Latest news: Record holiday travel; CBRE forecast; Flynn, Värde buy

Record holiday travel. AAA projects 115.2 million U.S.-based travelers will head 50 miles or more from home over the 10-day year-end holiday travel period, December 23 to January 1. This year’s total number of domestic travelers is a 2.2% increase over last year and the second highest year-end travel forecast since 2000. 2019 remains the busiest Christmas and New Year’s travel period on record with 119 million travelers. AAA expects nearly 104 million people will drive to their holiday destinations, an increase of 1.8% compared to 2022. AAA projects 7.5 million air travelers this holiday season, surpassing 2019’s record of 7.3 million passengers. AAA expects more than 4 million Americans will take alternative transportation during the holidays compared to 3.66 million in 2022 and 3.89 million in 2019.

CBRE’s 2024 forecast. The U.S. hotel industry will face many headwinds to RevPAR growth in 2024, including competition from alternative lodging sources, an economic slowdown, less consumer spending and military conflicts in Europe and the Middle East, according to CBRE’s U.S. Real Estate Market Outlook 2024. On the other hand, the industry could potentially benefit from roughly 4.7 million more overseas visitors if international travel returns to 2019 levels. This influx could eventually boost the overall occupancy rate by 1.2% to a record level. Given the prevailing headwinds, CBRE expects RevPAR growth of just 3% in 2024, supported by a 40-basis-point increase in occupancy and a 2.3% increase in ADR. Urban hotels are expected to outperform in 2024, while airport hotels will benefit from the increase in inbound international travelers. Resort properties are expected to see the slowest growth.

Flynn, Värde buy remaining portfolio stake. As a result of a recent refinancing of nearly $800 million worth of CMBS debt originating in 2018, a partnership between San Francisco-based Flynn Properties and Minneapolis-based Värde Partners reportedly has acquired the remaining 20% ownership stake of a portfolio of 89 select-service and extended-stay hotels in the U.S. from Highgate and Cerberus Capital Management. Flynn and Värde bought the previous 80% last year in a deal valued at $1.1 billion. The JV is now the borrower-sponsor on a three-year, $794 million CMBS loan secured by the portfolio and maturing in December 2026.

PM Hotel Group grows Modus division. Modus Hotels by PM Hotel Group will assume management of the 93-room Waymore’s Guest House & Casual Club in Nashville, Tennessee.

500 for TownePlace Suites. TownePlace Suites by Marriott reached a milestone in its 26th year with its 500th property opening south of Richmond, Virginia. Marriott International said the brand has “hundreds of additional properties in the development pipeline, all within the U.S. and Canada. The 131-room TownePlace Suites Richmond Colonial Heights in Virginia is in the state where the brand debuted its inaugural hotel in 1997.

Curio Collection adds Melbourne. Curio Collection by Hilton has debuted in Melbourne with the addition of the 225-room Next Hotel Melbourne which first opened in 2021. The brand has a global portfolio of 150 hotels.