September 2025 | Volume 25 #240
The Voice of Asian American Hoteliers
Tailor made fin
tech on the rise
General accounting apps fall short,
developers say
Hotel companies in the news include: Vision Hospitality Group, Peachtree Group, Woodbine Development Corp., DD
Partners LLC, Gopal Inc., Paso Robles Hotel Partners
The business
of lobby retail
More than 900 attend
LendingCon 2025
1To access DIRECTV HD service, HD equipment req’d. Number of HD channels varies based on package selection. 3-MONTHS ON US OFFER: Offer ends 12/31/2024. Offer is available to new Hospitality, Institutions, and Universities with a minimum 3-year programming agreement. Eligibility: New DIRECTV Customer with a
minimum 3-year agreement. Customers selecting the Quick Connect, AEP, or Nonprofit Offer are not eligible for the 3-Months on Us Offer. Excludes NFL SUNDAY TICKET Offer. If Customer adds any additional DIRECTV programming after the date of activation, such DIRECTV programming will be excluded from the 3-Months on
Us Offer. Customer will receive one (1) upfront lump sum bill credit equal to the cost of three (3) months of the DIRECTV programming within 1 to 2 billing cycles. Customer is responsible for any taxes, surcharges, and fees. Credit includes base package, tech fee and all add-ons. DIRECTV RESIDENTIAL EXPERIENCE (DRE)
OFFER: Offer ends 12/31/24. Offer is available to new or renewing Hospitality and Institutions customers with a 5-year programming agreement. Properties must subscribe to SELECT™ ($7.15/room/mo.) or above. SELECT™ promotional bundle price includes SELECT™ ($6.50/room/mo.) and technology fee ($0.65/room/mo.).
Bundled rate will be listed as two separate line items on customer bill. Offer is eligible for an HD Equipment Subsidy of $80 per room for a DRE System. 15 room minimum is req’d per property. IN THE EVENT YOU FAIL TO MAINTAIN YOUR SUBSCRIPTION TO THE REQUIRED PROGRAMMING PACKAGES, YOU AGREE TO
PAY AN EARLY CANCELLATION FEE EQUAL TO THE FULL SUBSIDY AMOUNT YOU RECEIVED PRORATED BY THE NUMBER OF MONTHS YOU PAID FOR THE REQUIRED PROGRAMMING PACKAGES DURING THE COMMITMENT PERIOD. Payment is due within thirty (30) days of receipt of a notice of failure to
complete the commitment period. INSTALLATION: Custom installation charges apply, and installation fee is based on property size. Applicable use tax adjustment may apply on retail value of installation. Availability of DIRECTV service may vary by location. In certain markets, programming/pricing may vary. Make and
model of system at DIRECTV’s sole discretion. Offers void where prohibited or restricted. Programming available separately. Receipt of DIRECTV programming subject to terms of the DIRECTV Terms of Service for Hospitality Establishments and the DIRECTV Terms of Service for Institutions; copy provided with new customer
information packet. Taxes not included. DIRECTV programming, hardware, pricing, terms and conditions subject to change at any time. 2HBO® AND CINEMAX® PACKAGE (New Customers): Offer ends 12/31/24. Only available to new customers that have not received or subscribed to DIRECTV for 12 months prior to activation.
Monthly rate is ($2.25/room/mo.) and requires a 3- or 5-year programming agreement. Customer must also subscribe to SELECT™ ($6.50/room/mo.) or above (with DRE or COM). University accounts excluded. HBO AND CINEMAX PACKAGE (Existing Customers): Available to existing DIRECTV subscribers with a 3- or 5-year
programming agreement. Monthly charge is ($2.75/room/mo.). University accounts excluded. IN THE EVENT YOU FAIL TO MAINTAIN YOUR PROGRAMMING AGREEMENT, YOU AGREE THAT DIRECTV MAY CHARGE YOU AN EARLY CANCELLATION FEE. CANCELLATION FEES ARE BASED ON PROGRAMMING PACKAGE
SELECTION AND COMMITMENT PERIOD. In certain markets, programming/pricing may vary. Offers void where prohibited or restricted. Hardware and programming available separately. Taxes not included. DIRECTV programming, hardware, pricing, terms and conditions subject to change at any time. HBO,® Cinemax® and
related channels and service marks are the property of Home Box Office, Inc. 3Paramount+ with SHOWTIME OFFER: Subject to change and may be discontinued at any time. The Paramount+ with SHOWTIME programming offer ($0.99/room/mo.) is available only as a 2nd Premium add-on. Offer available to qualifying
new or existing Hospitality accounts with a 3- or 5-year programming agreement and must not have received Paramount+ with SHOWTIME programming from DIRECTV or any other distributor at a greater retail value (i.e., $1.99 or more) from DIRECTV or any other distributor during the 24 months preceding the date of activation
of the Paramount+ with SHOWTIME Package. Customer must also subscribe to FAMILY™ ($3.50 room/mo) or above (with DRE or COM). After the applicable promotional period (3 or 5 years) ends, then-prevailing rate for Paramount+ with SHOWTIME applies unless canceled or changed by customer calling 1.888.388.4249 prior
to end of the promotional period. Offer may not be combined with any other Paramount+ with SHOWTIME offer. © 2024 Showtime Networks Inc., a Paramount Company. SHOWTIME and related marks are trademarks of Showtime Networks Inc. Paramount+ and related marks are trademarks of Paramount Pictures Corporation.
Individual programs, devices and marks are the property of their respective owners. All Rights Reserved. NFL, the NFL Shield design and the NFL SUNDAY TICKET name and logo are registered trademarks of the NFL and its affiliates. ©2024 DIRECTV. DIRECTV and all other DIRECTV marks are trademarks of DIRECTV, LLC. All
other marks are the property of their respective owners.
Offer ends 12/31/24. New or renewing approved H&I customers only. 5-year programming agreement req’d. Credit card required (except MA & PA). Early Cancellation Fee may apply.
13 channels of premium entertainment including original
series, movies, sports, documentaries and more.
Offer ends 12/31/24.
AS A SECOND PREMIUM
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Cover Story
News
LENDINGCON’25
Product Feature
20 | Tailor made fin tech on the rise
General accounting apps fall short, developers say
5 | Trump’s tariff shock, Modi’s
swadeshi call
U.S. imposes 50 percent tariff on India, threatening
economic outlook
6 | Trump reviewing 55 million visas
More than 6,000 student visas revoked this year for
violations
7 | Federal per diem rates stay flat for
FY 2026
This is the first year in five that GSA has not raised
the rates
Survey: Hospitality drops most jobs in
June
The sector’s quit rates remain above the national
average
8 | Report: CMBS delinquency, CapEx
dip slowing recovery
Limited-service hotels are at particular risk if
trend continues
9 | CoStar, TE cut growth projections
on slowing demand
Forecast calls for stability as trade talks conclude,
BBB takes effect
10 | G6, THLA expand franchise
support in Texas
The company also is expanding its U.S. footprint
with Galaxy
11 | Peachtree’s FL development gets
EB-5 approval
It raised $47 million in construction financing for
the project
15 | More than 900 attend LendingCon
2025
Speakers addressed impact of tariffs on the economy
25 | The business of lobby retail
Hotels add retail to drive revenue and serve guests
Gujarati translation of top stories begins on page 28
Gujarati translation of top stories begins on
page 29
On The Cover
Financial technology developers say
accounting software that is purpose-built
for hotels offers more complete service,
and brokers are using the technology to
improve hotel sales.
13 | Study: Brands, loyalty programs see
decade of growth
RevPAR grew 1.8 percent CAGR in 2019–2024 from
2014–2019
14 | Report: OYO eyes $7-8B IPO filing
in November
It plans a new parent brand identity to unify its
portfolio
India’s Prestige secures $325M IPO
approval
Marriott-managed keys make up 9 percent of the
group’s portfolio
COMING
NEXT ISSUE:
Finding time for family at Diwali
Contents
11
14
o6
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www.asianhospitality.com
September 2025 | Issue 240
Design
18 | Be smart about it
Inaugural LivSmart Studios opens in Tennessee
ISSN 1938-8837
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Peace be with you
eace be with you.”
In a Catholic mass, there’s a point where the priest says
that to the congregation.
“And also with you,” the crowd replies.
Then they take a minute shaking hands, hugging and
wishing peace upon one another.
The wishing of peace is hardly limited to Catholicism. Muslims greet
each with “Assalamu Alaikum,” which means “Peace be upon you.”
Jews say “Shalom” and, of course, Hindu prayers often end with “Om
Shanti Shanti Shanti.”
Even the general areligious hippies greeted each other with “Peace,
man.” The peace sign was the icon of that movement.
In the center of Hiroshima in Japan, the first city burned to its
foundations with atomic fire, there is Heiwa Kinen Koen, “Peace
Memorial Park.” Been there, beautiful place.
Peace is what we all hope to rest in at the end of our lives. Sadly, that
seems to be because it’s such a rare commodity here on Earth.
Gaza. Ukraine. Jammu and Kashmir.
Need I say more?
The real tragedy here, of course, is that we can all have this thing
we so desire in an instant. It’s only a wish away, or more precisely, a
decision away.
We have to choose peace, not wish for it. That seems to be the
problem.
We’re not like Star Trek’s Vulcans (who greet each other with the
famous salute “Live long and prosper” with the response “Peace and
long life”), we’re not ruled by logic. We’re creatures of emotion, and we
too often let those passions overwhelm us.
Well, at least we’re trying, I guess. Maybe, one day, we’ll succeed.
Edward J. Brock, Senior Editor
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Editor's Letter
04
www.asianhospitality.com
September 2025 | Issue 240
05
News
www.asianhospitality.com
September 2025 | Issue 240
resident Donald Trump’s 50 percent
tariff on Indian goods took effect
Aug. 27, while Prime Minister
Narendra Modi urged citizens to follow
the “Vocal for Local” policy and Swadeshi
mantra in his Aug. 15 Independence Day
address. Beyond exports such as textiles,
the U.S. measure is likely to affect travel,
tourism and hospitality in both countries.
Goods imports from India were $87.3
billion in 2024, up 4.5 percent, or $3.8
billion, from 2023, according to the U.S.
Trade Representative.
The Global Trade Research Initiative
told the Financial Times that Indian
exports to the U.S. could fall from $86.5
billion this year to about $50 billion in
2026. Textiles, gems, jewelry, shrimp and
carpets are expected to be most affected,
with exports in these sectors projected to
drop 70 percent, “endangering hundreds
of thousands of jobs.”
Meanwhile, India also began outreach
programs in 40 markets, including the
UK, Japan and South Korea, to increase
textile exports, Economic Times reported.
Officials said 40 select markets, including
the UK, Japan, South Korea, Germany,
France and Australia, “hold the real key to
diversification.” These countries import
more than $590 billion in textiles and
apparel annually, while India’s current
share is around 5 to 6 percent.
Trade embargo
The duties, 16 percentage points higher
than China, 31 points higher than most
Southeast Asian countries and 35 points
above South Korea, have raised U.S.
tariffs on Indian goods to levels Nomura
described as a “trade embargo,” the
Guardian reported.
However, the U.S. hotel associations,
including the AAHOA and the American
Hotel & Lodging Association, have not
commented, though the tariffs raise
costs for imported furniture, textiles and
kitchen supplies. Higher costs may also
increase guest prices, delay renovations
and reduce profitability.
The tariff increase may also affect U.S.
companies operating in India, including
Hilton Hotels & Resorts, Marriott
International, Wyndham Hotels & Resorts
and Choice Hotels International, all of
which have announced expansion plans.
Tesla recently opened an outlet in Mumbai.
‘Vocal for Local’
Prime Minister Narendra Modi urged
traders and shopkeepers to follow the
“Vocal for Local” mantra and buy Indian
products, saying this will keep money
within India, The Hindu reported.
“Have faith in Indian goods. If you
are Indian, buy only goods made in
India. Choose items made in India, by
Indians,” he said at an event in Delhi. “I
want to appeal to my fellow traders and
shopkeepers: support me in following the
mantra of ‘Vocal for Local’. This will benefit
the country and the money spent on the
goods you sell will stay within India.”
On Independence Day, Modi emphasised
self-reliance under Atmanirbhar Bharat
across defence and energy, with initiatives
in solar, hydrogen and nuclear power.
He announced a Reform Task Force to
boost economic growth, reduce red tape,
modernise governance and prepare India
for a $10 trillion economy by 2047.
Indian Member of Parliament Manickam
Tagore criticised Modi over the “Howdy
Modi” event, Modi’s meeting with Trump
during the president’s first term, saying
India has suffered export losses after the
U.S. imposed the double tariff.
“Modiji, remember your slogan ‘Abki
Baar, Trump Sarkar’?” he wrote on X.
“Today, that ‘friendship’ has cost India
Rs 2.17 lakh crore in export losses as the
U.S. imposes a 50 percent tariff. Your PR
politics = India’s economic disaster.”
Tagore said farmers, MSMEs and
exporters are bearing the brunt.
“Textile exports from Tiruppur, Surat,
and Noida face 5 lakh job losses; the gems
and jewellery sector is losing 2 lakh jobs;
3 million livelihoods of Andhra Pradesh
shrimp farmers are at risk,” he said. “All
due to Modi’s failed diplomacy and slogans
abroad.”
U.S. Treasury Secretary Scott Bessent
described the India-U.S. relationship as
“very complicated” but expressed hope
that “at the end of the day, we will come
together.”
Trump’s tariff shock,
Modi’s swadeshi call
U.S. imposes 50 percent tariff on India, threatening economic outlook
President Donald Trump’s 50 percent tariff on Indian goods took effect Aug. 27, affecting trade
worth billions of dollars.
News
06
www.asianhospitality.com
September 2025 | Issue 24
he Trump administration is
reviewing more than 55 million
people who hold valid U.S. visas for
potential violations. It also plans to replace
the H-1B lottery with a wage-based system
favoring higher-paid applicants.
The State Department confirmed all
visa holders are subject to ongoing review,
which includes checking for overstays,
criminal activity, threats to public safety
or ties to terrorism. Should violations
be found, visas may be revoked, and
holders in the U.S. could face deportation,
according to the Associated Press.
Officials said the reviews will include
monitoring of visa holders’ social media
accounts, law enforcement records and
immigration files. New rules also require
applicants to disable privacy settings
on phones and apps during interviews.
The department noted visa revocations
since President Trump’s return to office
have more than doubled compared to the
previous year, including nearly four times
as many student visas.
The administration also announced an
immediate halt on issuing worker visas
for foreign commercial truck drivers,
with Secretary of State Marco Rubio citing
road safety and competition concerns for
U.S. truckers.
“The increasing number of foreign
drivers operating large tractor-trailer
trucks on U.S. roads is endangering
American lives and undercutting the
livelihoods of American truckers,” Rubio
posted on X.
The Transportation Department
linked the move to recent enforcement
of English-language proficiency
requirements for truckers, aimed at
improving safety. The State Department
later said it was pausing visa processing
while it reviewed screening protocols.
Critics, including Edward Alden of the
Council on Foreign Relations, warned the
actions could have significant economic
consequences.
“The goal here is not to target specific
classes of workers, but to send the
message to American employers that
they are at risk if they are employing
foreign workers,” Alden wrote, according
to AP.
Data from the Department of
Homeland Security shows there are 12.8
million green card holders and 3.6 million
temporary visa holders in the United
States. The 55 million figure under review
includes many outside the U.S. with valid
multiple-entry tourist visas.
The State Department recently
reported revoking more than 6,000
student visas for violations since Trump
returned to office, including around 200
to 300 for terrorism-related issues.
The vast majority of foreign visitors
require visas to enter the U.S., with
exceptions granted to citizens of 40
countries under the Visa Waiver Program,
primarily in Europe and Asia. Citizens of
China, India, Russia and most of Africa
remain subject to visa requirements.
Shifting H-1Bs, green cards
to wage-based system
The U.S. Office of Information and
Regulatory Affairs approved a draft
rule in August outlining the proposed
changes to the H-1B and green card
systems, according to Bloomberg Law.
The H-1B program is capped at 65,000
visas annually, with an additional 20,000
reserved for U.S. advanced degree holders,
according to the U.S. Citizenship and
Immigration Services.
During the first Trump administration,
DHS proposed replacing the H-1B lottery
with a wage-based system that would
rank petitions in four wage tiers, giving
priority to higher-paid jobs, under the
“Buy American, Hire American” policy,
according to the Federal Register.
“We’re going to change the green card,”
Secretary of Commerce Howard Lutnick
told Fox News, according to Economic
Times. “The average American makes
$75,000 a year, while the average green
card recipient makes $66,000. Why are
we doing that? It’s like picking the bottom
tier.”
According to the U.S. Social Security
Administration, the average U.S. salary
for 2023, its latest National Average Wage
Index, was $66,621.80.
Trump reviewing 55
million visas
More than 6,000 student visas revoked this year for violations
The Trump administration is reviewing 55 million visas for violations. More than twice as many
visas than usual have been revoked since President Trump returned to office.
07
News
www.asianhospitality.com
September 2025 | Issue 240
he U.S. General Services
Administration will keep
standard per diem rates for
federal travelers at 2025 levels for fiscal
year 2026. The American Hotel and
Lodging Association raised concerns
that the decision affects government
travel, a key economic driver for the
hotel industry.
The standard lodging rate remains
$110 and the meals and incidental
allowance is $68 for fiscal year 2026,
unchanged from 2025, GSA said in a
statement.
“Government travel is a vital
economic driver for the hotel industry
and the broader travel economy,” said
Rosanna Maietta, AHLA’s president
and CEO. “That’s why it’s so important
for government per diem rates to
keep pace with rising costs across the
economy. The GSA’s decision to keep
per diem rates flat will place a strain
on the hospitality industry as well as
government travelers seeking lodging.
A strong economy requires a thriving
hospitality sector. We will continue to
advocate with the GSA and members of
Congress for per diem rates that reflect
hotels’ rising costs of doing business.”
GSA sets per diem rates to reimburse
federal employees’ lodging and meal
expenses for official travel within the
continental U.S., based on the trailing
12-month ADR for lodging and meals
minus 5 percent. This is the first year in
five that GSA has not raised the rates.
The federal administration said
the decision reflects the federal
government’s commitment to using
taxpayer funds appropriately and for
core mission activities. The steady per
diem rates are enabled by the reduction
in inflationary pressures from the
previous administration.
“GSA's decision ensures cost-
effective travel reimbursement while
supporting the mission-critical
mobility of the federal workforce,” said
Larry Allen, associate administrator, GSA
Office of Government-wide Policy.
The rate applies to federal travelers
and those on government-contracted
business for all U.S. locations not
designated as “non-standard areas,”
which have higher per diems. For fiscal
year 2026, GSA will keep the number of
non-standard areas at 296, unchanged
from 2025.
Federal per diem rates stay
flat for FY 2026
This is the first year in five that GSA has not raised the rates
The U.S. General Services Administration will keep
standard per diem rates flat for federal travelers in
fiscal year 2026.
he hospitality sector saw
the largest decline in job
openings of any industry
in June, according to the U.S.
Bureau of Labor Statistics.
Accommodation and food services
fell by 308,000 positions from the
previous month.
The “BLS Job Openings and
Labor Turnover Survey” found
the drop occurred despite
overall U.S. openings holding at
7.4 million, a 4.4 percent rate.
The hospitality category, which
includes accommodation and
food services, has been a major
driver of labor demand in recent
years but continues to face
volatility in hiring needs and high
turnover.
Nationally, the number of quits
remained unchanged at 3.1 million, a 2
percent rate, the report said. However,
hospitality continues to experience quit
rates well above the national average,
reflecting persistent retention
challenges.
While industries such as
retail trade and information saw
increases in openings in June,
the contraction in hospitality
suggests a recalibration in staffing
needs ahead of the second half
of 2025. The next JOLTS report,
covering July 2025, will be
released on September 3 and will
indicate whether the downturn in
hospitality job openings is a short-
term adjustment or the start of a
longer trend.
A survey by Expert Market found
48 percent of accommodation
businesses view staffing as their
top risk for the year, followed by labor
costs at 34 percent and maintenance at
27 percent.
Survey: Hospitality drops most jobs in June
The sector’s quit rates remain above the national average
The hospitality sector dropped the most job openings in June,
down 308,000, according to the U.S. Bureau of Labor Statistics.
News
08
www.asianhospitality.com
September 2025 | Issue 24
ommercial mortgage backed
securities continue to see higher
delinquency rates despite some
recovery after the COVID pandemic,
with different hotel segments facing
different challenges, according to a
report by Trepp data and analytics firm.
The report also found that a decline
in capital expenditures is leading to
devaluation of hotel assets.
In 2020, delinquencies for lodging
sector CMBS spiked at 19.78 percent, up
from 1.51 percent a year before. Trepp’s
report breaks down that overall trend
and the post COVID recovery according
to their impact on the limited-
service, full-service and extended stay
segments.
Fighting deterioration
The Trepp report said investors
have grown concerned about a
decline in CapEx since the pandemic,
particularly in the limited-service hotel
segment. The result has been visible
deterioration in asset quality, meaning
many properties may be underinvesting
in upkeep, renovations and necessary
upgrades.
“Before the pandemic, the majority
of properties were spending within
a relatively healthy range of $750 to
$2,000 per key, with just 8 to 9 percent
falling below the $750 threshold
annually,” the report said. “High
spenders (more than $2,000 per key)
represented a modest but steady share,
ranging between 10 to 12 percent from
2017 to 2019.”
That CapEx investment stopped in
2020 and the share of properties with
CapEx below $750 per key jumped to 54
percent. Only 3 percent of properties
were spending more than $2,000 per
key on improvements as the pandemic
led hotel owners to defer capital
projects.
“Post-2020, one might have expected
a meaningful rebound in spending – a
‘catch-up’ period to address deferred
maintenance and bring assets back up
to brand or investor standards. But the
data suggest otherwise,” the report
said.
By 2024, the share of properties
spending less than $750 per key on
CapEx dropped to 6 percent. Trepp
said 13 to 16 percent were in the high-
spending range, roughly the same as
pre-pandemic levels.
“The middle tier ($750-$2,000 per
key) has absorbed the shift, maintaining
a roughly 77 to 78 percent share since
2021, suggesting that owners are
opting for moderate upgrades, but
not investing aggressively enough to
reverse the cumulative effects of 2020's
pause,” the report said.
Not in the clear yet
Despite some signs of recovery in lower
delinquency rates for full-service and
extended-stay hotels, the fact that the
rates remain high for limited-service
properties, combined with reduced
CapEx spending, mean the market is
recovering unevenly, Trepp’s report
said. The limited-service segment in
particular remains at risk for functional
obsolescence and brand erosion.
“As investors and lenders assess
lodging-backed CMBS exposure in
the current market environment,
headline delinquency rates should
be interpreted with caution,” the
report said. “Beneath the surface,
capital health and reinvestment trends
may offer a more accurate lens into
long-term asset viability. If capital
discipline does not return to pre-
pandemic norms, the sector could face
another wave of stress – one driven
not by occupancy or cash flow, but by
deteriorating physical infrastructure
and declining borrower resilience.”
Report: CMBS delinquency,
CapEx dip slowing recovery
Limited-service hotels are at particular risk if trend continues
Higher delinquency rates for commercial mortgage backed securities and a dip in CapEx spending
are slowing the recovery, according to a report by Trepp data and analytics firm.
09
News
www.asianhospitality.com
September 2025 | Issue 240
oStar and Tourism Economics lowered U.S. hotel growth
projections for 2025 and 2026, citing reduced demand
from uncertainty, inflation, year-over-year
comparisons and shifting travel patterns. The economic
outlook is expected to remain stable, with hotel
performance likely to recover as trade talks conclude
and the Big Beautiful Bill Act takes effect.
The forecast released at the 17th Annual Hotel Data
Conference lowered 2025 growth projections—demand
by 0.6 points, ADR by 0.5 and RevPAR by 1.1—citing
underperformance and macroeconomic conditions.
Similar revisions were made for 2026, with demand
down 0.5 points, ADR 0.3 and RevPAR 0.7.
“Unrelenting uncertainty and inflation, coupled with
tough calendar comps and changing travel patterns,
have caused lower demand,” said Amanda Hite, STR
president. “Additionally, as the year has unfolded, we’ve
seen rate growth converge closer with demand. We
expect little change in the economic outlook over the
next 18 months, but we are optimistic that once trade
talks have concluded and the impact of the budget
reconciliation bill comes to fruition, hotel performance
will recover.”
Aryan Ryan, director of industry studies at TE, said
the slowing U.S. economy should absorb tariff impacts
without entering a recession.
“The current environment—characterized by slowing
consumer spending, reduced business capital spending
and declining international visitation—will transition
to one boosted moderately by tax cuts and less policy
uncertainty as we look to 2026,” he said.
“While our GOPPAR forecast remains unchanged
from the previous revision, GOP margins were revised
down 0.3ppts for 2025 and 2.3ppts for 2026, mainly due
to a potential increase in expenses, particularly F&B,”
Hite said.
In June, CoStar and TE lowered 2025–26 U.S.
hotel growth projections due to first-quarter
underperformance and macroeconomic factors,
revising supply down 0.1 percent, demand 0.6 percent, ADR 0.3
percent and RevPAR 0.8 percent.
CoStar, TE cut growth projections
on slowing demand
Forecast calls for stability as trade talks conclude, BBB takes effect
CoStar and Tourism Economics cut their 2025–26 U.S. hotel
growth projections due to reduced demand.
long-term stability but
not long-term contracts
“ I enjoy dealing with a stable company
that provides clear brand direction,
equitable contracts, flexible standards,
and the lowest fees in the industry.”
This is not an offering. Federal laws and regulations and the laws and regulations of some states and provinces regulate the offer and sale of franchises. An offering
will only be made in compliance with those laws and regulations, which may require that we provide you with a disclosure statement. © 2025 Hospitality International
800-892-8405 • hifranchise.com • [email protected]
delivers
Jaimesh Patel
Owner & hihotels Advisory Council member
Red Carpet Inn, Gibbstown, NJ
Joined brand in 2018
News
10
www.asianhospitality.com
September 2025 | Issue 24
6 Hospitality, parent
of Motel 6 and Studio
6, recently joined
the Texas Hotel & Lodging
Association to expand a
statewide coalition on
advocacy, public safety and
market growth for its Texas
franchisees. Also, G6 and
Galaxy Hotels Group are now
expanding the Motel 6 and
Studio 6 footprint in the U.S.
with 10 Galaxy-managed
hotels, totaling more than
1,300 rooms with more to
follow.
The company brings an
economy-brand perspective
to discussions that influence
policy, operations and guest
experience across the state.
The two will co-host
workshops, forums and
tech showcases to support
market education, best-
practice sharing and talent
development statewide, the duo said in
a statement.
“As we join THLA, our goal is to
contribute to a stronger Texas lodging
ecosystem—advocating smart policy,
elevating safety and guest experience
and providing collaborative learning
opportunities for our franchisees and
employees statewide,” said Sonal Sinha,
G6 Hospitality's CEO. “We’re proud
to add our voice and scale to THLA’s
efforts while equipping our franchisees
with Texas-specific resources to
operate confidently and grow.”
The company will support discussions
on competition, consumer protection,
tourism promotion and workforce
initiatives for independent and branded
hotels, the statement said. OYO CEO
Ritesh Agarwal is chair of G6 Hospitality.
“G6 Hospitality’s membership
strengthens our initiatives that help
advance Texas hotels," said Scott Joslove,
THLA's president and CEO. "Their
reach in the economy segment brings
valuable insights to policy development,
workforce initiatives and community
safety programs that benefit properties
in every market and price point."
THLA works with state and local
leaders to promote business growth,
protect consumers, and support hotels
with legal guidance, policy insights
and education, the statement said. The
association will provide Texas-specific
compliance and operations training for
G6 owners and teams alongside G6’s
standards.
G6 and Galaxy
expansion
G6 brands consistently outperform
others in guest satisfaction and value,
said Galaxy, which rejoined the G6
network after a short break. Texas-
based Galaxy was founded in 1999 and
led by CEO Jagmohan “Jag” Dhillon,
operates more than 41 hotels in the U.S.
“This partnership marks a new
chapter in our mission to deliver
modern, value-driven hospitality, as
we now proudly rejoin G6 Hospitality,"
said Carlos Cuevas, Galaxy Hotels' COO.
"Having previously moved from Choice
Group/Park Inn by Radisson, we’ve
closely compared the performance of
various franchises. Our experience and
data show that G6 brands consistently
outperform others in guest satisfaction
and value. This is why we’re back."
Recent additions include Studio 6
Suites Las Vegas with 308 rooms, Motel
6 Las Vegas – I-15 Stadium with 139
rooms and Motel 6 Las Vegas – Boulder
Highway with 160 rooms, the companies
said. Studio 6 Suites Las Vegas on the
Strip, with more than 300 rooms, will
be one of the largest Studio 6 hotels in
the U.S., while Motel 6 Las Vegas is also
near the Strip and Allegiant Stadium.
The portfolio also includes Motel 6
hotels in Modesto, San Jose and Santa
Rosa, California and Lakewood, Fort
Collins, Thornton and Colorado Springs,
Colorado.
G6, THLA expand franchise
support in Texas
The company also is expanding its U.S. footprint with Galaxy
G6 Hospitality and the Texas Hotel & Lodging Association will support advocacy, workforce development and tourism
promotion for Texas hotels.
11
News
www.asianhospitality.com
September 2025 | Issue 240
Peachtree’s FL development
gets EB-5 approval
It raised $47 million in construction financing for the project
eachtree Group recently secured
EB-5 approval from Citizenship
and Immigration Services
for Madison Bradenton, a 240-unit
multifamily development in Bradenton,
Florida. It also raised $47 million in
construction financing with a four-year
term for the project on a 10.7-acre site
in Manatee County.
The approval allows the company to
advance its EB-5 Immigrant Investor
Program, which directs foreign
investment to U.S. job creation,
Peachtree said in a statement.
“Madison Bradenton reflects the
strong demand for high-quality
multifamily housing in growing
markets,” said Adam Greene,
Peachtree’s executive vice president
of EB-5. “This project underscores
our ability to pair EB-5 financing with
secured lending, delivering attractive
opportunities for investors while
meeting critical housing needs.”
The project will include five four-
story apartment buildings with
elevators, a two-story carriage
building and a clubhouse, with
residences averaging 1,027 square
feet and featuring private patios or
balconies. The location provides access
to employment centers, healthcare
facilities and Siesta Key Beach.
Atlanta-based Peachtree is led by
Greg Friedman, managing principal and
CEO; Jatin Desai, managing principal
and CFO and Mitul Patel, principal.
This is Peachtree’s fourth approved
I-956F application, following projects
such as Home2 Suites by Hilton in
Boone, North Carolina; SpringHill
Suites by Marriott in Bryce Canyon,
Utah and TownePlace Suites by
Marriott in Palmdale, California. In
May, Peachtree secured USCIS approval
for four regional centers—South,
Northeast, Midwest and West—allowing
it to sponsor EB-5 projects in those
territories.
The EB-5 visa program allows
foreign investors to obtain a green
card by investing in a U.S. commercial
enterprise that creates
jobs, the statement said.
Investors who contribute
at least $800,000 to a
project that creates or
preserves 10 full-time
jobs for U.S. workers are
eligible for permanent
residency.
In July, Peachtree
launched the $250 million
Special Situations Fund
to invest in hotel and
commercial real estate
assets affected by capital
market illiquidity. The
fund targets properties
with value-add potential
while limiting downside
risk and is positioned to
step in where traditional
capital has pulled back,
as nearly $1 trillion in
commercial real estate
loans mature in 2025 and
hotels face refinancing and
capital needs, Peachtree
said in a statement.
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Peachtree Group secured
EB-5 approval for Madison
Bradenton, a 240-unit
multifamily development in
Bradenton, Florida.
Openings & Aquisitions
12
www.asianhospitality.com
September 2025 | Issue 24
Openings
The Element by Westin Wilmington in Wilmington, North Carolina,
139 rooms, Aug. 12. The hotel was jointly developed by Vision Hospitality
Group, led by Founder and CEO Mitch Patel, and CBL & Associates. It
is in Wilmington’s Mayfair Town Center is near Wrightsville Beach and
downtown, the statement said. It has a 24/7 fitness center, indoor-outdoor
lobby bar, pool, electric vehicle charging stations, and complimentary bike
rentals.
Embassy Suites by Hilton Gulf Shores Beach Resort in Gulf
Shores, Alabama, 257 rooms, July 28. The eight-story, all-suite hotel was
developed by Peachtree Group, led by Friedman, CFO and Managing
Principal Jatin Desai and Principal Mitul Patel, along with Woodbine
Development Corp. and DD Partners LLC. The hotel includes 13,620
square feet of meeting and pre-function space, including a 7,800-square-
foot ballroom with Gulf views for conferences, weddings and events. It
also features a three-story parking garage and more than 7,600 square
feet of retail space.
Renovations
Red Roof Inn in Washington, D.C., 53 rooms, Aug. 4. The newly
renovated, pet-friendly hotel is owned by Gopal Inc., led by President Anil
Patel. It is near Union Station, the U.S. Capitol, the Library of Congress,
the National Mall, the White House and Gallaudet University.
The Ava Hotel, part of Hilton’s Curio
Collection, is now open in Paso Robles,
California. The 151-room, four-story
hotel is owned by Peachtree Group and
Paso Robles Hotel Partners.
San Diego-based Azul Hospitality,
led by President Mark Crisci and CEO
Alvaro Fraile, will manage the hotel, the
companies said in a statement.
“The Ava Hotel is both a destina
tion and a gathering place for Paso
Robles,” said Matt Kleefisch, The Ava
Hotel’s GM. “Every detail—from the
design-forward accommodations to the
ingredient-driven menus at EMRE—
reflects the warmth, creativity and
hospitality that make Paso so special.
We wanted to create a place where travelers
can immerse themselves in the Central Coast
and where locals want to gather. By blending
elevated dining, social spaces and design that
celebrates the region’s character, The Ava
Hotel spotlights Paso Robles as a destination
for every kind of guest.”
Atlanta-based Peachtree, is led by Greg
Friedman, managing principal and CEO, Jatin
Desai, managing principal and CFO, and Mitul
Patel, principal. Paso Robles Hotel
Partners is a joint venture between
Peachtree and Verakin Capital, a San
Mateo firm led by Rupesh Patel, Bimal
Patel and Hiten Suraj.
Moore 2 Design developed the ho
tel’s the interior design, the statement
said. Pegasus Architects created the
exterior façade and Arris Studio Archi
tects produced the construction draw
ings. Studio Sinclair and HBA designed
the property to reflect Paso Robles’
heritage and growth as a cultural and
culinary destination.
The hotel offers standard rooms—
single king, double queen and double
king—and upgraded rooms with Juliet
balconies or pool patio decks with direct ac
cess to the rooftop saltwater pool. One-bed
room and double queen suites include 1.5
bathrooms and living areas with fireplaces,
powder rooms and sofa sleepers.
News
13
www.asianhospitality.com
September 2025 | Issue 240
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otel companies grew brand
portfolios and loyalty programs
over the past decade, according
to CBRE. RevPAR grew as well, though
inflation cut into profits.
The number of brands increased at 7
percent compound annual growth rate
during the last 10 years, while loyalty
program memberships rose 15 percent,
according to CBRE’s “Hotel Brand
Performance 2025.” Brand families
including Choice, Hilton, Hyatt,
IHG Hotels & Resorts, Marriott, and
Wyndham doubled their portfolios to
an average of 24 brands each between
2014 and 2024.
CBRE found that adding brands has
not consistently driven higher RevPAR
growth since 2019, as the fastest-
growing brand family by number
of brands, with a 15 percent CAGR,
recorded the lowest median RevPAR
CAGR at 0.3 percent.
Brand proliferation may increase
loyalty membership but can correlate
negatively with RevPAR within the
same family, the report said. Some
additions, such as glamping or all-
inclusive resorts, expand redemption
options for loyalty points valued
at more than $12 billion. Others,
including middle-tier conversion and
extended-stay brands, grew more than
40 percent in the past five years and
may cannibalize existing properties.
RevPAR growth and
inflation
RevPAR grew at a 1.8 percent CAGR
from 2019 to 2024, 20 basis points
above 2014–2019, while inflation rose
from 1.6 percent to 4.2 percent, eroding
real gains. Since 2019, nominal RevPAR
increased 9.3 percent but fell 10.9
percent in real terms as alternative
lodging supply and hotel inventory
growth outpaced demand, reducing
pricing power across segments.
Around 52 percent of
brands posted RevPAR
gains above the sample
CAGR average of 1.6
percent from 2014 to
2019. However, since
2019, 28 percent have
exceeded the 1.8 percent
average.
The gap between the
strongest and weakest
brands has widened
across chain scales, with
the luxury segment’s
RevPAR spread rising to
nearly seven percentage
points in 2019 to 2024
from five points in 2014 to 2019. The
strongest luxury brand’s cumulative
RevPAR premium rose to 41 percent
from 29 percent over the same periods,
indicating greater performance
variability within segments, CBRE said.
Upper-midscale hotels have
increased at a 5.8 percent CAGR since
2015, supporting demand stability. They
recorded the highest RevPAR CAGR
of any chain scale at 2.2 percent from
2014 to 2019 and 2.3 percent from 2019
to 2024. Midscale and economy chains
recorded the slowest RevPAR growth
from 2019 to 2024, with declines of 3.2
percent and 1.9 percent, respectively.
Study: Brands, loyalty programs
see decade of growth
RevPAR grew 1.8 percent CAGR in 2019–2024 from 2014–2019
Major hotel companies grew brand portfolios at a 7 percent CAGR and loyalty
program memberships at 15 percent over the past decade, according to CBRE.
14
India News
www.asianhospitality.com
September 2025 | Issue 24
YO is reportedly planning to file its
Draft Red Herring Prospectus in
November for an IPO targeting a
$7 to 8 billion valuation. The company will
present the proposal to its board next week.
Discussions with banking partners have
increased in recent weeks, with valuation
guidance at $7 to 8 billion, or 25 to 30 times
EBITDA, Press Trust of India reported
citing sources.
"While we cannot comment on any
timelines related to OYO's DRHP or IPO
plans, as these will be guided by OYO's
board of directors and remain at their
discretion, OYO continues to evaluate a
range of strategic options to drive value for
its stakeholders," a company spokesperson
told PTI.
In May, OYO delayed its third IPO
attempt due to opposition from its largest
shareholder, SoftBank, and market
volatility.
“Over the past few months, SoftBank
has engaged with banks such as Axis,
Citi, Goldman Sachs, ICICI, JM Financial
and Jefferies in London to assess market
sentiment. After assessing market feedback,
they are now confident in their decision,”
one person aware of the developments
was quoted as saying. “The board will be
approached next week as the company
firms up the details and finalises key
strategic elements."
SoftBank remains one of OYO's largest
shareholders. Insiders indicate the
filing will showcase OYO's first-quarter
financial performance, the report said. The
hospitality industry also saw double-digit
growth this quarter.
OYO is planning a new parent brand
identity to unify its portfolio. Earlier this
year, OYO CEO Ritesh Agarwal asked for
name suggestions for Oravel Stays Ltd
on social media. The chosen name may
become the group's new name. OYO is also
exploring a separate app for its premium
and mid-to-premium company-serviced
hotels, as the segment has grown across
India and global markets.
OYO added more than 150 hotels to its
U.S. portfolio in the first half of 2025 and
plans 150 more by year-end.
Report: OYO eyes $7-8B IPO
filing in November
It plans a new parent brand identity to unify its portfolio
restige Hospitality Ventures
recently received Securities
and Exchange Board of India
approval for a $325 million initial
public offering. The company
develops and operates luxury to upper
midscale hospitality assets and is part
of Bengaluru-based Prestige Group,
promoted by Prestige Estates Projects.
The offer comprises a $205 million
fresh issue of shares and an offer
for sale of up to $120 million by
promoters Prestige Estates Projects,
Economic Times reported.
Prestige Hospitality Ventures, led
by CEO Suresh Singaravelu, plans to
use $135 million from the fresh issue to
repay $48 million in debt incurred by
itself and its subsidiaries, Sai Chakra
Hotels and Northland Holding Co.,
while reinvesting $87 million into these
subsidiaries.
Additional funds will support
growth through acquisitions, strategic
initiatives and general corporate
purposes, the Times said.
As of December 2024, its portfolio
included seven hotels with 1,445
keys—1,255 operating and 190 under
renovation. It also has three ongoing
projects with 951 keys and nine planned
projects adding 1,558 rooms, making it
the largest hotel chain in South India.
The portfolio spans Bengaluru, Delhi-
NCR, Mumbai, Goa, Hyderabad and
Chennai, covering convention centers,
business hotels, extended stay
residences and golf resorts.
The company operates hotels
under several Marriott International
brands—St. Regis, Edition, W Hotels,
JW Marriott, Marriott Marquis,
Sheraton, Autograph Collection,
Tribute Portfolio, Moxy, Aloft and
Marriott Executive Apartments—as
well as Conrad by Hilton and Angsana
Resorts & Spa by Banyan Tree.
Marriott-managed keys account for
nine percent of the group’s portfolio,
the largest share under any brand.
Meanwhile, revenue from hospitality
services rose to $96 million in the
previous fiscal year, up from $77 million
in fiscal 2023.
Prestige is adding 2,509 rooms
through ongoing and upcoming projects,
including three ongoing projects with 951
keys and nine planned projects with 1,558
keys across seven Indian cities.
India’s Prestige secures $325M IPO approval
Marriott-managed keys make up 9 percent of the group’s portfolio
OYO plans to file its Draft Red Herring
Prospectus in November for a $7 to 8 billion IPO,
according to Press Trust of India.
India’s Prestige Hospitality Ventures recently secured
Sebi approval for a $325 million initial public offering.
pproximately 950 people attended
LendingCon 2025 Aug. 19 to 20
at Renaissance Seaworld hotel
in Orlando, Florida, more than the 800
organizers had expected. Attendees
heard from economists and members of
Congress about the current state of the
economy.
It was the fifth year for the conference,
founded in 2021 by Jan Gautam, president
and CEO of IHRMC Hotels & Resorts, to
give hoteliers more access to financing
options.
Along with a variety of educational
sessions and networking opportunities,
attendees at LendingCon 2025 heard
reports on the current economic
dynamics from experts from CoStar and
Oxford Economics. Those forecasts were
mostly concerned with the slowing of the
economy under President Trump’s tariffs
and immigration policies.
This year’s event will include keynote
speakers, panel discussions, one-on-
one meetings, and exhibitions. It will
provide a platform to discuss lending
and development practices and invite
professionals from banks, fintech
companies, credit unions, regulators,
investors, developers, consultants and
policymakers.
“We are reshaping lending, making
it simpler, more accessible, so you
can unlock new opportunities with
confidence,” Gautam said. “Last year,
lenders free networking session sparked
the real momentum. Deals were made
right on the conference floor.”
Follow the money
Past AAHOA Chairman Vinay Patel, who is
president and CEO of Fairbrook Hotels in
Herndon, Virginia, emceed the welcoming
session of the conference. He explained
the importance of LendingCon.
“We all need money to develop, to grow,
to build, to buy, to whatever else we do
in our businesses, we need money,” Patel
said. “That's what fuels the growth that
we have out here. And what better place to
be than at a conference where you meet a
lot of different vendors.”
Gautam stressed the event’s
opportunities to network.
“Over the next two days, you will
hear from experts on market trends,
innovative loan programs, AI’s role in
hospitality, development, planning and
much more,” he said. “But the real power
of learning power lies in the connection
you make.”
The first expert speaker at the
conference was Daryl Cronk, senior
economist at Oxford Economics. He
began with addressing the state of the
labor market.
“That's been top of mind lately. The
most recent report was much weaker
than expected,” Cronk said. “Hiring has
slowed significantly, and in fact, hiring
is quite narrow right now. There's only
a couple industries that are really in
any meaningful way adding jobs. Most
industries are flat to slightly declining
in employment, so we've seen a big
slowdown in jobs.”
At the same time, Cronk said, the
unemployment rate has stayed around
4.2 percent. There have not been
many layoffs, but companies haven’t
been hiring, either, he said. There
may be a couple of reasons for the
stable unemployment rate, such as the
retirement of Baby Boomers and the
reduction in the immigrant component
of the labor force resulting from current
immigration policies.
“People aren't quitting their jobs, which
if you're the company owner, maybe
that is a good thing and means reduced
turnover. But we see that as a lack of
confidence in the labor market,” Cronk
said. “People are less inclined to quit
their job if they don't think they can find
another one fairly quickly, or if they're
worried about the economic outlook, they
may not want to be the newbie hired into
the company, the old expression of last
hired, first fired, if things go soft.”
Cronk said tariffs are impacting the
economy even if inflation has only just
begun to increase.
“The reality is that tariffs lead into
inflation with a lag. There's a lag to the
More than 900 attend
LendingCon 2025
Speakers addressed impact of tariffs on the economy
www.asianhospitality.com
September 2025 | Issue 240
LendingCon ’25
15
Jan Gautam, president and CEO of IHRMC Hotels & Resorts and founder of LendingCon in Orlando,
Florida, welcomes attendees to the 2025 conference.
LendingCon ’25
16
www.asianhospitality.com
September 2025 | Issue 24
effect, for example, in the first quarter
of this year, imports surged almost 50
percent as businesses imported their
goods ahead of the tariffs. Well, that meant
they could sit back and not import when
tariffs come into effect, at least for a little
while,” he said. “We've also seen suppliers
and importers absorb some of the tariff
costs, at least initially. Suppliers overseas,
they don't want to lose their customers, so
they're maybe being a little generous with
their pricing to offset some of it.”
These temporary measures can only
last for so long, Cronk said.
“We think that inflationary effects of
tariffs are just getting started and will
continue to be seen in greater effect over
the next three to four months,” he said.
“So yes, they are raising revenue, but
there's a lot of downsides to tariffs and
just a few examples, high prices.”
Another symptom of the economic
uncertainty, Cronk said, has been a
drop in consumer confidence. While
confidence went up for middle and upper
income households, he said, but for the
lowest third of household incomes in
the country, their consumer confidence
declined last month.
“[Lower income] households are the
ones that are most exposed to higher
prices and inflation. They're the ones
most worried about the labor market
and losing their jobs and the outlook
for the economy, and they remain quite
uncertain right now about the future, and
that is having an impact, in particular
on spending,” Cronk said. “The first six
months of this year, consumer spending
is basically flat. If you go back over
20 years, when did we see consumer
spending flat or down? The last two
recessions, so not a good correlation.
However, I will tell you we are not
forecasting a recession, but clearly the
economy has slowed as consumers have
lost confidence, as the labor market has
stalled out a little bit, and it's showing up
in consumer spending.”
Uncertainty leads
CoStar to trim back
expectations
Previously, CoStar and Tourism
Economics lowered U.S. hotel growth
projections for 2025 and 2026 in a release
issued at the 17th Annual Hotel Data
Conference in Nashville. They lowered
2025 growth projections—demand by
0.6 points, ADR by 0.5 and RevPAR
by 1.1—citing underperformance and
macroeconomic conditions. Similar
revisions were made for 2026, with
demand down 0.5 points, ADR 0.3 and
RevPAR 0.7.
Speaking at LendingCon, Chantal
Wu, CoStar’s senior director and
hospitality market analyst, explained
the reason for the downgraded
forecast.
“There's uncertainty, there is
tariffs, there is uncertainty on tariffs.
So, that's driving all of the forecast
change here,” Wu said. “This is
causing lower consumer sentiment,
causing reduced business travel
activities also reduced bookings.”
Wu went on to discuss market
activity in various cities. One factor
in all those markets impacting hotel
development is construction costs, she
said, which vary across the country, across
chain scales and across types of projects.
Economic cycles also have an impact.
“Especially right now, when we
have tariffs, you want to make sure
that you have contingency baked into
your budget,” Wu said. “You want to
make sure that you try to take out all
of the uncertainty and make putting
together the capital stack more than a
paper exercise. This is the whole reason
why we're all here, building industry
relationships, making new friends. You
want to make sure that you can tap into
professional resources who can help you
with equity, with debt.”
The word from
Washington
Other speakers at LendingCon included
Republican Congressman Barry
Loudermilk of Georgia and Democrat
Congressman Darren Soto of Florida.
Both gave their assessments of the
economy.
“Depending on which side you're
on, you can make this out to be the
greatest economy, the worst economy,
or somewhere in the middle of cautious
optimism. There does seem to be a lot
of unsettling things,” Soto said. “I don't
know if that's just the economy is shifting
in a way that we're not prepared for it,
or if things really are this unsettling,
or you just have an administration that
attempts to do a million different things
in a million different times, which does,
of course, create uncertainty.”
Loudermilk said Trump’s One Big
Beautiful Bill, passed in July made
permanent the income tax breaks from
Trump’s first administration. That will
give consumers more money to spend on
travel and hotels.
“When their pay check only meets their
basic necessities, of housing, of food and
utilities, etc., they don't have the excess
income to spend on non-necessary
items,” Loudermilk said. “Really, the
entirety of our economy rests on the
philosophy that we need to make sure
that your blue collar workers all the way
up through your executives have more
money at the end of the day, after they
pay their taxes, after they pay the utilities
and rent.”
Consumers also must be given the
confidence that they can spend that
additional money, he said. Otherwise,
they may just save it.
“We want people to save, but we want
them to have enough to save and have a
Chantal Wu, CoStar’s senior director and hospitality
market analyst, said hotel developers should consider
higher costs from tariffs in their plans.
Daryl Cronk, senior economist at Oxford
Economics, said they are not forecasting a
recession, but the economy is slowing due to
uncertainty about tariffs and other federal policies.
LendingCon ’25
17
www.asianhospitality.com
September 2025 | Issue 240
little fun, to go out and spend the money,
buy a new car, buy some appliances, go to
Orlando, visit many of the parks that are
here,” Loudermilk said.
Congress also needs to help cut the cost
of businesses as well, he said.
“When we're not taxing overtime, there
is a built in incentive for your employees
that you already have to work more.
I mean, these are employees that are
already trained. They're already getting
the benefits. They're already on your
payroll. Now they have a real incentive to
work overtime, work extra time, which
could effectively cut your cost, but it also
improves morale,” Loudermilk said.
The Federal Reserve’s decision last
month to keep interest rates at around
4.5 percent also affects the hospitality
industry, Loudermilk said. He expects at
least a moderate reduction in the rates by
September.
“We need to have interest rates
to where businesses can invest. But
the other thing is, we've got to have
confidence that the economy is strong,
and by lowering the interest rates, I
believe it's going to give consumers more
confidence,” Loudermilk said.
Soto said Democrats have several
concerns about recent policy shifts
brought in by Trump and the Republican
controlled Congress.
“We have deep concerns about threats
to Obamacare, Medicaid, SNAP, Pell
Grants, clean energy, all these things that
a lot of us in Central
Florida hold dear,”
Soto said. “Where
it affects a lot of
the hotel industry
is employer-based
health care. When
you have a rise in
uninsured rates,
employer based
plans go through the
roof.”
He indicated
that that the
administration’s
immigration
crackdown is one
reason behind
negative jobs reports.
“Here in Florida, we have a million
people who are about to lose their legal
immigration status between Venezuelans,
Cubans, Haitians, Nicaraguans and
others. They are legally here. They're
working right now, many of them in
our local hotels and tourism industry,
construction,” Soto said. “These are
things that believe me, it seems every
day we try to limit the tariffs and try to
have some sense in who's staying in the
country and who's leaving, but this is
going to be a challenge for tourism over
the next year or two, and we'll see how it
turns out.”
Soto received a “Legislative Hero”
award during the conference while
Loudermilk received the Governmental
Affairs Excellence Award. Atlanta-based
Peachtree Group, led by Managing
Principal and CEO Greg Friedman,
Managing Principal Jatin Desai and CFO
and Principal Mitul Patel, received the
Leadership in Hospitality Award.
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Speaking on a panel at LendingCon are, from left, past AAHOA Chairman Vinay
Patel, who is president and CEO of Fairbrook Hotels; Republican Congressman
Barry Loudermilk of Georgia; and Chip Rogers, former AAHOA president and
CEO, now CEO of Americans For Fair Treatment.
“We are reshaping lending, making
it simpler, more accessible, so you
can unlock new opportunities with
confidence.”
Jan Gautam, LendingCon founder and president and CEO of
IHRMC Hotels & Resorts
Hotel Design
18
ivSmart Studios by Hilton
Tullahoma, which opened in
July in Tullahoma, Tennessee,
is the new brand’s U.S.
premiere. The 89-room
property, developed by 3H Group and
Aztec Group, is the first location for the
brand.
The hotel is near the Beechcraft
Heritage Museum, Hands-On Science
Center and Short Springs State Natural
Area. It features apartment-like design
and a large guest laundry.
LivSmart was created to meet growing
demand for longer stays of 10 days or
more, said Isaac Lake, Hilton's brand
leader for the brand. As the brand
grows, Hilton plans to expand into
more markets with drivers for long-stay
hospitality.
“Opening the first LivSmart
Studios by Hilton is an important
moment for our team,” said Hiren
Desai, president and CEO of
Chattanooga, Tennessee- based
3H. “We’re partnering with Hilton
to launch this new brand and introduce
it to the Tullahoma community. This
hotel sets the foundation for what will
become a national option for long-stay
travelers and we’re contributing to the
brand’s growth.”
Hilton plans to open a second 137-room
LivSmart later this summer in Kokomo,
Indiana, which will be owned by Sun
Management & Development Corp.,
Hilton said in a statement. More than
90 hotels are expected to open in the
coming years, with more than 225 deals in
negotiation, the company said.
Be smart about it
Inaugural LivSmart Studios opens in Tennessee
3H Group and Aztec Group
opened the first LivSmart
Studios by Hilton in
Tullahoma, Tennessee.
The hotel has free grab and go
breakfast options, a retail space
with snacks and drinks, and a
dedicated takeout delivery zone.
www.asianhospitality.com
September 2025 | Issue 24
Hotel Design
19
A door in the hotel leads to The
Southern Theatre, which is
currently owned and operated
as a home for live concerts,
plays and opera by the
Columbus Association for the
Performing Arts.
Claridge House,
designed by Chicago
architect Walter
Ahlschlager, first
opened in 1923 as the
Claridge Hotel.
Guests have
access to a
patio with
barbecue grills
and firepits.
www.asianhospitality.com
LivSmart Studios was
created to meet growing
demand for longer stays
of 10 days or more.
LivSmart
Studios by Hilton
Tullahoma
features
apartment-like
design and the
hotel has a large
guest laundry.
September 2025 | Issue 240
he complexities of the current
hotel market make it essential
that owners, managers and
investors have access to advanced
financial technology to help them get
the job done. It’s just as important that
they pick a fin tech platform tailored
to their needs, according to software
developers.
Companies such as M3, Reeco and
Nimble Accounting are providing focused
solutions for the hospitality industry. At
the same time, fin tech today is used for
more than just accounting. Brokers are
now using specialized software to market
properties for sale and to create feasibility
studies for new construction, conversion
and repositioning hotels.
Current advances in fin tech were
under discussion at the LendingCon
conference in Orlando in August (See p. 15
for more information on the conference).
The point of solutions provided by
companies such as Reeco, a two-year-old
startup that developed a procurement
app purpose built for hotels, is to enable
hotel owners to do more.
“We're always looking way to squeeze
more out of the leadership and the team
members at the hotel so that they can
do better things with their time, like
create value for owners and investors
by delivering great service, driving
revenues,” said James Hansen, Reeco’s
vice president of business development
efforts. “We give them the means to do
that.”
Purpose-built v.
all-purpose
One focus of modern fin tech development
is ease of use, Hansen said.
“We built a platform that mirrors very
much like your shopping or marketplace
experience at Amazon, where you as a
hotel operator, an owner or a management
company, you could go onto our platform
and pretty much type in any product,
anything you're searching for that you need
to operate your hotel on a daily, weekly or
monthly basis,” Hansen said. “Depending
on how often you place your orders, we've
really simplified that process through
AI and technology, automating a lot of
the processes for your hotel operators,
simplifying life.”
Joining Hansen at the breakout session
was Shane Middleton, channel alliances
Cover Story
20
General accounting apps
fall short, developers say
Tailor made fin tech
on the rise
www.asianhospitality.com
September 2025 | Issue 24
Financial technology is finding increasing usage by the hospitality industry, both in back-of-house operations and hotel sales transactions.