Wyndham Positioned for International Expansion in 2022
Wyndham plans to accelerate its recovery with a wave of international openings this year. The uncertain factor is whether investors want it, given that the company’s resilience during the pandemic stems from domestic travel demand.
Here’s a sampling of what the Daily Lodging Report provided its readers with last week. If you’re not a subscriber, you should be. Do not wait. Register now here.
Sunday February 20
DiamondRock Hospitality announced slightly better than expected results in the 4th quarter. HRD said 2022 started with January revenues down -23% from 2019 levels, but ADR was again the highlight, up 20% from January 2019.
Park Hotels announced stronger than expected fourth quarter results. PK also said an amendment to the credit facility should allow for covenant relief, share buybacks, more asset sales and they would also restart a modest dividend soon.
Following its merger in 2021, Reference pyramid ended the year well positioned for future growth. The combined company added nine hotels and resorts to its portfolio in the last two months of 2021, bringing its total to more than 240 properties in the United States, Europe and the Caribbean. Benchmark Pyramid’s recent additions over the past three months span the US and UK and total over 2,800 keys. Among the most notable is the management of the La Quinta Resort and Club in the California market of Palm Springs. Other significant additions include two hotels in Florida, Pullman Miami Airport and Marriott Fort Lauderdale North; two hotels near the Oklahoma State University campus; Home2 Suites Stillwater and Best Western Plus Cimarron Hotel & Suites; the brand new Residence Inn Berkeley; and Marriott Cleveland Downtown at Key Tower. In the UK, two city center hotels have joined the Benchmark Pyramid portfolio: the Macdonald Holyrood Hotel in Edinburgh and the Macdonald Manchester Hotel.
Skift Note: Hospitality ownership and management has followed the general industry trend that 2021 has shaped as a financial turning point since the pandemic.
Monday February 21
Singaporethe $4.5 billion expansion of Resorts World Sentosa will begin in the second quarter of the year with an initial investment of $400 million. The first phase involves expanding Universal Studios Singapore and the SEA Aquarium, and renovating three hotels and the Resorts World Convention Center in anticipation of a recovery in the tourism and hospitality sectors. Hotels include Hard Rock Hotel Singapore, Hotel Michael and Festive Hotel. The hotels are set to undergo renovations in phases, from the second quarter of 2022 to 2023. This will begin with the expansion of Universal Studios Singapore which will include a new themed area – Minion Land – and the renaming of the SEA Aquarium in Singapore. Oceanarium. Singapore has announced plans to speed up its reopening process, as have Japan and just about every Asian country except China.
Skift Note: Singapore’s faster reopening than Macau must leave some wondering if it’s time to diversify Asia-Pacific gaming resort portfolios beyond China’s go-to gaming region.
Tuesday February 22
Soho House members will have accommodation in West Hollywood after the March 28 opening of Holloway House. Located on the former location of the Palihouse Hotel, the establishment will have 34 rooms overlooking a light-filled garden bar. The new space will include a members’ studio, a cave-style restaurant, and a rooftop with a tropical garden and daybeds. Hotel marks Soho House’s fifth property in Los Angeles
Skift Note: Five Soho Houses in the same city won’t do much to deter critics, this is a brand that sacrifices freshness and exclusivity in favor of scale.
Wednesday February 23
Wyndham Hotels and Resorts said they continued to expand in Europe, the Middle East, Eurasia and Africa with a number of recent hotel launches and a strong lineup of openings expected in 2022. In 2021, Wyndham achieved nearly 70 new hotel signings in the EMEA region as well as new openings. They added 12 resorts in Europe, bolstering its footprint of over 300 hotels. The European growth trajectory included major openings in key cities, the expansion of high-end Dolce Hotels and Resorts by Wyndham brand in Denmark and the launch of Brand Collection by Wyndham thanks to more conversions in Budapest, Bucharest, Thessaloniki, Brussels, Manchester and Sheffield. Wyndham now has nearly 90 hotels in Turkey, cementing its position as the largest international hotel company by number of properties. In India, Wyndham reached its 50and hotel brand with new openings in Jaipur, Varanasi, Mohali and Udaipur under the Ramadan, Howard Johnson of Wyndham and the upscale brand Wyndham. They have a development pipeline in India of around 30 hotels with eight expected to open in 2022 alone. In the Middle East, Wyndham brought more accommodations to Dubai with more openings under the Howard Johnson, the Ramada as well as the The fifth and day hostel by the Wyndham brands, both of which were launched in the market for the first time in 2021. Wyndham strengthened its leisure offer in Oman with the launch of Wyndham Garden Salalah Mirbat. Other highlights in EMEA include the continued expansion of the Ramada by Wyndham brand with an additional 18 new hotels in the region.
Skift Note: Wyndham’s rapid rise into more international markets is one to watch, as the nationwide mix of affordable hotels and drive-in hotels is what has brought the company back to pre-war performance levels. pandemic ahead of many of its competitors.
Thursday February 24
Apollo Global Management, Inc. announced that funds managed by its affiliates have completed the acquisition of the businesses of The Venetian Resort Las Vegas (Venetian/Palazzo) and the Venetian Expo in Las Vegas by Las Vegas Sands Corp. for about $2.25 billion. The Venetian comprises three luxury hotel towers featuring more than 7,000 fully-equipped guest rooms, 225,000 square feet of gaming space and 2.3 million square feet of meeting space. The MSG Sphere at The Venetian is being developed by Madison Square Garden Entertainment Corp. and will connect directly to the Venetian via a pedestrian bridge. As previously announced, concurrent with the closing of the transaction, Apollo Funds entered into a long-term triple net lease agreement for The Venetian with VICI propertieswhich has completed its purchase of the land and associated real estate assets of The Venetian Resort LV, Las Vegas Sands for $4.0 billion.
Skift Note: Las Vegas Sands is officially off the Las Vegas Strip with the closed $6.25 billion deal with Venetian and Venetian Expo that was first announced last year.