Hotelier September Digital Issue

Extended

Sleek, modern, midscale — @HOME by Best Western is the flexible extended-stay option designed with developers in mind and backed by BWH Hotels’ powerhouse revenue delivery systems. Our options (not mandates) let you create the right fit for your market.

A TIME-HONOURED TRADITION

It may be back to school for students, but it’s also back to business for hoteliers, as we move away from the slower pace of the summer full-throttle into the busy fall season.

In addition to featuring several key topics in this issue, including our annual Hospitality Market Report, produced by CBRE, which provides an in-depth overview of the industry while taking the pulse of the industry, we’re also pleased to mark a special magazine milestone for Hotelier as we celebrate its 35th anniversary.

As we commemorate and celebrate this remarkable milestone, it’s hard to believe that almost four decades have passed since KML launched the industry’s first national hotel publication. As the founding editor of the publication, it’s so gratifying to see the growth and evolution of this magazine. In those early days, the magazine was produced four times a year in print.

Our intent was to create a national magazine that would chronicle the important news of the day, but also shine a light on the pivotal hoteliers and movers and shakers who make this industry what it is. Of course, we had no idea how the industry would respond, but in quick order we realized just how important the publication was to the industry, fostering a sense of connection among readers and contributors alike.

Over the years, Hotelier has established itself as a reputable and trusted source of information, offering insightful articles, compelling stories, and thought-provoking commentary. And, we’ve also created innovative products that continue to stand the test of time, including our infinitely popular “Who Owns What?” poster, created back in 1998 at the height of mergers and acquisitions. From its early days, the magazine has deftly navigated the shifting landscape of media, adapting to the needs and interests of our audience, pivoting in various directions, while remaining steadfast in our commitment to quality journalism.

As we celebrate this momentous milestone, I’d like to thank the writers, photographers and illustrators and thought leaders who have contributed to the magazine’s editorial vibrancy. But I also want to thank our loyal readership who have been the backbone of our magazine from day one. It’s your loyal support and interest that has allowed us to not only survive but thrive, fuelling a community of engaged readers who share a passion for knowledge. The letters, feedback, and stories that you’ve shared over the years have inspired and fuelled our creativity while shaping the magazine’s identity, making it a true reflection of our collective experience.

Of course, our success would not be possible without the ongoing support of our advertisers, who help sustain our business. Certainly, the publishing landscape is challenging these days as the print world continues to meld with the digital world. But our team is committed to continuing the tradition of excellence while embracing new technologies and innovative storytelling. The way we present those stories may be changing, but the strength of our content and the importance of the stories continues unabated. As we venture into our next chapter, we invite readers to join us in exploring uncharted territory together, discovering new voices, and engaging with the issues that matter most. ♦

ROSANNA CAIRA rcaira@kostuchmedia.com

ROSANNA CAIRA

Editor & Publisher

AMY BOSTOCK

Managing Editor

NICOLE DI TOMASSO

Associate Editor

COURTNEY JENKINS

Art Director

JENNIFER O'NEILL

Production Manager

TYLER BECKSTEAD

Web Manager

JIM SZABO

Digital Marketing Manager

JANINE MARAL

Social Media Manager

WENDY GILCHRIST

Director of Business Development

DANNA SMITH

Account Manager

ZACK RUSSELL

Sales & Marketing Assistant

DANIELA PRICOIU

Senior Accountant

ADVISORY BOARD

Andrew Weir, Destination Toronto; Anne Larcade, Sequel Hotels & Resorts; Bonnie Strome, Hyatt Hotels; Christiane Germain, Germain Hotels; Gopal Rao, Conestoga College; Hani Roustom, Friday Harbour Resort; Laura Baxter, Co-Star Reetu Gupta, Easton's Hotels; Ryan Killeen, The Annex Hotel Ryan Murray, The Pillar + Post Hotel; Stephen Renard, Renard International Hospitality & Search Consultants

HOTELIER is produced eight times a year by Kostuch Media Ltd., Mailing Address: 14 – 3650 Langstaff Rd. Ste. 33, Woodbridge, ON L4L 9A8, (416) 447-0888. Subscription rates: Canada: $25 per year, single issue $4, U.S.A.: $30 per year; all other countries $40 per year. Canadian Publication Mail Product Sales Agreement #40063470. Member of Canadian Circulations Audit Board and Magazines Canada. Printed in Canada on recycled stock.

All rights reserved. The use of any part of this magazine, reproduced, transmitted in any form or means, or stored in a retrieval system, without the written consent of the publisher is expressly prohibited and is an infringement of copyright law. Copyright, Hotelier 2024 ©

Return mail to: Publication Partners 1025 Rouge Valley Dr., Pickering, Ontario L1V 4N8

NEW Luxury Collection Aluminium Tubes

A low-impact, highly luxurious Hotel collection in our iconic Bath, Body and Hair Care fragrances. Made from 100% recycled aluminium.

THE LATEST INDUSTRY NEWS FOR HOTEL EXECUTIVES FROM CANADA AND AROUND THE WORLD

The new appointment comes after a comprehensive search process led by the Board with the support of an executive recruitment firm. Claude Paul Boivin served as the interim president and CEO. “His outstanding leadership and direction were crucial during this period of change and allowed the search committee the flexibility and time to find the right leader,” reads a release from HAC

CHECKING IN PASSING THE TORCH

Hotel Association of Canada appoints new president and CEO

The Hotel Association of Canada (HAC) has named Beth McMahon as its new president and CEO.

An award-winning association leader, McMahon brings extensive experience

to the role and is poised to lead the HAC into an exciting new chapter of growth and advocacy success. McMahon has been a transformative leader in association management for more than 20 years. Most recently, she served as CEO of the Canadian Institute of Planners, growing its membership by more than 40 per cent and substantially expanding its position with government and key partners. Prior to that, McMahon held the position of vice-president, Government and Public Relations, for the Canadian Vintners Association (now Wine Growers Canada).

“The Board is excited by the experience, expertise and energy that Beth brings as the new president & CEO of the Hotel Association of Canada," says Tony Cohen, Chair of the HAC Board of Directors. "Her proven leadership and strategic mindset, specifically within the association environment, will be instrumental in driving our initiatives forward and continue to build on the success of this association. We are thrilled to welcome her as the new leader of this high functioning team and organization.”

As the voice of the Canadian hotel industry, HAC remains dedicated to advocating for policies and initiatives that support the growth and success of its members. Under the guidance of McMahon, the association will continue to champion the interests of the hotel sector, with particular focus on addressing critical workforce issues, ensuring fair rules for short-term rentals, and strengthening Canada’s position as a competitive travel destination.

“I am honoured to join the Hotel Association of Canada at such a pivotal time for our industry,” says McMahon. “The hotel industry is a vital part of Canada's economy and culture, and I look forward to working with our members and partners to continue to build momentum, promote our industry’s value, and effectively influence and advocate on key issues.” ♦

TIME OF REFLECTION

After an illustrious career that spans more than 60 years, working in seven countries, Josef Ebner has announced he’ll be retiring, effective Nov. 15, 2024.

Ebner, who currently serves as regional VP, Canada & managing director at Langham Hospitality Group – Chelsea Hotel Toronto, Canada’s largest hotel property, has worked in 14 properties and seven countries, but the bulk of his career was spent leading the Chelsea Hotel for the past 32 years, where he oversaw the transition of the hotel brand from Delta to Chelsea (under Langham Hospitality Group) 11 years ago.

In a corporate memo from Bob van den Oord, CEO of Langham Hospitality Group, he stated Ebner’s “reputation, not only at the Chelsea Hotel, but across the hospitality industry, has been well recognized through various awards and accolades throughout the years such as the Hotel Association of Canada, Canadian Hotel and Marketing Sales Executives, the Greater Toronto Hotel Association, the Tourism Industry Association of Ontario, the Austrian Canadian Council, and SKAL. An especially proud moment for Josef was receiving the 2011 Decoration of Honour in Gold (Goldenes Ehrenzeichen) from the Province of Styria, Austria, and the 2001 Decoration of Merit in Gold (Goldenes Verdienstzeichen) of the Republic of Austria.”

In addition to an accomplished career, Ebner has always been committed to giving back to the community.

“The ability to give back to the community is not only an important philosophy of Langham, but it’s something he practices every day,” says van den Oord. “Under his direction, the hotel has conducted fundraising efforts and provided volunteers to benefit local as well as international charities. These have included the Juvenile Diabetes Foundation, Special Olympics Canada, and Habitat for Humanity. Since 2013, the hotel has donated more than $1 million in support of SickKids Foundation. On a personal challenge, [Ebner] raised money by climbing mountains such as Kilimanjaro, [raising] $30,000 for Special Olympics Canada, and Aconcagua, [raising] $25,000 for the Jane Goodall Institute of Canada.”

Since joining the Chelsea Hotel in 1992, Ebner has been passionately involved in promoting Canada as a destination through his participation on sales missions to Asia, Europe, the U.K, Middle East and the U.S. Additionally, Ebner has contributed to many tourism-related student/youth programs. At Cornell University, he has acted as a mentor to the Masters students. Locally, he sat on the Dean’s Advisory Council at the Ted Rogers School of Management at Toronto Metropolitan University. He also worked closely with many European tourism management schools that provide internships and personally mentors many of the students himself.

After working tirelessly for more than 60 years, Ebner now plans to spend more time with his wife Annette, and daughter Brigitte and her family.

SUSTAINABLE COMMITMENT

Green Key Global has announced its first-ever slate of board members and the appointment of Heather McCrory, a hospitality expert with 40 years of experience in the industry, as Chair.

McCrory recently served as CEO of Accor’s North American and Central American operations and currently advises the hospitality industry as principal of Heather J. McCrory & Associates.

She joins other top hospitality professionals who will guide Green Key Global, the world’s leading hotel sustainability certification provider, which is jointly operated by the American Hotel & Lodging Association (AHLA) and the Hotel Association of Canada (HAC).

In addition to McCrory, the other Green Key Global board members are Marianne Balfe, VP of Sustainability at Highgate; Claude Paul Boivin,formerly interim president & CEO, HAC; Kevin Carey, interim president & CEO, AHLA; Susie Grynol, market VP, Eastern Canada, Marriott Hotels; Brian Leon, CEO, Choice Hotels Canada; and Emilio Tenuta, SVP and Chief Sustainability Officer, Ecolab.

New program participants for 2024 include Marriott International, Choice Hotels and Four Seasons, which join existing major hotel company members, such as Accor, Best Western, Crescent Hotels & Resorts, Highgate, Hyatt, IHG Hotels & Resorts, and more.

“I’m delighted to chair Green Key Global’s first-ever board and serve with some of hospitality’s most accomplished sustainability leaders,” says McCrory. “Together, we’ll continue expanding the world’s only sustainability certification designed specifically for hotels throughout North America.”

STANDARD OF EXCELLENCE

The Ritz-Carlton, Toronto has joined the exclusive list of hotels as the 11th globally and the only one in Canada and within the Marriott International portfolio to be recognized by the Forbes Travel Guide as Responsible Hospitality Verified.

Responsible Hospitality is recognized by Forbes Travel Guide as the official sustainability verification for its community of star-rated hotels in more than 80 countries. It covers topics such as food and water waste, sustainable amenities, recycling programs, energy usage, health security, integration with the local community and culture, and more.

Designed in partnership with hotelier Hervé Houdré, Responsible Hospitality allows discerning guests to make purposeful choices based on consistent, expertly designed global standards.

“Responsible Hospitality is about creating a welcoming, luxurious experience for guests, while being considerate of the environment and human welfare,” says Houdré.

TAKING ACTION

The Parkside Hotel & Spa has become a signatory of the Glasgow Declaration on Climate Action in Tourism.

The Glasgow Declaration is a unified call to action for all stakeholders within the travel and tourism sector to address the urgent need for climate action collaboratively. It encourages a shared commitment to reducing emissions in tourism by at least 50 per cent over the next decade and achieving Net Zero as soon as possible before 2050.

The hotel will develop and implement climate action plans within 12 months, aligned with the five pathways of the Declaration – Measure, Decarbonize, Re-generate, Collaborate and Finance. Additionally, the hotel will ensure transparency and accountability by publicly reporting progress annually while fostering a collaborative spirit, working with other signatories to share best practices, solutions and information to accelerate the tourism sector’s response to the climate emergency.

Historically, concierges have stood as bastions of trust and expertise, positioned as crucial insiders to whom guests turn to for everything — from securing a reservation at a restaurant to obtaining tickets for a sold-out event. Tasked with handling a spectrum of requests, concierges ensure that each stay isn’t merely satisfactory but genuinely memorable.

Concierges often act as the initial point of contact, even before a guest’s arrival, cultivating relationships that surpass typical guest interactions. They evolve into confidantes and trusted advisors, proving indispensable to guests navigating unfamiliar environments. This role is particularly vital for those visiting a location for the first time, as it transforms potential unease into a comforting sensation of being at home.

Armed with knowledge and local connections, concierges not only enhance guest experiences but also fortify vendor relationships, emphasizing their critical role in the art of hospitality. Additionally, the concierge desk becomes a familiar haven for returning guests who often stop by to share their joys or simply to unburden their hearts, finding solace and friendship in the familiar faces of the concierge team. This ongoing interaction fosters a connection between guests and concierges, transforming the concierge service from a simple amenity into a cherished aspect of the hotel experience where guests feel genuinely cared for and valued.

In today’s digital era, the proliferation of the Internet and digital technologies have significantly altered the dynamics between guests and concierge services. Travellers can manage nearly every aspect of their journey through digital menus, utilizing an array of apps and platforms that provide instant access to information and services. This shift prompts an

MeMorable Moments

Despite technological advancements, the role of a concierge remains irreplaceable

BY HRISHIKESH J C

important question: What’s the role of a concierge in an age where extensive knowledge is readily accessible online?

The advent of the Internet and the expansion of digital technologies have revolutionized how guests interact with concierge services. Guests now arrive well-informed and keen to optimize their travel experiences. They often approach the concierge not merely for suggestions but to validate their online research, particularly regarding trendy dining locations. Whereas guests once sought a concierge’s recommendation for a fine-dining spot, they now come with explicit demands, such as reservations at restaurants known for their top reviews, celebrated chefs and significant social-media presence.

However, the notion of luxury has evolved from simple material indulgence to a bespoke, personalized experience tailored to the guest’s specific tastes and inclinations. At the heart of this tailored approach are concierges. With their ability to anticipate and understand guest preferences, concierges orchestrate experiences that aren’t only engaging but deeply rewarding. Whether recognizing guests by name, anticipating their needs, or offering tailored recommendations, concierges deliver a level of service that far surpasses any digital platform.

Consider a scenario where a guest has independently researched and booked a reservation at one of the city’s top restaurants. Upon learning of this, the concierge collaborates with the restaurant to further enrich the guest’s dining experience. When the guest arrives, they’re not only seated at the best table but also presented with a complimentary glass of champagne, a courtesy arranged by the concierge and delivered by the restaurant manager. This gesture exemplifies the concierge’s ability to leverage their local networks to provide memorable and personalized experiences, enhancing the guest’s visit through thoughtful, behind-the-scenes orchestration.

Concierges also serve as cultural ambassadors, enriching guests’ travel experiences by connecting them with the essence of their destination. From arranging private viewings at exclusive galleries or orchestrating intimate culinary experiences with renowned chefs, concierges ensure every aspect of the experience is personalized and authentic. Despite technological advancements, the role of concierges remains irreplaceable.♦

Hrishikesh

GROWING AGILITY

Agile principles transform the hospitality industry

BY CAYLEY DOW

Recently, my work brought me on an adventure into the technology sector where I was introduced to ‘agile principles’ for the first time, and ever since, I’ve been ponding their importance to work culture. Originally developed to improve software development in the tech industry, these principles have transcended their origins and are now transforming other industries, including hospitality. Agile methodologies promote iterative processes, team empowerment, and a people-centric approaches, all equally relevant to the rapidly evolving hotel industry.

THE ‘AGILE PRINCIPLES’ DEFINED

Agile principles improve operations, enhance customer experiences, and drive innovation. These include:

Guest-centricity: Guests are at the centre of every decision. Employees are empowered to go further to meet guest needs, even if it means deviating from standard procedures. Flexibility and personalized service are key to creating memorable experiences.

Adaptability and flexibility: Operations adjust swiftly based on changing circumstances, such as handling last-minute bookings, accommodating special requests, or re-assigning employees to meet shifting demands. Agility is being responsive and adaptable.

Empowerment and autonomy: This abandons the top-down structure and allows employees to make decisions on their own to enhance the guest experience. Guest agents, housekeeping, and restaurant servers are trusted to take initiative, resolve issues, and deliver personalized services without barriers.

Continuous improvement and learning: This means frequently gathering feedback from guests and employees, quickly learning from failure, and being open to experimentation. Whether it’s refreshing a menu, updating room amenities, or improving checkin procedures, continuous improvement is part of the culture.

Collaboration and communication: Front-desk staff, housekeeping, food and beverage, and maintenance teams must work together seamlessly to avoid silos and ensure a smooth guest experience.

GROWING AN AGILE CULTURE

Growing agility in the workplace requires a shift in both mindset and practices. Here are key strategies for an agile culture:

Cultivate a growth mindset: Encourage employees to embrace challenges and make decisions. Provide training to handle various scenarios and inspire ownership in their roles. This empowerment allows for quicker responses to guest needs without needing constant managerial approval.

Leverage technology: Utilize tech-driven systems to enhance operational agility.

Mobile check-in, AI-powered guest services, and smart room technology enable more personalized and efficient experiences. For example, AI can predict guest preferences from previous stays, adjusting room settings or offering tailored promotions. Real-time data on occupancy, preferences, and service performance supports agile decision-making.

Break Down Silos: Promote collaboration between different teams to share insights and address challenges. Engaging in cross-departmental discussions helps teams better respond to changing guest needs and operational demands.

Promote role flexibility: Encourage role flexibility and crosstraining. Employees should be trained in multiple areas to adapt as needed. Front-desk staff could assist with concierge duties during peak times, or housekeeping could support food-and-beverage services during events.

Agile teams are equipped with skills to handle disruptions. During the pandemic, agile teams were most swift to implement contingency plans, adjust operations, and maintain clear communication with guests and staff. Adopting agile principles, as the technology industry has, will be key to maintaining a competitive edge in the future.♦

Cayley Dow is the founder of Thrivity Inc. (thrivityhr.com), a human resources consulting and coaching firm that helps service-oriented businesses to thrive in the

world of work.

As Hotelier magazine celebrates a milestone 35 years of publishing in Canada, we’re taking you on a walk down memory lane by highlighting some of the people, places and events that have left a mark on the country’s hotel industry. From travel trends and hotel openings, to remembering colleagues we’ve lost along the way, our 35th-anniversary timeline shines the spotlight on the industry-wide coverage Hotelier magazine is known for.

1990

1992

In the face of Canada’s growing travel deficit, a group of more than 20 tourism and hospitality companies banded together to launch a “fix of six” travel-marketing initiative aimed at keeping Canadian tourism dollars inside Canada.

Dubbed “Experience Canada,” the initiative’s first promotion resulted in an extra 600,000 room nights in February 1992.

Delta Hotels & Resorts unveiled an $80-million, 650-room addition to Toronto’s Delta Chelsea Inn, bringing the property’s total room count to 1,590 and making the hotel Canada’s largest property.

1993

An especially tough year resulted in a number of receiverships across the country. Hotels changed hands and brands as much of the industry struggled to stay afloat.

1990

In response to a turbulent global economy, large-scale consolidation and increased internationalization were re-shaping the hotel industry, with M/A taking precedence over new development. At the 1990 Tourism Outlook Conference, Four Seasons Hotels president Isadore Sharp branded the ’90s a white-knuckle decade.

1994

Four Seasons’ chairman Isadore Sharp shocked the industry when he announced that the 44-property chain was for sale. That September, news broke of Prince Al-Waleed Bin Talal Bin Abdulaziz Al Saud’s bid for 25 per cent of the company for approximately $168 million.

1994

The creation of the Canadian Tourism Commission (CTC) was announced on Jan. 25, 1994. To mark this industry milestone, Hotelier named Commonwealth Hospitality’s Michael Beckley, Delta Hotels & Resorts’ Simon Cooper, and Canadian Pacific Hotels & Resorts’ Robert DeMone Hoteliers of the Year in recognition of their role in the development of the CTC.

2001

1997

The formation of the Canadian Hotel Investment Properties Real Estate Investment Trust (CHIP REIT) marks the emergence of Canadian REITs in June 1997, followed by Royal Host and Legacy REITs in November of the same year. A boom in REIT formation contributed to a buying craze that re-shaped the Canadian hotel landscape during the late ’90s. In fact, these three REITs invested a total of $1.2 billion in the Canadian hotel industry in 1997. The frenetic growth of REITs fuelled Hotelier magazine to launch the Who Owns What? poster the next year, helping the industry better understand the ownership landscape.

2002

Recognizing that the Internet had become the most popular option for potential guests to make reservations, an increasing number of hoteliers with websites saw a marked improvement in bookings. Data at the time showed Internet booking capacity had become a necessity, especially for corporate clients.

Days after the tragic events of 9/11, the Canadian hotel industry felt the ripple effect, with hotels across all markets and segments reporting occupancy drops of 30 to 50 per cent in September and October of that year. Many hotels were forced to reduce staff by as much as 20 per cent. Overall, the Canadian hotel industry revenue, which was worth $8 billion a year, was expected to drop by 30 per cent.

2003

Following the room cancellations reservations, prompting formation of Tourism Industry Coalition to business impact

Simon Cooper

1998

Starwood Lodging Corporation and Starwood Lodging Trust acquired Westin Hotels & Resorts in January 1998 and merged with ITT Sheraton in February 1998, resulting in the largest hotel and real-estate investment companies in the world. At the time, the combined portfolio boasted 650 hotels in more than 70 countries.

1999

Fairmont Hotels and Canadian Pacific Hotels merge, forming Fairmont Hotels & Resorts, a leading luxury hotel brand, which today boasts more than 60 landmark properties worldwide. The newly re-organized Fairmont Company shuttled several properties to its Delta Hotels subsidiary while retaining its other “signature” resorts and hotels from its former CP Hotel and Fairmont properties under the new Fairmont banner.

2000

The hotel industry saw Canada’s timeshare industry begin to gain traction. At the time, approximately 170 properties in Canada offered vacation-ownership options in year-round vacation regions such as Banff, Alta. and Whistler, B.C. The segment was identified as the fastestgrowing segment of the hospitality industry that year.

2003

the SARS crisis, cancellations outpaced prompting the the Toronto Industry Community address the impact of SARS.

2004

Before property-management systems burst onto the hotel scene in 2004, it could take hours to check in a group of guests. With PMS in place, that time was cut back to one or two minutes per person. But the high cost associated with implementing the technology had hoteliers questioning the investment.

2005

As telecommuting and re-location became the norm in the business world, Canadian hotel operators responded to the market conditions with extended-stay offerings, designing properties geared specifically toward that clientele.

2006

Hoteliers in Alberta and B.C. struggle with falling unemployment rates and an aging workforce. In response, the B.C. Human Resources Development Task Force formed Go2, an independent, non-profit industry association working with employers, employees, career seekers, educators, and the government to help operators recruit, retain, train, and develop employees to support industry growth.

2007

A new concept known as Airbnb launched, quickly becoming a thorn in the side of hospitality companies, which felt the company did not contribute to the local economies they serve. However, its impact was undoubtedly a boon for tourism – bringing millions of people to global cities and towns, including Canada.

2012

2014

2012

After five years of anticipation, the new Four Seasons Toronto opened its doors. The flagship property at Bay and Scollard marked the beginning of a new era for the company founded by Isadore Sharp more than 50 years ago.

Hotelier’s first Icons & Innovators breakfast featured Four Seasons founder Isadore Sharp, with the interview staged at the iconic hotel before its move to the new location. The article from that interview appeared in the May issue.

Kostuch Media Ltd. president and group publisher, Mitch Kostuch passed away in October of 2014.

2008

This was the year of the economy tier. Once perceived as the realm of non-branded and unflagged hotels, this segment began attracting the interest of developers with its potential for growth. The downturn in the U.S. economy, and the relative flatness of the Canadian economy, saw hotel developers looking to stylized versions of “once Spartan

2009

Ahead of the 2010 Winter Olympic and Paralympic Games, former Canadian PM Stephen Harper announced the Government of China had granted Canada Approved Destination Status. The result? An influx of big-spending tourists from China. According to Air Canada research, business opportunities through tourism added approximately $10 billion in revenues and 500,000 more Chinese arrivals per year.

2010

Homewood Suites by Hilton opened the first dual-branded hotel in Canada in 2010, joining with the Hampton Inn. As one of the first to push the trend of having two separate hotels under one roof, the deal allowed hotels to capitalize on synergies between brands.

Raffles and Swissôtel – expanding its portfolio to include 500 luxury and upscale properties. In Canada, the deal included iconic properties such as the Fairmont Banff Springs in Alberta, the Fairmont Royal York in Toronto, and the Fairmont Le Château Frontenac in Quebec.

The Indigenous Tourism Association of Canada (ITAC), a consortium of more than 20 Indigenous tourism industry organizations and government representatives from across Canada, is formed. 2016

Marriott International’s acquisition of Starwood Hotels & Resorts Worldwide, Inc. was one of the most significant hotel deals in history. The deal made Marriott the world’s largest hotel company, with a portfolio of 30 global brands, over 5,700 properties, and more than 1.1 million rooms. It also expanded the company’s distribution network in Asia, the Middle East, and Africa

WITHorg

2017

Canada’s 150th birthday was a huge boon for Canadian hotel spending. According to Destination Canada, Canadian residents made close to 110 million international overnight visits in 2017. In addition, Canada’s hotel industry grew 11.1 per cent over its strongest year in nearly 30 years.

2017

Hotelier partnered with Sequel Hotels & Resorts to launch a new organization called WITHorg and to develop the Women in Tourism and Hospitality Summit, Canada’s only conference dedicated to the advancement of women in the hospitality industry, hosting the first Summit at the Park Hyatt Toronto.

KML launched a program, The Design with winners honoured nine categories.

2020

The Black Lives Matter movement became an international phenomenon in 2020. As protesters took to the streets in cities across the U.S. in the aftermath of the police killing of George Floyd, a Black man in Minneapolis, Minn., so did demonstrators in other countries.

2020

The Hotelier team produced first issue (May 2020) home. It also marked the magazine did a print issue during history.

Scott Beck was named as the new president and CEO of Tourism Toronto.

a new awards Design Awards, honoured across categories.

2018

In June 2018, the Hotel Association of Canada (HAC), Tourism HR Canada, and the federal government announced the launch of the Employing Newcomers in Canadian Hotels Pilot Project, an initiative designed to help address chronic labour shortages within the industry. The three-year pilot program will see nearly $7-million dedicated by Immigration, Refugees and Citizenship Canada (IRCC) to connect newcomers to Canada with jobs in the hotel industry.

2019

Hotelier magazine celebrated 30 years as the voice of the Canadian hotel industry.

2019

Hotelier launches its Checking In podcast, which became a popular way to keep everyone updated during the pandemic.

2020 produced the 2020) entirely from marked the first time not produce during its 31-year history.

2020

With a timeline beginning in January with the first positive COVID-19 cases in Canada, 2020 will go down in infamy as business and boarders around the world shut down. The impact on the hotel industry was catastrophic, with properties shuttering and hundreds of thousands of employees (both propertylevel and corporate) let go.

2020

As a result of the pandemic, KML made the unprecedented decision to cancel its annual Pinnacle Awards. In its place, Hospitality Heroes was launched to honour companies and individuals making a difference during the pandemic. Hotelier winners were Hotel Association of Canada, Accent Inns, Fairmont Hotels & Resorts, Sandman Hotels.

In February, the hotel industry was rocked by the passing of Arne Sorenson, CEO of Marriott International, who lost his battle with pancreatic cancer. Sorenson became the third CEO in Marriott’s history in 2012 and the first without the Marriott surname.

2023

Paul Cahill is named SVP, Canada Operations at Marriott International, effective February 2024. Cahill succeeded Don Cleary, who will be retiring after more than 34 years with Marriott.

2021

Tourism Industry Association of Canada (TIAC) named Beth Potter to the role of president and CEO.

2021

KML, in partnership with the Easton’s Group of Hotels, launched an Anti-Racism Commitment Framework intended to help the foodservice-and- hospitality industry create a more equitable and just workplace, while also ensuring that diversity and inclusion are part of the fabric of their businesses.

The Chelsea Hotel, Toronto completed a $25-million refurbishment. The investment — the most extensive since 2013 — included 600 guestrooms in the Executive Tower, hotel corridors throughout the hotel and the modernization and refurbishment of the Executive Tower elevators.

The hotel industry a number and colleagues including Simon Klaus Tenter Vesley.

Hotelier magazine celebrated 35 years as the voice of the Canadian hotel industry.

2021

The Park Hyatt Toronto re-opened following a massive renovation that began in 2017. The COVID-19 pandemic delayed the renovation, which includes new interiors from Studio Munge, luxury guestrooms, a new world-class restaurant and rooftop lounge.

2024 industry lost of friends colleagues in 2024, Simon Cooper, Tenter and Nick Vesley.

2024

2022

The hotel world is saddened to learn of the sudden passing of legendary and respected hotelier John Williams, an icon in the industry who mentored many of

2022

Sara Anghel is named the new president & CEO the Greater Toronto Hotel Association, becoming the first woman to hold the role.

2022

In August, the hotel world lost a true leader with the passing of Silver Hotel Group president Deepak Ruparell. Ruparell, who accepted Hotelier magazine’s Pinnacle Award for Company of the Year in December 2021, was praised for his work with the association during the pandemic and well known for his philanthropic initiatives through The Ruparell Foundation, which he founded.

2024

The Pinnacle Awards celebrated 35 years as the Oscars of the Canadian hotel industry.

2024

Destination Toronto announced the appointment of Andrew Weir as president & CEO.

2024

Don Cleary, who served as president, Marriott Hotels of Canada since 2015, retired. During his tenure, he oversaw the acquisition and successful integration of Delta Hotels, which established Marriott as the largest hotel company in Canada, as well as the integration of Starwood Hotels & Resorts in Canada.

Susie Grynol left her position as president & CEO of The Hotel Association of Canada (HAC). During her tenure, Grynol spearheaded a turnaround strategy for the association, boosting membership by 3,000 per cent and elevating the association’s presence and impact on the Hill. Her leadership and deep commitment to the industry during the COVID-19 pandemic was monumental. As the founder of the Coalition of Hardest Hit Businesses, she led a group of more than 200 business associations through a series of government and publicrelations campaigns.

HOSPITALITY MARKET REPORT

THE KEY TO FUTURE GROwTH

SUPPLY WILL PLAY A PIVOTAL ROLE IN CANADA'S HOTEL INDUSTRY PERFORMANCE

BY NICOLE NGUYEN, SVP CBRE HOTELS

In 2024, the Canadian hotel industry is entering a period of relative calm after the storm. We’re now well removed from the COVID pandemic and its devastating impacts and through the period of accelerated growth which saw national RevPAR make a full recovery in just three years. Across the country markets have, for the most part, returned to or surpassed prior peak top-line metrics, with solid growth expected in 2024.

Supply is again playing a significant role in the industry’s performance in 2024. Between 2020 and 2023, the country only saw about 11,400 new rooms enter the market which is less than two years worth of growth in a four-year period. This year will again see relatively little supply growth (0.8 per cent) or 3,600 rooms, which is both a positive and a negative for the industry. On one hand, lower levels of supply growth may be limiting the ability to accommodate additional demand, particularly during peak periods. But on the flip side, the lower levels of supply have allowed the country to rebound to record occupancy levels and drive strong rate growth.

National demand growth for the year is projected to be a little less than half of a per cent adding approximately 450,000 occupied room nights. With

supply and demand generally balanced occupancy is expected to remain at a peak of 66 per cent.

Growth in ADR coming out of COVID was supported by a macro economic environment with high inflation along with the quick return of leisure travel and the element of “revenge travel.” With Canada’s GDP growth in 2024 projected to be just 0.2 per cent and inflation continuing to fall (dropping to 2.5 per cent in July), the macro economic environment has shifted. This alongside increased demand from contracted rate sources has pulled rate growth back to a level (~3.5 per cent) which is more in keeping with the long run trend of two to four per cent per annum.

While national RevPAR is projected to hit $133 this year, 125-per-cent ahead of 2019 levels, when you dig a little deeper a story emerges: the major markets* vs. the rest of the country. *All projections are rounded

In 2022 and 2023, the growth in demand was being led by the secondary and tertiary markets across the country where demand sources were more local and regional. This resulted in a faster recovery to prior peak demand levels and seasonal capacity constraints while excess capacity lingered in the major markets. In 2024, although demand growth nationally is projected to be about half of a per cent, this will come from the one

per cent demand growth projected in the major markets while the balance of the country is not expected to see any demand growth.

If we drill down into the major market fundamentals and look specifically and the downtown submarkets, it’s worth noting that with the exception of downtown Vancouver, the other major downtown submarkets remain several points off of prior peak occupancy levels for a couple of reasons.

First, in a number of the major downtown submarkets, there’s some softness in 2024 related to city-wide events. Given the length of the booking window for these types of events (threeplus years) the delayed impact of COVID is being felt in this segment now. During part of the period of time when these events were being booked there were still border restrictions, quarantine requirements and other measures in place in Canada due to the COVID pandemic. Market participants have indicated that due to the uncertainty at this time some of the city-wide events our markets should have secured selected other destinations.

Second, many of our major markets are being impacted by the dynamics of their respective office markets. In Canada’s major downtown markets office vacancy rates run from a low of 9.5 per cent in Vancouver to a high of 30.3 per cent in Calgary. While there has not historically been a direct correlation between office vacancy rates and corporate demand for hotel accommodation there is, at a minimum, a loose relationship. With higher vacancy rates, as well as the adaptation of virtual meetings, corporate travel demand remains below 2019 levels.

The Conference Board of Canada is projecting that although overnight visits to Canada in 2024 will be up 7.6 per cent over 2019 levels domestic business visits will be about two per cent behind 2019. Additionally, while total U.S. and overseas overnight visits will only be four-per-cent below 2019 levels, U.S. and overseas business visits will be 68 per cent and 82 per cent of 2019 respectively. As business visitation and corporate demand levels improve so too will the occupancy levels in the downtown markets.

As shown above, RevPAR growth in the major markets is projected to be stronger than for the rest of the country. In the major markets, supply and demand are projected to be

balanced and as a result the four per cent ADR growth should translate into four per cent RevPAR growth. For the balance of the country RevPAR growth is projected to be just two per cent as the three per cent ADR growth is eroded by supply growth outstripping demand growth.

Looking ahead the opportunity for growth in the industry will likely come from the major markets getting back to prior peak occupancy levels once specific sources of demand return. Additional growth is likely to be realized when new supply enters the market increasing capacity. Finally, if the industry is able to continue to drive positive ADR growth RevPAR will see solid year over year increases.

REGIONAL ROUNDUP

BY CBRE HOTELS & CBRE TOURISM CONSULTING

Heading into the year, the expectation was that 2024 would be the most moderate year of growth for the industry since the onset of the pandemic. With national occupancy already pushing up against historic peaks and a relatively limited amount of new supply, demand growth was projected to be modest. Following significant ADR and RevPAR growth through the recovery phase, both were projected to grow more in line with long run norms, two to four per cent in 2024. Based on the current forecast, national RevPAR performance is generally expected to be in line with these expectations, although there are certain markets and regions where the performance will deviate from the national trend. Its against this backdrop that CBRE has prepared its 2024 Market Forecast.

MAJOR METRO MARKET OUTLOOK

Canada’s major markets account for approximately 40 per cent of the total rooms across the country and have a significant influence on the national performance for the industry year to year. After realizing exceptional growth in RevPAR in every one of Canada’s major metro markets in 2023, the pace of growth is expected to be much more muted in 2024. It's against this backdrop that CBRE has prepared its 2024 Market Forecast. *All projections are rounded

VANCOUVER

The provincial economy in British Columbia is facing some headwinds in 2024, however, the regional accommodation market continues to push forward on the strength of tourism. After posting

a record- breaking cruiseship season in 2023, the city is expected to surpass last year’s passenger numbers with a new record of 1.27 million passengers in 2024. Similarly, passenger statistics at YVR in 2024 are pacing well ahead of last year and total volumes may reach pre-pandemic results by year end for the first time. Helping to boost these passenger volumes and visitation to the city in general, has come, at least in part, from the airlines. There were several new routes announced this year, as well as increased frequencies and capacities on some routes into Vancouver.

How this translates for the local accommodation sector is another year of strong occupancy. Room demand is expected to be mostly flat for Metro Vancouver in 2024, however, projected market occupancy at 79 per cent is considered very healthy and is the highest nationally. A modest number of new rooms to the market will be wholly absorbed as some demand growth is expected downtown and in other suburban markets. Market wide ADR is proving its has strong momentum with relatively robust growth expected across all submarkets. Growth of 6.5 per cent or $17 is projected for market ADR. Overall, RevPAR for Metro Vancouver is projected to improve six per cent to $224, the best in the country another year running.

VANCOUVER

Source: CBRE Hotels

CALGARY

In terms of the provincial economy, Alberta is expected to be among Canada’s growth leaders in 2024 in real GDP, which is forecast to outpace national growth rates. The Trans Mountain Pipeline is officially in operation, which is helping to improve export capacity and boosting energy production. Significant growth in population for the province is driving activity in the construction sector and consumer spending, and the province is diversifying its economy with growth in non oil and gas sectors.

With respect to tourism, the Calgary Stampede set a new all-time record for attendance in July 2024, surpassing the previous record set in 2012. The event saw close to 1.48 million visitors, a 4.9-per-cent increase over the previous record. Likewise, the Calgary International Airport broke its previous record for passenger volumes in 2023 and is ahead of last year’s pace in the

RevPAR Growth

first half of 2024. In June, the expanded BMO Centre at Stampede Park officially opened, making its convention space the largest in western Canada.

Occupancy for the Calgary accommodation market for 2024 is projected to reach 67 per cent, which is well ahead of pre-pandemic results and inching closer to past highs. Occupancy growth, at least in part, is attributable to a lack of any substantial new supply in 2024. In terms of ADR, growth of two per cent for Calgary overall is projected for 2024, reaching $178. Contrary to the norm, downtown Calgary’s projected rate growth is underwhelming relative to its demand growth. The pace of growth has not been there at least in the first half of the year. With that being said, RevPAR in greater Calgary is projected to improve a healthy six per cent on the strength of demand growth.

CALGARY

Source: CBRE Hotels

EDMONTON

Edmonton is gathering momentum in 2024 alongside the strides being made provincially. The city has experienced strong population growth due to its relatively affordable housing, which has helped to push up consumer spending, despite recent inflation and interest rate pressures. Edmonton’s office and industrial markets have had continued positive absorption recently, which has led to decreased vacancy rates and expected rental rate growth. And retail has experienced a strong bounce back since the pandemic.

While there were early season wildfires in the northern half of the province that may have tempered at least the perception of upcoming travel, any concerns seemed to be quickly offset by a strong Oilers playoff run.

Passenger statistics at Edmonton International Airport show continually improving traffic through the airport post-pandemic - volume is up 2.3 per cent through two quarters relative to the

same period in 2023. Passenger volume in 2023 reached 7.5 million, compared with 8.15 million in 2019.

From an accommodation perspective, supply growth in the Greater Edmonton market has been very moderate over the last few years after experiencing years of significant growth. As a result, the gains in market demand are leading to improvement in occupancy, which in 2024, is projected to reach 61 per cent, the first time the market has achieved better than 60 per cent since 2015. Very healthy rate growth is expected downtown and in each of the submarkets, which is leading to projected ADR growth of 7.5 per cent overall – a very strong result considering the nine per cent rate growth posted in 2023. RevPAR for the Greater Edmonton accommodation market is projected at $89 in 2024, up from $79 in 2023.

EDMONTON

Source: CBRE Hotels

REGINA

While Regina’s economy has been moving along at a relatively steady pace for a number of years, the accommodation market has had to work hard to try to recover from occupancy levels that were eroded by a significant volume of new supply to the market over a five-year period beginning in 2013. And despite a number of years with very little in the way of new accommodation supply thereafter, the pandemic made the road to recovery even longer.

In 2024, total occupied room night demand for the Regina market is projected to reach above pre-pandemic levels. Outpacing growth in supply, room demand is projected to increase by five per cent, pushing occupancy up two points over 2023. Encouragingly, market ADR is projected to be $137 in 2024, which is an historic high for the market. Overall, RevPAR for the Regina market is expected to increase to $77 in 2024, up approximately seven per cent.

REGINA

Source: CBRE Hotels

SASKATOON

Economists are projecting economic growth for Saskatoon in 2024 due to population growth, steady commodity pricing in potash, uranium and canola, and significant capital investments from both the private and public sectors.

In 2023, passenger volumes at the Saskatoon Airport reached to within 85 per cent of the pre-pandemic volumes and every month to mid year 2024 has outpaced last year. In fact, in more recent months, passenger volumes have outpaced even 2019 levels by up to five per cent per month.

Saskatoon enjoyed healthy RevPAR growth at 21 per cent in 2023 due to improvements in rate and demand in equal measure. A much more muted performance is expected in 2024, albeit at a still healthy 5.5 per cent projected growth in RevPAR. Demand is expected to inch forward to push occupancy up by one point, while ADR is on pace to finish about $6 or four per cent ahead of 2023.

SASKATOON

Source: CBRE Hotels

WINNIPEG

A steady and diverse economy helps to keep Winnipeg in a good economic position year over year, however, in 2024, the economy is expected to slow before picking up again in 2025. Tourism is a bright spot in the local economy as visitation increases year over year, including from international markets. The city continues to host several large events and festivals and Indigenous tourism is on the rise. At least from an accommodation market perspective, 2023 will be a tough

SWEETER DREAMS START HERE

Your dream of building a new hotel is within reach. Join a growing community of hoteliers who have opened or are developing a Sleep Inn® — a unique midscale brand that balances the modern, nature-inspired look and feel your guests crave with the low development and operational costs your business needs to thrive.

Sleep Inn is a stylish hotel with the wellness-focused conveniences travellers of today and tomorrow prefer. Every inch of the Scenic Dreams™ Sleep Inn® Prototype & Design Package is designed for operational e ciency to help provide your best return on investment. And paired with Choice Hotels’ award-winning support, you’ll be set up for success from the start.

The Sleep Inn experience brings to life an uplifting design that is an excellent fit for any hotelier.

year to beat for the Winnipeg market. A perfect storm of a strong local economy, recovery from the pandemic, and Ukrainian refugees housed in hotels, led to the city’s best-ever occupancy, ADR and RevPAR results by a wide margin. While it is expected that there will be some contraction in demand in 2024, the market is projected to continue to build off of recent gains in ADR. Overall, it is projected the market will see occupancy finish at 73 per cent, down four points from 2023, but with a 4.5-per-cent lift in rate. RevPAR is projected to be just $1 behind 2023 results.

WINNIPEG

Source: CBRE Hotels

TORONTO

The Greater Toronto Area has seen good economic and tourism recovery over the last couple of years, however, 2024 is expected top see a modest contraction in GDP and employment growth. Nonetheless, Toronto remains the economic centre of Canada and conditions over the coming years are expected to improve.

On the tourism side most visitor segments have returned and exceed 2019 levels with the exception of overseas and domestic business which are both in the range of 90 per cent of pre-pandemic levels.

Supply growth in the GTA slowed in 2023 to about two per cent with approximately 850 new rooms opening. It’s expected that supply growth will grow at a similar pace in 2024 as well. The supply is fairly well dispersed across the Toronto sub-markets. Following 11 per cent demand growth last year, lead by the downtown Toronto sub-market, occupancy improved to 74 per cent. In 2024, supply and demand in Toronto are projected to grow in balance with occupancy remaining flat at 74 per cent.

In 2023, ADR growth was very strong at 13 per cent as demand growth in the

shoulder and low periods allowed for stronger rate yield. The market ADR increased by $26 to $228. After a strong start to the year and major events in the latter months including TIFF and the Taylor Swift concerts, it’s projected that ADR will grow by 2.5 per cent, increasing by $5 to $233. The stable occupancy levels and improvement in ADR should drive RevPAR improvement of approximately $4, or three per cent for 2024 following the 23-per-cent increase in RevPAR realized in 2023.

TORONTO

Source: CBRE Hotels

NIAGARA FALLS

Niagara Falls is one of Canada’s predominant destination leisure markets with travellers from across the country and around the world visiting each year to experience the Falls and various attractions in the area. Visitation to Niagara has rebounded with total visits in 2024 expected to be up over 2019 by eight per cent. The U.S. and overseas visits are still somewhat below 2019 levels but are expected to rebound fully in 2025.

In 2023, Niagara Falls saw a 25-per-cent increase in demand driving occupancy up to 69 per cent. While some of the demand growth was linked to increased U.S. and international individual and group (i.e. tour) travel, there was also non-traditional demand in the market. These conditions were also evident in the market ADR growth being only three per cent. While RevPAR growth of 29 per cent or $32 was significant, it wasn’t expected to hold in 2024.

With no supply changes projected for 2024 and the bulk of the non-traditional sources out of the market occupancy is expected to drop by six points to 63 per cent as the result of an eight-percent decline in demand. However, with this demand, out of the market ADR is showing strong growth through the first

half of the year with the summer and fall expected to be strong as well. The market is projected to see ADR growth of 15 per cent or $31, increasing to $238 in 2024. The significant improvement in ADR will offset the decline in occupancy and RevPAR is projected to increase by six per cent or $8 to $150.

NIAGARA FALLS

Source: CBRE Hotels

OTTAWA

As Canada’s capital city and the seat of the Federal Government, Ottawa’s economic performance is closely tied to government and government-related business. Public administration accounts for about one third of the region’s annual GDP. In 2023 GDP growth was estimated to be 3.1 per cent slowing to just 0.7 per cent in 2024 before rebounding in 2025.

Total overnight visitation to the region was up 15 per cent in 2023 surpassing 2019 levels with another five-per-cent growth projected in 2024. While U.S. visitation levels have largely recovered, overseas visitation is sitting at 93% of 2019 in part due to some geo-political dynamics.

Both occupancy and ADR grew significantly in 2023 up seven points

and 11 per cent respectively. The strongest demand growth took place in downtown Ottawa which recorded a 19-per-cent increase with no changes to supply. This demand was driven by increasing in-person government and the related corporate business as well as meeting and conference activity. As a result of the improved conditions, RevPAR grew by 24 per cent to $134 finally surpassing pre-pandemic levels.

In 2024, the Ottawa market is projected to see occupancy hold flat at 69 per cent as demand and supply are expected to contract modestly. Market ADR is projected to improve by two per cent or $5 to $201 in 2024. As a result of the flat occupancy and the growth in ADR market RevPAR is expected to finish at $138, a $4 or three-per-cent improvement over last year.

OTTAWA

MONTREAL

GDP growth for the Greater Montreal Area was forecast at 1.7 per cent in 2023 and expected to slow to 0.7 per cent in 2024 before recovering to 2.7 per cent in 2025. The economy in Montreal is experiencing significant growth in manufacturing and retail & distribution. In addition, the housing market is holding up a bit better than others. The Greater Montreal Area saw some of the quickest rebound in visitation, exceeding it’s 2019 levels back in 2022. Montreal has had a significant number of international visitors, not only from the U.S., but also from Europe (namely France) due to its linguistic and cultural ties. While these segments of visitation have returned to almost 2019 levels the visitation has been buoyed by domestic pleasure travel.

Occupancy in 2023 jumped to 71 per cent, nearing pre-pandemic levels with downtown generating more than 850,000 occupied room nights and making the greatest contribution to the

wider market’s performance. The two per cent supply growth was more than absorbed by the 15 per cent demand growth. The increase in occupancy along with the 10 per cent ADR growth resulted in RevPAR improving by 23 per cent to $160.

Although there has been modest demand growth through the first part of the year the supply growth in the market has outstripped this and occupancy has dipped. This trend is expected to persist through the balance of the year. Demand growth for Montreal in 2024 is projected to be one per cent against a two per cent supply growth which will result in occupancy falling one point to 70 per cent. The market is expected to see rate growth continue in 2024 and ADR is projected to increase two per cent or $4 to $231 for the year. The growth in ADR will help to offset the decline in occupancy. Overall, RevPAR in the Greater Montreal market is expected to improve by one per cent, increasing $2 to $162 in 2024.

MONTREAL

Source: CBRE Hotels

QUEBEC CITY

Quebec City features a diversified economy and is the seat of the Provincial Government. GDP growth in the region was strong in 2023 at 2.9 per cent and while it’s expected to slow in to 1.2 per cent in 2024 over the medium term it’s projected to be in the range of 2.5 to three per-cent per annum. With a significant amount of domestic pleasure and overseas visitation to the city driving robust leisure demand, the city also sees consistent year round demand from government and meeting conference business.

In 2023, Quebec City saw a significant improvement in overall accommodation demand, which grew by 19 per cent and helped lift occupancy by 11 points to 68 per cent. The increased demand in the market was driven by leisure but also increasing government and

meeting/conference business. Demand in the market is expected to much more moderate growth in 2024 increasing by two per cent and pushing occupancy up another point to 69 per cent. The market saw a strong start to the year particularly with meeting/conference activity.

Market ADR saw about four-per-cent growth in 2023 as much of the demand growth was concentrated in the shoulder and low seasons and with lower rated demand segments. The strong occupancy and solid ADR growth resulted in a 23-per-cent increase in RevPAR which was up $28 to $152 in 2023.

While slightly lower than 2023, rate growth in Quebec City is expected to be positive in 2024 at three per cent, lifting ADR to $230. Overall, RevPAR in the market is expected to improve four per cent in 2024 as a result of the good rate growth and solid occupancy, increasing $6 to $158 for the year.

QUEBEC CITY

Source: CBRE Hotels

HALIFAX/DARTMOUTH

Halifax/Dartmouth is the economic centre of Eastern Canada. After being fairly flat in 2023 GDP growth in 2024 is projected to be 2.1 per cent with a slight uptick in employment. The economy in Halifax continues to expand into new sectors and the post-secondary institutions are bringing additional recognition to the area. As with many other markets, visitation levels in 2023 are projected to exceed 2019 and while total expenditures are up as well, the U.S. and overseas markets have not fully recovered.

The accommodation market in Halifax/Dartmouth saw occupancy recover beyond 2019 levels in 2023 at 71 per cent. The strong demand growth and high levels of leisure travel drove a significant improvement in ADR which was up 14 per cent to $206. Overall, the market saw RevPAR improve by 22 per cent or $27 in 2023 to $147.

Source: CBRE Hotels

A more muted performance is expected in 2024, with RevPAR in the Halifax/Dartmouth market projected to remain flat at $147. Demand is expected to be up by about two per cent, which will be outpaced by nearly five per cent supply growth eroding occupancy by two points to 69 per cent. ADR growth for the market is expected to be solid at three per cent, helping to stabilize RevPAR in 2024.

HALIFAX/DARTMOUTH

Source: CBRE Hotels

ST. JOHN’S

Economic activity in St. John’s is driven by the region’s focus on natural resources, specifically offshore oil and gas development. Additionally, since St. John’s is the capital city of the province, it provides a significant amount of the consumer and government services for residents. GDP growth was solid in 2023 at 2.2 per cent and is projected to be 2.1 per cent for 2024. Provincial visitation in 2023 was just below 2019 levels and is expected to exceed these in 2024. As a highly seasonal and less leisure driven market domestic travel makes up the bulk of the visitation to the province with only a minor amount of U.S. and overseas visitation.

In 2023, the St. John’s market saw a dramatic increase in the top-line performance metrics driven by non-traditional demand sources, specifically the Ukrainian refugee program. The market finished with a RevPAR of $112 based on a 73 per cent occupancy and an ADR of $154. This represents the strongest RevPAR performance for this market since 2013/2014.

Since the beginning of the year the market has experienced month-overmonth contractions in the occupied room night demand with the absence of the non-traditional demand that buoyed the market last year. As a result, it’s projected that market demand will

contract by 12 per cent in 2024 with occupancy falling eight points to 65 per cent. Even with the contraction in demand the market is seeing strong ADR growth which is expected to continue through the summer months with leisure travellers. While the market is projected to realize six-per-cent growth increasing ADR by $9 to $163, the decline in occupancy is expected to outweigh this, resulting in RevPAR contracting by five per cent or $6 to $106.

ST. JOHN'S

Source: CBRE Hotels

* All projections are rounded.

NATIONAL MARKET OUTLOOK

The projections for the national accommodation market are a roll up of the projections completed for the various major markets as well as the provinces and territories across Canada considering the various economic, travel and supply and demand dynamics at play. While the national forecast provides a macro, directional indication of industry performance, there are numerous factors that will impact the recovery and performance of individual markets, such as, supply, the sources/mix of guestroom demand and seasonality which impact the performance results for 2024 and beyond.

After increasing by 0.7 per cent in 2023, national accommodation supply is projected to increase by another 0.6 per cent in 2024. In the coming years as the pace of new build projects picks up with the improved market operating

conditions and financing environment as well as some easing of construction costs and supply-chain issues supply growth should return to levels more consistent with the long run average.

Following the almost 11 per cent demand growth last year, challenging conditions in some markets, along with only moderate demand growth in others, are projected to result in national accommodation demand remaining essentially flat to 2023. With supply ever so slightly outpacing demand growth in 2024, national occupancy is projected to drop one point to hold at 66 per cent.

Nationally, the rate growth has been solid through the first half of the year, and this is expected to be the case for the rest of the year. National ADR is projected to grow by 3.5 per cent in 2024 and increase by $6 to $203. With occupancy expected to hold in 2024, RevPAR growth of three per cent is projected to be driven by the improvement in ADR. National RevPAR is projected to increase to $133, up $4 from 2023. ♦

NATIONAL

Source: CBRE Hotels

RELAX LIKE A GUEST

Effortless work orders, on-the-go PM solutions for your convenience.

Unwind and let us manage your day saying goodbye to complexity—we provide all the tools. Submit work orders on the fly, handle PMs hassle-free, and effortlessly monitor assets with insightful inventory trend analysis.

Try Quore today and learn to relax like a guest.

Robert Birdsong, Jr. Maintenance Technician, Hilton Green Hills

POISED FOR

the global hotel industry continues its

At the beginning of the year, experts predicted that the global hotel industry was poised for a major rebound in 2024 and 2025, moving past the impacts of COVID-19 into a period of growth. According to Kelsey Fenerty, manager of Analytics at

STR, globally, most markets have now almost reached pre-pandemic demand levels and far exceeded pre-pandemic ADR and RevPAR levels; most regions anticipate continued YOY growth in RevPAR this year as well.

“Most regions are performing well year-to-date (YTD),” says Fenerty. “Occupancy growth has reverted

back to ‘normal’ growth levels, and the Middle East and Asia (excluding China) reported strong YOY growth YTD. Asia Pacific (APAC) OCC (occupancy) growth is underpinned by a weaker 2023 and bigger return to travel in 2024, while Middle East OCC growth comes courtesy of the region’s continued expansion into

FOR GROWTH

its post-pandemic growth trend

international tourism, with Saudi Arabia a key driver as it continues to implement its Vision 2030 plan.

In terms of hotel segments, Fenerty says groups have been a major demand driver across Europe. Weekday demand — which is most frequently corporate travellers — has also been great in Europe, with weekend demand

a bit softer YOY as leisure travel reverts to normal patterns. Branded hotel development is another key global theme, with luxury and upper-upscale rooms expecting the strongest growth and midscale and economy pipelines relatively light.

“Demand growth in China has been slightly slower YTD, with major

BY AMY BOSTOCK

markets still struggling with a slower recovery to international inbound demand. Outbound travel from China has picked up as well, although the domestic market is so strong that any impact to domestic demand as a result of increased outbound travel should be limited,” says Fenerty, adding the Middle East has been modestly

hampered by regional tensions and new supply, but overall continues to grow both business and leisure demand, “with no signs of stopping as regional travel initiatives continue to progress.”

Many of the markets with the strongest pipelines are working to revamp/expand their tourism sectors.

According to STR data, Saudi Arabia is an obvious frontrunner, but Vietnam and Cambodia in SEA, as well as many African countries, all have a significant number of rooms under development.

“Markets with lighter pipelines tend to be geographically constrained (e.g., islands where there is limited space to build) or have high costs associated with development,” says Fenerty.

EUROPE

In terms of RevPAR growth, at more than five per cent, Europe has outperformed the APAC and Americas (where growth is now under three per cent) but is showing slower growth compared to the Middle East and Africa (more than nine per cent) YTD.

“We’re seeing a marked uptick in investment volumes in 2024, largely driven by the stabilization of interest rates, and this has spurred an investment revival in several key markets including the U.K., Ireland, and Italy,” says Ronald Chan, associate director, Hotels Research, Europe at CBRE Hotels, adding CBRE expects a mid-single digit increase in RevPAR this year, and a low-single digit increase next year for Europe.

Kenneth Hatton, head of CBRE Hotels, Europe, says investors will continue to target the markets with a favourable demand/supply dynamic and expects Spain, Italy and France to benefit from further growth potential, “as these countries are expected to see slower-thanaverage pipeline growth in the coming years alongside sustained growth in inbound tourist arrivals.”

He also notes that Greece, which experienced a record 2023 with more than 32 million overnight tourist arrivals, is expected to grow by a further nine per cent and 11 per cent year-over-year in 2024 and 2025, respectively.

Hattan cautions that the perception of over-tourism in certain markets will continue the pressure to maintain or enforce new bans on additional hotel development in cities such as Amsterdam, Barcelona and Venice, so the development environment in such markets will remain particularly challenging.

“Mixed-use developments will continue to grow in adoption as hotel operators are becoming increasingly adept at integrating with adjacent facilities,” Hatton adds. “They’re also more open to standalone branded residential projects, and we see this becoming more common.”

In terms of segments to watch, he says the ability of luxury to price well ahead of inflation has attracted a whole new category of buyers to that segment over the past two years. “At the other end of the scale, the leaner model of the rooms-led economy segment, with little-to-no staffed F&B operation, has become more attractive for its operating model. The segments in between, with full-service operations that are aimed

at guests who are more price-sensitive than the luxury customer, are coming under more scrutiny.”

MEXICO, THE CARIBBEAN AND CENTRAL AMERICA

Juan Pedro Saenz-Diez, senior vice-president for CBRE Hotels in Mexico, the Caribbean and Central America, says Los Cabos, Cancun and Mexico City are expected to have the strongest fundamental performance in 2024. It’s estimated that 2024 will be a record year for travel and tourism in Mexico, contributing $264 billion to GDP. This figure represents an increase of almost three per cent compared to 2019 levels, generating 7.56 million jobs, equivalent to 13 per cent of total jobs in Mexico. By 2034, tourism in Mexico is expected to contribute more than $354 billion to Mexico’s GDP, representing 15.8 per cent of the national economy and providing employment to 9.3 million people.

“Los Cabos is likely to be a high-demand destination in 2024,

according to investors, which is increasingly becoming a luxury market for its visitors,” says Saenz-Diez. “In this context, the Mexican and Caribbean markets continue growing, promoting the destination and improving its infrastructure with projects such as the new International Airport in Tulum and the Mayan Train.”

Apart from these three locations, he says Puerto Vallarta-Riviera Nayarit are also showing strong market fundamentals that should increase with the completion of the Guadalajara Vallarta Road and the expansion of PVR International Airport.

“We also expect an increase in small cities such as Puerto Escondido, Holbox or Todos Santos for ‘Barefoot Luxury,’ for travellers looking for trips to luxury boutique hotels with eco-friendly activities at a slower pace,” says Saenz-Diez.

“There’s strong guest demand for luxury properties in the Caribbean and Latin America region, so we’re bolstering our portfolio with our exclusive Small Luxury Hotels of the World patnership as well as planned openings like Waldorf Astoria Costa Rica Punta Cacique, opening later this year, which will be the first Waldorf Astoria branded hotel in the country,” says Bill Fortier, senior vice-president, Development, Americas, Hilton. “In the Caribbean and Latin America, we recently opened our 225th hotel this year, following a year of record room growth in 2023. We’re expecting to surpass 300 hotels trading in the region within a few years.”

Fortier says Latin America and the Caribbean are prominent growth regions for Hilton and last year the global hotel chain signed more than 35 new hotel deals, bringing its overall pipeline to 110 properties. “Mexico is Hilton’s largest operating market in the region with more than 90 hotels open and more than 30 hotels under development,” he says. “With six hotels in operation in the Dominican Republic and more than 10 in development, Hilton plans to nearly triple its footprint in the country with notable openings including the new-build, 502-room Zemi Miches All-inclusive Resort, Curio Collection by Hilton, set to open in late 2024.” Hilton has 10 hotels and resorts in

Argentina and expects to double its footprint in the coming years, “while Brazil will continue to be a top priority for our growth, with plans to introduce two new brands in the country, Homewood Suites by Hilton and Motto by Hilton.”

MIDDLE EAST

The KSA (Kingdom of Saudi Arabia) market is expected to enter a five-tosix-year transitional period due to the amplification of the Saudi Vision 2030 initiative, resulting in anticipated demand growth momentum across both corporate and leisure demand segments.

According to Ali Manzoor, head of Hospitality, Hotels & Tourism in the Middle East for CBRE, the UAE market is also expected to experience increased growth. “While Dubai has historically been the regional standout, investor interest has been accelerating in other emirates as well, particularly in Ras Al Khaimah due to the associated announcements regarding gaming and the observable progress of the Wynn resort.”

Fenerty says while the Middle East has been modestly hampered by regional tensions and new supply, “overall [the region] continues to grow both business and leisure demand, with no signs of stopping as regional travel initiatives continue to progress.”

In fact, in 2023, international tourism arrivals were 149 per cent higher than in 2019, and CBRE expects strong growth to continue in the short-term with the continued delivery of key demand generators.

ASIA PACIFIC

According to data from CBRE Hotels, all markets in the Asia-Pacific region (with the exception of Maldives) have seen increases in RevPAR performance YOY as of May 2024 YTD, with ADRs remaining mostly stable across the region.

Although airline capacity in Asia Pacific is yet to fully recover to pre-pandemic levels, CBRE forecasts that total international tourism arrivals should reach 2019 levels by the end of this year. While ADRs are expected to normalize in most markets, OCC growth in well-managed assets should drive revenue growth.

STR data shows demand growth in

Zemi Miches All-Inclusive Resort, Curio Collection by HiltonExterior Rendering

China has been slightly slower YTD, with major markets still struggling with a slower recovery to international inbound demand. “Outbound travel from China has picked up as well, although the domestic market is so strong that any impact to domestic demand as a result of increased outbound travel should be limited,” says Fenerty.

Henry Chin, global head of Investor Thought Leadership & head of Research, Asia Pacific at CBRE Hotels, says Mainland Chinese tourists are demonstrating a much greater level of outbound activity in 2024, with travellers returning to markets such as Japan, Korea and Southeast Asia. Visa-free entry and weaker currencies are playing pivotal roles in the return of the mainland Chinese demographic.

UNITED STATES

Rachael Rothman, head of Hotels Research & Data Analytics at CBRE Hotels says “in the U.S., we’ve seen strong performance out of certain smaller markets this year, such as Cleveland, which were boosted by the eclipse. We don’t believe the trends seen in the first few months of the year are necessarily indicative of longer-term trends and instead believe

they demonstrate the power of special events to boost demand and RevPAR growth.”

In terms of which markets expected to show the strongest performance over the next few quarters, she says CBRE would highlight New York City, Boston, Washington, D.C., and San Jose.

“We continue to see development focused in three areas: extended-stay hotels, branded residential — sometimes combined with a luxury resort, and traditional limited- and select-service hotels.”

Fortier says Hilton’s focused-service brands are currently leading the company’s growth in the Americas, as in much of the world. “However, we’re also focused on capitalizing on new opportunities to open hotels under our full-service, lifestyle and luxury brands. There’s clear appetite for our lifestyle brands in the Americas and, globally, it’s a segment in which we expect to double our portfolio over the next four years.”

The company recently opened its first new build Signia by Hilton property in Atlanta, and in the coming months Fortier says it will debut its first LivSmart Studios by Hilton hotel. “We also continue to focus on conversion projects for the Spark by Hilton brand across the U.S. and beyond.”

Looking ahead, Rothman says group travel remains solid and stronger urban demand trends signals continued improvement in inbound international travel, which increased 15 per cent year-over-year in June, as well as improvements in corporate travel.  ♦

TRANSFORMATiVE TRAiNiNg

Training programs that empower and inspire are key to a stable and effective workforce

BY DANIELLE SCHALK

Ensuring successful employeeemployer relationships is essential to hospitality industry success.

And, effective training forms the backbone of all of this.

“Having trained thousands of participants for hotel roles, we’ve found that top-notch training programs are key to attracting and keeping the best talent,” shares Mandie Abrams, executive director of Toronto-based Hospitality Workers Training Centre (HWTC). “Effective training shows a commitment to employee growth and development, which significantly boosts

job satisfaction and retention.”

Robin O’Hearn, area director, Human Resources, Canada, Marriott International, agrees. “The data is very clear. T he core values that candidates are looking for when selecting an employer are a place where they belong, where they can grow and develop their careers and achieve their personal goals,” she explains. “When associates can see their path forward, see where they belong in the organization and know where they’re going, that’s very powerful for retention and loyalty towards the organization.”

And, in the current labour market,

inspiring retention and loyalty are especially pertinent.

According to Tourism HR Canada’s Canadian Tourism Labour Market Snapshot: June 2024, Canadian accommodations lost nearly 22,800 people over the past 12 months — a net decrease of 12.8 per cent. This stands in contrast to overall tourism industry growth of around 66,000 people, representing a year-overyear increase of three per cent.

L ooking at the pre-pandemic baseline of June 2019, the accommodations sector remains the most heavily impacted within the wider Canadian tourism

industry, down 25 per cent from 2019. This equates to 51,800 fewer people employed in the sector than five years ago. In this environment, approaches to training have become increasingly reliant on digital tools.

“The hotel industry has seen some significant shifts in its training programs over the past few years,” notes Abrams. “Technology, the drive for better customer experiences and, of course, the global pandemic has all played a big part. Digital training platforms and e-learning have really taken off, offering flexible and accessible options for everyone.”

The Chelsea Hotel Toronto is among those that have adopted more online offerings in recent years. As the hotel’s director of Human Resources, Jim Stewart explains, “We have incorporated more online learning where feasible. This allows the employee to take the training when it best suits them.”

An online platform proves especially powerful for large companies with staff and properties spread across the country (or globe).

“A key challenge for our organization is being able to offer associates a training platform that’s easily accessible and available in multiple languages, so that associates can engage in a way that works best for them,” says O’Hearn. “As a global company, scale is also an important consideration, to always ensure we’re delivering on our ‘People First’ promise and values by focusing on our three key deliverables — Growing Great Leaders, Investing in our Associates and Access to Opportunity.”

The solution to this challenge of scale is a proprietary learning platform, which helps ensure standardized training and service across a vast portfolio of hotels.

“We have a digital platform known as the Digital Learning Zone (DLZ) that allows associates of all levels to access various trainings and resources at times that are most convenient for them,” says O’Hearn. “Leadership learning is done largely in a virtual classroom to ensure we deliver easy access to all leaders and associates, along with some accelerated programs for high potential talent that supports various company priorities, including diversity and inclusion.”

Choice Hotels also leverages an

online learning platform called Choice University. “It’s our primary online training platform that’s used at all properties across the country,” explains Rob Alldred, national director of Franchise Services, Choice Hotels Canada. “Choice University provides the hotels with personalized learning experiences. Each job function has a specific learning training map that covers the required elements for their positions.”

Beyond this, Alldred notes that the Choice Canada team also leverages a dedicated Canadian intranet system (iNN-touch), “which houses many training resources, news and more,” he explains. “The site provides information related to improving profitability, operational resources, sales and marketing resources, and Canadian vendor information. All the recordings of our [weekly] webinars are also posted to this site for the hotels to access.”

However, in hospitality, the personal touch can’t be overlooked. Plus, as Chelsea Hotel Toronto’s Stewart points out, “We have to ensure that the type of training is geared towards how the employee learns best.”

“We utilize a number of tools for training — given the vast demographic of our workforce,” continues Stewart. “Online training is very good in technical skill training. [However,] when training in customer service and other soft-skill training, in-class training works the best for us,” highlighting the value of role playing activities and ensuring personal engagement with all participants.

“We do a fair bit of face-to-face/ classroom training,” Stewart adds.  “This gives us the opportunity to validate training and understanding. Also, on-thejob training plays a vital role in [ensuring] employees understand how to do the specifics of their job.”

Comprehensive, immersive programs also have their place in getting new leadership members up to speed. As Alldred shares, “All new owners and general managers in the Choice Hotels Canada system are required to attend an in-person orientation at our headquarters. It’s a two-day session where [participants] will learn what Choice is all about. They hear from all functional areas of the company and learn what resources are available to them.”

Of course, training programming plays an important role well beyond onboarding.

“There’s only so much a new trainee can retain, therefore ongoing training is the key to take those initially learned skills and enhance them,” Stewart explains.

“Initial onboarding training is vital for setting the tone of a successful employment relationship. It gives new hires the essential knowledge and skills they need and aligns them with the company’s values, culture and standards,” says Abrams. But she’s also quick to note, “Ongoing and supplementary training programs are just as important. They ensure employees continue to develop their skills and stay current with industry changes.”

And, through continuous learning offerings such as conflict resolution, customer service and supervisor training, employees are given the opportunity to

PROPERLY PREPARED

Beyond performing their day-today duties, hospitality workers also need to be prepared to handle the challenging and sensitive situations that can arise in a hotel environment. And to equip employees to navigate these circumstances, they must be addressed through training resources.

“Through the Digital Learning Zone (DLZ), Marriott delivers a multi-pronged approach to learning and understanding the essentials of sensitive situations [such as emergencies, theft, customer violence and human trafficking],” shares Robin O’Hearn, area director, Human Resources, Canada, Marriott International. “Every associate within the organization is required to take human-trafficking training within their first three months of employment. We also support ongoing training to ensure the safety of our associates and guests through monthly communication meetings at hotels, seminars on how to handle difficult situations, along with a library of supportive learning that lives on the DLZ. Finally, hotels have regular on-property drills to further cement this training.” Choice also employs a combination of digital in in-person resources to prepare staff to handle challenging situations.

As Choice’s Alldred, explains, “There are modules on Choice University that focus on safety and security. There are also modules on Human Trafficking available in French and English. [Beyond the online learning,] the regional directors focus on these areas with owners, general managers and frontline staff [during their regular on-site visits.]”

grow professionally. “This can support higher retention rates, as employees are more likely to stay with a company that invests in their professional growth,” Abrams adds.

More topical, of the moment resources are also important for empowering teams. As Alldred notes, Choice Canada provides additional/supplemental training opportunities through various means.

“We conduct quarterly regional conference calls that provide regional updates, along with other initiatives or programs; workshops are held each year that focus on improving guest satisfaction scores, along with best practices in services and brand standards; [and] our bi-annual fall conference provides attendees with various educational sessions that focus on a wide range of topics,” he explains. “We also host weekly Wednesday Webinars that are 20 to 30 minutes in length. Topics range from updates on brand standards, sales and marketing, as well as vendor and product updates. Each session is recorded for future reference.”

As Abram notes, ongoing learning is vital — especially as the industry and guest

expectations continue to evolve. “There continues to be a focus on soft skills such as emotional intelligence and customer service. Healthand- safety protocols have become a top priority thanks to COVID-19. Plus, diversity and inclusivity are no longer just buzzwords — they’re key elements in training programs, reflecting what today’s consumers expect.”

And, with these shifts, some operators are bringing in more outside programs to supplement their in-house training resources.

“In 2024, access to efficient, affordable and high-quality training and compliance programs is easier than ever. Doing it all in-house may no longer be the most cost-effective and or productive means of ensuring that staff have all the skills necessary to meet business objectives,” Abrams explains. “Virtual, asynchronous training programs that can be assigned across departments and completed individually by staff, such as HWTC’s Anti-Bias or Customer Service training, provide opportunities to standardize training, ensure quality delivery and meet the needs of all kinds of learners in an organization.”

DEI (Diversity, Equality and Inclusion) training presentation with Rosemary Sadlier at the Chelsea Hotel Toronto

DESIGNING GREEN

Hotels are re-defining integrating eco-friendly

BY NICOLE DI

 The hospitality industry, traditionally with high energy consumption, generation, is now embracing its environmental footprint. From architecture to sustainable sourcing are re-inventing themselves as eco-conscious traveller.

DESIGNING GREEN

re-defining luxury by eco-friendly design principles

traditionally associated consumption, water usage and waste embracing practices that reduce From energy-efficient sourcing of materials, hotels as green havens for the

TOMASSO

According to Booking.com’s 2024 Sustainable Travel Report, 83 per cent of global travellers confirmed that sustainable travel is important to them, but new insights show a sense of weariness could be emerging globally, fuelled by the ongoing challenges that travellers experience to make more sustainable travel choices. However, a reassuring 75 per cent of global travellers say they want to travel more sustainably over the next 12 months, and 43 per cent would feel guilty when they make less sustainable travel choices.

Here, Hotelier uncovers some green design trends in four key areas hoteliers can invest in to gain a competitive advantage and progress toward a more sustainable travel industry.

MATERIALS AND FABRICS

“Materials have come a long way in the last decade,” says Adèle Rankin, managing principal Vancouver studio & global lead, CHIL Interior Design. “Recycled content, re-sourced material and the story about how materials are collected and waste produced has become a huge marketing effort on the manufacturer’s part to educate designers in particular. Previously, it was a decision between durability and environmentallyfriendly. You often didn’t get both of those things together, which can be difficult for hotels because durability has to be top of mind.”

She says CHIL Interior Design is currently working on three new projects. Element Vancouver Metrotown, which the company originally designed about 10 years ago, is now undergoing renovations and will be completed by the end of the year. Element Vancouver Downtown and Moxy Downtown Vancouver are two new hotels the company is working on and are expected to be completed in 2026/2027.

“Element, for example, has strong environmental mandates,” says Rankin. “Wall coverings are used a lot throughout hotels. They protect the walls and provide various design features. Unfortunately, the protection often comes by using vinyl, which can be a non-environmentally friendly product. So, one of the discussions we had recently was ensuring we selected a fabric, paper or recycled product. It was a good reminder

for us because at that moment in the design process, there’s an aesthetic push before any materials are selected. The expectations of our clients and the brands are top of mind, as well as our own internal mandates to ensure we select the best materials to support the right choice for wellness and the enviornment.”

Generally speaking, Rankin says there are several green alternatives. “When we look at flooring, for instance, we’ll look at wool carpets as opposed to nylon carpets. We’ll look at 100 per cent wood flooring as opposed to an engineered or vinyl flooring. Sometimes these aspects come with an elevated price point, so we also look at the composition of the materials. For example, we look at whether a fabric has a recycled portion or whether it has a natural dye versus a chemical dye.”

For hotels that might not be able to make large investments in green design, small-scale offerings can still make a large impact. “Some travellers won’t stay in hotel rooms if they have carpeted floors. They might not find that healthy, the off-gassing isn’t good, or might have allergies to the makeup of the carpet,” says Rankin. “If you can’t do a whole hotel, then maybe there’s a select grouping of hotel guestrooms that accommodate that viewpoint so at least the offering is there.”

BIOPHILIC DESIGN

Biophilic design emphasizes the connection between humans and nature. This approach integrates natural elements into the built environment, creating spaces that promote well-being and environmental stewardship.

Vertical gardens, green roofs and indoor plants are a few popular features in biophilic design. These elements not only enhance the aesthetic appeal of a hotel, but also improve air quality and provide natural insulation.

“The biophilic movement is exciting because it can go beyond the insertion of plants. It has evolved into an understanding of what nature does right and how we can replicate that within design,” says Rankin. “Wellness is knit into this movement. Design can allow guests to feel a sense of wellness, not only through tactile bits but also through lighting and comfortability in a space. Some of these

things can be taken from the way a leaf unfurls or the bloom of a plant.”

1 Hotel Toronto, designed by New York-based Rockwell Group, is anchored by efforts to lessen its environmental impact. According to Rockwell Group, “the design concept for 1 Hotel Toronto re-frames the city, turning its urbanism inside out, asking, ‘What if a luxury hotel was an inviting portal to the natural world, instead of a flight from it?’”

The hotel entry/lobby, for example, is framed with a mix of granite and limestone boulders, maple trees, local plants, warm wood and a trailing green canopy. Inside, guests encounter 15-inch high ceilings and re-claimed elm-wood flooring and shelving sourced from a dismantled barn in Ontario. The space

also features a living green wall, found objects, local stone and re-claimed furnishings from materials such as elm wood and teak root.

“The biophilic approach can permeate everything and many of our clients and hotel brands are keen to explore it,” says Rankin. “Together, we’ll be able to evolve it.”

LIGHTING AND APPLIANCES

“Staying away from fluorescent lighting and implementing LEDs instead has become par for the course now. Lighting a space unnecessarily when it’s not active has led to a rise of lights on sensors,” says Rankin. “Lighting also plays a role in supporting health and making sure guests feel comfortable and welcome in

a hotel. It’s about finding key elements that say ‘stay a while,’” adding that design choices could include embedded/ atmospheric lighting, layered lighting and Circadian rhythm lighting, which can impact a guest’s internal clock that regulates the timing of biological processes and daily behaviour.

“Maximizing access to daylight through large windows, especially in the guestroom, happens during architectural planning. As interior designers, we make sure not to block that window and allow for floor to ceiling exposure. We want guests to feel the natural light from the moment they walk in. There’s also a gravitational pull for the guests to get to the window and open up the space,” continues Rankin. “Guests can also feel that through more traditional spaces, such as ballrooms, which used to be darker spaces with windows covered with big drapes. Now, we’re finding that people are more excited about a room that has the ability to have natural light coming through, especially when you’re in a conference room all day long.”

WATER CONSERVATION

With regard to water conservation, Rankin says dual-flush toilets and regulated faucets and showers have become a starting point in design.

“Outside of that, the big push has been more to do with the water provided for guests. Hotels are removing plastic water bottles in guestrooms and installing corridor hydration stations instead. For luxury hotel brands, a re-fill station might be included in the guestroom.”

At Le Westin Tremblant in Quebec, for example, the hotel recently debuted its new WestinWORKOUT Fitness Studio as part of its $18-million transformation project. In this space, guests are encouraged to bring re-usable water bottles to enjoy The Well, Westin’s hydration concept.

Additionally, designers and developers are increasingly recognizing the role of sustainable water features both inside and outside hotels. California-based Outside the Lines (OTL) has worked with several companies, including St. Regis and Hyatt, to design and install water features. While many people enjoy the aesthetic appeal of water features,

some question their sustainability. However, OTL has incorporated a number of sustainable design and operation methods into their projects.

“The biggest misconception about water features is that they waste water. With proper design, construction and maintenance, splash can be eliminated and leaks can be prevented. Evaporative loss is relatively small,” says Wickham Zimmerman, CEO of OTL, adding the systems can be designed to use alternative sources of make-up water, including a hotel’s air-conditioning condensate, rainwater capture systems or re-claimed water.

Zimmerman continues, “Another misconception is that water features are a luxury and don’t necessarily provide a direct benefit or ROI to a property. However, we’ve done a few case studies which have shown a direct ROI depending on the hotel and the guest they’re trying to attract.”

Furthermore, indoor water features can positively affect the guest experience. “In a lobby area, for example, operators might want a fountain or water feature to control humidity,” says Zimmerman. “Most people think adding water inside a building will add humidity, but it can actually lower air-conditioning demands.”

With regard to architectural design, Zimmerman says “locally sourced re-claimed or recycled materials can work well to build water features, such as natural stone finishes or concrete made with recycled aggregates. Buying local materials also supports the local economy, is often less expensive, minimizes shipping and handling costs and saves time.”

As the world moves towards a more sustainable future, eco-friendly hotel design will continue to evolve with innovation and collaboration, says Rankin.

“Design and operations go hand in hand,” she says. “The big impacts operators can make have to be supported by good design solutions. It’s important for hotel ownership groups to keep an open mind around ways that more environmental choices can be made and discuss those with design teams. If it feels like something they can’t afford, we can always talk about the pluses and minuses in other areas.” ♦

PUSHING THE BOUNDARIES

Room service might be evolving,

BY NICOLE DI TOMASSO

BOUNDARIES

evolving, but it’s here to stay

For discerning travellers, room service is no longer just about convenience; it’s about experiencing high-quality cuisine in the comfort of their own space.

“Guest profile is certainly the biggest influencer to determine whether guests may enjoy in room dining,” says Kristi Grotsch, director of Food and Beverage, Four Seasons Hotel Toronto. “Those travelling on business may enjoy a working meal rather than heading to one of our vibrant restaurants. We also consider any groups staying in house and if they’ve planned meals in our event spaces.”

FINANCIAL FORECASTING

“We maintain stock for most kitchen supplies. Most food is wasted by the consumer. Since we can only control what’s going out of our kitchen, everything is made to order,” says Kunal Dighe, executive chef, JW Marriott Parq Vancouver & THE DOUGLAS Autograph Collection. “We also look at occupancy and food sales projections to ensure we order enough product for our occupancy levels. Most items are individually portioned.”

“As we are a 24-hour operation, accurate forecasting of business levels remain a key factor in managing the business,” says Grotsch. “Hotel occupancy, the weather forecast, special city events and even noting major television programming for the day allow our teams to anticipate peak hours and plan appropriately with staffing and food prep.”

CUSTOMIZABLE CREATIONS

The evolution of room service reflects broader trends in the culinary world and guest expectations. The once-simple continental breakfast tray has been replaced by a diverse array of options that cater to a wide range of dietary preferences and needs. Additionally, the rise of health consciousness among travellers has led hotels to incorporate organic ingredients and locally sourced produce into their room-service menus.

“I like to refer to our room-service offerings as borderless cuisine,” says Dighe. “We offer healthy choices, international flavours, comfort foods, et cetera. There’s something for everyone. We focus on local ingredients, such as seafood and fresh produce.”

Dighe says the omelette is the most popular item for breakfast, burgers for lunch and dinner, sundaes for dessert, and chicken fingers and fries for late-night orders.

Dighe continues, “Our focus is on the guest’s health and wellness. We have an antioxidant salad and a vegan burger, for example, on our menu. We want to improve nutritional intake and guest satisfaction.”

At Four Seasons Hotel Toronto, Grotsch says “the classic comfort foods, including truffle fries, clubhouse sandwiches and pastas continue to be top sellers.”

Other room-service menu items include the grilled maple glaze salmon with red capsicum couscous, asparagus and shirazi salsa; the beetroot and citrus salad with orange, grapefruit, beetroot, mixed greens, pistachios, stracciatella and champagne vinaigrette; and the beef tenderloin with chive pomme puree and heirloom carrots.

One of the most significant developments in room service is the emphasis on customization.

“If a guest feels like they don’t have enough options, all they have to do is ask,” says Dighe. “There are many ways a meal can be tailored to a guest’s specific dietary needs. Maybe they’re hesitant to ask, but modifying a meal is something our kitchen can always do.”

On average, Grotsch and Dighe say the hotels fulfill about 3,000 room-service orders per month.

“We’ve seen the growth of in-room dining, especially for dinner,” says Grotsch.

TECH TRANSFORMATION

Technology has played a crucial role in transforming room service from a static menu offering into a dynamic and interactive experience. Many hotels now provide guests with the ability to order room service through their smartphones or tablets, making it easier than ever to browse menus, place orders and track delivery times. This not only provides convenience for the guest but also reduces the likelihood of

Breakfast room-service offering at JW Marriott Parq Vancouver & Four Seasons Toronto (below)

miscommunication as orders are sent directly to the kitchen.

“Guests can conveniently order in-room dining through our Four Seasons mobile app, through live chat, or through the in-room tablet,” says Grotsch.

Similarly, Dighe says both properties use a QR-code based online ordering system in the guestroom which re-directs guests to a mobile dining portal.

Additionally, technology has enabled hotels to gather data on room-service operations, allowing them to identify trends and areas for improvement. By analyzing order times and delivery fluctuations, hotels can pinpoint bottlenecks in the process and take steps to address them. This data-driven approach helps hotels refine their operations and ensure they can meet the evolving expectations of their guests.

“Staying in tune with item sales reports on a weekly basis allows our chefs to understand consumption trends by days of the week and time of day,” says Grotsch, adding morning breakfast, especially on weekends is a peak time for ordering. “Dinner is also rapidly growing as many guests can appreciate an intimate in-room dinner experience in the comfort of their home away from home.”

Grotsch continues, “Being data driven and guest centric is key. We also look at ways we can simplify the kitchens mise en place by aligning hyper seasonal ingredients with our restaurants in efforts to reduce waste while providing our guests with the freshest ingredients.”

Another technological innovation is the use of robotics in room-service delivery. These robots are programmed to navigate the hotel’s corridors, using sensors to avoid obstacles and deliver orders directly to the guest’s door. While still in the early stages of adoption in Canada, this technology represents a potential future direction for room-service operations.

FUTURE FORWARD

Plans to grow in-room offerings to keep it appealing to guests is essential. Dighe says the menu changes at least once a year to keep things fresh and offers wine pairings with a choice of steak, while Grotsch says offering ready-todrink cocktails and mocktails as well as signature dishes from restaurants have been well received by guests.

“More premium offerings, including sharing plates and traditional caviar service to the room [create exclusive in-room dining experiences],” says Grotsch.

As hotels continue to push the boundaries of what room service can offer, travellers can look forward to even more exciting and personalized culinary adventures, all from the comfort of their rooms. ♦

Staying In

Hotels are taking their in-room entertainment to the next level

HBY SUZANNE CHIN-LOY

otel guestroom entertainment systems have experienced a remarkable evolution driven by rapid technological advancements and shifting consumer expectations. As travellers increasingly seek a home-awayfrom-home experience, hoteliers are partnering with hotel Internet Service Providers (ISPs) to implement cuttingedge technologies that meet these demands. This partnership is setting new standards in hospitality, re-defining luxury and convenience.

“The concept is that you’re bringing [the feeling of] home to the hotel,” says Martin Chevalley, CEO of InnSpire. “We’re

bridging the entire scope of the guest experience using Artificial Intelligence (AI), so it’s seamless between apps, TV, tablets, and voice. Whatever [device] you’re using, you’re using the same solution that’s consistent all the way through.”

Rohan Jani, associate VP of Guest Products at Hyatt, emphasizes the importance of flexibility. “Guests can use their TVs to book spa appointments, make a dinner or meal reservation, plan a round of golf, or book other well-being activities. Certain properties even have TV functionality that lets you change in-room settings remotely, whether it’s to lower the temperature or adjust lighting settings. It’s

LG Hospitality Solutions

about being more thoughtful with every guest touch point throughout their stay.”

GUEST PRIORITIES

According to Chevalley, there used to be paid packages for channels or movies. “The goal was to sell as many movies as possible, but almost overnight, the whole model shifted to streaming services [such as] Netflix and HBO; no one bought those movies anymore. This has transformed the entertainment experience for hotel guests. Rather than relying on slow, serverbased systems, hotels now aim to provide a seamless experience for accessing various content over the Internet.”

Luxury hotels, such as Hyatt, have teamed up with LG and guest technology provider Sonifi to integrate Google Cast into LG hotel TVs set for this fall. Kara Heermans, SVP of Product & User Experience at Sonifi, says, “With LG and Google, we can have that software built into the TV, which means that compatibility is always available without a separate device. Guests still have access to an HDMI port. They can still plug in their computers or gaming devices that they bring along.”

“Back in the day, you had access to movies that you didn’t get at home,” says Richard Lewis, VP of Technology & Research at LG Business Solutions. “Now, you can get that personalized, frictionless experience at the hotel. We [now] see a pick-up of extended stays, which are longer than a typical week’s vacation. People are [either] travelling for business or they’re discretionary travellers.”

“We [also] see a lot more boutique

Hotel Internet Services (HIS) are able to provide solutions that are both advanced and affordable. Properties can offer the latest trends in guestroom entertainment by providing a streamlined and user-friendly casting experience with in-room TVs, allowing guests to enjoy virtually any kind of personal streaming subscription while also staying within a hotelier's budget.

"“We use GuestCast, which is a casting solution designed specifically for hospitality ,” says Trevor Dowswell, Chief Technology Officer at HIS. “Unlike systems found in full-service hotels, there are no welcome messages or dining options. Instead, guests have easy access to live TV and the ability to cast their home subscriptions. This enables guests to enjoy all the content they've already been paying for.”

KEY CONSIDERATIONS

Ensuring high-speed Internet, providing secure and personalized services, and catering to diverse guest needs are crucial considerations for hoteliers aiming to deliver a seamless and exceptional hotel experience.

“It’s thinking about your guests’ needs, the demographics, and the type of hotel or resort that you’re in,” says Heermans. “Are they in a mountain town, on the beach, or in a casino, for example? Some hotels are trying to appeal to guests who are living off their phones, where casting and a limited linear TV lineup make a lot of sense. But there are also guests who prefer not to use their phones, especially if they’re on a wellness retreat.”

personalized, on-demand content, [access to] international channels, and the ability to log into their own streaming accounts,” says Olivier Rochefort, VP of Operations at Atlific Hotels. “Reliable high-speed Internet has become crucial as it underpins all modern entertainment systems. Ensuring the new systems are compatible with guests’ devices and popular streaming platforms is also key. The systems should be intuitive and easy to use without requiring extensive instructions.”

Rochefort continues, “Robust security measures must be implemented to protect guest data and ensure their streaming activities remain private. It’s essential to choose scalable solutions that can easily be upgraded or expanded to accommodate future technological advancements.”

“When it comes to casting solutions in hotels, the biggest challenge is transitioning from standalone hardware to integrated solutions,” says Jani.“By integrating Google Cast in LG smart TVs at Hyatt properties, [our] hotels will experience reduced complexity, lower costs, and greater efficiency.”

Jani continues, “In general, data infrastructure is also something hoteliers should be mindful of. To avoid headaches down the line, hoteliers should migrate to Internet Protocol Television (IPTV) in lieu of older, more traditional delivery methods [such as] coaxial cabling. With IPTV, hotels can more easily connect to their property’s data network, measure, monitor, and control analytics, and optimize their TV performance.”

WHAT’S NEXT?

As guestroom entertainment evolves to meet guests’ changing expectations, all ISP companies agree that it must be high-quality and uniform across hotels globally.

“I’d like the hospitality technology standards to be interchangeable, allowing different solutions to be easily integrated into an ecosystem using the application programming interface (API),” says Chevalley.

“We need to come together as an industry and get on the same page without such a huge disparity,” says Dowswell. “There’s a huge gamut out there, but we need a baseline of entertainment for those streaming services that everyone can enjoy more universally, no matter where they’re travelling.”♦

Sonesta knows that one size doesn’t fit all. Discover the newest addition to Sonesta’s Luxury & Lifestyle portfolio: Classico + MOD. This distinct collection of independent hotels reimagines Sonesta hospitality using a design-forward filter. At Classico, good taste emanates through refined interiors and traditional high-touch service, while MOD caters to the contemporary traveler’s penchant for eclectic décor and curated food and beverage.

Brought to you by owners who know what it means to own, invest in and operate powerful brands that enable you to stand out from the competition and grow.

Z Ocean Hotel, Classico A Sonesta Collection

Hotel 11, MOD A Sonesta Collection

PASSION AND PURPOSE

For Rami Zok, success comes through prioritizing guest-centered excellence

BY ROSANNA CAIRA

Rami Zok’s introduction to the hospitality business came at the young age of 12 when he worked in his father’s restaurant in his native Lebanon to help out. This experience clearly ignited his passion for hospitality. “It triggered my Hospitality DNA,” quips the father of two young children, adding that he graduated with a Bachelor degree in International Hospitality Management from EHL Hospitality Business School in Lausanne, Switzerland.

His first job was a Banquet Trainee at the Movenpick Grand Hotel in Dubai (formerly known as Al Bustan Rotana Hotel). After living and working in 11 different cities on three continents, Zok arrived in Canada ready, willing and able to work, starting his Canadian hotel career at the Hilton Toronto as assistant outlets manager.

These days, Zok is happily ensconced as hotel manager at the Great Canadian Casino Resort Toronto, a 400-room hotel, adjacent to a new sparkling casino, which opened last year, almost a year before the hotel doors opened its doors in May 2024. He’s fully committed to making the hotel a vital part of the entertainment destination, attracting a mix of local and international guests. “I had the chance to set up the hotel from scratch: hiring, training and embracing the service mindset. The hotel serves as an amenity to the Casino. Our goal is to have every player enjoy the luxury stay and experience while having fun at the Casino.”

QUICK QUIPS

What keeps you up at night? “As hotel manager in a casino, I’m on alert mode with guest satisfaction, team well-being and performance and financial health, as well as dealing with emergencies and unexpected incidents.”

And though the hotel only officially opened this past spring, Zok is already focused on garnering Three-Diamond accreditation in 2025. “Our major project will be to work on the hotel expansion with another 500 rooms set to be added, making it a mega hotel and one of the largest projects in North America.

To remain competitive, Zok believes it’s important to understand your guest, what they’re looking for and to consistently provide a superb guest experience. “You’ll always stand out once your homework is done and you can impress and engrave your touch in guest feelings — you need to create a story [for guests] to take back home,” says Zok.

Though the astute hotelier is razor focused, he also “works with passion, and with a twist of fun.” He promotes an open-door policy “enabling communication and pushing down barriers.” He’s a big proponent of providing guest-centered excellence by prioritizing the needs and expectations of guests. “This involves personalized service, attention to detail, and a commitment to making every guest feel valued and cared for,” says Zok.

The 44-year-old hotelier is committed to continuous improvement by embracing a culture of constant learning and innovation, while enhancing services and amenities to stay ahead of industry trends and guest preferences. It’s important, he says, “to have an empowered, motivated and well-trained team,” adding “it’s only through a positive work environment and ongoing training, that staff can take initiative and make decisions that enhance the guest experience.”♦

Advice for other hoteliers or aspiring hoteliers? “Be yourself, be passionate, and trust your feelings; and always have fun in what you do.”

What has been your biggest mistake and what did you learn from it?

“Underestimating the importance of clear communication with both team members and guests. Early in my career, I assumed everyone was on the same page without verifying it.”