic challenges and volatile market conditions,” said Aurojyoti Bose, lead analyst at GlobalData. “The decline in venture financing and private equity deals, suggests a dent in investor sentiment, emphasizing a trend of reduced risk appetite.”
The Asia-Pacific region posted growth, with deal volume rising 11 percent in H1 2025, driven by increased activity in Japan and India. In contrast, Europe saw a 19 percent drop, the Middle East and Africa fell 39 percent and South and Central America declined 12 percent.
Among major markets, the US, China and Germany all recorded declines in deal announcements while the UK maintained deal volumes at similar levels to last year.
GlobalData notes that historical figures may change if additional deals from earlier months are disclosed later.
Last year saw a 12.6 percent decline, with a total of 347 mergers and acquisitions, private equity and venture financing deals reported in the global travel and tourism sector during the first half of 2024.
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Choice Hotels International reported Q2 net income of $81.7 million.
Domestic RevPAR fell 2.9 percent due to macroeconomic conditions.
Extended-stay portfolio rose 10.5 percent YoY, with a domestic pipeline of 43,000 rooms.
CHOICE HOTELS INTERNATIONAL reported second-quarter net income of $81.7 million, down from $87.1 million a year earlier. Its forecast for the year remained positive, but was downgraded some to account for changes in macroeconomic conditions.
The company’s global pipeline exceeded 93,000 rooms, including nearly 77,000 in the U.S. Its global system size grew 2.1 percent, including 3 percent growth in the upscale, extended-stay and midscale segments, Choice said in a statement.
“Choice Hotels delivered another quarter of record financial performance despite a softer domestic RevPAR environment, underscoring the successful execution and diversification of our growth strategy,” said Patrick Pacious, president and CEO. “We are especially pleased with our strong international performance, where we have achieved significant growth and accelerated global expansion through a recent strategic acquisition, the signing of key partnerships, and entry into new markets. With more diversified growth avenues, enhanced product quality and value proposition driving stronger customer engagement and a leading position in the cycle-resilient extended-stay segment, we remain well-positioned to deliver long-term returns for all our stakeholders.”
Domestic RevPAR declined 2.9 percent, reflecting macroeconomic conditions and a difficult comparison with 2024 due to the timing of Easter and eclipse-related travel, the statement said. Excluding those effects, RevPAR fell approximately 1.6 percent. Meanwhile, the domestic extended-stay portfolio outperformed the broader lodging industry by 40 basis points in RevPAR, while the economy transient portfolio exceeded its chain scale by 320 basis points.
Adjusted EBITDA rose 2 percent to $165 million, or $167 million excluding a $2 million operating guarantee related to the Radisson Hotels Americas acquisition. Adjusted diluted EPS increased 4 percent to $1.92, the statement said.
Expansion and development
The domestic extended-stay portfolio grew 10.5 percent year over year, with a pipeline of nearly 43,000 rooms as of June 30, Choice said. The combined domestic upscale, extended-stay and midscale portfolio grew 2.3 percent. WoodSpring Suites expanded 9.7 percent to nearly 33,000 rooms and ranked first in guest satisfaction among economy extended-stay brands in the J.D. Power 2025 study. The domestic economy transient pipeline increased 8 percent to more than 1,700 rooms.
Choice acquired the remaining 50 percent interest in Choice Hotels Canada for approximately $112 million in July, funded through cash and credit. The deal expanded its Canadian brand portfolio from eight to 22 and added 327 properties and more than 26,000 rooms. The business is expected to contribute approximately $18 million in EBITDA in 2025.
International activity included a renewed master franchise agreement with Atlantica Hospitality International in Brazil for more than 10,000 rooms; a direct franchise deal with Zenitude Hotel-Residences in France, which nearly tripled room count and two agreements with SSAW Hotels & Resorts in China. These include a 9,500-room distribution deal for 2025 and a master franchise agreement projected to add 10,000 rooms over five years.
Global net rooms for upscale brands increased 14.7 percent year over year, the statement said. The pipeline for these brands rose 7 percent since March 31 to nearly 29,000 rooms.
2025 outlook
Choice revised its RevPAR outlook to reflect more moderate domestic expectations due to macroeconomic conditions, the statement said. The adjusted EBITDA forecast includes a $6 million contribution from the Choice Hotels Canada acquisition for the remainder of 2025. It also reflects the $2 million Radisson-related operating guarantee payment incurred in the second quarter.
Net income guidance was lowered to a range of $261 million to $276 million, down from $275 million to $290 million. Adjusted net income remains at $324 million to $339 million.
Domestic RevPAR growth was revised to between negative 3 percent and flat, compared to the earlier range of negative 1 percent to positive 1 percent. The global net system rooms growth projection remains at approximately 1 percent.
In May, Choice reported 2.3 percent year-over-year growth in domestic RevPAR for the first quarter.
OYO added more than 150 U.S. hotels in early 2025 and plans 150 more by year-end.
Ten additions have more than 100 rooms, reflecting a focus on high-inventory properties.
It is targeting urban and suburban markets in the Sun Belt and Great Lakes regions.
HOSPITALITY TECHNOLOGY COMPANY OYO added more than 150 hotels to its U.S. portfolio in the first half of 2025 and plans to add 150 more by year-end. The additions span Texas, Virginia, Georgia, Mississippi, California, Michigan and Illinois.
The company is focusing on high-inventory properties and has added 10 with more than 100 rooms, OYO U.S. said in a statement.
“2025 is shaping up to be a busy year for all of us at OYO,” said Nikhil Heda, head of development, OYO U.S. “We’re helping hotel owners drive revenue and improve operations through our technology. Our growing portfolio gives travelers more options, and momentum on our direct channels shows OYO is becoming a trusted brand for new and returning guests.”
Recent additions include the 400-room Palette Sunset Waves Resort in Myrtle Beach, the 130-room Capital O Kings Inn in Memphis, the 130-room Travellers Inn by OYO in Douglas, Georgia, and the 140-room Jackson Hotel and Convention Center in Jackson, Tennessee. All were previously independent hotels.
The company is exploring urban and suburban markets across the Sun Belt and Great Lakes regions, targeting areas with high demand and growth potential, the statement said.
OYO CEO Ritesh Agarwal, who also chairs G6 Hospitality, the parent of Motel 6 and Studio 6, recently launched a contest to rename Oravel Stays, offering a $3,500 prize.
Choice launched two campaigns to boost bookings across its four extended-stay brands.
Based on guest feedback, the campaigns focus on efficiency, cleanliness, value and flexibility.
They will run through 2026 across social media, Connected TV, digital display and online video.
CHOICE HOTELS INTERNATIONAL launched two marketing campaigns to increase brand awareness and bookings across its four extended-stay brands. The "Stay in Your Rhythm" campaign promotes all four brands by showing how guests can maintain daily routines, while "The WoodSpring Way" highlights the service WoodSpring Suites staff provide.
The company has more than 550 extended-stay locations open, 51 under construction and more than 350 in the pipeline under Everhome Suites, MainStay Suites, Suburban Studios and WoodSpring Suites, Choice said in a statement.
"As leaders in the extended stay segment, Choice Hotels has long understood that this category is unlike any other in the hospitality industry, defined by distinct guest expectations that we continuously strive to exceed," said Noha Abdalla, Choice’s chief marketing officer. "These first-of-their-kind campaigns reflect our deep understanding of why people stay longer — from work assignments and relocations to life transitions and personal journeys. No matter the reason, we know our guests aren't looking to escape their routines; they're looking to maintain them. That's why we take pride in our unique position to offer what matters most: consistency, comfort and connection."
Both campaigns are based on research and guest feedback showing travelers prioritize efficiency, cleanliness, value and flexibility, the statement said. They will run through the rest of the year and into 2026 across paid social media, Connected TV, digital display and online video.
The "Stay in Your Rhythm" campaign shows how Choice's extended-stay brands support routines with in-room kitchens, laundry, fitness centers and pet-friendly options, Choice said. It focuses on daily habits like making coffee, cooking, walking the dog, or exercising.
"The WoodSpring Way" highlights how property teams support guests by providing home-like conveniences, the company said. General managers in Chicago, Denver, Atlanta and Orlando are featured for creating a consistent guest experience and welcoming all guests, including pets.
"We've designed our extended stay properties to ensure we provide guests with everything they need when circumstances take them away from home for weeks at a time," said Matt McElhare, Choice's vice president for extended stay brands. "Through the launch of our campaigns, we aim to educate the growing population of extended stay travelers on how our brands offer the best value in the industry, while also highlighting the culture of our flagship brand, WoodSpring Suites, which has consistently set the standard for guest satisfaction in the segment. We're especially thankful to our owners and management company teams who help build and sustain this culture on property, consistently delivering a great guest experience."
U.S. hotels increased background checks by 36 percent in early 2025.
The trend follows President Trump’s immigration policies impacting seasonal labor.
Immigrants making up a third of the travel workforce.
U.S. HOTEL HIRING managers requested 36 percent more background checks in the first half of 2025 compared with the same period last year, according to Hireology. The move follows President Donald Trump’s immigration crackdown and proposed visa fee hikes affecting seasonal labor.
Trump sought to end temporary legal status for hundreds of thousands of migrants in the U.S.and vowed to deport millions of undocumented people in the country, Reuters reported. Hireology said in a blog post that background checks were a cornerstone of any effective hiring strategy.
"They ensure that candidates meet the qualifications for the role, protect your organization from potential risks and help you build a safe, compliant, and high-performing workforce,” the hiring platform said. “Negligent hiring can have serious consequences, from legal liabilities to reputational damage.”
At least one-third of workers employed or supported by the U.S. travel industry are immigrants, according to the U.S. Travel Association. Meanwhile, hotels directly employed more than 2.15 million people in 2024, according to the American Hotel and Lodging Association.
Total hires across 1,000 hotels rose by 22 percent, reaching more than 8,000 workers, Reuters reported, citing Hireology report.
Increases in the most in-demand roles such as front desk associates, housekeepers and cooks were flat or grew slightly year-over-year. About 34 percent of housekeepers and 24 percent of cooks are foreign-born, according to 2023 data from the U.S. Census Bureau and Tourism Economics.
A $250 Visa Integrity Fee in Trump’s Big Beautiful Bill is drawing criticism from groups that rely on J-1 and other seasonal worker visas, who warn the sometimes-refundable charge could shrink the summer workforce supporting U.S. beach towns and resorts.