Today’s news in brief – 29/09/23
The UK hotel sector experienced a seasonal demand slowdown in August, but the decline in room rates was more pronounced due to record rates in July, according to RSM’s Hotels Tracker. Average daily rates (ADR) for occupied rooms dropped from £165.57 (July) to £145.44 (August) in the UK and even further in London, from £256.58 to £208.76. Occupancy rates fell from 83% (July) to 79.6% (August) in the UK and from 85.8% to 80.7% in London. Revenue per available room (RevPAR) also decreased. Despite lower utility costs, gross operating profits for UK hotels fell from 42.4% to 35.9% in August and to 38.7% in London, suggesting rising costs are impacting the sector. Chris Tate, head of hotels at RSM UK, noted that while room rates in August surpassed pre-pandemic levels, profits lagged due to increased costs.
Travelodge has acquired its first Ibis hotel and plans to open its second hotel in Wellingborough and 10th in Northamptonshire. The hotel has been upgraded to a new premium specification, including a fresh look, low-cost efficiencies, and sustainable features. Wellingborough Travelodge offers 78 rooms, an on-site restaurant called The Bar Cafe, and a car park. The move is part of Travelodge’s strategy to acquire and convert mid-market and budget hotels into successful Travelodge properties. This acquisition marks their first Ibis hotel and contributes to their expansion, bringing their hotel network to nearly 600 locations in the UK, Ireland, and Spain.
Manorview Hotels and Leisure Group has acquired The Tarbet Hotel in Arrochar, Argyll and Bute, from Coast and Country Hotels for an undisclosed amount. The historic Tarbet Hotel, located on the shores of Loch Lomond, boasts 68 bedrooms, many with scenic lake views, as well as a restaurant, bar, and multiple lounges often featuring live entertainment. This acquisition aligns with Manorview’s expansion strategy in iconic Scottish destinations, aiming to contribute to the growth of Argyll and Bute’s tourism sector. Manorview expressed its commitment to investing in and enhancing the property in line with its portfolio approach.
Meliá White House, part of Meliá Hotels International, announced the appointment of Jakob Gowin as the general manager of its 4-star deluxe hotel near Regent’s Park. This comes after a recent £40m transformation of the 1930s Grade II listed building. Gowin brings extensive experience from London properties, most recently serving as the general manager at Leonardo Royal London Tower Bridge. In his new role, Gowin expressed excitement about the future of this flagship Meliá hotel following its grand renovation.
Lastly, on this week’s episode of the Checking In Podcast we talked to Dan Sutton, Head of Hotels at Roadchef. He spoke about his unique career journey, from launching Thorpe Park’s first accommodation offering, transitioning from F&B, and the key to Roadchef’s strong relationship with Wyndham Hotels.
