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EXTENDED-STAY ROOM SUPPLY increased by 1.8 percent in February due to it being a leap year, consistent with the average monthly increase observed over the last two years, according to The Highland Group. February marked 29 consecutive months of 4 percent or less supply growth. Additionally, the change in supply has remained below 2 percent for more than two years, with both metrics significantly falling below the long-term average. The 18.8 percent surge in economy extended-stay supply, along with a modest increase in mid-price segment rooms, is largely attributed to conversions, The Highland Group said. Meanwhile, new construction in the economy segment is estimated at around 3 percent of open rooms compared to a year ago. 2024 first half supply trends Supply change comparisons have been affected by rebranding, segment realignment in The Highland Group's database, and the de-flagging of hotels failing to meet brand standards, along with sales to multi-family apartment companies and municipalities, the report said. This trend is expected to persist into the first half of 2024, particularly with older extended-stay hotels still available on the market.

Michael Harper is promoted to president of Hotel Lending at Peachtree Group, overseeing the company's entire hotel credit platform and guiding all aspects of the credit business. Similarly, Jared Schlosser rises to executive vice president of hotel lending and head of CPACE, while Michael Ritz is promoted to executive vice president of investments, Peachtree Group said in a statement. "These appointments underscore Peachtree's commitment to its core growth initiatives in hotel lending, as well as fostering talent from within our own ranks, with an eye toward further diversifying its allocation strategies as it taps into new investment opportunities," said Greg Friedman, Peachtree's CEO and managing principal. Since joining Peachtree in 2014, Harper has held a series of leadership positions, overseeing the company's credit business with a focus on loan originations and strategic acquisition of credit portfolios, Peachtree said. He has guided the team through over 500 investments totaling more than $6 billion.

24SEVEN HOTELS, A California-based third-party hotel management company, has partnered with the digital tipping platform Shiny to improve services for over 450 associates across its 30-hotel portfolio. David Wani is the founder and CEO of 24Seven Hotels. This partnership will include 24Seven's premium-branded, select-service, and lifestyle hotel segments throughout the western U.S., with implementation across various hotel departments, including housekeeping, the companies said in a joint statement. "With one of the tightest labor markets in industry history and ever-rising costs, it has become increasingly important for us to recognize the efforts put forth by our associates," said Wani. "We believe that by consistently rejecting the status quo and insisting that we can always improve and innovate, we conquer complacency-and ultimately improve the efficiency and effectiveness of our operation. Along with our Daily Pay program, this is another example of the additional efforts we take to ensure our employees are among the most satisfied in the industry."

THE LONGTIME HEAD of the American Hotel & Lodging Association, William "Chip" Rogers, is stepping down from the position "to pursue other professional interests," according to AHLA. The AHLA board of directors appointed Kevin Carey, AHLA's senior executive vice president and COO, as interim president and CEO and is forming a committee to identify potential replacements for Rogers and will be retaining an executive search firm. AHLA said in a statement that more information on its search for Rogers' replacement will be available on its website in the coming weeks. It did not release any more information about why Rogers is stepping down. "We have been able to build one of America's most effective associations over the last five years," said Rogers in the statement. "As I move on to my next chapter, I am truly thankful for the opportunity I had to lead this incredible team and work alongside the industry's best leaders."

THE GLOBAL HOTEL construction pipeline achieved unprecedented project counts in the fourth quarter of 2023, led by the U.S. with 5,964 projects and 693,963 rooms, according to Lodging Econometrics. The total pipeline comprises 15,196 projects and 2,367,727 rooms, signaling a remarkable 7 percent increase in projects and a 3percent increase in rooms year-over-year. LE's Q4 2023 Global Hotel Construction Pipeline Trend Report highlights the dominance of the U.S. and China, which collectively account for 64 percent of all global projects. The U.S. led the global pipeline with 39 percent of total projects. Among the top five cities with the largest construction pipelines, three are in the U.S.: Dallas leads with 193 projects with 22,291 rooms, followed by Atlanta with 151 projects with 18,730 rooms, and Nashville with 123 projects with 16,148 rooms.

HOTELS IN THE Americas performed above 2019 levels, although RevPAR is stabilizing amidst decreasing consumer travel spending, according to real estate firm JLL. This has affected resort markets heavily dependent on leisure travel. In contrast, urban travel demand is on the rise, driven by group, corporate, and inbound international travel. According to JLL's Global Real Estate Perspective for February 2024, global hotel RevPAR surpassed 2019 levels by 11.7 percent in the first 11 months of 2023. The global urban market strengthened with increased international travel and the return of business and group demand. London, New York, and Tokyo are expected to lead global RevPAR performance in 2024 as urban travel rebounds. Stabilization has weighed heaviest in resort markets, particularly in the Americas and EMEA, while Asia-Pacific continues to accelerate as intraregional travel grows following border reopenings, the report added. Foreign capital, absent since the onset of COVID, is expected to become more active over the next 12 months. Middle Eastern and Asian investors are likely to lead, with urban markets in Europe and select U.S. cities as primary recipients of capital.

WYNDHAM HOTELS & RESORTS' Women Own the Room surpassed 15 hotel openings and 50 signings in just over 24 months. The program has expanded its network to more than 550 women, leveraging Wyndham's scale to break down barriers to hotel ownership, Wyndham said in a statement. "For decades, the hotel industry has been complacent in allowing women to remain on the sidelines of hotel ownership and in turn, has missed out on the opportunity to strengthen itself through greater diversity," said Galen Barrett, Wyndham's vice president for strategic franchise initiatives. "Women Own the Room and the subsequent programs it has inspired throughout the industry are finally changing the narrative and Wyndham is proud to lead the way." According to data from the U.S. Bureau of Labor Statistics and the Castell Project, although women comprise nearly 60 percent of the hospitality workforce, they hold only one leadership position for every 10 men.

AT THE 2024 AAHOA Convention & Trade Show held last week in Orlando, Florida, history was being made at the same time it was being recalled. Miraj Patel assumed his role as the youngest chairman the association has had, while his predecessor Bharat Patel and AAHOA President and CEO Laura Lee Blake spoke on the legacy that led to the association's current success. AAHOACON24, the 35th national conference for the association, saw more than 7,000 registered attendees and 524 exhibitors at the Orange County Convention Center, blocks away from Disneyworld and Universal Studios. It included more than 44 education sessions and had two times the number of sponsors than in 2023 with 26. Event revenue was 6 percent higher than 2023 and 31 percent higher than in 2022. The tradeshow sprawled over more than 84,500 square feet of exhibit space. In a speech during the first general session, Bharat presented his theory on what led to AAHOA's current status: compound success.

SOUTHERN HOSPITALITY, LED by Nikesh Shah as president, recently broke ground on the first Extended Stay America Select Suites prototype in Wildwood, Florida. The 124-room, 4-story property is slated to open in early 2025, Extended Stay America said in a statement. "As the extended-stay segment leader, we are excited to unveil the Extended Stay America Select Suites prototype as we begin construction on the first property," said Mark Williams, ESA's managing director of franchise development. "The new construction prototype represents the next phase in the strategic growth of our economy extended-stay brand." The Extended Stay America Select Suites prototype aims to provide efficiency and practicality for longer-stay guests, the statement said. The property, spanning slightly over 50,000 square feet and constructed on 1.75 acres, includes apartment-like suites with full kitchens and on-site laundry.

A STABLE ECONOMIC backdrop is expected to fuel a 10.7 percent year-over-year increase in the U.S. short-term rental industry in 2024, surpassing the 6.7 percent rise seen in 2023, according to AirDNA's 2024 outlook report. Moreover, AirDNA foresees balanced growth for the industry in 2024, marked by a projected 10.9 percent increase in supply expansion guided by rising demand for more sustainable market practices. "Approaching 2024, the industry anticipates balanced growth with a projected 10.9 percent increase in supply expansion," said Jamie Lane, senior vice president of Analytics at AirDNA. "Contrary to exaggerated reports of an STR 'collapse,' heightened market competition emphasizes the need for hosts and property managers to meticulously monitor data trends. This strategic approach is crucial for surpassing competitors and sustaining revenue, taking advantage of a strong economy and the growing preference of travelers for STR lodging."

THE AMERICAN HOTEL & Lodging Association and Procure Impact, a B2B marketplace supporting marginalized communities, have introduced the "Dignity of Work Pledge" aiming to provide 100,000 paid employment hours for overlooked populations. Hospitality firms such as Davidson Hospitality Group, Pyramid Global Hospitality, Sage Hospitality Group, CoralTree Hospitality, Atrium Hospitality, Pacific Hospitality Group, Modus Hotels, and 21c Museum Hotels have committed to this initiative. Together, these hotels manage over 110,000 rooms nationwide, AHLA said in a statement. Procure Impact's B2B marketplace offers companies the chance to source responsibly and fulfill social impact objectives. "We believe the hospitality sector is uniquely positioned to harness its purchasing power to create unique and meaningful guest experiences and change millions of lives in the process," said Lauren McCann, Procure Impact's founder and CEO. "We are excited to partner with so many pioneers in hospitality who are building spaces and places grounded in belonging and purpose through the products that they feature and purchase."

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PEACHTREE GROUP SECURED a $73 million construction loan and C-PACE financing to fund the development of a 263-key dual-brand Home2 Suites and Tru by Hilton Hotel in San Diego, California, on behalf of the locally based Baxter Hotel Group. Baxter is set to commence construction on its 16-story, dual-branded hotel this month, with a projected 22-month construction timeline, Peachtree said in a statement. Peachtree facilitated a $50.4-million floating-rate construction loan with a three-year term and secured $22.6 million in fixed-rate C-PACE financing, amortized over 25 years. Collectively, these funds covered 64 percent of the total development cost, the statement said. "We were able to execute an innovative capital stack with the addition of C-PACE in an otherwise challenging financing market, providing ample capital for the construction to begin while saving the sponsor 200 basis points in interest rate spread," said Jared Schlosser, Peachtree's senior vice president, head of hotel origination and C-PACE.

THE PROPOSED FRANCHISE reform legislation in New Jersey that has driven a rift between AAHOA and several large hotel companies has stalled in the state's legislature. AAHOA said it was misinformation that delayed the bill's passage, while the American Hotel & Lodging Association said the bill "would have destroyed the hotel industry's franchise model." It will return Assembly Bill 1958 would make changes to the New Jersey Franchise Practices Act that could benefit the hospitality industry, AAHOA said previously. Specifically, the changes include restricting non-competes for longer than six months; prohibiting requiring a relocation or capital investment greater than $25,000 more than once every five years unless hotel franchisers can establish a return on the investment; requiring a franchiser that receives "any rebate, commission, kickback, services, other consideration or anything of value" to fully disclose them to the franchisee and turn them over to the franchisee; putting restrictions on mandatory sourcing of goods or resources; and prohibiting suspending, restricting or preventing access to franchise services.

CHOICE HOTELS INTERNATIONAL appears to be moving on from its failed attempt to acquire Wyndham Hotels & Resorts, according to statements from its executive team during the company's first quarter earnings call May 8. The quarter saw overall positive performance for the company, including record growth in its pipeline and $63.7 million adjusted net income, a 9 percent rise over the same period of last year. The main portion of the call was dedicated to reporting the highlights of the quarter. For example, Choice's EBITDA during the quarter grew to $124.3 million, a first quarter record and a 17 percent increase compared to the same period of 2023. Its global pipeline as of March 31 increased 10 percent to a company record of more than 115,000 rooms, including a 36 percent increase in the global pipeline for conversion rooms. Its domestic rooms pipeline increased by 11 percent since Dec. 31, highlighted by a 59 percent increase for conversion rooms.

ONE VERSION OF a proposed New Jersey bill that would reshape hotel franchising in the state has passed out of committee in the Assembly but efforts reportedly are under way to amend it to address opponents' concerns. The Senate version of the bill remains in committee. The American Hotel & Lodging Association, a long-time critic of the proposed legislation, called the Assembly Committee on Commerce, Economic Development and Agriculture's passage of the bill a "dangerous step forward." Supporters of the bill, including AAHOA as well as sponsors of the bill, did not respond to requests for comment in time for this article. What's at stake The bills, A3495 in the Assembly and S2336 in the Senate, were introduced at the beginning of the year to replace the original legislation that stalled in the state's legislature last year. It is essentially the same as its prior incarnation. Specifically, the provisions include restricting non-competes that are longer than six months; prohibiting requiring a relocation or capital investment greater than $25,000 more than once every five years unless hotel franchisers can establish a return on the investment; requiring a franchiser that receives "any rebate, commission, kickback, services, other consideration or anything of value" to fully disclose them to the franchisee and turn them over to the franchisee; putting restrictions on mandatory sourcing of goods or resources; and prohibiting suspending, restricting or preventing access to franchise services.

MAYA HOTELS RECENTLY celebrated the 25th anniversary of its first ground-up hotel, Holiday Inn Express & Suites Belmont in Belmont, North Carolina. The event marked the hotel's evolution from a 65-room establishment in 1999 to a modern 92-key hotel, while showcasing original site plans, franchise approval letters, snapshots from the 1999 grand opening and earned awards over the years. IHG Hotels & Resorts representative Jason Miller, local government officials, along with associates, community members, vendors and investors attended the event. "We came to the United States with nothing, but we knew one thing - this is the land of opportunity," said Baldev Thakor, Maya Hotels' cofounder. "We knew we wanted to build a Holiday Inn Express in this community and we knew there were many guests not being served," J.D. Deva, Maya Hotels cofounder, said. "Here we are, 25 years later, and it has been a remarkable journey."

WYNDHAM REWARDS RECENTLY announced the three finalists for the mural project at Gillespie Golf Course in Greensboro, North Carolina. The selected artists are Vincent Ballentine from Brooklyn, New York; Raman Bhardwaj from Greensboro, North Carolina; and Abel Jackson from Charlotte, North Carolina. A committee of key community figures and organizations chose these finalists from over 50 nationwide applicants, Wyndham said in a statement. The project aims to honor the Greensboro Six, a group of Black men who, in 1955, played golf at the whites-only Gillespie course, the statement said. Their act of defiance against segregation occurred just a week after Rosa Parks' arrest for refusing to give up her seat on a Montgomery bus. The Greensboro Six were arrested, convicted of trespassing, and spent 15 days in jail. Their actions and subsequent court cases eventually led to the desegregation of Gillespie Golf Course. In 1961, the Greater Greensboro Open (now the Wyndham Championship) became the first PGA Tour event in the South to welcome a Black player, Charlie Sifford.

ROB SMITH WILL become president and CEO of Stonebridge Cos. in July. He succeeds Navin Dimond, who founded the Denver-based hotel management company in 1991 and will now serve as chairman. In his new role, Smith will lead the development and execution of the organization's long-term strategies and report to the board of directors, Stonebridge said in a statement. "I am proud of the success our team has achieved as we've built the distinct Stonebridge brand over more than 30 years-and am confident that the best is yet to come," said Dimond. "Rob epitomizes our culture of leveraging innovation and an entrepreneurial spirit to enhance value for our owners, investors and other stakeholders. His extensive, successful track record makes him the ideal person to advance our growth strategy. I look forward to working closely with Rob to take Stonebridge to the next level of growth."

THE AMERICAS AND Asia Pacific saw a year-over-year increase in hotel pipeline activity at the end of second quarter, according to CoStar. The U.S. leads the Americas with around 157,713 rooms under construction, while China tops the Asia Pacific with 319,012 rooms under construction. In the Americas, construction surged to around 208,718 rooms, an 8.3 percent rise from June 2023, CoStar's June 2024 data showed. Final planning had 299,153 rooms, up 6.9 percent from the previous year, while the planning phase saw 385,945 rooms, a significant 34.6 percent increase. The region had 893,816 rooms under contract, a notable 17.8 percent uptick. After the U.S., Mexico recorded about 13,301 rooms under construction, with Canada and Brazil following at 8,686 and 5,948 rooms, respectively, CoStar said.