Latest HITs: Marriott-City Express deal approved; Regent in Cannes reopens

Marriott close to midscale debut. Marriott International has received approval from Mexico’s Federal Economic Competition Commission for the acquisition of the City Express brand portfolio from Hoteles City Express, S.A.B. de C.V., paving the way for the company’s entry into the affordable midscale segment. Marriott expects that the transaction, originally announced in October 2022, could close in the second quarter. Upon closing, Marriott will acquire the Hoteles City Express brands (City Express, City Express Plus, City Express Suites, City Express Junior, and City Centro). The hotel portfolio, comprised of approximately 150 hotels totaling around 17,000 rooms in more than 70 cities in Mexico and three additional countries in Latin America, will become part of Marriott’s franchise system. Following the closing, Marriott expects to update the City Express brands with its “by Marriott” endorsement.

Regent in Cannes reopens. The 332-room Carlton Cannes, A Regent Hotel, will reopen on March 13 after a major, two-year refurbishment by owner Katara Hospitality. Part of IHG Hotels & Resorts, the hotel now has two new wings, measuring 20,000 square meters and home to luxury residences. It enveloped the rear of the property to create an enclosed garden with peristyle alcoves. It also has new sunbathing decks, cabanas and an infinity pool. The Carlton Cannes is more than 100 years old and the first luxury hotel to open in Cannes. As part of the renovation, the famous inscription “Carlton Hotel,” located on the skyline pinnacle of the façade, has been restored to exactly as it was when the hotel opened in 1913. Regent will also shortly bring back its iconic hotel in Hong Kong, followed by the Regent Bali Canggu in late 2023. Regent hotels are also poised to open in Kuala Lumpur, Jakarta, Kyoto, Shenzhen, Shanghai on the Bund and Sanya within the next few years.

Baltin dies. Industry consulting icon Bruce Baltin passed away last week at the age of 79. He was a founding member of PKF Consulting and became managing director of CBRE Hotels Los Angeles office. In his more than 45 years with PKF and CBRE, Baltin had a wide diversity of experience in the hospitality and tourism industries, including market demand studies, valuations, economic and operational consulting and dealing with leases, franchises and management contracts. His industry experience included hotels, resorts, clubs, restaurants, theme parks, and national and state parks. He worked extensively with various governmental entities in tourism and hospitality real estate issues. He was frequently quoted in the national and local press and testified as an expert witness on various industry issues. Prior to joining PKF he taught at the University of Nevada, Las Vegas and was corporate operations analyst for the Sheraton Corporation of America. He has taught extensively in the Collins School of Hospitality Management at California Polytechnic Institute, Pomona, as well as courses in the real estate program at the University of Southern California and through UCLA Extension. 

Russian investor acquires 10 properties. Cosmos Hotel Group, a division of Russian investment group Sistema PJSFC, has doubled its hotel portfolio by acquiring 10 hotels (4,078 rooms) in four Russian cities from Norway's Wenaas Hotel Russia AS for e200 million. The amount includes a voluntary contribution to the Russian budget, which was one of the conditions for securing permission for the exit from the Russian authorities. The deal includes six hotels in St. Petersburg: Park Inn by Radisson Pribaltiyskaya, Park Inn by Radisson Pulkovskaya, Park Inn by Radisson Nevsky, Radisson Blue Royal Hotel, Park Inn by Radisson Pulkovo and Olympia Garden Hotel. It also includes the Park Inn by Radisson Sheremetyevo and Radisson Blu Sheremetyevo Airport in Moscow, as well as the Park Inn by Radisson Murmansk and the Park Inn by Radisson Ekaterinburg in these respective cities. Their combined revenue totalled 4.3 billion rubles in 2021.

Tampa hotel trades. BlackPearl Hospitality has acquired the 291-room DoubleTree by Hilton Tampa Rocky Point Waterfront for $76 million ($261,168/key). The deal was facilitated by Walker & Dunlop.