Latest news: Dispute over NYC Margaritaville; sale in Charleston; first Ruby in Berlin

Dispute over NYC Margaritaville. South Korea-based Global One Asset Management is asking a New York court for hotel developer Sharif El-Gamal and his partners, who own the New York City Margaritaville in Midtown, to pay the company $94 million. El-Gamal and the developers lost the property in a 2023 foreclosure suit, but the property remains open. According to a report in Bisnow, Global One seeks to recoup the $86 million it contributed to the project through a pair of mezzanine loans written in 2019, plus interest on the loans and legal fees. This is the second time Global One has tried to collect the money, as a previous try failed on a technicality.

AFG sells in Charleston. Cincinnati-based American Financial Group, Inc. (AFG), through a wholly owned subsidiary of AFG, has reached agreements to sell the hotel and related assets and the marina comprising Charleston Harbor Resort & Marina, a resort property and marina in Charleston, South Carolina, to an undisclosed buyer for an undisclosed amount. The transaction is expected to close in the second or third quarter and AFG expects to recognize a net, after-tax, of approximately $100 million. Charleston Harbor includes two full-service hotels, a 459-slip marina, a full-service restaurant, a retail store and other resort amenities. AFG first purchased what became known as Charleston Harbor Resort & Marina in 2002 and has made significant improvements to the development.

IHG introducing Ruby to Berlin. IHG Hotels & Resorts is partnering with Zug, Switzerland-based real-estate investment firm Empira Group to sign its first Ruby Hotels property since its acquisition of the brand last February. The 375-room Ruby Hotel in Berlin will be the first for the brand in the city and is expected to open in early 2028. IHG has a growing portfolio in Germany, where it currently operates 147 open hotels with 75 in development. The Ruby Group will operate the hotel.

Blue Orchid adaptive reuse in London. London-based Blue Orchid Hospitality, part of the Integrity International Group, is converting an office building called Atlas House into a 104-key upscale boutique hotel in London’s financial district. It was built in 1836 and is one of the relatively few pre-Victorian buildings still standing in the city. Integrity purchased Atlas House in February 2024 for a reported £34.55 million from Houston-based Hines.

UK/Ireland occupancy at 2019 levels. Among European countries, the U.K. and Ireland have achieved hotel occupancy indices at or above 100% of pre-pandemic levels, according to the latest data from CoStar.  Through February, Ireland has a running 12-month occupancy that was 102% of the 2019 comparable, while the U.K. was Kingdom at 100%. Spain, Italy and Greece are not far behind, with Spain, Italy, and Greece all posting hotel occupancy at 99% of what was seen in 2019. Overall, hotel performance levels have been on a rise around most of the world. For the three months ending with February, Europe occupancy was at 60%, which was 2% higher year-over-year, ADR was US$137 on a constant currency basis, a gain of 3% YOY.  The Middle East was at 77% (+2%) and US$205 (+4%). The Northern Africa region demonstrated the highest growth rates with levels at 59% (+11%) and US$127 (+37%). Sub-Saharan Africa lost occupancy (57%, -2%) but still grew ADR (US$164, +11%).

HBS acquires in Kentucky. Danville, California-based HBS Investment Group has acquired the 112-key Hilton Garden Inn Louisville East in Kentucky from an institutional seller for an undisclosed amount. Hunter Hotel Advisors brokered the sale. 

Hyatt adds in Toronto. Hyatt Hotels Corp. is partnering with Princes Gates Hotel Ltd. Partnership to bring the 404-key Hotel X Toronto to the Destination by Hyatt brand, marking the brand’s entrance into Canada. In the last 10 years, Hyatt has quintupled its brand presence in Canada.

Dimension adds in Alabama. Fort Lauderdale, Florida-based Dimension Hospitality is adding the 86-key Homewood Suites by Hilton Mobile Airport-University to its management portfolio. Dimension has a portfolio of nearly 70 full- and select-service hotels and resorts across the U.S.

Dominus adds management platform. London-based Investment firm Dominus, which oversees five U.K. hotels and four in development, has launched a new hotel management platform to grow annual revenue from its hotels to more than £100 million by 2026. Since 2011, Dominus has developed 15 hotels, totaling more than 4,000 keys, and has retained ownership of five.

Boutique hotels getting higher ADR. Boutique hotels got a higher ADR than most comparable class U.S. hotels in 2024, according to a report from The Highland Group. The report said that while all boutique segments have slowed in rate growth over the past two years, they have also achieved their highest rates during that time. Most segments finished 2024 with higher average rates than same-class U.S. hotels, some by a large margin, such as luxury indie boutiques. The vast majority of boutique hotel segments have also experienced similar annual demand growth compared to supply growth over the past seven years indicating healthy absorption and stability.

Polaris adds in Japan. Tokyo-based Polaris Holdings Co., Ltd., through its subsidiary, Fino Hotels Co. Ltd., has signed a management agreement to operate a new upscale limited-service hotel in Kyoto, Japan. The hotel will add to Polaris’s existing portfolio in Kyoto and is part of its broader strategy to increase operational efficiency and pursue new business opportunities.

Radisson adds 4 in Norway. Radisson Hotel Group is partnering with Magic Norway AS to sign four new conversion properties and 519 guest rooms in Bergen, Norway. Two of the properties will be Radisson Individuals hotels and the other two will be under the Prize by Radisson brand. All four properties are scheduled to open in the coming months.