Market Trends

🏡 OYO, under Oravel Stays Ltd, has signed lease agreements for six former Mercure hotels in the UK, expanding its upscale Sunday brand. The properties are located in Cardiff, Warwick, Dorking, Staines, Exeter, and Winchester, following the Lansbury Heritage Hotel opening in Canary Wharf in September 2024. The Sunday brand was introduced in 2023. These properties are expected to draw 65,000 international guests annually, with over 30% of bookings from overseas. OYO operates around 200 properties across 65 UK cities and aims to grow the Sunday brand to 25 properties worldwide by spring 2025. The company saw a 15% revenue increase in 2024.

🏩 On May 3, 2025, Dr. Michelle Ulor, founder of Kinos Studio, and Clay Bassford, founder of Bespoke Sound, discuss the impact of sound design in hotels. Ulor leads a research-led music psychology consultancy, while Bassford's company specializes in creating custom soundscapes for hospitality venues. The conversation is part of a Hospitality Daily Podcast episode, focusing on sound design as a potentially underrated aspect of hotel ambiance and guest experience.

🏠 Anthropologie collaborates with Hotel Anna & Bell to launch a suite in Philadelphia's Fishtown. The 950-square-foot Anna Suite boasts two bedrooms, two bathrooms, and 360-degree views. It features Anthropologie's furniture and decor, fully shoppable via QR code. The boutique hotel, opened by Foyer Project in August 2024, is the first full-service property in Fishtown, built on historic grounds. The suite's design includes vintage-inspired elements and is the sole room on the fourth floor, with private staircase access.

📌 Wyndham Hotels & Resorts' CEO Geoff Ballotti referenced past crises to illustrate the company's resilience during their Q1 earnings call. Despite a 2% to 1% downward RevPAR guidance for 2025, Wyndham's global RevPAR grew 2% in Q1, though it fell 8% in China. The company is less affected by international travel, with less than 3% of U.S. bookings from abroad. Wyndham's domestic focus is on driving markets, with 90% of their footprint and consistent booking patterns. Adjusted EBITDA rose 9%, the global system expanded by 4%, and the hotel pipeline increased by 5% to 2,143 hotels. New construction is normalizing, now representing nearly a third of openings. Ballotti highlighted domestic sourcing to mitigate tariff impacts and the relevance of infrastructure projects to their business.

📌 Crestline Hotels & Resorts LLC has taken management of the AC Hotel Seattle Downtown, which opened less than a year ago and features 200 guestrooms. Located near tech giants like Amazon, Meta, Google, and major landmarks such as the Space Needle, this hotel offers amenities like complimentary high-speed internet, in-room coffee makers, and an onsite fitness center. The property has three event rooms and offers European-style breakfast and evening tapas. The 11-story building was developed by Nexera Capital.

🏨 In April 2025, the U.S. experienced robust hotel openings, while Europe concentrated on renovations to maintain competitiveness. South Asia, particularly India, witnessed a surge in hotel signings due to a 5.47% increase in international tourist arrivals since 2019, reaching 18.89 million. This growth is fueled by a burgeoning middle class and rising business travel, positioning the region as a key player in global tourism. However, U.S. hotel industry faces uncertainty with potential political shifts affecting inbound tourism and foreign investment.

🏡 Sonesta International Hotels Corporation extended its Master Franchise Agreement with GHL Hoteles until 2034, strengthening its expansion in Latin America covering Peru, Colombia, Ecuador, Chile, and Argentina. Sonesta's growth in the region began with the Sonesta Hotel El Olivar in Lima in 1998. GHL Hoteles manages 63 hotels across nine countries and currently has 14 Sonesta hotels. Sonesta Hotel Miraflores is set to open in Lima in summer 2025. GHL, supported by Advent International, operates over 7,600 hotel rooms.

💰 Motel One Group's turnover in 2024 hit a record EUR 980 million, up 15% from EUR 851.5 million in 2023. EBITDAR rose 14% to EUR 532 million with a 54.3% margin, and Management EBITDA increased 13% to EUR 265 million. Five new hotels added 1,458 rooms, with The Cloud One Hotels opening in Düsseldorf and Gdańsk, and a Motel One in Antwerp. Average occupancy was 71%, reaching 74% in Q4 2024 with a TRevPAR of EUR 102. For 2025, five more hotels will open in Munich, London, Lisbon, Paris, and Vienna, adding 1,140 rooms. PAI Partners' acquisition of an 80% stake will be completed in Q2 2025, supporting further international expansion.