From the desks of the Hotel News Now editorial staff:
- Park to buy Chesapeake Lodging Trust for $2.7 billion
- How Marriott measures success with Homes & Villas
- Trump threatens China with more tariffs
- Tel-Aviv hotels cut rates around Eurovision contest
- How hotel minibars have evolved
Park to buy Chesapeake Lodging Trust for $2.7 billion: Park Hotels & Resorts and Chesapeake Lodging Trust announced that the companies have entered a definitive merger agreement in which Park would buy Chesapeake in a cash-and-stock transaction for $2.7 billion, according to a news release.
Park’s board of directors and Chesapeake’s board of trustees have approved the transaction. Chesapeake will get $11 in cash and 0.628 of a share in Park common stock for each Chesapeake share under the terms of the deal.
“Upon completion of the merger, the combined company will have an estimated enterprise value of $12 billion, firmly solidifying Park’s position as the second-largest lodging REIT while also advancing the Company’s strategic goals of portfolio enhancement and diversification,” the release states.
How Marriott measures success with Homes & Villas: Marriott International is expanding into the home-sharing space with the launch of its Homes & Villas platform, and is counting on loyalty members to measure the success of the offering, HNN’s Bryan Wroten writes.
Jennifer Hsieh, VP of Homes & Villas, said in a 2018 study, 25% of Marriott Bonvoy members said they had stayed in a home-rental unit within the past year, and that number has grown.
The new home-sharing platform is filling a gap in the market, which was determined by consumers’ satisfaction with Marriott’s 2018 Tribute Portfolio Homes pilot program. Marriott will grow the number of rental offerings on the Homes & Villas platform based on where consumers want to go, Hsieh said.
Trump threatens China with more tariffs: President Donald Trump threatened to ramp up U.S. tariffs on Chinese imports via Twitter, The Wall Street Journal reports.
Trump tweeted Sunday that “he planned to raise levies on $200 billion in Chinese imports to 25% starting Friday, from 10% currently,” the news outlet reports.
Trump also said he had plans to impose 25% tariffs on $335 billion in Chinese goods not yet taxed.
Chad Bown, senior fellow at the Peterson Institute for International Economics, told the news outlet there’s a chance these are just threats from the president.
“If they announce a deal later this week, it will make it appear as if he acted as tough as possible to get the deal,” he said.
Tel-Aviv hotels cut rates around Eurovision contest: Hotels in Tel-Aviv have not seen cancellations for the Eurovision Song Contest as a result of Gaza’s attack on southern Israel, but hotels in the area have cut prices because of tourism forecasts showing less than 10,000 fans coming for the event, Haaretz reports.
Israel’s Public Security and Strategic Affairs Minister Gilad Erdan warned nine days before Eurovision was due to start that “the government would not make concessions to Hamas to wind down the fighting,” the news outlet reports.
“Cultural events should not be a consideration when it comes to the strength of our retaliation,” he said, calling on increasing the assault on Gaza “until there is quiet and return to targeted assassinations.”
How hotel minibars have evolved: Some hotels have done away with minibars while others have evolved their offerings, Forbes reports.
Upscale hotels have redesigned minibars to make them more of a focal point in the guestroom and have added “creative cocktails and gourmet treats with local flavor,” according to the news outlet.
One example of this is the Nautilus by Arlo hotel in Miami, Florida, which houses the minibar in oversized chests that look like steamer trunks with brass clasps and leather strips in guestrooms.
Compiled by Danielle Hess.