16 LuxUrban hotels across New York,
Washington D.C., Miami, New
Orleans and Los Angeles to
join Wyndham's Trademark Collection, with the opportunity
for additional hotels to join thereafter
LuxUrban will continue to manage hotels as
they join the industry's #1 hotel rewards program and
leverage Wyndham's best-in-class sales, marketing,
technology and distribution platform
PARSIPPANY, N.J. and MIAMI, Aug. 3, 2023
/PRNewswire/ -- Wyndham Hotels & Resorts, the world's largest
hotel franchising company with approximately 9,100 hotels across
more than 95 countries, and LuxUrban Hotels, Inc. (NASDAQ: LUXH), a
leading hotel operator with a growing portfolio of nearly two-dozen
assets in key urban markets across the U.S., today announced a
newly signed deal to bring 16 LuxUrban hotels, representing
approximately 1,400 rooms, into the Trademark Collection® by
Wyndham brand later this year.
Located across New York,
Los Angeles, Miami, Washington, and New
Orleans, the hotels will maintain their LuxUrban branding
while also gaining affiliation and recognition via the Trademark
brand name. In exchange, Wyndham will provide financial, sales, and
operational related support to help advance LuxUrban's asset-light
acquisition-driven growth strategy. The agreement also paves the
way for additional LuxUrban hotels—including any locations not yet
acquired—to join Trademark in the future.
"We created Trademark Collection by Wyndham specifically to
cater to the needs of operators like LuxUrban," said Chip Ohlsson, chief development officer, Wyndham
Hotels & Resorts. "So many hotels today, particularly those in
urban destinations, have a distinct character and unique charm that
hoteliers want to hold on to. At the same time, they want the
visibility, distribution and support that comes with being part of
a well-known brand. Trademark gracefully bridges that gap,
affording hoteliers the opportunity to maintain their independence
while unlocking the resources of the world's largest hotel
franchisor."
Ohlsson added, "In just a few years, LuxUrban has created a
significant position in the U.S. urban hotel market, proving the
success of its unique, asset light operating model. We're excited
to have their hotels join what continues to be one of Wyndham's
fastest growing brands and even more excited by the long-term
growth opportunities that exist for both LuxUrban and for
Trademark."
Trademark Collection by Wyndham is geared toward three- and
four-star hoteliers looking to tap into the scale and resources of
Wyndham while maintaining their hotels' independent spirit. Today,
the brand includes more than 185 hotels in nearly 25 countries,
including locations in top-tier cities like Atlanta, San
Francisco, Las Vegas,
Montreal, Berlin, Zurich, Athens and Istanbul, among others.
An Asset-Light Approach
Founded in 2017, LuxUrban
leverages an asset-light strategy, securing long-term leases for
hotels in key city-center destinations. The approach allows
LuxUrban to capitalize on growing consumer demand for short stay
accommodations in destination cities while aiding the owners of
distressed urban assets who, in addition to struggling with the
lingering effects of the global pandemic, may also be juggling
rising interest rates, depressed property values and tighter
underwriting terms. By acquiring the operating rights to these
hotels under long-term Master Lease Agreements, LuxUrban helps
property owners retain ownership of their assets while unlocking
each hotel's full commercial potential.
"Our collaboration with Wyndham is a tremendous leap forward for
LuxUrban and a validation of our operating model, execution
abilities, and large opportunity landscape," said Brian Ferdinand, chairman and CEO, LuxUrban
Hotels. "We appreciate Wyndham's collaborative approach to the
process, the depth and breadth of their due diligence, and their
confidence in our team and outlook. With the support of a world
class hospitality organization like Wyndham, as well as their
assistance with growth and working capital in the form of
development advance notes for existing and future projects, we
believe we are now in the best position in our history to
accelerate growth, enhance cash flow and capture the benefits of
scale."
Wyndham Hotels & Resorts brings an owner-first mentality to
franchising, prioritizing the needs of franchisees to help ensure
their long-term success. As the world's largest hotel franchisor,
with more hotels than any other major hotel company, Wyndham
leverages its scale to provide best-in-class services and support
across marketing, distribution, sales, sourcing and technology.
Through Wyndham Rewards, recently named number one hotel rewards
program by editors of U.S News & World Report, hotels within
the Wyndham portfolio benefit from access to a rapidly growing
membership base of more than 100 million enrolled members, who
today account for nearly one out of every two U.S. check-ins.
Added Ferdinand, "We're incredibly enthusiastic about our
alignment with Wyndham, and believe that the financial, brand and
operating advantages our relationship provides will make LuxUrban
an even more attractive solution for property owners looking to
employ our asset-light, triple net lease alternatives, particularly
those looking to tap into new sources of capital while maintaining
ownership of their asset."
For more information about Trademark Collection by Wyndham,
visit www.trademarkhotels.com. For franchising opportunities, visit
www.wyndhamdevelopment.com.
Note to Investors: LuxUrban will discuss its partnership with
Wyndham during its financial results conference call, scheduled for
August 9, 2023 at 10:00 am ET. Details may be accessed here or by
visiting https://investor.luxurbanhotels.com.
About LuxUrban Hotels Inc.
LuxUrban Hotels Inc.
utilizes an asset light business model to lease entire hotels on a
long-term basis and rent out hotel rooms in the properties it
leases to business and vacation travelers through the company's
online portal and third-party sales and distribution channels. The
company currently manages a portfolio of hotel rooms in
New York, Washington D.C., Miami Beach, New
Orleans and Los Angeles. As
of March 31, 2023, the company has
1,034 hotel rooms available for rent and seeks to rapidly build its
portfolio on favorable economics through the acquisition of
additional accommodations that were dislocated or are underutilized
as a result of the pandemic and current economic conditions. In
late 2021, the company commenced the process of winding down its
legacy business of leasing and re-leasing multifamily residential
units, as it pivoted toward its new strategy of leasing hotels.
This transition has been substantially completed.
About Trademark Collection by Wyndham
Each of
Trademark Collection by Wyndham's upper-midscale-and-above hotels
around the world – from landmark hotels in Europe, Asia,
The Americas and the Caribbean to its flagship hotel, The
Galt House Hotel in Louisville, Ky. – boast three common
attributes: character, charm, and individuality. Launched in 2017,
Trademark Collection is the first Wyndham-brand geared to three-
and four-star hotel owners passionate about upholding their hotels'
independent spirit and designed for everyday travelers seeking
distinctive, attainable accommodations in sought-after
destinations. For more information, visit
www.trademarkhotels.com.
About Wyndham Hotels & Resorts
Wyndham Hotels
& Resorts (NYSE: WH) is the world's largest hotel franchising
company by the number of properties, with approximately 9,100
hotels across over 95 countries on six continents. Through its
network of approximately 852,000 rooms appealing to the everyday
traveler, Wyndham commands a leading presence in the economy and
midscale segments of the lodging industry. The Company
operates a portfolio of 24 hotel brands, including Super
8®, Days Inn®, Ramada®, Microtel®,
La Quinta®,
Baymont®, Wingate®, AmericInn®,
Hawthorn Suites®, Trademark Collection® and
Wyndham®. The Company's award-winning Wyndham
Rewards® loyalty program offers over 103 million
enrolled members the opportunity to redeem points at thousands of
hotels, vacation club resorts and vacation rentals
globally. For more information, visit
www.wyndhamhotels.com.
Forward-Looking Statements
This press release contains "forward-looking statements" within the
meaning of the federal securities laws, including statements
related to the Company's current views and expectations with
respect to rooms growth, development, technology offerings and
programs. Forward-looking statements include those that convey
management's expectations as to the future based on plans,
estimates and projections at the time the Company makes the
statements and may be identified by words such as "will," "expect,"
"believe," "plan," "anticipate," "intend," "goal," "future,"
"outlook," "guidance," "target," "objective," "estimate,"
"projection" and similar words or expressions, including the
negative version of such words and expressions. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors, which may cause the actual results, performance or
achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by
such forward-looking statements. You are cautioned not to place
undue reliance on these forward-looking statements, which speak
only as of the date of this press release.
Factors that could cause actual results to differ materially
from those in the forward-looking statements include, without
limitation, general economic conditions, including inflation,
higher interest rates and potential recessionary pressures; the
worsening of the effects from the coronavirus pandemic
("COVID-19"); COVID-19's scope, duration, resurgence and impact on
the Company's business operations, financial results, cash flows
and liquidity, as well as the impact on the Company's franchisees,
guests and team members, the hospitality industry and overall
demand for and restrictions on travel; the Company's continued
performance during the recovery from COVID-19 and any resurgence or
mutations of the virus; concerns with or threats of other
pandemics, contagious diseases or health epidemics, including the
effects of COVID-19; the performance of the financial and credit
markets; the economic environment for the hospitality industry;
operating risks associated with the hotel franchising business; the
Company's relationships with franchisees; the impact of war,
terrorist activity, political instability or political strife,
including the ongoing conflict
between Russia and Ukraine; the Company's ability to
satisfy obligations and agreements under its outstanding
indebtedness, including the payment of principal and interest and
compliance with the covenants thereunder; risks related to the
Company's ability to obtain financing and the terms of such
financing, including access to liquidity and capital; and the
Company's ability to make or pay, plans for, and the timing and
amount of any future share repurchases and/or dividends, as well as
the risks described in the Company's most recent Annual Report on
Form 10-K filed with the Securities and Exchange Commission and any
subsequent reports filed with the Securities and Exchange
Commission. The Company undertakes no obligation to update or
revise any forward-looking statements, whether as a result of new
information, subsequent events or otherwise, except as required by
law.
Contact
Rob Myers
Vice President, External Communications
Wyndham Hotels & Resorts
rob.myers@wyndham.com
Shanoop Kothari
President & Chief Financial Officer
LuxUrban Hotels Inc.
shanoop@luxurbanhotels.com
Devin Sullivan
Managing Director
The Equity Group Inc. (IR for LuxUrban Hotels)
dsullivan@equityny.com
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SOURCE Wyndham Hotels & Resorts and LuxUrban Hotels,
Inc.