Latest HITs: Travelodge for sale; Kirkwood adds in Palm Springs; Auberge to Dallas

Travelodge for sale. U.K-based budget brand Travelodge is reportedly for sale for more than £1 billion. Owner since 2012, U.S.-based hedge fund GoldenTree has been meeting with investment banks to explore options for the 595-hotel giant. It was also reported that New York City-based Avenue Capital and Goldman Sachs recently sold their stakes in the company to GoldenTree. Travelodge reported sales of more than £900 million last year – a quarter more than pre-pandemic levels – and profits of £212.9 million.

Kirkwood growth. The luxury boutique hotel group Kirkwood Collection has acquired three properties in Palm Springs: La Serena Villas, Del Marcos Hotel and The Three Fifty Hotel. All located in the heart of downtown Palm Springs, the addition of these hotels expands their Greater Palm Springs portfolio to five properties and brings the Kirkwood Collection portfolio to 10 boutique hotels and properties throughout California. Kirkwood partnered with Somera Capital Management on the acquisitions.

Braemar extends loan. Braemar Hotels & Resorts has extended the maturity of its $435 million mortgage loan secured by four properties: The Notary Hotel, The Clancy, Sofitel Chicago Magnificent Mile, and Marriott Seattle Waterfront. The loan is being pushed beyond its original initial maturity in June 2023 for an additional 12 months, it said. In conjunction with the extension, the lodging REIT paid down $142 million of the loan utilizing corporate cash on hand, which reduced the balance to around $293 million. It also bought an interest rate cap through June 2024 with a strike rate of 4.69%. In April, Braemar finalized an extension of its $51 million mortgage loan for the 80-room Hotel Yountville in California.

Auberge to Dallas. Auberge Resorts Collection has been selected by MSD Partners, Trammell Crow Co., Highland Park Village Associates, and The Retail Connection to manage the 105-room The Knox, Auberge Resorts Collection and 53 residences at The Knox Residences, Auberge Resorts Collection in Dallas. The properties will anchor a four-acre luxury lifestyle development that includes curated retail and restaurants, as well as high-end office space.

London strength. London reported its highest RevPAR since October 2022, according to preliminary May 2023 data from STR. May 2023 (year-over-year % change): Occupancy: 80.5% (+3.5%); ADR: GBP204.52 (+18.9%); RevPAR: GBP164.54 (+23.1%). May was the first month this year with the market’s ADR above GBP200. In addition, the occupancy level was London’s highest since November 2022.

Thompson to Rome. Hyatt Hotels Corp. has entered into a franchise agreement with Botteghe Oscure s.r.l., a company affiliated with AG Group s.r.l., for the first Thompson Hotels property in Italy with Thompson Rome. Expected to open by mid-2024 in the heart of the Italian capital, the 70-room hotel will be the brand’s second property in Europe. The Thompson Vienna is slated to join the portfolio in 2025.

Jeddah occupancy soars. Helped by the Arab League Summit, Jeddah’s hotel industry posted its highest monthly occupancy since August 2016, according to preliminary May 2023 data from STR. May 2023 (year-over-year % change): Occupancy: 79.9% (+21.9%); ADR: SAR924.32 (+3.9%); RevPAR: SAR738.80 (+26.6%). While room rates were lower than the month prior, Jeddah’s RevPAR was its highest since September 2019.

Protea grows in Africa. Marriott International has signed five deals in Africa under its Protea Hotels by Marriott brand. The deals include the 155-room Protea Hotel by Marriott Serowe, Botswana, in collaboration with Letsatsi Partners and slated to open in 2026; the converted 127-room Protea by Marriott Bahir Dar, Ethiopia signed with Blue Nile Resort Hotels PLC by 2025; a deal with Parklane Holdings Zanzibar Ltd. to convert by the end of this year its existing property to a 26-room Protea Hotel by Marriott Zanzibar Stone Town; a franchised, 144-room Protea Hotel by Marriott Abuja Jahi, Nigeria, by 2027 owned by Gold Reef Hotel Ltd. and managed by Bon Hospitality West Africa Ltd.; and an agreement with Dutch Gate Hotel & Suites Ltd. to convert by 2024 its existing property to a 108-room Protea Hotel by Marriott Delta in Warri, Nigeria, again to be managed by Bon Hospitality West Africa Ltd. Marriott’s current portfolio in Africa features nearly 140 properties and more than 24,000 rooms across 20 countries and 19 brands. Protea Hotels by Marriott represent more than 40% of Marriott’s portfolio in Africa with over 60 properties and more than 6,500 rooms in operation across nine countries.

Radisson in Africa. Radisson Hotel Group reported it has signed this year in Africa seven hotels with some 1,400 rooms. The moves include entry in Gambia on Reunion Island and the introduction of new brands in key markets with the first Radisson Collection in Nigeria and Egypt, the first Radisson Red hotel in Nigeria, and the introduction of the Radisson brand in Kenya. These openings also expand Radisson’s resort presence in Casablanca and Saidia in Morocco as well as in South Africa, Egypt and Tunisia. Radisson’s objective on the continent is to grow from 100 hotels to 150 hotels within the next five years.