CHICAGO—First Hospitality reports annual growth with the company’s hotel portfolio performing in markets across the United States. The company’s third-party operations portfolio continues to grow as well with the addition of properties in Iowa, Illinois, and Ohio. The management company also expanded its branded portfolio, adding several hotels including additions to the Marriott, Hilton, and Hyatt portfolio. The company added five more hotels totaling 1,053 rooms to the portfolio and 1,117 keys in development. Early in 2022, First Hospitality also took over management of the 250-key lifestyle independent Hutton Hotel in Nashville, Tennessee.
First Hospitality reports RevPAR Index gains over 2020 reaching and exceeding 2019 benchmarks. Key STR performance results from 2021 indicate a RevPAR Index of 126.4 percent, up from 124 percent in 2020, and 113.4 percent in 2019. The company launched a forecasting program through the pandemic, which allowed them to adapt to changing market conditions. Enhanced focus was also placed on property marketing initiatives and tracked through the First Analytics data analysis tool. The company increased direct channel contribution to 37.7 percent in 2021, an increase from 34 percent in 2019 and representing a 150 percent market share of direct bookings. Returns on paid media spend for the portfolio also increased to levels including a 17:1 ROI in 2021, up from 13:1 in 2020, and 12:1 in 2019.
“The hotel industry is on a positive trajectory,” said David Duncan, president and CEO of First Hospitality. “The vast majority of our hotels are growing market share, and we’re seeing strong recovery in occupancy in large part due to our data-driven approach to revenue management. Adaptability and agility have been instrumental to our success this year, and we’ll continue to navigate the pandemic recovery with this mindset and approach.”
First Hospitality continues to expand their associate base hiring on 1,150 new associates in 2021 including key appointments in the development area like Natalie Stone as the vice president of business development, Jason Hutcheson as the vice president of investments, and Justin Kaminski as the director of investments. More than 100 associates were also promoted last year on and above property, a result of the focus on talent development and promotion from within. Recent appointments include Jenna Fishel to senior vice president of revenue generation, Nick Johnson and Anthony Leitz to vice presidents of operations, Mike Kuzmar to vice president of revenue analysis, Mirela Longoni to vice president of revenue strategy, and Emily Penfold Dailey to vice president of marketing.
First Hospitality continues to pursue additional third-party management projects in medium and large lifestyle full-service, independent, and select-service segments. The company is targeting primary and secondary markets throughout the United States.
