From the desks of the Hotel News Now editorial staff:
- Wynn stocks tanked after reports of sexual misconduct
- Hoteliers seeking profitability cope with labor, tech
- Hotel tax might increase in San Francisco
- Data looks at strengths, risks for hotels in 2018
- Sweden has a hotel floating on a river
Wynn stocks tanked after reports of sexual misconduct: After allegations of sexual misconduct by dozens of former Wynn Resorts employees against CEO Steve Wynn were reported by The Wall Street Journal, the company’s stock value plunged more than 10% on Friday, Forbes reports.
Wynn Resorts saw market cap drop by more than $2 billion after the story came out. Wynn is the largest shareholder in the company with a 12% stake, and “the tumble shed nearly $250 million in his net worth,” according to Forbes.
Wynn has denied all allegations. He also stepped down as the financial chairman of the Republican National Committee, NPR reports.
Hoteliers seeking profitability cope with labor, tech: Hoteliers strive to create a profitable bottom line, but rising labor costs, new technology investments and other factors may create obstacles to doing so, HNN’s Bryan Wroten reports.
Hoteliers on a panel at the recent Americas Lodging Investment Summit shared their tips and tricks for overcoming these obstacles to run a profitable hotel.
James Carroll, president and CEO of Crestline Hotels & Resorts noted labor is always top of mind when it comes to costs.
“How much more can we pay our employees … so that at the end of the day, you’re actually saving more money versus the cost of multiple transitions?” he asked.
Hotel tax might increase in San Francisco: San Francisco city officials are considering a floating ballot measure which, if passed by voters, would raise the city’s hotel tax above its current 10%, The Daily Journal reports.
City Manager Mike Futrell said the proposed increase might be necessary to help “offset the cost of public service calls to the city’s 30 hotels,” and that the increase would be the first of its kind in approximately 10 years.
If the rate hike is approved, it will range between 2% to 4%, the newspaper reports.
Data looks at strengths, risks for hotels in 2018: Hotel & Leisure Advisors Senior Associate John Burke took a look at some factors that could strengthen hotels this year, and at some of the factors that are potential threats to the industry.
Record occupancy and increases in gross operating profit, as well as low interest rates and a robust development pipeline, are expected to bode well for the industry in 2018, Burke writes. Meanwhile, the proliferation of new brands has the potential to be both good and bad for the industry.
Sweden has a hotel floating on a river: A new floating resort is coming to Sweden on the Lule River in the Scandinavian north, CNN reports.
The floating resort, named ArcticBath, will feature “25-square-meter hotel rooms alongside saunas, a cold plunge pool, spa treatment rooms, a restaurant and bar and the central open-air bath,” the article states.
Compiled by Danielle Hess.