Joint venture sells Hollywood hotel at a discount. A joint venture of London-based MetLife Investment Management and New York City-based Loews Hotels & Resorts has put its 625-room Loews Hollywood Hotel up for sale at a discount, according to The Real Deal. The joint venture offered the hotel with a guide price of $125 million, about $40 million less than what Loews paid in 2012. In 2021, the joint venture refinanced the debt for $91 million with alternative investment firm Värde Partners.
Hyatt completes sale in Orlando. On Friday, Hyatt announced the completion of the sale of the 1,641-room Hyatt Regency Orlando by a joint venture between Los Angeles-based Ares Management and Houston-based Rida Development for about $1.07 billion. Hotel Investment Today reported on the sale last week. The amount is slightly higher than that reported last week because it includes a 45-acre development site adjacent to the property (also adding $50 million in seller financing for that site). Hyatt said this sale exceeded its $2 billion asset divestiture commitment announced in 2021 as part of its asset-light strategy, and over three years, Hyatt has now generated gross proceeds of $2.6 billion, net of acquisitions, a multiple of 13.3 times. Mark Hoplamazian, president and CEO of Hyatt, said the sale is the largest single sale of an asset in Hyatt’s history (it is also the largest single hotel transaction in 2024).
AHLA welcomes increase in the nationwide daily allowance. The American Hotel & Lodging Association (AHLA) applauded the General Services Administration’s decision to increase per diem rates for federal employees in fiscal year 2025. GSA’s per diem guidelines govern reimbursement of federal employees’ lodging and meal expenses while on official government travel. Effective October 1, 2024, the standard daily lodging allowance in most of the continental United States will increase by $3 to $110 per day, costing the hotel industry an estimated $100 million. The standard meal and incidental allowance will increase by $9 to $68 per day; the first increase in this cost category in three years. “These increases are an important victory for AHLA, which has made fair per diem rates a permanent federal advocacy priority on behalf of our members,” said Kevin Carey, AHLA interim president and CEO.
Ireland’s oldest hotel is being sold. Mark and Joseph Scott-Lennon have completed the purchase of the 69-room Woodenbridge Hotel and Lodge in Wicklow, Ireland from Esther and Billy O’Brien for an undisclosed sum, ending more than three decades of ownership of Ireland’s oldest hotel by the O’Brien family. The O’Briens bought the hotel in the early 1990s and converted it from a 12-room property to its current size. The hotel dates back to 1608. The hotel is the second property in the newly named Fitzpatrick Hotel Collection, which is set to expand further in the coming years.
Sohal sells in Washington. Sohal Hotels has sold the La Quinta Inn & Suites by Wyndham in Marysville, Washington, to an affiliate of Edmonds, Washington-based Jaye Enterprises Inc. for $26.5 million, or approximately $226,495 per room.
Coastline is being expanded in Saskatchewan. Vancouver-based Coast Hotels Ltd., a wholly owned subsidiary of APA Hotel Canada, is opening its newest hotel in Weyburn, Saskatchewan. The 67-room Coast Weyburn Hotel has been renamed from the Canalta Hotel Weyburn.
Hotel Indigo expands its offering in Indonesia. Hotel Indigo, part of IHG Hotels & Resorts, has opened the 277-room Hotel Indigo Bandung Dago Pakar, its second property in Indonesia. Hotel Indigo has 154 open hotels in 25 countries and is IHG’s second largest brand in its luxury and lifestyle portfolio.
Meliá expands its portfolio to include Albania. Meliá Hotels International is strengthening its presence in Albania. As part of its expansion strategy, Meliá Hotels has selected locations in Albania for its new hotels, including the capital Tirana and the coastal city of Durres.
