Hotel Chart of the Week: Extended Stay Boom in U.S. Ramps Up

New York City’s short-term rental regulations could slash up to 70% of Airbnb’s 23,000 active listings in the city after September 5. Experts are divided on how the move might affect hotels, and their forecasts are foggy. Yet the analyses reveal interesting details about this critical lodging market regardless.

Travelers United’s choice to sue Hyatt over its “junk fee” practices fits into a broader storyline about travel junk fees being in the limelight ever since President Joe Biden referred to travel fees in his 2023 State of the Union address.

Project MidX Studios, the lower midscale, extended stay property, is officially called StudioRes. Marriott describes it as a new-build, midscale extended stay development platform for owners and franchisees in the U.S. and Canada. The world’s largest hotelier said 1,800 target markets have already been identified.

Good morning from Skift. It’s Friday, November 11. Here’s what you need to know about the business of travel today.

“I’m really excited about the quality of the brand portfolio,” IHG CEO Keith Barr said at Skift Global Forum. Barr goes on to describe the current realities of the hotel business: it’s a real estate business at the end of the day, after all. But IHG has been hyper-focused on its brands and its franchise partners. “It’s been great because there’re such clearly defined brands that enable us to work with a number of opportunities,” he told Skift’s Sean O’Neill.

Here are some excerpts from Daily Lodging Report from the past week. If you’re not a subscriber, you should be. Get news on hotel deals, development, stocks, and career moves. Sign up here, now.

Hotel company Sonesta said on Tuesday it would launch a new brand, Sonesta Essential, and offer a just-added brand, The James, to developers.

Ace Group International, the operator of a buzzy brand of 11 open Ace lifestyle hotels, will be acquired by Sortis Holdings, a Portland, Oregon-based hospitality firm, the companies said on Tuesday.

Marriott International revealed on Monday its full-year totals for hotel development in 2022. The most notable figures highlighted a further push by the world’s largest hotelier into the luxury and extended-stay segments.

On January 17, I reported that Sortis Holdings would acquire Ace Group International, owner of Ace Hotels, for $85 million in cash. Executives for Sortis Holdings, a Portland, Oregon-based hospitality firm, weren’t available to speak when I wrote that article. But I’ve since interviewed them. Here’s some more color on their plans.

Hyatt Hotels Corp., which enjoyed a blockbuster financial performance in 2022, forecasted Thursday continued success this year, especially in the first half. The company expects to benefit from growing consumer interest in its lifestyle, luxury, and resort properties, returning group reservations for its banquet halls, and an expanding room count.

In full-year 2022, the Loews Hotels chain of 25 luxury properties generated $345 million in adjusted earnings before interest, taxes, depreciation, and amortization — a measure of profit — on revenue of $721 million, its parent company reported on Monday.