Latest news: Legend Cooper passes; Choice updates ESG plan; Ritz-Carlton Reserve to NEOM

Hotel great Cooper dies. Legendary hotelier Simon Cooper has passed away from complications with Leukemia. Cooper joined Ritz-Carlton in 2001 as president and COO, taking over from Horst Schulze with a mandate to grow the brand through hotel expansion and product diversification. Under Cooper’s watch, the company aggressively expanded and added The Ritz-Carlton Residences, private residential units, and The Ritz-Carlton Destination Club, fractional ownership residences, to the company’s development program. Starting in 2010, Cooper led Marriott International’s operating performance and growth of Asia Pacific which included more than 173 properties and 70 hotels under construction. Prior to joining Marriott, Cooper served as president and COO of Delta Hotels and Resorts in Canada, and as executive vice president of Omni Hotels. Cooper began his hospitality career when he immigrated to Canada in 1972 and worked for Canadian Pacific Hotels and Resorts. He will be sorely missed by his wife Marcelle, children Winkie, Susannah, Jason, their spouses Eric, Tony and Erin, and his grandchildren Cole, Zachary, Benjamin and Evan.

Mixed week in US. U.S. hotel performance from April 14-20 showed mixed results from the previous week, according to CoStar data. Occupancy was 66.8% (-0.3% YOY); ADR was $158.60 (+1.5% YOY); and RevPAR was $105.94 (+1.2% YOY). Among the Top 25 Markets, Philadelphia reported the largest year-over-year increases in occupancy (+14.3% to 72.1%) and RevPAR (+23.2% to $114.11). Washington, D.C., posted the only double-digit lift in ADR (+10.0% to $226.25). The steepest RevPAR declines were seen in Chicago (-16.2% to $105.97) and San Francisco (-9.7% to $123.76).

Choice ESG update. Choice Hotels International published its 2023 Environmental, Social, and Governance Report, which included new and expanded requirements to help reduce utility usage and identify savings through its revamped Room to be Green verification program. As part of this initiative, the report highlights the adoption of Choice’s automated utility tracking dashboard, with over 2,600 properties participating. Initiatives detailed in the report include Property Improvement Plans with 35 hotels selected for a pilot program to participate in sustainability audits conducted by third-party experts and receive recommendations and solutions to drive more sustainable operations and investments. The recommendations included building envelope enhancements, rainwater reuse, water mitigation solutions, energy-saving smart thermostats in guest rooms, and the replacement of natural gas water heaters with electric heat pump high-efficiency units. Choice plans to embed the insights obtained from this initiative into existing property improvement plan processes.

Another Marriott in NEOM. Marriott International has signed an agreement with NEOM to open its second Ritz-Carlton Reserve in Saudi Arabia. The 60-room hotel is anticipated to open in Trojena, a year-round mountain destination located in the northwest region of the country. The signing of the Ritz-Carlton Reserve in Trojena marks the seventh collaboration announced between Marriott International and NEOM.

IHCL revives Gateway brand. During its earning call this week, the Indian Hotel Company Ltd. stated it will introduce the re-imagined Gateway brand, a full-service offering in the upscale segment, to capture growth opportunities in emerging micro-markets in metros and Tier II and Tier III Indian cities. The brand roll-out starting with 15 hotels will commence with launches in Bekal and Nashik this quarter.

Capella deal with Galaxy Macau. Galaxy Entertainment Group has announced a partnership with Capella Hotels and Resorts that will see Galaxy Macau become home to the first Capella property in The Greater Bay Area. Scheduled to open in mid-2025, Capella at Galaxy Macau will be Galaxy Macau’s ninth hotel brand following the recent launch of Andaz and Raffles. Described as “a gilded mansion in Asia’s cultural hub, the 17-storey hotel will offer 36 Sky Villas and 57 Suites with interiors designed by renowned Paris-based firm Moinard Bētaille.

Deals in Ireland heat up. The value of Irish hotel properties changing hands reached a record quarterly level of more than €600 million in the first quarter of 2024, putting the market in a position to achieve €1 billion in sales this year, according to research from CBRE. Two major hotel deals accounted for most of the activity. The sale of a majority stake in eight hotels in Paddy McKillen Jr’s Dean Hotel Group had an enterprise value of about €350 million. The sale of the Shelbourne Hotel to Archer Hotel Capital was reported at €250 million. Spend in the first three months of the year exceeded total annual volumes for 2023. There are a number of hotels on the market at the moment, including the Slieve Russell in Co Cavan which has a €35 million price tag, and Mount Juliet in Co Kilkenny with a €45 million guide.