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 senior 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.
A quarter century ago, Mitch Patel made a choice to follow his passion by founding Chattanooga, Tennessee-based Vision Hospitality Group. He shared the story of what led to that decision, and how it resulted in the creation of a company that now owns 43 hotels in nine states, for Asian Hospitality’s Leadership Series.
Before founding VHG in 1997, Patel learned the hotel business in his youth. Now, along with the existing portfolio the company has 16 hotels in its pipeline. The company’s portfolio includes its boutique Kinley brand; The Edwin Hotel in Chattanooga that is part of Marriott International’s Autograph Collection; The Grady Hotel in Louisville, Kentucky, that is part of Small Luxury Hotels; and other brands including Element by Westin, DoubleTree by Hilton, Embassy Suites by Hilton, Hyatt House, Residence Inn by Marriott and more.
Last year, Patel and a crowd of VHG employees and local supporters celebrated the company’s 25th anniversary in business. During the gala celebration, Patel said the anniversary, coming as it did at a point when the pandemic was ebbing, was a time to “reflect on the past gratitude, and also look out into the future.
Mitch Patel with wife Parul to the left of Mitch, and children, Aleyna, Arjun and Ishani at the gala last year celebrating the company’s 25th anniversary.
“Together we’ve accomplished a lot these past 25 years,” Patel said at the time. “But our journey is not over. Even though our industry just went through an unprecedented crisis, I’ve learned that you can never bet against the American spirit.”
That American spirit was always present in Patel’s life, starting with his family’s arrival in the U.S. It’s a story he shares with many Asian American hoteliers.
A means to an end
“I grew up in this business like many Asian American hoteliers,” Patel said. “The first generation made tremendous sacrifices to come to this great country and got into this business. My father and mother, for their first property leased an 11-room motel in Stockton, California. We were living in the apartment behind the motel office and I was a 7- or 8-year-old kid helping out in the family business, cleaning rooms doing laundry, even checking in customers at that age.”
When he was 10 years old, Patel’s family moved to Cleveland, Tennessee, where they bought a larger two-story Scottish Inn. He continued to help out through high school and college, cleaning rooms, doing laundry, front desk and, when he was older, making bank deposits.
“But, because I grew up doing that, that's the last thing I wanted to do was pursue it as a career. I think that this story is very prevalent with many Asian Americans. The first generation came to this great country with nothing in their pockets that make tremendous sacrifice simply for a better life for the second generation,” Patel said. “The sacrifice was to work hard not so that we wouldn't have to work hard, that wasn't the goal, but for us to be a professional. For them a business of a motel or a gas station, or a little shop or a subway where you physically had to work hard to be successful, they did that so we wouldn't have to. So we could be a doctor, be a lawyer, be an engineer. Business was kind of looked down upon at that time.”
Patel tried the last option and became an engineer. However, after a short time he realized that was not his passion.
“I just did not love engineering. I was always a creative person. I was always a people person and engineering didn't allow me to do that. I couldn't take those yellow and white lines on the highway and make them purple,” Patel said. “Here's a way if you know you’re in the right industry. Every industry has a trade journal publication, and if you don't want to read your own trade journal, that's a bad sign.”
‘I'd never built a shed before’
Patel decided to return to the family business. However, it wasn’t an easy step to take.
“I'd saved up $3,000 working as an engineer really,” Patel said. “I didn't have any experience, besides cleaning rooms as a kid, and but I took the plunge.”
Mitch Patel’s first hotel for VHG was a Homewood Suites. He served as a general contractor for the project, which ignited his passion for hotel development.
He gathered some partners and more financing and serves as a general contractor for his first hotel project, a Homewood Suites. His partners were impressed by his engineering background.
“I'd never built a shed before but I built that hotel on time and on budget,” Patel said. “I learned a lot about building and literally took off my hard hat and learned how to put on a tie.”
In its first month the hotel saw only a 10 percent occupancy. However, Patel was determined not to let down his partners.
“We dug in and doubled down on our efforts and after 18 months of hard work and dedication, we became the number one hotel in the market,” Patel said. “But something else happened, I found my passion where I never expected and the rest is history.”
Crossing the goal line
VHG has been expanding under Patel’s leadership, and that growth continues today. For example, in May the company broke ground on a seven-story, 184-suite Embassy Suites in Chattanooga that will be developed for $54 million and includes rooftop and street-level bars and a coffee area in an open lobby.
“We have 16 hotels in our pipeline right now, which is a very active pipeline, especially in this environment,” Patel said. “That's about a half a billion dollars in new construction.”
Patel said VHG had built more than 60 hotels over the past 26 years and acquired several more. He said in the recent interview that the lending environment is very challenging right now, especially for new construction, but he also expressed continuing confidence in the company's path to growth.
VHG has 16 hotels in its pipeline and in May it broke ground on a seven-story, 184-suite Embassy Suites in Chattanooga that will be developed for $54 million and includes rooftop and street-level bars and a coffee area in an open lobby.
“Our success is attributed to our people. At the end of the day, our culture is so important to us,” Patel said. “Our industry is so different than other real estate classes, such as retail, office, industrial, multifamily are more pure real estate. The hotel industry is very unique in that it's real estate but then we have this service business that's layered on top of that. So, it's very important that we focus on our people, our culture, every single day.”
Regarding his future goals, Patel cited a quote from pro football coach Vince Lombardi. The coach once said a sign of a great leader is not how many times or she crosses the goal line, but how many people they take across with them.
“I've had the opportunity to score a lot of touchdowns the last 26 years,” Patel said. “How many people now can I take across that goal line, that's what the next 20 years for me look like, to create an organization, create a team, where we all are going across that goal line together.”
More than 70 percent expect a RevPAR increase in Q4, according to HAMA survey.
Demand is the top concern, cited by 77.8 percent, up from 65 percent in spring.
Only 37 percent expect a U.S. recession in 2025, down from 49 percent earlier in the year.
MORE THAN 70 PERCENT of respondents to a Hospitality Asset Managers Association survey expect a 1 to 3 percent RevPAR increase in the fourth quarter. Demand is the top concern, cited by 77.8 percent of respondents, up from 65 percent in the spring survey.
HAMA’s “Fall 2025 Industry Outlook Survey” found that two-thirds of respondents are pursuing acquisitions, 80 percent plan renovations in the coming year and 57 percent are making or planning changes to brand affiliation or management strategies.
“With hopes high for a stronger fourth quarter, hotel asset managers continue to maintain an optimistic outlook,” said Chad Sorensen, HAMA president. “More than 70 percent of our members expect RevPAR to increase 1 to 3 percent and two-thirds are pursuing acquisitions. With 80 percent planning renovations in the coming year, we see an engaged community focused on performance.”
Conducted among 81 HAMA members, about one-third of the association, the survey reports expectations for revenue growth, property investments and acquisitions.
However, the top three most concerning issues were demand, ADR growth and tariffs, HAMA said.
RevPAR growth forecast
Looking into 2026, 72.8 percent expect 1 to 3 percent growth, 18.5 percent expect 4 to 6 percent, 7.4 percent anticipate flat results and 1.2 percent project a decline. Full-year RevPAR projections versus budget are more mixed: 49 percent expect 1 to 3 percent growth, 17 percent expect flat results, 12 percent expect 4 to 6 percent growth, 2 percent expect 7 percent or more and 19 percent expect declines.
Hotel asset managers note several market pressures, the report said. Other concerns include ADR growth at 51.9 percent, tariffs at 34.6 percent, wage increases at 33.3 percent and potential Federal Reserve rate changes at 32.1 percent. Management company performance at 25.9 percent, immigration and labor trends, union activity and insurance costs were also mentioned.
“The industry is at its highest level of concern around maintaining or increasing rates,” Sorensen said. “There’s pressure to build on the P&L going into 2026.”
Performance projections
Confidence in the broader economy has increased since spring, the survey found. Only 37 percent of respondents expect a U.S. recession in 2025, down from 49 percent earlier in the year.
When asked about properties exceeding gross operating profit forecasts, 59 percent of managers expect 0 to 25 percent of their hotels to surpass targets, 25 percent expect 26 to 50 percent, 10 percent expect 51 to 75 percent and 6 percent expect 76 to 100 percent. Additionally, 20 percent reported returning hotels to lenders or entering forced sales since the spring survey.
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Hersha Hotels & Resorts sold The Boxer Boston to Eurostars Hotels.
The company acquired the property in 2012 for $12.6 million.
The property now sold for $23.6 million.
HERSHA HOTELS & RESORTS sold The Boxer Boston, an 80-room hotel in Boston’s West End, to Eurostars Hotels, part of Spain’s Grupo Hotusa. The company, which reportedly acquired the property in 2012 for $12.6 million, received $23.6 million for it.
The seven-story hotel, built in 1904, is near TD Garden, the Charles River Esplanade, One Congress, North Station and Massachusetts General Hospital, said JLL Hotels & Hospitality, which brokered the sale. It also has a fitness center.
Hersha Hotels & Resorts is part of the Hersha Group, founded in 1984 by Hasu Shah. Jay Shah serves as senior advisor and his brother Neil Shah is president and CEO.
JLL Managing Director Alan Suzuki, Senior Director Matthew Enright and Associate Emily Zhang represented the seller.
"The Boxer’s prime location at the crossroads of Boston's West End, North End and Downtown districts, combined with its strong cash flow and its unencumbered status regarding brand and management, made this an exceptionally attractive investment," said Suzuki. "Boston continues to demonstrate resilient lodging fundamentals driven by its diverse demand generators, including world-class educational institutions, medical facilities, corporate presence and convention and leisure attractions."
The property will become the Spanish hotel chain Eurostars’ fifth U.S. hotel, supporting the group’s North American expansion, the statement said.
Amancio López Seijas, president of Grupo Hotusa and Eurostars Hotels Co., said the addition of Eurostars’ The Boxer strengthens the company’s presence in key locations and promotes urban tourism.
Peachtree recognized by Inc. and the Atlanta Business Chronicle.
Named to the 2025 Inc. 5000 list for the third year.
Chronicle’s Pacesetter Awards recognize metro Atlanta’s fastest-growing companies.
PEACHTREE GROUP ENTERED the 2025 Inc. 5000 list for the third consecutive year. The company also won the Atlanta Business Chronicle Pacesetter Awards as one of the city’s fastest-growing private companies.
The Inc. 5000 list provides a data-driven look at independent businesses with sustained success nationwide, while the Business Chronicle’s Pacesetter Awards recognize metro Atlanta’s fastest-growing privately held companies, Peachtree said in a statement.
“We are in the business of identifying and capitalizing on mispriced risk, and in today’s environment of disruption and dislocation, that has created strong tailwinds for our growth,” said Greg Friedman, managing principal and CEO. “These recognitions validate our ability to execute in complex markets, and we see significant opportunity ahead as we continue to scale our platform.”
The Atlanta-based investment firm, led by Friedman; Jatin Desai, managing principal and CFO and Mitul Patel, principal, oversees a diversified portfolio of more than $8 billion.
A PETITION FOR a referendum on Los Angeles’s proposed “Olympic Wage” ordinance, requiring a $30 minimum wage for hospitality workers by the 2028 Olympic Games, lacked sufficient signatures, according to the Los Angeles County Registrar. The ordinance will take effect, raising hotel worker wages from the current $22.50 to $25 next year, $27.50 in 2027 and $30 in 2028.
Mandatory health care benefits payments will also begin in 2026.
The L.A. Alliance for Tourism, Jobs and Progress sought a referendum to repeal the ordinance, approved by the city council four months ago. The petition needed about 93,000 signatures but fell short by about 9,000, according to Interim City Clerk Petty Santos.
The council approved the minimum wage increase for tourism workers in May 2023, despite opposition from business leaders citing a decline in international travel. The ordinance requires hotels with more than 60 rooms and businesses at Los Angeles International Airport to pay workers $30 an hour by 2028. It passed on a 12 to 3 vote, with Councilmembers John Lee, Traci Park and Monica Rodriguez opposed.
The L.A. Alliance submitted more than 140,000 signatures in June opposing the tourism wage ordinance, triggering a June 2026 repeal vote supported by airlines, hotels and concession businesses.
AAHOA called the ruling a setback for Los Angeles hotel owners, who will bear the costs of the mandate.
"This ruling is a major setback for Los Angeles' small business hotel owners, who will shoulder the burden of this mandate," said Kamalesh “KP” Patel, AAHOA chairman. "Instead of working with industry leaders, the city moved forward with a policy that ignores economic realities and jeopardizes the jobs and businesses that keep this city's hospitality sector operating and supporting economic growth. Family-owned hotels now face choices—cutting staff, halting hiring, or raising rates—just as Los Angeles prepares to host millions of visitors for the World Cup and 2028 Olympics. You can't build a city by breaking the backs of the small businesses that make it run."
Laura Lee Blake, AAHOA president and CEO, said members are proud to create jobs in their communities, but the ordinance imposes costs that will affect the entire city.
“Even with a delayed rollout, the mandate represents a 70 percent wage increase above California's 2025 minimum wage,” she said. “This approach could remove more than $114 million each year from hotels, funds that could instead be invested in keeping workers employed and ensuring Los Angeles remains a competitive destination. The mandate increases the risk of closures, layoffs and a weaker Los Angeles."
A recent report from the American Hotel & Lodging Association found Los Angeles is still dealing with the effects of the pandemic and recent wildfires. International visitation remains below 2019 levels, more than in any other major U.S. city.
India-based TBO will acquire U.S. wholesaler Classic Vacations for up to $125 million.
The deal combines TBO’s distribution platform with Classic’s advisor network.
Classic will remain independent while integrating TBO’s global inventory and digital tools.
TRAVEL BOUTIQUE ONLINE, an Indian travel distribution platform, will acquire U.S. travel wholesaler Classic Vacations LLC from Phoenix-based The Najafi Cos., entering the North American market. The deal is valued at up to $125 million.
Gurugram-based TBO is led by co-founders and joint MDs Gaurav Bhatnagar and Ankush Nijhawan.
“We’re thrilled to bring Classic Vacations into the TBO family – the company’s longstanding delivery of services has earned the trust of more than 10,000 travel advisors in the U.S. and their end customers, making Classic Vacations a seamless fit for our vision in the travel and tourism industry,” said Bhatnagar. “Classic Vacations is led by a strong team and will continue as an independent brand while leveraging TBO’s technology and distribution capabilities to grow its business.”
Classic Vacations reported revenues of $111 million and an operating EBITDA of $11.2 million for the financial year ending Dec. 31, 2024, the companies said in a joint statement. The company has a network of more than 10,000 travel advisors and suppliers.
The acquisition combines TBO’s distribution platform with Classic’s advisor network to strengthen their position in the outbound market, the statement said. Classic will continue as an independent brand while integrating TBO’s global inventory and digital tools.
Nijhawan said the acquisition furthers TBO’s investment in organic and inorganic growth.
“As we begin integrating Classic Vacations with TBO, we will remain open to similar strategic alliances going forward,” he said.
Classic Vacations was acquired from Expedia Group by The Najafi Cos. in 2021.
“This acquisition and partnership are a natural next step for our portfolio company Classic Vacations, and we’re happy to have worked successfully with them for the last four years, maximising the company’s strengths and expertise in luxury travel,” said Jahm Najafi, founder and CEO, The Najafi Companies.
Moelis & Co. LLC was the financial adviser and Ballard Spahr LLP the legal adviser to Classic Vacations. Cooley LLP served as legal adviser and PwC as financial and tax adviser to TBO.