HOSPITALITY TRENDS

Chatham Lodging Trust Acquires Beachside Hilton Garden Inn

chatham lodging trust | March 10, 2022

Chatham Lodging Trust (NYSE: CLDT), a hotel real estate investment trust (REIT) focused on investing in upscale, extended-stay hotels and premium-branded, select-service hotels, announced that the company has acquired the beachside 111-room Hilton Garden Inn Destin Miramar Beach, Fla., in an off-market transaction for $31 million, or approximately $279,000 per room. Recently opened in 2020, the hotel is within walking distance of the pristine white sands of the Gulf of Mexico. The hotel’s location in Miramar Beach is well situated in relation to the thriving Santa Rosa Beach and Destin markets. The acquisition should generate an estimated stabilized NOI yield of 8.0% to 8.5%.


“As discussed on our 2021 year-end conference call, we emerged from the pandemic with a stronger balance sheet, as well as the capacity to make accretive acquisitions in terms of both earnings and asset value This hotel will generate strong cash flow from the outset, represent our third youngest hotel and generate a 2022 RevPAR premium of approximately 50 percent over our current portfolio. Additionally, the hotel diversifies further Chatham’s portfolio by adding a predominantly leisure hotel and also expands our presence in the Sunbelt, which we believe will continue to benefit from population growth. In fact, three out of every four travelers to the Destin area come from the Sunbelt, and many of Destin’s feeder markets, such as Atlanta, Dallas, Nashville and Houston, are experiencing strong population growth.”

-Jeffrey H. Fisher, Chatham’s chief executive officer and president.

The Hilton Garden Inn Destin Miramar Beach is a high-quality hotel with rooms that include a microwave and small refrigerator, 27 of which are enhanced with Gulf-view balconies. The hotel also features an expansive public space that includes a state-of-the-art meeting room and/or event space with approximately 900 square feet, a modern fitness center and a gorgeous bar that uniquely offers over 60 different whiskies and other premium spirits.

Although the hotel will primarily serve leisure travelers, the property sits across the street from the Silver Sands Outlet stores and benefits from corporate demand. The Hilton Garden Inn also receives a strong amount of military demand related to Eglin Air Force Base, the country’s largest air force base and home to 38,000 personnel, as well Hurlburt Field, which employs 8,000 and is home to the Air Force Special Operations Command Center. We are excited to add this great hotel to our portfolio, and we will continue to recycle capital out of older assets into newer hotels with higher growth prospects, Fisher concluded.

Chatham funded the purchase using available cash and borrowings under its credit facility. The hotel will be managed by Island Hospitality Management, which is owned by Fisher.

About Chatham Lodging Trust
Chatham Lodging Trust is a self-advised, publicly traded real estate investment trust focused primarily on investing in upscale, extended-stay hotels and premium-branded, select-service hotels. The company owns 43 hotels with 6,451 rooms/suites in 16 states and the District of Columbia. Additional information about Chatham may be found at chathamlodgingtrust.com.

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Statements about the company's business that are not historical facts are "forward-looking statements." Forward-looking statements are based on current expectations. You should not rely on our forward-looking statements because the matters they describe are subject to known and unknown risks and uncertainties that could cause the company's future results, performance, or achievements to differ significantly from the results, performance, or achievements expressed or implied by such statements. Such risks are set forth under the captions "Item 1A. Risk Factors" and "Forward-Looking Statements" in our annual report on Form 10-K and under the caption "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations" (or similar captions) in our quarterly reports on Form 10-Q, and as described in our other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the dates on which they are made, and the company undertakes no obligation to update publicly or revise any guidance or other forward-looking statement, whether as a result of new information, future developments, or otherwise, unless required by law.

Spotlight

Despite significant advances in online conferencing and other exciting technologies such as virtual reality, business travel remains a fundamental, accepted part of modern business life. As the focus for many multinational companies has become regional, if not global, travel is seen as a primary business development tool and a core driver of new business growth.


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COMMERCIAL TRAVEL

Fareportal Shares Holiday Season Good Works to Encourage Giving

Fareportal | December 24, 2021

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HOSPITALITY TRENDS

Hyatt Announces Plans for Two New UK Hotels With Hyatt Regency London Stratford & Hyatt House London Stratford

Hyatt | January 21, 2022

announced that a Hyatt affiliate has entered into management agreements with Stratford City Hotels Limited, a wholly owned subsidiary of M&L Hospitality, for Hyatt Regency London Stratford and Hyatt House London Stratford. The 225-room Hyatt Regency London Stratford and the 127-room Hyatt House London Stratford are expected to open in Q2 2022 following an extensive refurbishment. Both hotels will be conveniently located within one of Europe’s largest urban shopping and entertainment complexes, Westfield Stratford City, and a short walk to Stratford Station.The addition of these two hotels will be another exciting step in growing Hyatt’s brand presence in the United Kingdom and in creating a network of hotels across the key commercial and leisure markets in the country,” said Felicity Black Roberts, vice president of development Europe, Hyatt. “We worked closely with M&L Hospitality to choose the right brands for the location and are pleased to be continuing our relationship with them following the successful openings of Hyatt Regency Manchester and Hyatt House Manchester in 2019. Designed with productivity in mind, Hyatt Regency London Stratford will offer business and leisure travelers alike a stress-free and seamless environment to stay connected. Guests can enjoy 6,673 square feet (628 square meters) of meeting space, along with a spacious restaurant, bar and an open-air terrace. Hyatt House London Stratford will provide guests with modern, apartment-style suites with fully equipped kitchens and flexible workspaces, designed to make them feel at home, especially during extended stays. The hotels are located close to Stratford Station, one of the UK’s busiest train stations, giving guests swift access to Central London in only seven minutes. Stratford International Station connects guests to St Pancras International Station and transfers to the Eurostar train, which provides services to Paris, Brussels, Rotterdam and Amsterdam. The properties will also be easily accessible to Heathrow International Airport via the new Queen Elizabeth Crossrail line due to open mid 2022, which will offer services to Stratford in approximately 45 minutes. 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As of September 30, 2021, Hyatt’s portfolio included more than 1,000 hotel and all-inclusive properties in 69 countries across six continents, and the acquisition of Apple Leisure Group added 96 properties in 10 countries as of November 1, 2021. Hyatt’s offerings include the Park Hyatt®, Miraval®, Grand Hyatt®, Alila®, Andaz®, The Unbound Collection by Hyatt®, Destination by Hyatt™, Hyatt Regency®, Hyatt®, Hyatt Ziva™, Hyatt Zilara™, Thompson Hotels®, Hyatt Centric®, Caption by Hyatt, JdV by Hyatt™, Hyatt House®, Hyatt Place®, UrCove, and Hyatt Residence Club® brands, as well as resort and hotel brands under the AMR™ Collection, including Secrets® Resorts & Spas, Dreams® Resorts & Spas, Breathless® Resorts & Spas, Zoëtry® Wellness & Spa Resorts, Alua® Hotels & Resorts, and Sunscape® Resorts & Spas. 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HOSPITALITY TRENDS

Placemakr Announces New Pop-Up Hotel in Virginia

Placemakr | May 12, 2022

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TRAVEL TECHNOLOGY,AIRLINES AND AIRPORTS

Cirium Moves Towards Becoming the Standard for Airline CO2 Emissions Reporting

Cirium | June 21, 2022

Cirium, the aviation analytics company, has developed an advanced methodology to provide a standard and accurate picture of CO2 emissions and fuel burn calculations per flight and aircraft seat.Jeremy Bowen, CEO at Cirium said: “The level of precision and accuracy of Cirium’s CO2 emissions calculations far exceeds estimates generally available today.” American Airlines and Virgin Atlantic Airways each have independently commended Cirium for the superior approach and accuracy of Cirium’s fuel burn estimations through their own extensive analysis. “Virgin Atlantic operates one of the youngest and most fuel-efficient fleets across the Atlantic. Accurate measuring, monitoring, and forecasting of CO2 emissions is critical as we target and monitor progress to Net Zero 2050, allowing us to better understand our environmental impact. Importantly, it also provides a tool to empower our customers to track and choose airlines with the lowest carbon footprint. Cirium is leading the way in this field, building data and forecasting capabilities that are the most accurate we have seen to date, as verified against our own historical fuel burn and emissions data.” -Holly Boyd-Boland, Vice President, Corporate Development at Virgin Atlantic Jill Blickstein, Head of ESG, at American Airlines said: To reduce our emissions and reach Net Zero by 2050, we’re taking action to run a more fuel-efficient operation with more fuel-efficient aircraft powered increasingly by low-carbon fuel. And we’re holding ourselves accountable by becoming the first airline in the world with a 2035 target validated by the Science Based Targets initiative. Reducing aviation’s emissions will require partnership among the airlines, our suppliers and our customers – and it’s important to build those partnerships on sound emissions data and calculations. Cirium brings deep aviation expertise to the table on this important topic, and the approach they’ve taken considers numerous variables of an aircraft and its operations. Cirium has fused numerous data elements including but not limited to, aircraft and engine specifications, airline schedules, and actual flight operations to create a holistic view of the actual emissions footprint. This enables Cirium clients to view the emissions by operator, aircraft type or geographical region and on a historical, or predictive basis, solving a variety of use cases. Our mission is to establish the standard for accurate fuel burn and carbon emissions data to empower the aviation industry to deliver on its sustainability targets. For the industry to achieve their goals of halving CO2 emissions by 2050 compared with 2005, a clear methodology is needed,” said Bowen. “We are thrilled to have our model corroborated by leading carriers around the globe. The emissions data can also be merged with passenger booking information to provide corporations with their carbon footprint. This enables corporations to gain more insight into their emissions and uncover where opportunities exist to reduce their emissions, and help travelers understand their own carbon footprint associated with the flights they choose. Cirium’s unrivaled emissions data is being used by leading corporate travel departments, including organizations such as Zurich Insurance, a global insurance firm. Zurich is using Cirium’s calculations to measure their corporate travel emissions, explore opportunities to reduce emissions, and empower their employees to make better travel decisions. Kara Brayton, Assistant Vice President, Head of Corporate Travel Management at Zurich said: “It’s been exciting to collaborate with Cirium under a proof-of-concept, utilizing data to help provide Zurich with insight to better inform our employees around the carbon impact of their decisions when booking airfare.” “With travel being such a large category of emissions, these types of relationships are key to leading sustainable business travel programs of the future. I am thankful for Cirium’s willingness to engage and explore a personalized solution with us.” Cirium’s CO2 emissions calculations are being made available through existing products in Cirium’s portfolio and in new products, to meet the evolving market needs. About Cirium Cirium brings together powerful data and analytics to keep the world moving. Delivering insight, built from decades of experience in the sector, enabling travel companies, aircraft manufacturers, airports, airlines and financial institutions, among others, to make logical and informed decisions which shape the future of travel, growing revenues and enhancing customer experiences. Cirium is part of RELX, a global provider of information-based analytics and decision tools for professional and business customers. The shares of RELX PLC are traded on the London, Amsterdam and New York Stock Exchanges using the following ticker symbols: London: REL; Amsterdam: REN; New York: RELX.

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Spotlight

Despite significant advances in online conferencing and other exciting technologies such as virtual reality, business travel remains a fundamental, accepted part of modern business life. As the focus for many multinational companies has become regional, if not global, travel is seen as a primary business development tool and a core driver of new business growth.

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