Latest news: NoMad debut in APAC; Vegas struggles; Wage battle in LA

NoMad to debut in APAC. Hilton has reached an agreement with Singapore-based UOL Group to open a NoMad hotel in Singapore, marking its foray into the fast-growing luxury lifestyle segment in Asia Pacific. The debut joins NoMad London, which opened in 2021 to international acclaim. The new-build 173-key NoMad in Singapore will open in early 2027. With the signing of the NoMad hotel in Singapore, Hilton takes another step toward its plan to grow its luxury presence to 150 hotels in the Asia Pacific region in the coming years.

Vegas dip. Visitation to Las Vegas in March fell 7.8% year over year, following an 11.9% drop in February (Las Vegas hosted the Super Bowl in February 2024) and marking the third straight month it has declined. and the city's tourism agency is anticipating less room tax revenue in its next budget as a result. The decreases have been the worst since the pandemic’s onset in 2020. For 1Q25, the convention bureau said visitor volume is down 6.9%, to 9.7 million, and convention attendance is down 1.6%, to 1.8 million, from the first quarter last year. In addition, ADR is down 8.1%, to $188.52 a night, and hotel occupancy is down 0.9 percentage points, to 81.8%.

Wage battle in LA. On April 29, tourism stakeholders gathered at Los Angeles City Hall to oppose an amendment to the city’s Living Wage Ordinance and Hotel Workers Minimum Wage Ordinance, according to Travel Weekly. The proposed measure, nicknamed the “Olympic Wage Ordinance,” would incrementally raise minimum wages for airport workers and employees of hotels with more than 60 rooms to $30 per hour by 2028, coinciding with the Los Angeles Olympics. The amendment is scheduled to be heard by the city’s Economic Development and Jobs Committee on May 6 before potentially moving to the full council. If passed, the first wage hike would kick in on July 1, increasing the minimum wage rate for covered workers to $22.50.

Extended-stay still outperforms other hotels. When economy, mid-price and upscale extended-stay hotels are compared directly to corresponding classes of all hotels, all three extended-stay hotel segments outperformed in the change in Q1 2025 RevPar relative to Q1 2024, according to research from The Highland Group. Economy and mid-price extended-stay hotels reported occupancy declines, and overall extended-stay hotel occupancy fell to 70.9%, the lowest for a first quarter since 2010, excluding 2020 and 2021, which were impacted by the pandemic. “The positive change in extended-stay hotel RevPAR decelerated during Q1 2025 but compared directly to corresponding classes of all hotels in all three extended-stay hotel segments, they reported higher RevPAR growth from Q1 2024 to Q1 2025,” said Mark Skinner, partner at The Highland Group.

RLJ Lodging Trust earnings. Bethesda, Maryland-based RLJ Lodging Trust reported a comparable RevPAR increase of 1.6% year-over-year as part of its first-quarter earnings. CEO Leslie Hale said the REIT’s ability to drive rate in Q1 allowed it to exceed its EBITDA outlook. Hale also said the company recycled capital from disposition proceeds to help address near-term debt maturities. Analyst Michael Bellisaio of R.W. Baird said RLJ’s Q1 results were ahead of forecasts. “Similar to most Hotel REIT peers, RLJ’s 1Q25 earnings exceeded Baird/Street forecasts (better revenues and margins for RLJ vs. our model), but 2025 guidance was cut across the board to reflect a continuation of weaker near-term trends for the remainder of the year. RevPAR growth guidance is -200 bps and adjusted EBITDA guidance is -350 bps (or -320 bps excluding the disposition impact); these revisions are consistent with select-service peers’ guidance cuts.”

Park Hotels earnings. Tysons, Virginia-based Park Hotels & Resorts reported a comparable total RevPAR gain of 0.5% year-over-year as part of its first-quarter earnings. CEO Thomas Baltimore said the company was encouraged by RevPAR staying essentially flat during a tough comparison when the REIT’s portfolio significantly outperformed in almost every market. He said the company remains focused on disposing of $300-400 million of non-core assets this year and reinvesting capital on its other properties. Analyst Patrick Scholes at Truist Securities said the REIT’s performance was a beat on RevPAR, and total revenues and room margins outperformed the consensus. Scholes said the REIT lowered its 2025 guidance and “has very easy strike-related comps in 2H25, hence the higher than average/comp set RevPAR growth expectations.”

New hotel in Virginia. Rivers Casino Portsmouth and Chicago-based Rush Street Gaming are breaking ground this summer on the 106-key The Landing Hotel Portsmouth in Portsmouth, Virginia. The hotel is expected to open in early 2027.

Triumph refinance in Louisiana. Antioch, Tennessee-based Triumph Hospitality has secured a $6.5 million refinance of the 80-key Hampton Inn in Denham Springs, Louisiana. HKS Real Estate Advisors arranged the financing, which retires a $4 million loan. The property, which Triumph operates, was recently renovated.

400th hotel for Ascend Collection. Choice Hotels International recently celebrated its 400th opening for its Ascend Collection brand, which features more than 400 independent resorts and boutique hotels open around the globe. Established as the first soft brand in the hotel industry in 2008, The Ascend Collection has 423 hotels open worldwide and is continuing its strategic expansion into high-demand leisure and urban markets with more than 70 hotels in the global pipeline.

JLL: Hotel investment in Thailand to normalize. Hotel investment growth in Thailand will likely normalize in 2025 with factors including the entry of new high-quality hotels in the market and favorable occupancy and ADR, easing the record trading momentum seen in 2024. According to JLL, hotel investment is expected to stabilize in 2025 with over THB13 billion (approximately $385 million) in capital projected to be deployed into Thailand’s hotel sector. In 2025, JLL estimates that Bangkok transactions will continue dominating the investment market, comprising nearly 60% of all deals nationally. Significantly, JLL analysis shows that the average transaction size will grow to THB1.8 billion ($53.2 million), 80% higher than the 10-year average of THB1 billion ($29.5 million). Furthermore, the market in 2025 is expected to be dominated by single asset deals, consistent with transactions including the Hyatt Regency Bangkok Sukhumvit, the largest ever single asset hotel deal in Thailand history closed by JLL in 2024.

Marriott adds in Sydney. Marriott International is partnering with Sydney-based JQZ to develop the 279-key Sydney Marriott Hotel Parramatta in Australia. The hotel is scheduled to open in mid-2027 and is part of a larger mixed-use development that will include apartments, retail and commercial spaces.