Development, M&A, and Performance News in the Hotel Industry

LVMH, the Paris-based luxury conglomerate, is reportedly in talks to acquire the iconic Hotel Bauer in Venice, Italy. The hotel, known for its stunning views of the city’s canals, is currently on the market for €275 million. LVMH, which already owns the prestigious Hotel Cipriani in Venice, is looking to expand its presence in the city with this potential acquisition.

In other news, Hogwarts Capital, based in Garden City, New York, has acquired the U Hotel in New York City from Chinese developer Fantasia Holdings Group for $30 million. This acquisition marks a strategic move for Hogwarts Capital as it looks to strengthen its portfolio in the competitive New York City market.

Meanwhile, Braemar Hotels & Resorts has reached an agreement with activist investor Blackwells Capital LLC to end a proxy fight for positions on its board. The agreement will see Blackwells withdrawing its board nominations and proposals in exchange for purchasing 3.5 million shares of Braemar’s stock. This development signals a positive resolution for both parties involved.

On the performance front, the U.S. hotel industry saw an uptick in performance metrics for the week of June 23-29, with occupancy, ADR, and RevPAR all showing positive year-over-year comparisons. Minneapolis emerged as a standout market with significant increases in all key performance metrics, thanks to events like the U.S. Olympic Gymnastics Trials and the Twin Cities Pride Parade.

In the international arena, KAJ Hospitality has acquired two properties in Fargo, North Dakota, adding to its growing portfolio in the Midwest. The company now manages a total of 17 properties across various hotel brands in the region.

Additionally, Ascott Ltd. has partnered with S Hotels & Resorts to expand its presence in the U.K., introducing Ascott’s brands to key cities in the country. This collaboration marks a significant step for both companies as they aim to capitalize on the growing hospitality market in Europe.

Overall, the hotel industry continues to see dynamic developments and strategic moves as key players navigate the evolving landscape of the global hospitality sector.