Today’s news in brief – 9/1/23
In November 2023, UK hotels recorded a 76.8% occupancy rate and an average daily rate of £146.76, surpassing 2022 figures but declining from October’s 79.2% occupancy and £150.70 ADR. London experienced a drop from 81.9% to 80.8% occupancy and £228.04 to £223.87 ADR. Nationally, revenue per available room (REVPAR) decreased from £119.25 to £112.77, while London saw a decline from £186.73 to £180.81. Despite this, year-over-year REVPAR increased by 7.7% (UK) and 7.1% (London), outpacing inflation. Gross operating profits fell slightly in the UK, from 37.1% to 35.2%, and remained stable in London at 42%. The hotel sector performed well in November, benefiting from early festive celebrations and corporate Christmas parties, with expected positive impacts on December results. Amid economic challenges, consumers prioritise experiences like hotels over retail goods, and while the first six months of the year may be tough, a brighter outlook is anticipated in the second half.
Bespoke Hotels, a collection of nearly 90 independent hotels in the UK, announced plans for 2024 to strengthen its portfolio. It includes the opening of Bailiffgate Hotel in Alnwick, Lumley Castle Hotel’s full takeover with a soft refurbishment, collaboration with Biarritz Hôtel in Jersey for a full refurbishment programme, and the openings of Hotel Gotham Newcastle and Hotel Gotham Bristol in winter 2024/25. Construction will also commence at Noss on Dart Marina, Dartmouth, with the hotel opening in 2025. The expansion aims to solidify Bespoke Hotels’ position as the UK’s largest independent hotel group.
Dabton House, a new luxury hotel in Dumfries and Galloway, reported a successful four months since its August 2023 opening. The venue, recognized as a must-visit destination, attributed its success to the South of Scotland’s appeal, marked as one of Lonely Planet’s ‘Best in Travel destinations for 2023′ and Rough Guides’ ‘Must Visit Destinations for 2024.’
Klarent Hospitality appointed Joe Green as the managing director of transactions, tasked with leading the company’s growth plan across the UK and Europe. Green, previously at CBRE and Amaris Hospitality, will focus on finding new investment opportunities to enhance value and returns for the owners. Klarent Hospitality aims to expand its portfolio and establish itself as a leading hotel franchise partner, capitalising on the positive signs of recovery in the UK and European hotel market in 2023.
