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THE U.S. SUPREME Court overturned a lower court ruling that found Grants Pass, Oregon's ban on outdoor sleeping on public lands violated the constitution's prohibition of cruel and unusual punishment. AAHOA expressed concerns over the ruling in the case that could push the homeless population into hotels. Previously, the U.S. Ninth Circuit Court held that enforcing city ordinances banning outdoor sleeping did violate the Eighth Amendment's Cruel and Unusual Punishments Clause "whenever the number of homeless individuals in a jurisdiction exceeds the number of 'practically available' shelter beds," according to the Supreme Court ruling. This led to several lawsuits against cities filed by homeless advocates, including one against Grants Pass that led a district court to file an injunction prohibiting the city from enforcing the ordinance. The Supreme Court overturned the district court's holding, saying the city's punishments for violations, including fines in first offenses and imprisonment for multiple violations, did not meet the Eighth Amendment's definitions of cruel and unusual. That ruling has an immediate impact on cities and counties in Oregon and other Western states, according to Oregon media.

A GROUP OF InterContinental Hotels Group franchisees have filed a lawsuit against the company in connection with a cyber-attack that "significantly disrupted" its booking channels and other applications in mid-September. The lawsuit claims that IHG should have taken more steps to prevent the breach in light of warnings it received after a previous breach. IHG implemented a response plan, including notifying the relevant regulatory authorities, working with its technology suppliers and engaging external specialists to investigate the incident, according to the company. The breach affected IHG's reservations and customer care call centers, as well as internal systems, such as Merlin and the IHG Help Desk, according to a statement from AAHOA on the breach. The association said franchisees, including some of its members, saw a complete shutdown in guestroom bookings during this outage. On Sept. 15, several IHG franchisees filed a lawsuit against IHG in the U.S. District Court for the Northern District of Georgia Atlanta Division alleging the company should have done more to prevent the breach. The lawsuit references a similar breach the company experienced in 2017 as an example that IHG should have taken further steps to secure its system.

STONEHILL CRE, THE commercial real estate group of investment firm Stonehill, has originated and purchased $200 million in first mortgage loans since being launched in the second quarter of 2022. The companies expect to complete an additional $100 million in loan originations and other transactions by year's end, based upon deals in its pipeline, and Stonehill CRE is targeting over $500 million in transaction for 2023. Stonehill CRE, formed in May with Daniel Siegel as its president, is designed to work in all real estate sectors to navigate ongoing market volatility and enable real estate owners to execute their business plans, according to the company. Its work has made Stonehill the 10th largest U.S. hotel lender in 2021, according to the Mortgage Bankers Association. Atlanta-based Stonehill and Stonehill CRE are affiliates of Peachtree Group, led by Jatin Desai and Mitul Patel as managing principals. "Stonehill CRE's formation came at a fortuitous time as market conditions have created a dislocated lending environment for commercial real estate," said Siegel. "Traditional lenders have not only slowed commercial real estate lending but also tightened underwriting standards, which allows us to provide needed liquidity for maturing loans, new acquisitions and construction projects."

MEMORIAL DAY WEEKEND is back and almost as strong as pre-pandemic levels, with 39.2 million people forecast to travel 50 miles or more from home during the holiday period, according to AAA Travel. Despite record high gas prices, a majority of travelers, 34.9 million, are expected to drive, but air travel also is seeing resurgence. The total forecasted number of travelers is 8.3 percent higher than 2021's 36.2 million and comes closer to 2017 levels. Last year, U.S. hotels saw occupancy hit nearly 62 percent over that Memorial Day weekend, according to STR. "Memorial Day is always a good predictor of what's to come for summer travel," said Paula Twidale, senior vice president, AAA Travel. "Based on our projections, summer travel isn't just heating up, it will be on fire. People are overdue for a vacation and they are looking to catch up on some much-needed R&R in the coming months."

TRAVELERS AS WELL as hoteliers are ready for business travel to get back to normal, according to the American Hotel & Lodging Association. Nearly two-thirds of business travelers feel that the increased reliance on virtual work during COVID-19 is negatively impacting both productivity and workplace culture. As many as 77 percent of business travelers and 64 percent of American workers think that it is more important than ever to bring back business travel, according to a survey commissioned by the AHLA. The poll, conducted by Morning Consult among a national sample of 2,210 adults from March 8 to 9, also revealed that nearly seven in ten Americans approve the Centers for Disease Control and Prevention's recent move to relax mask requirements. According to the survey, 43 percent of U.S. workers are more likely to travel for business compared to 2020-21.

MARRIOTT INTERNATIONAL RECENTLY launched "Business Access by Marriott Bonvoy," an online travel booking program for small and medium business travelers. This program combines the benefits of the Marriott Bonvoy portfolio with travel tools for booking, managing, and expensing business travel. It is available to businesses in the U.S., Canada and other countries, Marriott said in a statement. "We recognize the significant value small businesses provide to the hotel industry," said Drew Pinto, Marriott International's executive vice president and chief revenue and technology officer. "Whether small to medium-sized businesses are looking for convenient online booking capabilities for their employees or better expense management solutions, the all-in-one platform, merged with our portfolio of hotel brands around the world, provides everything they need to manage their business travel needs."

TRAVEL INDUSTRY LEADERS are continuing their press of federal officials and the Biden Administration to end pre-departure testing for COVID-19 by vaccinated international air travelers bound for the U.S. This time they went directly to the White House. On May 24, representatives from the U.S. Travel Association and Airlines for America met at the White House to make their case that pre-departure testing is no longer required at this stage in the pandemic. USTA and other organizations have been lobbying the White House persistently for the past few months to take the step, and in May they sent a letter to White House COVID-19 Response Coordinator Dr. Ashish Jha saying the requirement is discouraging international travelers. Roger Dow, USTA president and CEO, reiterated that point after last week's meeting.

PRICES FOR TRAVEL goods and services decreased by 1.4 percent in June for the second consecutive month, outpacing the overall economy's 0.1 percent decline, according to the latest Consumer Price Index data from the U.S. Travel Association. The Travel Price Index indicated that lower hotel, airline, and gas prices were the primary contributors to the sector's significant price reduction. In contrast, the broader economy experienced its first monthly price decline since 2020, USTA said in a statement. "Now is the time for the travel industry to boost volume," said Geoff Freeman, USTA's president and CEO. "We've already seen travelers take advantage, with eight of the 10 busiest days in TSA's history occurring in 2024. It's essential that the industry is equipped with the right funding, resources and technology - coupled with sustained government focus - to meet an increase in demand."

NEARLY 80 PERCENT of travelers said that the latest COVID-19 variant, BA5, is unlikely to make them cancel or postpone international travel this year, according to a survey from travel risk assessment firm Global Rescue. At the same time, Global Rescue said relaxed COVID-19 recommendations from the Centers for Disease Control and Prevention could encourage travelers' confidence. The floodgates are opening The Summer 2022 Global Rescue Traveler Safety and Sentiment Survey found that 68 percent of respondents have already traveled internationally since the pandemic. Another 16 percent expects to travel abroad by the end of the year and 9 percent plan to do so in the first quarter of 2023. "Whether it's revenge travel or responsible travel following vaccination, or a combination of both, 7-out-of-10 travelers are much less concerned about travel compared to the beginning of the pandemic," said Dan Richards, CEO of Global Rescue and a member of the U.S. Travel and Tourism Advisory Board at the U.S. Department of Commerce. "They feel safe enough to plan trips and vacations because they're vaccinated, borders are open, and they have confidence they'll be able to get home if the worst happens." The U.S. ending its requirement for a negative COVID test to enter the country in June also went far in increasing confidence and encouraging visits from international travelers, Richards said. Nearly half of travelers, 49 percent, said that they are more likely to travel internationally in the next 12 months as COVID related restrictions are relaxed.

A NEW SURVEY finds that U.S. travelers are getting the urge to explore and acting on that spur-of-the-moment travel bug as temperatures begin to rise. Around 67 percent of Americans with travel plans this year say that the best trips are spontaneous and decided on a whim, a study by Motel 6 and Studio 6 found. The study, which surveyed more than 2,000 Americans who plan to travel this year, also found that almost three-quarters, or 73 percent, would be willing to visit a surprise destination. "Taking a last-minute getaway is a great way to add some joy into your life," said Julie Arrowsmith, president/interim CEO, G6 Hospitality, parent company of Motel 6 and Studio 6. Traveling distances, with companions According to the survey, seven in 10 (70 percent) U.S. travelers say they are indulging in longer excursions by traveling more than three hours from their hometown. When asked about companions, more than three in four (78 percent) travelers prefer to journey with other people, while almost one in three (28 percent) are planning to explore with pets, it added. Off-season and longer trips With impromptu trips on the rise, more than two in five (44 percent) vacationers admit they are switching up their travel experiences this year. Most notably, the typical "travel season" may be a thing of the past, with almost half (47 percent) indicating that they are just as likely to get away during the off-season or weekdays as opposed to peak times like holidays and weekends. Another 32 percent are taking longer vacations than ever before, the study pointed out.

WITH A GRAND procession through the streets of his home village of Sarona, India, shared online in a video, Jayanti P. "J.P." Rama left this world as a legend among his peers. The former AAHOA chairman and longtime hotelier left a legacy that will last for decades with the younger generation he mentored and inspired. Rama died Feb. 17 while visiting family in Ahmedabad, India, at the age of 74. He was co-founder of JHM Hotels, now Greenville, South Carolina-based auroHOTELS, which now is run by his son, D.J. Rama. He is survived also by his daughter, Rita Rama Patel, wife Ilaben (Laxmiben) Rama and brothers, Hasmukh "H.P." Rama, Manhar "M.P." Rama and Raman "R.P." Rama, all of whom traveled to India for the funeral. For those friends and family of Rama who could not attend the actual ceremony, Auro University in Surat, a private university founded by the Rama family and auroHOTELS, has posted a video on YouTube. Tributes to Rama also continued to come in, as seen below.

COMMERCIAL REAL ESTATE direct lender and Peachtree Group affiliate, Stonehill, completed $1.2 billion in investments in 2022. Most were through loan originations and commercial property assessed clean energy financing primarily in the hospitality and retail sectors, a statement said. The investment includes $813 million in loans and $163 million as CPACE financing and the remaining $269 million was distributed across the industrial, land, mixed-use, multifamily, office and senior living real estate sectors, the company said. Stonehill said that its 2023 target is $1.5 billion and expects to invest $300 million in the first quarter. "Economic volatility coupled with uncertainty surrounding interest rates has severely decreased overall financing availability with capital providers. However, Stonehill not requiring capital markets execution has allowed it to remain active and to fill the gap in lending supply," said Mat Crosswy, Stonehill president and principal. In May 2022, Stonehill formed Stonehill CRE with Daniel Siegel as president to expand its commercial lending business. It focuses on heavy transitional assets and sectors of the credit market that are traditionally undersupplied. "We have spent years working on our capital formation, specifically so that we can be active and grab market share during periods of economic uncertainty. Also, by building our CPACE division in 2019, which completed $235 million in CPACE financing for the year, and now with Stonehill CRE, we are better positioned to provide lending solutions to a multitude of the market's current inefficiencies," said Crosswy.

THE MAJOR CHALLENGES faced by U.S. hotels are labor, the return of corporate, group and conference travel, the impact of inflation on cost lines and the energy crisis, said Michael Grove, COO of HotStats, in a recent presentation. In the same session at the International Hospitality Investment Forum, panelists debated the best metric by which to measure industry performance. While speaking during a panel session at IHIF titled "Decoding the Data", Grove said that the most pressing issue is fixed costs are being replaced by oncoming growth in the variable areas which changes the dynamic of the cost base. "One of the key items around the average rate growth is what's going to happen when the full business mix returns," Grove said. "We still have a lot more of the lower-rated business to come back-the tours and groups and the other segments. We need to look at the impact on the cost lines themselves, the expense items around the P&L and what impact inflation is having on those, what impact the labor challenge is having.

PROPOSED FEDERAL REGULATIONS defining a "joint-employer standard" would have a "chilling effect" on the hospitality industry and franchises in general, according to the American Hotel & Lodging Association. The National Labor Relations Board's latest version of the standard could define two companies as joint employers if they both control certain elements of employees' terms and conditions. The period for comments on the proposed regulations ended Nov. 21 and the would rescind and replace the joint-employer rule that took effect on April 27, 2020. That previous rule established that "a business must possess and exercise substantial direct and immediate control over one or more essential terms and conditions of employment of another employer's employees" to be considered a joint employer. However, a ruling by the U.S. Court of Appeals for the D.C. Circuit in July reversed that rule. Now, under the new rule, "two or more employers would be considered joint employers if they 'share or codetermine those matters governing employees' essential terms and conditions of employment,' such as wages, benefits and other compensation, work and scheduling, hiring and discharge, discipline, workplace health and safety, supervision, assignment, and work rules," according to NLRB.

Prakash Padariya is now chief information security officer for IT and security teams at OYO. Prior to that, he was with Netherlands headquartered online payment solutions provider PayU in a similar role. Previously, Padariya worked in senior management roles for a variety of companies, including GE, Royal Bank of Scotland, IBM, Target Corporation and Accenture, according to the company. He will oversee OYO's security strategy globally and will report to chief technology officer Ankit Mathuria. According to the company, Padariya also will be responsible for leveraging technologies such as big data analytics and artificial intelligence to enhance cyber security functions from the ground.

NISHANT "NEAL" PATEL assumed the chairmanship of AAHOA Friday as the culmination of the association's 2022 Convention & Trade Show in Baltimore, Maryland. More than 5,000 people attended the show, during which new officers also were elected, certain members were recognized for their service and face-to-face networking came back into style. This year's show came with less time after last year's, which was held in August due to delays from the COVID-19 pandemic. That time difference for planning was not as bad as it may seem, said Vinay Patel, outgoing AAHOA chairman, in a press conference before the show. "We start planning this convention way in advance. So yeah, our gap may be eight months from convention to convention, but this convention probably started literally in June, July or January of last year, so that time frame is still there," Vinay said. "There are always things, you pivot all the time. Especially in today's world of the pandemic. But, I think at the end of the day, the team has done a phenomenal job in putting everything together."

TEXAS-BASED G6 HOSPITALITY launched 'Light Her Way' program to empower women seeking hotel ownership opportunities with tools and resources, a statement said. The company announced the program during AAHOA's inaugural HerOwnership Conference & Retreat in October. The Carrollton, Texas-based G6 owns Motel 6 and Studio 6 brands in the U.S. and Canada. "We have always promoted the belief that everyone has the right to travel, but it is just as important that everyone have the right to ownership," said Tina Burnett, chief development officer, G6 Hospitality. "The launch of 'Light Her Way' will empower women on the path to ownership and is an example of how we live up to our values."

GOPPAR FOR U.S. hotels improved in September compared to the month before and it exceeded the pre-pandemic levels, according to STR. Meanwhile, the cost of labor per available room came in higher than the pre-pandemic comparable for the first time. GOPPAR was $84.03 for the month, up from $64.26 reported in August. It was $78.30 for July and $91.23 in June. The performance index was $88.63 in May and stood at $90.96 in April. EBITDA PAR was $60.71 for September, TRevPAR was $222.97 and labor costs per room were $71.52. "Labor costs moved ahead the 2019 comparable due to continued high levels of hospitality unemployment and more spending on contract labor," said Raquel Ortiz, STR's director of financial performance. "Total labor costs were up 5 percent year to date, with all departments reporting higher expenses, except F&B, due to less group demand earlier this year. GOPPAR was the strongest since June 2022, and profit margins came in higher than September 2019. Profit margins have been strong for some time caused by lower employment levels and reduced services."

DESPITE THE CHALLENGES of 2020, hihotels by Hospitality International added 18 properties throughout the U.S. Most are conversions owned by Asian American hoteliers. The five hihotels brands include Red Carpet Inn, Scottish Inns, Master Hosts Inns, Downtowner Inns and Passport Inn. Hospitality International said the brands' franchising model includes customized support, advanced technology and overall value. "Last June, we announced a new branding identity for the company that expanded franchisee services and development opportunities and refocused our goal of becoming the best choice for economy hotel franchising. The response has been tremendous and we look forward to building on this great momentum in 2021," said Chris Guimbellot, hihotels president and CEO.

U.S. TRAVELERS SAID that gas prices and inflation will impact their summer travel decisions more than COVID-19 concerns, according to a survey commissioned by the American Hotel & Lodging Association. The survey, conducted by Morning Consult and released just ahead of the Memorial Day holiday weekend ending May 30, revealed that more than half of the respondents, 57 percent, are likely to take fewer leisure trips and 54 percent will take shorter trips due to current gas prices. The majority of people surveyed, 82 percent, said that gas prices will have at least some impact on their travel destinations.