In this week’s roundup of news from the Americas region: Oyo’s new U.S. head of business talks opportunities; California sees historic drop in transactions; Hotel Indigo Detroit opens after $10-million renovation; and more.
Hotel News Now each week features a news roundup from a different region of the world. Today’s review covers the Americas.
New US Oyo head sees opportunity in downturn
Kasra Moshkani, Oyo Hotels & Homes’ new head of business in the U.S., said his company is poised for outsized growth, writes Hotel News Now’s Sean McCracken.
Moshkani said Oyo is on a path for success based on its outperformance of competitors and is positioning in the broader marketplace and feels the current environment will provide opportunity and momentum for the company.
“We do see this as a unique opportunity,” he said. “Understandably, a lot of owners are thinking about how their business has been shaken up. Travel dynamics have changed quite a bit. So, we do see a lot of owners who are looking to partner—in particular some of the independents—who can use a partner to be successful.”
California sees historic drops in hotel sales
During the second quarter of 2020, California hotel transactions volume declined 82% year over year, according to Atlas Hospitality Group, writes HNN’s Sean McCracken and Bryan Wroten.
Alan Reay, president of Atlas, said the sales volume in comparable to what the industry saw during the depths of the Great Recession, with an 81% decline seen in 2009. There does not appear to be a light at the end of the tunnel, at least for the near term.
“In the second half of this year, it will probably be similar to those (second quarter) numbers,” Reay said. “The one area that is somewhat cushioning the blow is the fact that so many lenders on the conventional side—not the CMBS side—are working closely with borrowers on differing payments.”
NYC hoteliers navigate ‘tricky’ quarantine mandate
On 18 August, New York City Mayor Bill de Blasio mandated that travelers from more than 30 restricted states must self-quarantine for two weeks prior to checking in at hotels and short-term rentals. Hoteliers said this mandate will hurt their business, reports HNN’s Dana Miller.
Randy Taormina, VP of operations at Dream Hotel Group, which reopened Dream Downtown in New York on 21 August, said the property is asking guests where they have been, where they are from, and their purpose for traveling to New York.
“It becomes challenging to be honest with you, to continue to do all this with a smile on your face and (making sure) your staff uses this in the right way and a respectful way so people aren’t A.) put off or B.) (thinking) why are they asking me these questions?” he said.
Brian McSherry, COO at New York-based M&R Hotel Management, added that some visitors might not want to quarantine for 14 days just to stay in the city for one week.
“To some degree, it does kill the business coming into the city,” he said. “But we make the most of it.”
Deals, developments, people on the move
- Hyatt Hotels Corporation announced a Hyatt affiliate has signed a management agreement with Mani Brothers Real Estate Group to rebrand the 75-room Travaasa Hāna into Hāna-Maui Resort. The hotel will sit under Hyatt’s Destination Hotels brand.
- The 241-room Hotel Indigo Detroit has opened following $10 million, two-year transformation. Detroit-based Kraemer Design Group led the architecture, interior design and furniture specification services for the transformation.
- Delta Hotels Virginia Beach Bayfront Suites has appointed Kevin Dubel as executive chef and director of outlets. The hotel is slated to open November 2020.
- River House at Odette’s in New Hope, Pennsylvania, has appointed Adam Sheff as executive chef, where he will oversee Odette’s and Piano Lounge. The hotel is set to debut on 28 September.
- Oyo Hotels & Homes appointed Kasra Moshkani to lead its U.S. business division.
- Banyan Tree Hotels & Resorts has launched its third property in Mexico with the 18-suite Hacienda Xcanatun in Merida, Mexico.
Compiled by Dana Miller.