“And it also is not really M&A. It seems like a desperate grab to try to solve problems that [Choice] has,” Stephen Holmes, chairman of the board of Wyndham said during Wyndham Hotels & Resorts’ third-quarter earnings call.
Q3 GDP
Gross domestic product grew at a seasonally- and inflation-adjusted 4.9% annual rate in the third quarter. That was the fastest rate since late 2021 and much stronger than economists were anticipating just a few months ago. The economy expanded 2.1% in the second quarter.
Data Centers
Developers are rushing to build hundreds of data centers, especially those with the high power and cooling systems that AI servers need. Blackstone, for one, has grown its data-center development pipeline to more than $15 billion from only $1 billion in two years.
Rent Algo
Two lawsuits, one against RealPage and one against Yardi, allege that the pricing systems enable an exchange of confidential pricing information to set rents across buildings and markets.
LA Initiative
If the proposed policy is passed, Los Angeles will be the first city in America to house the homeless and paying guests together in hotels. A poll indicated that 71% of Americans said they would be deterred from visiting Los Angeles for leisure or vacation if hotels were mandated to implement the policy.
Cold Storage
The cold storage sector has long been a specialized corner in the $20 trillion commercial real-estate industry. But it is gaining traction with big property investors like Related and others, who believe that changes in the supply chain and the growing number of consumers who want more local food and diverse brands will boost this business. Cold storage inventory fell about 7% from peak to trough during the pandemic.
60 40 Strategy
The tried-and-true 60-40 portfolio lost 17% last year, its worst performance since at least 1937. Even with a 14% gain in the S&P 500 helping the strategy recover in 2023, stocks and bonds have moved in tandem, more over the past three years than any time since 1997.
Flight Delays
During the first nine months of 2023, more than 22% of flights to or from U.S. airports were delayed, according to data from FlightAware. That’s up from roughly 17% during the same period in 2019.
CHH WH
Choice Hotels made public a $7.8 billion offer for Wyndham Hotels & Resorts, saying Wyndham had disengaged in private discussions over a deal to combine two of the largest owners of budget hotels. Choice said it is offering to buy Wyndham for $90.00 a share, including $49.50 a share in cash, while the rest would come from stock. The offer marks a 30% premium over Wyndham’s closing stock price of $69.10 on Monday.
Home Sales
The highest mortgage rates in 23 years are dragging down home sales to their lowest levels since the subprime crisis period. Sales of previously owned homes in 2023 are expected to dwindle to around 4.1 million, which would mark the smallest number of sales since 2008.