Latest news: Plan for SoBe Shelborne; new Holiday Inn Express prototype; Waramaug CEO

Shelborne plan announced. A joint venture between King Street Capital Management, Westdale Properties and Cedar Capital Partners has announced $85 million renovation plans for the Shelborne South Beach in Florida. The renovation, which will save and restore the heritage elements in the hotel, will include a redesign of the guestrooms, food and beverage venues, pool deck and more. Following the renovation expected to be completed in early 2025, the 251-room hotel will be managed by Proper Hospitality, its first property in Florida, and will be rebranded as the Shelborne South Beach by Proper.

Updated Holiday Inn Express prototype. IHG Hotels & Resorts has unveiled what it terms as a modern and more cost-efficient design prototype for future new-build Holiday Inn Express hotels. The revamped Formula Blue 2.2 model is the latest evolution of the concept, which originally debuted in 2014. Formula Blue 2.2 will feature an increased key count from 93 to 104 with room for additional suites within the existing site size; a redesigned exterior featuring bold colors and using simplified construction means; a building layout allowing for more flexible indoor/outdoor pool placement options and right-sized parking and landscaping; and a “heart of house” with simplified wall configurations, fewer doors and better positioned staff areas.

Hilton in Brooklyn trades. Ohana Real Estate is reportedly acquiring a Hilton hotel and three condos in Downtown Brooklyn for $110 million from Tidal Real Estate. Tidal paid $88 million to buy Carlyle Group out of its stake in the property in 2016. The two bought the site in 2012 for $38.2 million.

New CEO at Waramaug. Investment firm Waramaug Hospitality current partner and principal Ferit Ferhangil will become its chief executive officer, effective January 1. Ferhangil will succeed Leslie Ng, who will assume the position of co-vice chairman and will focus on the company’s acquisitions. In addition, the company board will include Evren Unver as co-vice chairman and Paul Nussbaum as chairman. The moves mark the culmination of a year-long planned transition, which follows two years during which HazelStream Capital and its principals Unver and Ferhangil became deeply engaged as partners of Waramaug.

Loan for Auberge project in Dallas. Plano, Texas-based Beal Bank announced a $619.45 million construction and permanent loan to develop a four-acre, 1 million square foot mixed-use project which will include a 140-key Auberge Resorts Collection luxury hotel and other projects. Brian Nordahl, executive vice president for CBRE Hotels, recently told Hotel Investment Today that The Knox, Auberge Resorts Collection in Dallas, which is a joint venture of MSD Partners, Trammell Crow Company, The Retail Connection and Highland Park Village Associates, will “set the standard for ADR in Dallas.”

Candy Capital adds high-profile hotelier. Veteran hotelier Anthony Costa has been named to lead London-based Candy Capital’s new lifestyle and hospitality division. The privately held family office of real estate developer Nick Candy wants to expand in the sector and has several luxury real estate projects across residential, luxury hotels, hospitality, lifestyle, and retail sectors, with a particular focus on the Middle East. Costa previously worked with Four Seasons Hotels and Resorts and held GM positions with Mandarin Oriental. He was regional vice president at the Burj Al Arab and most recently regional president at Caesars Palace Dubai.

RAK, IHG grow partnership. RAK Properties PJSC, Ras Al Khaimah, UAE, has expanded its strategic relationship with IHG Hotels & Resorts with the introduction of the extended-stay Staybridge Suites Mina Al Arab on Hayat Island. The 156-key hotel will offer studio, one and two-bedroom apartments in a 14-story tower where guests will have direct access to the beach as well as the InterContinental Ras Al Khaimah Resort and Spa, located within walking distance. The Staybridge Suites brand currently has nine hotels with 1,648 rooms in the Middle East and four more with 558 rooms in the pipeline.

Hilton union deals in California. Unite Here Local 11 in Southern California has reached tentative contract agreements with the Beverly Hilton, the Waldorf Astoria in Beverly Hills and the Hilton in Anaheim, California, covering about 1,600 unionized workers. The union also has a tentative agreement with the Hilton Costa Mesa, a property that carries the Hilton name but is operated independently. The Costa Mesa deal that covers about 200 workers. In total, nine hotels have reached tentative contract agreements with Unite Here Local 11. The nine hotels represent a portion of some 60 hotel sites in Los Angeles and Orange counties hit by a series of strikes covering more than 15,000 workers.

Banyan Tree ends China JV. Banyan Tree is ending its joint venture with the subsidiaries of China’s second-largest developer by sales, China Vanke, with both parties buying out each other’s stakes in their joint ventures. Banyan Tree will acquire the shares of two JVs for 480 million yuan (US$67 million) from China Vanke units and selling its shares in another JV for 30 million yuan (US$4 million). Banyan Tree will pay 425 million yuan (US$60 million) out of the full sum in cash using internal resources, while the remaining amount is to be offset against the proceeds from its sale of stakes in the third JV, as well as receivables. The transactions, said Banyan Tree, will enable it to streamline strategic decision-making in response to market dynamics and enhance operational efficiency in day-to-day operations. “The divestment of the hotel ownership component is in line with the company’s asset-light strategy,” it added.

Meininger adds in Edinburgh. Meininger Hotels has signed a deal with property developer S Harrison to transform a 1970s office building in Edinburgh into a 157-room property. The developers will refurbish Osborne House in the Haymarket area, which S Harrison acquired in 2018. Work will start on the new hotel early next year.

Big month for Jakarta. Jakarta hotels recorded in November 2023 their highest levels in occupancy and RevPAR since November 2011 and November 2013, respectively, according to CoStar data. Occupancy was 79.8% (+10.9% YOY); ADR was IDR1,030,269.24 (+10.4% YOY); and RevPAR was IDR822,163.52 (+22.5% YOY). Jakarta hosted several events that helped performance last month, including a Coldplay concert and IndoBuildTech Expo.

China inbound bump. China’s DidaTravel reported a 50% week on week increase in hotel sales from six countries to China following China’s recent announcement of the visa exemption scheme for travelers from France, Germany, Italy, the Netherlands, Spain and Malaysia.  Bookings from Spanish travelers for Chinese hotels grew by 100% within a week of the policy being implemented on December 1 compared to the previous week. Italy and Malaysia hotel bookings to China saw an increase of 50% and 67% week on week, respectively.

Accor grows in Croatia. Accor, in cooperation with Croatia-based MPPD as the management partner, will introduce the 193-room Pullman Zagreb in Croatia in Q3 of 2024. The new-build hotel will be managed by Accor in collaboration with MPPD, who is also a partner of Mövenpick Zagreb and upcoming Mövenpick Split. The hotel is part of the larger City Island development, one of the most significant investments in Croatia, stretching across 80,000 sqm of land. When completed, the City Island will accommodate over 15,000 employees and encompass 250,000 sqm of overall space (of which more than half is office space). MPPD said it is planning further hotel development projects in the near future.

CEO for Aman at Sea. Aman has appointed Jonathan Wilson as chief executive officer of Aman at Sea, which will launch in 2027 a luxury motor yacht, developed through a joint venture between Aman and Cruise Saudi. Wilson previously served as vice president, Customer Experience and Innovation, at Hilton Worldwide (2019 – 2021), where he oversaw the product development of 17 hotels. For over 15 years (2000 – 2015), he also held leadership roles with Princess Cruises and Cunard Line. The 600-foot vessel is designed in partnership with SINOT Yacht Architecture & Design and feature 50 luxury suites. In January, Aman Group signed a ship building contract with T.Mariotti S.p.A for Aman at Sea, which is expected to launch in 2027.

Sonder appoints CCO. San Francisco-based hospitality company Sonder Holdings has appointed Tom Bouy as executive vice president and chief commercial officer, effective on December 11. Bouy resigned from Sonder’s board to take the newly created position. He will be responsible for all aspects of revenue generation.

Avid Hotel in Michigan sold. Grand Rapids, Michigan-based Accomplish Commercial Real Estate Holdings and Zeeland, Michigan-based 6PM Hospitality Partners have partnered to acquire the 92-key Avid Hotel in Zeeland for $7.5 million from Jackson, Michigan-based owner-operator Bhogi Patel, who is president of Zeeland Hospitality. The sale was reported in Crain’s Grand Rapids Business and closed on December 7. The hotel first opened in January 2021.

Accor adds in Tajikistan. Paris-based Accor is opening a new Swissôtel on Rudaki Avenue in Dushanbe, Tajikistan, which will be the company’s first project in the country. The 18-story, 243-key hotel is scheduled to open in 2028. Accor signed a cooperation agreement with JSC “Dallmark LTD” for the property.

Another Home2 by Hilton comes to Ohio. A new Home2 by Hilton hotel is being added to the Truepoint development in Hilliard, Ohio. The 115-key hotel will be four stories and is part of a 26-acre, $250 million mixed-use development scheduled to open in late 2025.

Kempinski adding in Bahrain. Geneva-based Kempinski Hotels is adding another hotel to the Kingdom of Bahrain with the 74-key Kempinski Bahrain Harbour and The Residences at Kempinski Bahrain Harbour. The property will occupy one of the three towers that are part of the mixed-use Bahrain Harbour development and is expected to open in late 2025. It will also have 186 Kempinski branded residences spread across the rest of the building.