Ed Brock is an award-winning journalist who has worked for various U.S. newspapers and magazines, including with American City & County magazine, a national publication based in Atlanta focused on city and county government issues. He is currently assistant editor at Asian Hospitality magazine, the top U.S. publication for Asian American hoteliers. Originally from Mobile, Alabama, Ed began his career in journalism in the early 1990s as a reporter for a chain of weekly newspapers in Baldwin County, Alabama. After a stint teaching English in Japan, Ed returned to the U.S. and moved to the Atlanta area where he returned to journalism, coming to work at Asian Hospitality in 2016.
FRANCHISEE RESILIENCE AND determination was the focus of Choice Hotels International’s 66th annual convention in Las Vegas last week. In keeping with that theme, in a press conference at the convention, corporate leadership for Choice said they are working with AAHOA on ways to implement the association’s recently updated 12 Points of Fair Franchising.
More than 5,200 people attended the conference, including franchisees and their families. Other news from the event includes the announcement of a new program to promote women ownership of hotels and the hiring of two new franchise development directors.
Time to Go
“GO” was the theme of the convention, in recognition of the struggles Choice’s franchisees have faced over the past three years of pandemic and economic downturn. The company overcame those challenges, driving new business, advocating for government aid and reducing operating costs for franchisees, said Patrick Pacious, Choice’s president and CEO. It also surpassed 2019 system-wide performance levels.
"Thanks to the extraordinary efforts of owners, their staff and our associates, we are collectively stronger today than the last time we convened in Las Vegas in 2019, and we are ready to GO," said Pacious. "We know that for our franchisees, investing in the Choice brand family – whether owning one hotel or several – is deeply personal. That's why we are especially proud of our ability to adapt and innovate in the face of uncertainty to help them manage and overcome all kinds of challenges."
During the conference, Pacious and other company leaders stressed other achievements by the company, such as new investments, improvements to the company's marketing and distribution channels and enhancements to its revenue management systems, all to benefit franchisees.
"Our franchisees are at the center of everything we do at Choice – that is our guiding star. When the pandemic began, we took immediate action to not only help keep hotel doors open and the lights on for guests, but we continued to find ways to help drive revenue," said Pacious. "Because of the unparalleled determination of our franchisees and our associates, combined with our strategic decisions and targeted actions, Choice is leading the industry's recovery and we are ready to GO confidently into the next era of growth and success."
12 reasons why
Pacious attended a media roundtable during the conference along with Robert McDowell, Choice’s chief marketing officer; David Pepper, chief development officer; and John Bonds, senior vice president of enterprise operations and technology. During the roundtable, Pepper reiterated the view that Choice took care of its franchisees during the pandemic.
“We have some very happy franchisees,” Pepper said. “This company really proved itself during the downturn that not only with great brands and in the right segments, but we're also the right company because they knew they had somebody to work with the whole time.”
All four executives said they were aware of AAHOA’s 12 Points of Fair Franchising, which was a major topic at AAHOA’s own convention a few weeks before.
“I will focus on demanding that each and every brand implement AAHOA’S 12 points of Fair Franchising,” said Kamalesh “KP” Patel of Santa Cruz, California, the new AAHOA secretary, during the secretary candidates’ debate during the conference. “Our industry needs an overhaul and that starts now. No more unnecessary mandates that take away from our bottom line just to grow theirs. No more brand expansion, stop making us compete with each other. And no more kickbacks that double and triple costs. It stops today.”
Mike Patel, a former AAHOA chairman, said AAHOA as an organization is trying to remain neutral between members and brands, and he respects that stance. However, he said hotel companies still should consider it in their best interests to listen to members concerns.
“People have a choice whether to buy the brand or not the brand, or don’t go to the vendors, don't buy from them,” he said. “I think AAHOA can implement that because you cannot turn a blind eye on people who do business and then they abuse your members. Then you have certain kind of responsibility I feel.”
Exit fees, called liquidated damages, charged to franchisees who want to exit a brand need reform, Mike said. Currently they average about $2000 to $3,000 per room to break the contract to get out.
“So, if you're a 100-room property, you'd have to spend $300,000,” Mike said.
Also of concern, and mentioned in the 12 points, is the use by some brands of preferred or mandatory vendors. Mike said these mandates can force franchisees to pass on outside vendors who can provide better pricing for goods or services.
Bonds said Choice has talked AAHOA’s general counsel to better understand the 12 Points. He and McDowell’s team will be working on how to work within them where possible.
“We've reviewed them I think that they're covering a whole host of topics,” Bonds said. “It's a long list and we've been through it. We understand where they're coming from. It's really a chance for us to collaborate and work together more closely on how we can enhance the value of franchisees’ annual investment.”
Regarding the liquidated damages, Bonds said, Choice already is at least partially compliant with the 12 steps.
“One of the things they asked is do you have discussions and are open to conversations on how liquidated damages are assessed?” Bonds said. “We do that.”
Regarding vendor mandates, McDowell said there's a price and quality piece of the situation.
“With the quality part, I have to make sure because that's critical. I think the other piece is, we want to make sure we have vendors that can supply all of our hotels across the U.S. And we do want some type of consistency within the brand for the guests,” McDowell said. “We do negotiate on price with many of our vendors And that's ultimately why we have the qualified vendor programs.”
McDowell also said Choice does have waiver option for using outside vendors, the details of which vary according to brand and items to be purchased. There are three primary reasons for requiring franchisees to use certain vendors.
“It's really about volume, quality, and price,” McDowell said. “Those are really the three key things we look for. And we work very closely with our owners’ group as well the brands teams on what they're looking for.”
Pacious reaffirmed that the relationship between Choice and AAHOA is strong.
“Our relationship with AAHOA goes back to its founding, we have worked shoulder to shoulder with them over the years on getting more Indian Americans in ownership and the relationship between us and them has always been a strong one,” Pacious said. “We look at the things we've worked together on particularly over the last several years shoulder, to shoulder with them on a lot of legislative issues. We're continuing to work with them on education and a variety of other topics as well. And with their new focus on the 12 Points of Fair Franchising.”
New focus on diversity
Also during the convention, Choice announced its “HERtels By Choice” program that will provide training, education, mentorship and financial assistance to women entrepreneurs to help them succeed as Choice franchisees.
The financing support includes assistance with loan applications and education on equitable financing terms. The training is open to members of the Choice system through its Choice University that also includes program-specific trainings designed to optimize their onboarding and operating journey. The mentorship includes executive coaching from industry veterans and current Choice owners to discuss best practices and build confidence.
John Lancaster, Choice’s vice president for emerging markets, franchise development and owner relations, announced the launch of the “HERtels By Choice” program that will provide training, education, mentorship and financial assistance to women entrepreneurs to help them succeed as Choice franchisees.
Since last March, as part of a focused effort to increase female ownership and lay the groundwork for the HERtels, the company awarded 25 contracts specifically to women entrepreneurs.
"The central tenets of the HERtels by Choice program – connecting and empowering – are not new to Choice. For decades, we've helped deserving, growth-minded entrepreneurs enter the rewarding business of hotel ownership with industry-leading tools, support and resources," said John Lancaster, Choice’s vice president for emerging markets, franchise development and owner relations. "HERtels by Choice represents an important next step in our mission to fueling a diverse owner base and small business success."
New faces
Choice also announced the hiring of Jacquelyn Peterson and Marcus Thomas as franchise development directors. Both are emerging markets directors, Peterson to focus on bridging the gaps between veteran and female entrepreneurs and hotel ownership and Thomas to oversee development in the company's African American, Latin American and Native American emerging market segments.
Jacquelyn Peterson, left, and Marcus Thomas are Choice’s new franchise development directors. Both are emerging markets directors, Peterson to focus on bridging the gaps between veteran and female entrepreneurs and hotel ownership and Thomas to oversee development in the company's African American, Latin American and Native American emerging market segments.
Peterson holds a bachelor's degree in hotel, restaurant and tourism management from the University of South Carolina and a master's degree in leisure studies from the University of Georgia. Thomas most recently served as a senior consultant for Konica Minolta, a Tokyo-based multinational technology company. He holds a degree in business administration and international business from Sam Houston State University.
"Since forming the industry's first emerging markets-focused development team, Choice has awarded and financially supported more than 300 franchise agreements with under-represented minorities and seasoned entrepreneurs, including nearly 30 contracts last year alone,” Lancaster said. “Jacquelyn and Marcus are both results-driven, charismatic leaders whose wealth of industry experience will help the company build on its commitment to supporting a diverse franchise base."
Stonebridge Cos. added the Statler Dallas, Curio Collection by Hilton, to its managed portfolio.
The hotel, opened in 1956 and relaunched in 2017, is owned by Centurion American Development Group.
The property is near Main Street Garden Park, the Arts District and the Dallas World Aquarium.
STONEBRIDGE COS. HAS contracted to manage the Statler Dallas, Curio Collection by Hilton in Dallas to its managed portfolio. The hotel, opened in 1956 and relaunched in 2017, is owned by Centurion American Development Group, led by Mehrdad Moayedi.
It has an outdoor pool and more than 26,000 square feet of meeting space, Stonebridge said in a statement. The downtown Dallas property is near Main Street Garden Park, the Arts District, the Kay Bailey Hutchison Convention Center, Deep Ellum, Klyde Warren Park, and the Dallas World Aquarium.
“The Statler is an extraordinary asset with a storied history in Dallas, and we are thrilled to welcome it to our managed portfolio,” said Rob Smith, Stonebridge’s president and CEO. “Its blend of modern hospitality with timeless character makes it a natural fit within our lifestyle collection. We look forward to honoring the property’s legacy while enhancing performance and delivering an elevated guest experience.”
Stonebridge, based in Denver, is a privately held hotel management company founded by Chairman Navin Dimond and led by Smith. The company recently added the 244-room Marriott Saddle Brook in Saddle Brook, New Jersey, to its full-service portfolio.
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GSA will keep federal per diem rates the same for FY 2026.
The lodging rate stays $110 and meals allowance $68.
AHLA raised concerns over the impact on government travel.
THE U.S. GENERAL Services Administration will keep standard per diem rates for federal travelers at 2025 levels for fiscal year 2026. The American Hotel and Lodging Association raised concerns that the decision affects government travel, a key economic driver for the hotel industry.
The standard lodging rate remains $110 and the meals and incidental allowance is $68 for fiscal year 2026, unchanged from 2025, GSA said in a statement.
“Government travel is a vital economic driver for the hotel industry and the broader travel economy,” said Rosanna Maietta, AHLA’s president and CEO. “That’s why it’s so important for government per diem rates to keep pace with rising costs across the economy. The GSA’s decision to keep per diem rates flat will place a strain on the hospitality industry as well as government travelers seeking lodging. A strong economy requires a thriving hospitality sector. We will continue to advocate with the GSA and members of Congress for per diem rates that reflect hotels’ rising costs of doing business.”
GSA sets per diem rates to reimburse federal employees’ lodging and meal expenses for official travel within the continental U.S., based on the trailing 12-month ADR for lodging and meals minus 5 percent. This is the first year in five that GSA has not raised the rates.
The federal administration said the decision reflects the federal government’s commitment to using taxpayer funds appropriately and for core mission activities. The steady per diem rates are enabled by the reduction in inflationary pressures from the previous administration.
“GSA's decision ensures cost-effective travel reimbursement while supporting the mission-critical mobility of the federal workforce,” said Larry Allen, associate administrator, GSA Office of Government-wide Policy.
The rate applies to federal travelers and those on government-contracted business for all U.S. locations not designated as “non-standard areas,” which have higher per diems. For fiscal year 2026, GSA will keep the number of non-standard areas at 296, unchanged from 2025.
Comfort Hotels will host the one-day Waffle Lounge in New York City on Aug. 21.
The Union Square event runs from 12 to 7 p.m.
Visitors can win a one-night stay at a participating Comfort or other Choice hotel.
CHOICE’S COMFORT HOTELS is bringing its signature breakfast item to life with the Waffle Lounge, a one-day pop-up event in New York City on Aug. 21. The event, timed to coincide with National Waffle Day on Aug. 24, highlights the brand’s role in offering guests a sense of home during their travels.
Waffles have been served at Comfort Hotels since the early 1990s, with more than 30 million made annually across its properties, Choice said in a statement. A recent national survey found that 70 percent of consumers prefer familiar meals over gourmet options.
“Waffles are a recognizable and meaningful part of the Comfort brand experience,” said Jenny Aboudou, Choice’s head of upper midscale brands. “Hosting a community event in New York City is a great way to highlight how this simple offering continues to resonate with travelers.”
The Waffle Lounge, located in Union Square, will be open from 12 to 7 p.m., the statement said. The event also marks more than 40 years of the Comfort brand, which includes Comfort Inn, Comfort Inn & Suites and Comfort Suites and operates more than 2,100 locations worldwide.
Guests can get free waffles with toppings, iced lattes, nail art, massage chairs and waffle-themed merchandise, Choice said. Visitors can also enter to win a one-night stay at a participating Comfort or other Choice hotels. The celebration extends online with a contest awarding 10 winners a one-night stay. To enter, users can tag a friend on Choice Hotels’ Instagram Waffle Day post and sign up for the Choice Privileges rewards program.
Choice recently launched two campaigns — “Stay in Your Rhythm” and “The WoodSpring Way” — to increase awareness and bookings across its four extended-stay brands.
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.
Vision held its Red Sand Project to combat human trafficking in Chattanooga, Tennessee.
It fights trafficking through partnerships, staff training and philanthropic support.
Tennessee reported 213 human trafficking cases in 2024, involving 446 victims.
VISION HOSPITALITY GROUP held its fourth annual Red Sand Project with WillowBend Farms to combat human trafficking in Chattanooga, Tennessee. The event brought together organizations working to combat human trafficking, including the Family Justice Center for Hamilton County and the Hamilton County Health Department.
“We were honored to stand with our partners and our community to bring attention to this issue,” Patel said. “Together, through awareness and action, we are working toward a future where every individual is safe, seen and supported.”
The Red Sand Project is a symbolic initiative to raise awareness and promote action on human trafficking, the statement said. Participants poured red sand into sidewalk cracks to represent victims who have fallen through the cracks of society. This year’s event came as the Chattanooga community reported progress in prevention and survivor restoration over the past year.
“The Red Sand Project reminds us that human trafficking continues to be a pressing public health issue and a devastating reality in every state,” said Jenelle Hawkins, Vision's director of operation excellence. “As members of the hotel industry, we understand our unique position to help identify and prevent trafficking. We are proud to be part of a community that is not only raising awareness but also driving real solutions. As we mark our fourth year, our commitment is stronger than ever.”
According to the Tennessee Bureau of Investigation, there were 213 reported human trafficking cases in Tennessee in 2024, involving 446 victims. Events like the Red Sand Project raise awareness, promote education and encourage community action.
Vision Hospitality Group combats trafficking through community partnerships, staff training and philanthropic support. In 2024, it donated $100,000 to the AHLA Foundation’s No Room for Trafficking Survivor Fund, which provides housing and job placement services to survivors nationwide.
If you know someone who needs help escaping trafficking, call the Tennessee Human Trafficking Hotline at 1-855-558-6484. To report a suspected victim, call the National Human Trafficking Hotline at 1-888-373-7888 or text 233722.
In June, Vision broke ground on a 150-key Hilton dual-brand in Lookout Valley, Chattanooga, Tennessee.