Latest news: Sternlicht brings back Starwood; MOHG to Puerto Rico; Thompson Denver trades

Sternlicht brings back Starwood. Representatives for Starwood Capital Group have confirmed a report that SH Hotels & Resorts in February will be rebranded as Starwood Hotels, the brand created by Starwood Capital Founder Barry Sternlicht some 30 years ago. Three brands will sit under Starwood Hotels: 1 Hotels, Baccarat and Treehouse, with Sternlicht suggesting the group is working on at least one more brand. The new Starwood Hotels will have a combined 40 hotels open and in its pipeline. Among the notable projects: 1 Hotels in Austin and Seattle, as well as on the Island of Crete. Treehouse hotels are under development in Manchester, England, and Miami. Baccarat hotels are coming to Dubai, the Maldives and Rome. All three brands are expected to open in Riyadh, Saudi Arabia. In 2016, Marriott International acquired Starwood Hotels & Resorts for $13 billion to create the world’s biggest hotel company.

Israel Canada finalizes Brown deal. Israel’s Competition authority has approved the takeover and merger of Brown Hotels by Israel Canada Hotel group for £25 million. As part of the deal, Israel Canada Hotels will pay around £8.6million in cash and assume an additional debt of around £16.6 million to cover Brown’s debts. Brown has 10 hotels in Israel and eight in Greece for a total of some 3,600 rooms, while Israel Canada has 15 hotels.

MOHG heads to Puerto Rico. Mandarin Oriental Hotel Group is set to manage a new luxury resort and branded residences on Puerto Rico’s southwestern coast at Boquerón Bay in Cabo Rojo. The 106-room Mandarin Oriental Esencia, Puerto Rico is expected to open in 2028 and will be the group’s third property in the Caribbean. The project, which includes 83 residential villas, is part of Esencia, a new cosmopolitan coastal community owned and developed by Reuben Brothers and Three Rules Capital. In addition, a series of six-story boutique buildings, nestled into the natural landscape, will house approximately 200 private residences near the town center. Hotel design will be led by architectural firm Studio MK27, São Paulo.

Thompson Denver trades. Colorado-based real estate investor and developer McWhinney has reportedly acquired the 216-room Thompson Denver for an undisclosed price. The property was opened in 2022 by then-owner T2 Hospitality. McWhinney’s hotel portfolio includes the Austin Proper Hotel, the Santa Monica Proper Hotel, the AC Hotel Portland Downtown, and The Elizabeth Hotel in Northern Colorado.

Hyatt to rebrand Andaz Mayakoba. Hyatt Hotels Corp. and RLH Properties will rebrand the Andaz Mayakoba Resort Riviera Maya in Mexico to Alila Mayakoba, marking the Alila brand’s entry into Latin America and the Caribbean. Andaz Mayakoba Resort Riviera Maya is expected to suspend operations on March 2, 2025, and debut as Alila Mayakoba later this year. As part of the transition, the property will reduce the number of guestrooms and increase the suite count to 40% of the total inventory.

Sunstone cuts COO. Sunstone Hotel Investors announced the departure of Chief Operating Officer Chris Ostapovicz as part of a management restructuring effort. The company, currently valued at $2.36 billion, has decided to eliminate the COO position and his responsibilities will be redistributed among the president and chief investment officer, along with other executive team members. The company has not indicated that a new COO will be appointed.

Aman adding residences in Morocco. Aman has announced Aman Residences, Amanjena, just outside Marrakech, Morocco, its first branded residences on the African continent that will sit beside Amanjena resort that opened in 2000. Owners will be able to choose from three villa layouts, ranging from 1530 to 2260 square metres in size, all with private gardens, swimming pools and staff accommodation. Aman Residences, Amanjena is a project co-owned with Moroccan company O Capital Group.

Homewood Carlsbad trades. In late December, Asset Property Management acquired the 145-room Homewood Suites Carlsbad - North San Diego County for $30.95 million ($213,400/key), according to a report from R.W. Baird. Pricing represents 10.5x Hotel EBITDA and an 8.5% NOI cap rate based on TTM metrics. The buyer financed the acquisition with a $21.5 million 10-year CMBS loan with a 7.25% fixed rate, which results in a 12.3% NOI debt yield and 1.7x DSCR. A $4.5 million PIP is scheduled for early this year.

Park rebrands W in Chicago. Park Hotels & Resorts has rebranded the 403-room W Chicago City Center as The Midland Hotel, a Tribute Portfolio Hotel, according to an R.W. Baird report. Pyramid Global Hospitality is now the manager. The property, which opened nearly 100 years ago as the Midland Club and was converted to the W brand in 2001, is undergoing a two-phase renovation (lobby and public spaces then rooms) and will remain part of the Marriott brand family under the new flag.

easyHotel wins loan. U.K.-based easyHotel has secured a £24.5 million loan from Spanish bank CaixaBank to support its development of four new properties in Spain, beginning with Madrid, which is set to open this Spring, followed by Valencia and Barcelona later in 2025, and Alicante in 2026. Together, these hotels will add 361 rooms to easyHotel's owned and leased property network. These properties will reportedly feature low-carbon rooms designed to emit 20% less CO2 over a 50-year lifecycle compared to competitors. This loan follows a £42.5 million loan secured by Santander UK to support easyHotel’s European expansion, alongside an additional £6 million loan from BRED Banque to open a 111-room hotel in Marseille, France.

Mira redevelops in Hong Kong. Mira HK Holdings Ltd., a wholly owned subsidiary of Hong Kong-based Miramar Hotel and Investment Co. Ltd. has acquired the 10-story Champagne Court in Kowloon for HKD3.12 billion from Kinsford International Ltd., an indirect wholly owned subsidiary of Hong Kong-based Henderson Land Development Co. Ltd. The group plans to redevelop the site into a 23-story hotel and commercial complex. Located next to the 492-key The Mira Hong Kong, the new hotel will feature 99 rooms, along with shops, restaurants, and banquet halls.

Sydney redevelopment. Australia-based property developer Billbergia Group is collaborating with Australia-based non-bank leader Metrics Credit Partners to acquire 338 Pitt Street in Sydney from China-based private developer, Han's Holdings Group Ltd., for approximately AUD500 million. The site will be transformed into a mixed-use development featuring luxury apartments, a hotel and retail spaces, with an estimated end value of around AUD3 billion.

Star expands in Australia. Australia-based independent hospitality group Star Management Group Pty Ltd has acquired the 90-key Rydges Mackay Suites in Queensland, Australia, along with the adjoining Mackay Central Retail Centre. Sources suggest the deal is valued at AUD30 million for both properties. This acquisition expands Star Hotel Group’s portfolio to eight hotels, following its purchase of the 192-key Rydges Gold Coast Airport Hotel last year.

Hoshino adds in Hokkaido. Japan-based Hoshino Resorts REIT is set to acquire the 42-key KAI Porto in Hokkaido, Japan, from Japan-based K.K. Shirai Hotel Management for JPY3.06 billion, translating to approximately JPY72.8 million per key. A 20-year lease agreement will be signed between Hoshino and KKSHM, with an annual fixed rent of JPY 72.055 million, along with a floating rent component.