News briefs: Soft Q3 in US; Hilton takes Trump Waikiki; big trade coming in Egypt

Soft third quarter in US. CBRE Hotels reported U.S. performance data for the third quarter that include a 0.5% year-over-year decrease in demand and 0.5% increase in supply that led to a 1% drop in occupancy. It said ADR increased 0.6% during the quarter, the slowest improvement since the pandemic recovery began 10 quarters ago. RevPAR decreased 0.3%. It said competition from cruise lines and increased outbound international travel hurt demand and pricing power during the quarter. Hotel wage growth of 4.7% in September outpaced the national average of 4.3% but was down from 7% at year-end 2022. Total room nights sold decreased 0.5% year-over-year, driven by a 1.4% decrease in OTA demand. GDS demand grew the most at 6.3%.

Hilton taking management of Trump Waikiki. Real estate firm Irongate has announced plans to transform the Trump International Hotel, Waikiki in Hawaii to the Wākea Waikiki Beach under the management of Hilton’s LXR Hotels & Resorts in February 2024. The 38-story property with 462 rooms, which first opened its doors in 2009, will embark on a renovation led by Bryan O’Sullivan Studio scheduled to start in early 2025 and slated to take place over several months. As part of the transformation, the current hotel management team will remain with Wākea Waikiki Beach and join LXR Hotels & Resorts.

Hilton adds Monaco. Hilton has signed a franchise agreement with Groupe Bertout to open the Columbus Hotel Monte-Carlo, Curio Collection by Hilton in the Principality of Monaco. Marking Hilton’s debut in Monaco, the boutique lifestyle, 181-guest room hotel is expected to rebrand before the end of the year.

Egyptian trophies trading. The Sovereign Fund of Egypt will sell seven hotels by the end of the year, according to a Reuters report. The buyer has not yet been disclosed, but the properties include historic properties such as the Cataract in Aswan, the Winter in Luxor, the Mena House in Cairo and the Cecil in Alexandria, all built in the late 19th or early 20th centuries. A spokesperson for the fund said that hospitality assets in the country are gaining traction with investors and is one area in which the government is trying to boost private sector participation and raise revenue. “We thrive on creating those partnerships with the private sector to take leadership and transform state-owned enterprises,” the spokesperson said.

Marriott declares dividend. Marriott International has declared a quarterly cash dividend of 52 cents per share of common stock. The company also announced that its board has increased the authorization to repurchase Class A common stock by an additional 25 million shares, which are in addition to the approximately 7.3 million shares that remained available as of October 31, 2023 for repurchase under prior authorizations. Year-to-date through October 31, Marriott has repurchased 18.3 million shares for $3.3 billion.

Hilton authorizes share repurchase. The Board of Directors of Hilton Worldwide Holdings Inc. authorized the repurchase of an additional $3 billion of common stock under the company's existing stock repurchase program, bringing the total amount currently authorized for future repurchases to approximately $4.2 billion.