STAY Magazine, Vol. 5, Issue 2

THE 2025 CANADIAN HOTEL INVESTMENT ISSUE

Leadership. Strategy. Markets. Policy.

Shaping the industry: Spotlighting iconic hoteliers from across Canada

CANADIAN HOTEL INVESTMENT OUTLOOK

SPRING 2025

Volume 5 Issue 2 staymagazine.ca

PUBLISHER

Big Picture Conferences

EDITOR-IN-CHIEF

Stacey Newman

stacey@staymagazine.ca

DIRECTOR OF SPONSORSHIP & ADVERTISING

Mike Egan

mike@staymagazine.ca

ART DIRECTION + DESIGN

Sonya Clarry + Brienne Lim

CONTRIBUTORS

Allan Lynch, Jim Byers, Tim Wiersma, Jessica Gedge, Stacey Newman

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STAY is published four times per year by Big Picture Conferences. For 27 years, Big Picture has been hosting the Canadian Hotel Investment Conference (CHIC) and other go-to conferences and events for Canada’s hotel industry. For subscription inquiries, please visit staymagazine.ca/subscribe.

ISSN: 2816-7864

Key title: Stay

EDITORIAL ADVISORY BOARD

Mark Hope Senior VP, Development, Coast Hotels

Vito Curalli VP, Sales and Services, Hilton Supply Management

Rajan Taneja Director, Palm Holdings

Philippe Gadbois Chief Operating Officer, Atlific Hotels

Robin McLuskie Managing Director, Hotels, Colliers Hotels

Brian Leon President, Choice Hotels Canada

Brian Flood EVP and Practice Leader, Hospitality and Gaming, Cushman & Wakefield

Scott Richer VP, Real Estate and Development (Canada), Hyatt Hotels

Ed Khediguian VP, National Bank of Canada Franchise Finance

Bill Stone Co-founder and Senior Advisor, Knightstone Hotel Group

Gunjan Kahlon RVP Development, Sonesta International Hotels

Judy Sparkes-Giannou Co-Owner, Clayton Hospitality Inc.

Deborah Borotsik Senior VP, Beechwood Real Estate Advisors

Alan Perlis President & CEO, Knightstone Capital Management/CEO, Knightstone Hotel Group

Alnoor Gulamani President, Bayview Hospitality Inc.

Christina Poon General Manager, Hotel W New York – Union Square

Phil Thompson Business Lawyer, Thompson Transaction Law

Sandra Kanegawa Owner, Heritage Inn Portfolio, X-Dream

Experience the Difference

Ownership groups across Canada trust us to optimize performance for independent hotels and resorts as well as multi-national hotel brands such as Marriott, IHG, Hilton, Choice and Wyndham. Your success is our success.

UNITY THROUGH SERVICE AND STORYTELLING

THIS SPRING, I HAD THE UNEXPECTED AND DEEPLY HUMBLING HONOUR OF RECEIVING A KING CHARLES III CORONATION MEDAL. IT WAS AWARDED IN RECOGNITION OF SERVICE TO CANADA—A MOMENT THAT LEFT ME FEELING A LOT OF THINGS.

In the world we live in today, with its complexities and divisions, it felt especially meaningful to be reminded of the value of contributing to something bigger than ourselves.

For me, the medal was a renewed call to action. A reminder to give back, to help, to contribute, and to appreciate Canada’s role not just as a nation, but as a historic partner in a global community. We are allies, neighbours, friends and trading partners. And in the hotel industry—that spirit of connection and service is lived every day.

This issue of STAY Magazine reflects this ethos. It celebrates hardiness, unity and leadership. It reminds us of what we’ve built, what we continue to strive for, and who we are as a country and industry.

Our cover story pays tribute to some of our country’s most iconic hoteliers, whose vision and work have led us to who, what and where we are today. In honour of International Women’s Day, we feature leaders at Choice Hotels who are effecting change in the industry in compelling ways.

Our feature on the 2025 Canadian hotel investment outlook includes an industry forecast from our invaluable industry advisors. Our coverage looks back at the economic factors that have shaped the hotel business over the last six months, while our coverage of AI innovations in revenue management offers a glimpse of a future that’s already here.

We tell some charming “tails” about resident hotel pets, as well as a fascinating piece detailing the contributions of Canadian hotels on the home front during the Second World War.

As always, our goal with this issue is to surprise, provoke discussion, and inform our readers. Whether you’re a hotelier, investor, or a respected supplier, we hope these stories help you feel more connected—to your work, your community, and our country.

Thank you for reading,

Stacey Newman Editor-in-chief

Photo by Stacey Newman

ICONS ON THE COVER Tipping our hats to our

We are proud to shine a light on these extraordinary individuals who continue to shape the Canadian hotel industry.

These hoteliers come from different parts of the country and different walks of life. Some carry forward family legacies; others built from the ground up. But all of them share a commitment to something larger than profit: a belief that hospitality, when done well, can bring people together, create meaningful work, and support communities across Canada.

Isadore Sharp FOUNDER AND CHAIRMAN, FOUR SEASONS HOTELS & RESORTS

Ray Gupta

CHAIRMAN, CEO AND FOUNDER, SUNRAY

GROUP

Ray Gupta’s story is one of conviction in the face of doubt. Where others saw failure, Gupta saw opportunity. He built Sunray Group from modest beginnings into one of the fastest-growing hotel companies in the country—not by chasing trends, but by betting on potential. Gupta’s leadership is marked by a quiet confidence and a sharp eye for underused assets, yes—but also by the trust he places in his team, and his belief in building something lasting.

“At Sunray, our philosophy is to exceed expectations at every level. With our brand partners, we go beyond improvement plans, delivering exceptional results. For our guests, we aim to provide service that exceeds their highest expectations. We ensure clear, timely communication with our lenders, and foster a culture where every associate feels valued as a key part of the Sunray family.”

—Ray Gupta, chairman, CEO and founder, Sunray Group

Zita Cobb FOUNDER AND CEO, SHOREFAST & INNKEEPER, FOGO ISLAND INN

More than six decades ago, Isadore Sharp opened a small motor hotel in downtown Toronto. There was no grand vision, no roadmap. But what followed would change the meaning of luxury hospitality around the world. Sharp’s legacy is not built on excess—it’s built on empathy. He believed service could be something deeper than a transaction, something rooted in mutual respect. Sharp’s clarity of purpose, paired with disciplined decisionmaking and a lifetime of service, has left an indelible mark on Canada and the global hospitality landscape.

“The reason for our success is no secret. It comes down to one single principle that transcends time and geography, religion and culture. It’s the Golden Rule – the simple idea that if you treat people well, the way you would like to be treated, they will do the same.”

—Isadore Sharp, founder and chairman, Four Seasons Hotels & Resorts

Zita Cobb did not set out to open a luxury inn. She came home to Fogo Island to help protect a way of life. What she built—a bold, architecturally stunning hotel on the edge of the North Atlantic— has become a global model for regenerative tourism, deeply rooted in community and place. Cobb’s work reminds us what hospitality can be: a force for resilience, a space for storytelling, and a bridge between tradition and possibility.

“The future of tourism has to be place-based, and regenerative. Our business is about being in service of both the people and the place, using the power of business to build prosperity for more people and to champion and protect the inherent assets of places, big and small. Our industry must work harder to ensure that communities are part of the greater global economy, that tourism development benefits the LOCAL and that it isn’t extractive. After all, tourism is based on an invitation, and it is in that relationship between the host and the guest that the magic happens.”

—Zita Cobb, founder and CEO, Shorefast & Innkeeper, Fogo Island Inn, Newfoundland & Labrador

Christiane and Jean-Yves Germain CO-FOUNDERS AND CO-PRESIDENTS, GERMAIN HOTELS

From a single boutique hotel in Quebec to a coast-to-coast presence, Christiane and Jean-Yves Germain have built a Canadian hotel company that puts people first. Their approach blends warmth and sophistication, innovation and familiarity—always grounded in care for their guests, their team and their roots.

“We are truly honoured to be recognized among such esteemed hoteliers. When we started this journey, we could never have imagined how far it would take us—now spanning from coast to coast with the recent announcement of our hotel in Vancouver. Looking back, we are incredibly proud of what we have built, but even more so of the next generation who have been inspired to follow in our footsteps. Thank you STAY Magazine for this wonderful recognition.”

—Christiane & Jean-Yves Germain, co-founders and co-presidents, Germain Hotels

Elpie Marinakis

CO-OWNER AND MANAGING DIRECTOR, WEDGEWOOD HOTEL & SPA, VANCOUVER

Elpie Marinakis stepped into her mother’s footsteps with respect, love and a fierce commitment to the family legacy. Under her leadership, the Wedgewood Hotel & Spa remains one of Vancouver’s most cherished independent luxury properties—a reflection of a unique blend of European elegance and West Coast charm.

“In Canada, hospitality isn’t just about service— it’s about storytelling, sustainability, and the genuine connection that reflect the ethos of our country. From the warmth of our welcome to our focus on local cuisine, we take pride in crafting stays that feel both luxurious and deeply personal.”

—Elpie Marinakis, co-owner & managing director, Wedgewood Hotel & Spa, Vancouver, B.C.

Marc Staniloff PRESIDENT AND CEO, SUPERIOR LODGING CORP.

For more than three decades, Marc Staniloff has been shaping Canada’s limitedservice hotel sector with quiet determination and deep industry knowledge. His work with brands like Super 8 and Travelodge has helped bring consistency and quality to communities large and small. Staniloff’s leadership reflects the best of Canadian business: humble, collaborative, and driven by relationships.

“We build strong relationships, which are deeply connected with some of today’s best brands in communities all across Canada. It’s these relationships, and our team’s consistent drive to improve, that have fueled our business growth and created lasting partnerships delivering consistently solid wins for our shareholders, franchisees, and employees. We’re excited to continue our journey as the leading Wyndham brand franchisor in Canada through 2025 and beyond!”

—Marc Staniloff, president and CEO, Superior Lodging Corp.

Jiri Rumlena

PRESIDENT, SILVERBIRCH HOTELS & RESORTS

With a background in finance and decades of experience in the sector, Jiri Rumlena brings both rigour and empathy to his role as president of SilverBirch Hotels & Resorts. His steady leadership through uncertain times has helped guide the company with clarity and resilience. Rumlena reminds us that good leadership often happens behind the scenes—anchored in trust, accountability, and a long view.

“We strive to be an industry-leading owner and operator, generating superior returns by balancing resource allocation and nurturing strategic stakeholder relationships. Branding smart, operating smarter, and hiring the smartest ensures success in any environment. We expect 2025 to be another successful year, with a downshift in revenue growth offset by normalized expense growth.”

—Jiri Rumlena, president, SilverBirch Hotels & Resorts

Lydia Chen

PRESIDENT AND CEO, INNVEST

HOTELS

Lydia Chen brings global perspective and renowned business acumen to one of the country’s largest hotel portfolios. With experience across continents and industries, she leads InnVest with a steady focus on thoughtful growth and long-term value. Chen represents a new chapter in Canadian hospitality leadership—one shaped by strategy, discipline and care.

Chen is committed to developing InnVest’s asset portfolio in a stunningly innovative fashion and pursuing quality asset growth opportunities across Canada.

WOMEN LEADERS SHAPING THE FUTURE OF HOSPITALITY

From Choice Hotels Canada

As the hospitality industry continues to evolve, strong leadership has never been more critical. This International Women’s Day, Choice Hotels Canada highlights four remarkable women who have forged their paths in the sector, overcoming challenges and setting new standards for excellence. Their journeys, insights, and achievements offer inspiration for the next generation of leaders in hospitality.

INNOVATION THROUGH LEADERSHIP

CARLA CARLSON GENERAL MANAGER, COMFORT SUITES KELOWNA, B.C.

As general manager of Comfort Suites Kelowna, Carla Carlson has built a career rooted in creativity, resilience, and leadership. With experience spanning human resources, accounting, sales, and operations, she found her ideal role in hospitality, a people-focused industry that allows her to bring ideas to life.

Carlson’s career path was shaped by time in banking and rail passenger transportation, where she gained promotions that eventually led her to the hotel industry. A key mentor in her journey was an owner-operator of a guest ranch and conference centre, who instilled in her the values of continuous improvement, integrity, and respect for her team. Today, she finds inspiration in her colleagues at Choice Hotels Canada, particularly Cheryl Warner, whom she describes as an open and supportive role model.

While Carlson does not believe the fundamental culture of the industry has changed, she acknowledges that opportunities for women have expanded significantly. “The sky really isn’t the limit anymore,” she says, emphasizing the diverse career paths now available to women

in hospitality. Her definition of success has evolved beyond financial performance to include reputation, social responsibility, and team loyalty. “Success is a bigger picture and is ever-growing,” she notes, highlighting the importance of guest satisfaction and community involvement.

One of the biggest challenges Carlson has faced is managing environmental impacts and unexpected disruptions, such as resident relocations while maintaining high service standards. She stresses the importance of worklife balance, advising professionals to be present in every moment. “Wherever you are—be there,” she says. She also encourages involvement in industry associations to drive meaningful change.

Her advice to her younger self? “Never hesitate— trust in yourself and your abilities. Focus on what truly matters, not on what others expect from you. Stay curious, stay kind. Kaizen,” she says, referring to the Japanese philosophy of Kaizen, which encourages continuous improvement in an organization. Kaizen aims to involve employees at all levels of a company. Its goals include greater efficiency, higher quality, and less waste.

Success may have once been based solely on the profit and loss statement. I think it has evolved into areas including reputation, social responsibility, environmental participation, retention, and guest and team loyalty as examples. Success is a bigger picture and is ever-growing. Success is individual.”

– Carla Carlson

For those entering the industry, her advice is simple:

“Reach for the stars and never be afraid to try something new. If you get an opportunity in a different country, take it—you could learn new things.”

– Cheryl Warner

A CAREER BUILT ON PASSION AND PERSEVERANCE

CHERYL WARNER

SENIOR MANAGER, FRANCHISE SERVICES & SUPPORT, CHOICE HOTELS CANADA

Cheryl Warner has devoted almost her entire career to the hospitality industry, and, in particular, to Choice Hotels Canada, leaving a significant mark on the company, its staff and its hotels. Her contributions have earned her widespread recognition among the Choice Hotels Canada franchisees, with people frequently requesting her by name, honouring her during key anniversaries and seeking her out at events. She is undeniably a favourite among everyone at Choice Hotels Canada and the hotels she collaborates with every day.

From her earliest days helping in her family’s greenhouse to her first job as a waitress and short-order cook at just 15, Cheryl’s passion for hospitality was evident.

Her career took off with Journey’s End, where she climbed the ranks from management trainee to general manager, demonstrating an unwavering commitment to excellence. Her ability to step in wherever needed, even floating as a general manager to support multiple properties, earned her the prestigious “Manager of the Year” award in 1992, selected from over 100 candidates.

Warner’s impact extended far beyond the property level. She transitioned to Choice Hotels Canada’s corporate office as a franchise services coordinator, later rising to manager of franchise support, where she found her true calling— supporting franchisees. Now, as senior manager of franchise services & support, she remains a driving force in the organization.

This June, Warner will celebrate 37 years with Choice, a testament to her loyalty, leadership, and deeprooted passion for the industry. She has given her heart to the organization, and her legacy continues to shape its success. “You need to work hard and surround yourself with great people who have the same vision,” she says, reflecting on the outstanding teams she has led.

Mentored by industry leaders Barry Sheen and Maurice Rollins, Warner learned the importance of recognizing and guiding talent. Her late husband, David Warner, also played a significant role in her journey, providing a supportive sounding board for ideas and strategies. Despite the immense pain of losing her husband, Warner has demonstrated remarkable resilience and unwavering commitment to the Choice Hotels Canada team and every hotel within the system.

Reflecting on changes in the industry, Warner notes that when she started, few women held general manager positions. Today, she is encouraged by the increasing presence of women in leadership roles and takes pride in working alongside many strong female professionals.

Early in her career, one of the challenges she encountered was overcoming obstacles related to her age and not being fluent in a second language. However, she remained determined and focused on proving her capabilities. Outside of work, she finds fulfillment in volunteering with Sleeping Children Around the World, a charity providing bed kits to children in need. “It is so rewarding seeing the look in these little ones’ eyes,” she says.

REDEFINING SUCCESS THROUGH RESILIENCE

ÉLISABETH AVOGNON GENERAL MANAGER OF GESTION HÔTELIÈRE MIJUCO INC.

Élisabeth Avognon, general manager of Gestion Hôtelière MiJuCo Inc., began her hospitality career with a summer job that quickly led to a management role. Inspired by Maurice Rollins, founder of Journey’s End Hotels, she embraced a client-centred approach that has guided her ever since.

Avognon draws strength from a diverse group of mentors, including global icon Oprah Winfrey and the hardworking housekeepers she has worked alongside. “Their resilience and determination have shaped my perspective,” she says, emphasizing the importance of lifting others as she advances.

She has faced unique challenges as a Black woman in the industry, navigating stereotypes while remaining steadfast in her commitment to leadership and empathy. “Overcoming these challenges has played a key role in shaping me into the manager I am today,” she says, noting the importance of fostering an inclusive work environment.

Her definition of success has evolved over time. While she once equated it with financial achievement, she now sees it as a balance between professional growth and staying true to her values. Giving back is central to her life, whether through community service at her church or mentoring the next generation.

Her advice to her younger self? “Believe in yourself and claim your space. If you love this industry, stay in it—you will succeed through hard work and integrity. Every day brings something new, and it’s a blessing to welcome people and brighten their day.”

“The landscape has definitely changed for women, and it’s encouraging to see the industry evolve alongside that. Throughout my career, I’ve been fortunate to witness this transformation firsthand, with more women stepping into leadership roles. Currently, I have the privilege of being the general manager of a hotel group, where two out of three owners are incredible women—Valérie Côté and Geneviève Milot. They’re two of the most inspiring entrepreneurs I’ve had the chance to work with. It’s incredibly heartening to see the industry now fostering an environment that supports and nurtures the success of women.”

- Élisabeth

Avognon

FROM NEW BEGINNINGS TO OPERATIONAL EXCELLENCE

MARY JANE MOLINA

OPERATIONS MANAGER AT HALIFAX TOWER HOTEL & CONFERENCE CENTRE, ASCEND HOTEL COLLECTION, N.S.

Mary Jane Molina, operations manager at Halifax Tower Hotel & Conference Centre, Ascend Hotel Collection, took an unconventional path into hospitality. With a hospitality management degree from the Philippines, she entered the Canadian hotel industry as a room attendant before quickly moving up the ranks.

The pandemic was a defining period for Molina. While challenging, it provided opportunities for hands-on learning across all facets of hotel operations, reinforcing her adaptability and resilience. A key mentor, her general manager, Nimfa Bautista, played a crucial role in guiding her through operational challenges and staff shortages, setting an example of dedication and excellence.

Molina believes the industry has made significant strides toward gender equality but acknowledges there is still progress to be made. “Women bring unique perspectives and a strong sense of passion to everything they do,” she says, expressing

optimism about increasing opportunities for female leaders.

One of the biggest challenges she faced was adapting to diverse customer expectations in a multicultural environment. “It took time to develop the skills to understand and meet these expectations while ensuring every guest felt welcomed and valued,” she explains.

Her definition of success has also evolved, shifting from title-driven ambitions to valuing meaningful relationships with guests and colleagues. “Personal fulfillment through these relationships has become far more important to me than simply advancing professionally,” she says.

For newcomers to the industry, her advice is clear: “Embrace every learning opportunity, seek feedback, and build strong relationships with colleagues. Mistakes are part of the process— learn from them and keep moving forward.”

“As a newcomer to the country, one of the challenges I have encountered in the industry is managing diverse customer expectations and cultural differences. Working in a multicultural service environment means interacting with guests from a wide range of backgrounds, each with their own preferences and needs. It took time to develop the necessary skills to understand and meet these expectations while ensuring that every guest felt welcomed and valued. This experience highlighted the value of empathy, active listening, and effective communication—skills that have become essential in my career as I strive to create memorable and personalized experiences for each guest.”

– Mary Jane Molina

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THE 2025 CANADIAN HOTEL INVESTMENT OUTLOOK

PRODUCED AND EDITED

BY STACEY NEWMAN

PART 1:

CONFIDENCE RETURNS, BUT CAUTION LINGERS

Canada’s hotel investment market entered spring 2025 with solid momentum according to industry experts. Hotel transaction volume in 2024 surpassed $2 billion, marking a 16 per cent increase over the previous year and confirming that hotels are once again among the most actively traded commercial real estate classes in the country. These figures, published in the 2025 Canadian Hotel Investment Report by Colliers Hotels, indicate renewed investor confidence, bolstered by record performance and a more accessible lending environment.

Performance fundamentals now exceed pre-pandemic benchmarks.

CBRE Hotels also reported robust metrics across key markets, with most urban cores and top-tier properties outperforming 2019 levels. Markets like Vancouver, Toronto, and Calgary all delivered strong year-over-year results.

The supply-demand dynamic is expected to shift in 2025 as new hotel inventory begins to come online. Nicole Nguyen, senior vice president at CBRE Hotels, writes in a March 2025 article that approximately 6,500 new hotel rooms are projected to open across Canada this year, marking the most significant increase in national room supply since 2019. This 1.4 per cent year-over-year increase is expected to relieve pressure in high-demand markets and reflects a broader return to confidence among developers.

New supply is picking up, but both developers and investors remain highly selective, guided by performance and brand strength. Private capital continues to dominate, but institutional and foreign buyers are returning to the table. Hotel investment companies have become increasingly sophisticated, with many scaling nationally and pursuing brand-aligned portfolios.

“Hotels have demonstrated resilience post-pandemic,” says Curtis Gallagher, principal and hospitality lead at Avison Young. “They can adjust their daily rates instantaneously in an inflationary environment, which is key. For years, people said hotels were a good hedge against inflation, but it hadn’t really been tested—until now. And it’s been proven.”

about a given market.”

Meanwhile, the debt markets have reopened. “Lenders are showing strong appetite for hotels as other asset classes—like office—remain weak,” says Carrie Russell, managing director of HVS Canada. “Hotels are increasingly on their radar, and the lending environment has been quite positive.”

Still, uncertainty remains. The recent re-escalation of U.S. trade tensions—culminating in a sweeping new tariff regime announced in April 2025—has added complexity to the macroeconomic picture. Currency volatility and rising import costs could influence cross-border travel, construction inputs and investor confidence.

Russell believes the market is prepared. “If the uncertainty continues in a stop-start manner, it could just cause people to pause,” she says. “But there isn’t a general sense that the bottom is going to fall out of the hotel sector. One bad year doesn’t collapse hotel values… We saw during Covid that people didn’t transact, but they also didn’t go bankrupt en masse. If a prolonged recession hits and hotel performance is poor for several years, that could become a problem, but current uncertainty hasn’t shown up too heavily yet.”

With stable occupancy, record ADR, resilient demand and a manageable pipeline of new rooms, Canada’s hotel sector enters 2025 from a position of strength. But as political risk rises and construction costs remain elevated, owners and investors are being more selective—and more strategic—than at any point in the past decade.

PART 2: THIRTY YEARS OF EVOLUTION AND THE 2024 INVESTMENT SNAPSHOT

The trajectory of Canadian hotel investment over the past 30 years has transformed the sector from a niche real estate play into an institutional-grade asset class. Since 1995, Colliers Hotels has tracked more than $45 billion in hotel transactions nationally. The earliest part of that period—from 1995 to 2004—was defined by opportunistic investors and fragmented ownership. From 2005 to 2007, pension funds, REITs and global capital poured in, pushing average annual deal volume to $3 billion. Following the global financial crisis, hotel investment stabilized and averaged $2.1 billion annually from 2011 through 2019.

The pandemic severely disrupted that path. In 2020 and 2021, transaction volume collapsed, and alternate-use acquisitions accounted for much of the activity. By 2022, investors began returning to hotels for their yield profile and flexibility during inflationary cycles.

According to the 2025 Canadian Hotel Investment Report by Colliers Hotels, total deal volume reached $2.01 billion in 2024—a 16 per cent increase over 2023. A total of 141 properties changed hands, representing 12,835 rooms. The average price per room for continued hotel use rose to $160,600, up 8.2 per cent year-over-year.

Portfolio sales returned in force. Morguard Corporation completed a $410-million portfolio sale, transferring 10 hotels to InnVest Hotels for $311 million and four hotels to Manga Hotel Group for $99 million. Canada’s largest hotel portfolio deal of the year. Single-asset transactions also drew attention, including Manga’s $112.5-million purchase of the Residence Inn Calgary Beltline and Artifact Group’s $95.1-million acquisition of the DoubleTree by Hilton Montreal.

Full-service assets led trading volume, followed by focusedservice hotels, which exceeded the 10-year average and saw a balanced mix of portfolio and one-off trades. According to Colliers, this reflects buyer preference for urban and suburban properties with known brands and moderate capex needs.

Nguyen notes that pipeline growth remains targeted and manageable. “Most of the upcoming construction will be in smaller cities and tertiary markets, but a few noteworthy projects will open in larger markets. This will help satisfy the strong appetite for new hotel supply and increase occupancy.”

Ontario and British Columbia lead the development activity, with Toronto and Vancouver accounting for a combined 32 per cent of rooms under construction, according to CBRE. Developers are balancing construction cost volatility and supply chain risks with favourable debt availability and stronger RevPAR trends.

Russell emphasizes that repositioning remains more common than ground-up development. “It’s still expensive to build, so buying and renovating is often more viable,” she says. “Brand repositioning is driving a lot of transactions.”

Gallagher notes that many investors factor in deferred capex when assessing acquisitions. “Investors look at current performance, potential performance, and what needs to be spent to bridge that gap,” he says. “Then they ask: does this spending create a strong investment thesis?”

PART 2 CON’T:

“One bad year doesn’t collapse hotel values,” she says. “What we’re seeing now is increased selectivity, not retreat.”

Russell added that while uncertainty could temper transaction volume in the second half of the year, values have remained stable. “One bad year doesn’t collapse hotel values,” she says. “What we’re seeing now is increased selectivity, not retreat.”

With institutional-grade portfolios back in play, focused-service assets outperforming expectations, and a development pipeline reawakening after years of dormancy, 2024 marked a significant turning point.

Colliers’ 2025 Canadian Hotel Investment Report outlines an optimistic investment outlook, driven by strong market fundamentals and a mix of domestic and foreign capital. Investors are prioritizing high-quality assets expected to outperform, with growing interest in Alberta and Atlantic Canada due to favourable entry points and dynamic local economies. Limited product availability in Ontario and British Columbia is expected to further support inter-provincial capital flows.

PART 3:

The low Canadian dollar continues to enhance the appeal of hotel assets to international buyers while supporting domestic travel. Despite geopolitical risks, including potential tariff impacts, Colliers anticipates the Canadian economy will continue to underpin hotel sector performance. Portfolio diversification across segments and the use of joint venture structures remain common strategies amid abundant liquidity and constrained supply.

BUYER AND SELLER PROFILES, VALUATION STRATEGY, AND THE SHIFTING FINANCING ENVIRONMENT

Canada’s hotel investment market in 2024 was shaped by confidence and discipline. Private investors and hotel investment companies were responsible for more than 60 per cent of total acquisitions, according to the 2025 Canadian Hotel Investment Report by Colliers Hotels, with many focusing on mid-sized, brand-aligned properties in urban and secondary markets.

Hotel investment companies led the way in deal volume, deploying more than $1.2 billion nationally, driven largely by portfolio opportunities such as the Morguard transaction. Public and institutional capital remained relatively quiet on the buy side, though many large groups retained a strong footprint in ownership and management.

“Owners don’t want to sell, and buyers want in,” says Gallagher. “That creates rate compression and boosts the value of existing assets” He added that many trades involve properties with deferred capital, giving rise to repositioning plays rather than core yield acquisitions.

“Many hotels are facing deferred capex needs, and owners have to decide how and where to spend—whether to reinvest in current assets or pursue new ones,” Gallagher explains. “It’s all about ROI”

Focused-service and limited-service assets represented a significant portion of 2024 volume. These properties appeal to both institutional and private investors due to lower staffing costs, strong ADR performance and easier repositioning options. According to Colliers, focused-service volume exceeded the 10-year average, driven by both portfolio and singleasset trades.

The average price per room for continued-use hotels rose to $160,600 in 2024. Full-service hotels traded at an average of $197,000 per room, focused service at $194,000, and limited-service assets at $99,000. These values reflect a stable cap rate environment, with most buyers underwriting

stabilized yields based on revenue assumptions adjusted for inflation and operational expense loads.

Says Gallagher. “We’re seeing repeat buyers dominate—groups with operational capabilities and in-house management teams”

On the financing side, lenders have returned in force. According to CBRE and HVS, loan-to-value ratios typically ranged between 60 and 70 per cent for stabilized assets in 2024, and fixed-rate debt was generally available in the mid-five per cent range for experienced borrowers. Hotel-friendly lenders now include major banks, credit unions, private debt providers and specialized real estate funds.

“Lenders are showing strong appetite for hotels,” says Russell. “Given that 60 to 70 per cent of a hotel acquisition is typically financed through debt, this is a significant factor.”

RBC’s acquisition of HSBC added further liquidity, with more lending options available to mid-sized sponsors and family offices. “Now they’re actively competing in that space,” says Gallagher.

In 2024, deal execution was driven not only by capital availability but by experience, timing and brand strategy. With the cost of capital stabilizing, investors are now competing more aggressively—but only for assets that fit a clearly defined investment thesis.

OPERATING TRENDS AND PERFORMANCE BENCHMARKS PART 4:

Canada’s hotel sector returned to a more normalized performance environment in 2024, as operating gains levelled off following three years of sharp post-pandemic growth. According to Cushman & Wakefield’s Canadian Lodging Industry Overview 2024 and CoStar data, national occupancy held steady at 65.7 per cent. Average daily rate (ADR) climbed 4.3 per cent to $208.72, driving a 4.4 per cent increase in revenue per available room (RevPAR), which reached an all-time high of $137.20.

Canada’s hotel industry is expected to post steady growth in 2025. According to CBRE’s Canadian Hotel Industry Outlook Q1 2025, this represents a 1.7 per cent year-over-year increase, driven by continued recovery in travel demand and stable national occupancy levels. ADR is forecast to rise modestly to $210.

The outlook points to balanced growth, with both supply and demand expected to increase by 1.3 per cent. CBRE notes that improvements are broadly distributed across the country, supported by resilient tourism indicators and consistent business travel recovery. Urban markets continue to anchor performance, reflecting strong fundamentals and renewed international visitation. Travel intentions remain positive, and major markets are expected to benefit from this sustained momentum.

Regionally, Vancouver is projected to lead all Canadian markets with a forecast RevPAR of $230 in 2025. Toronto follows at $174, with Montreal at $166. Other key urban destinations such as Quebec City ($163), Halifax ($145) and Ottawa ($138) are also expected to perform above the national average. In Alberta, Calgary and Edmonton are forecast to reach $122 and $91 in RevPAR, respectively, reflecting ongoing strength in Western Canada.

“There are a lot of sites acquired before Covid that were slated for condo or office towers,” Gallagher says. “Some of those uses don’t make sense anymore. A hotel component might now be the viable path forward— but developers need clarity before pulling the trigger.”

Russell notes the enduring strength of downtown assets. “No surprises here—it’s still the downtown cores of Vancouver, Toronto and Montreal,” she says. “Resort markets have seen strong activity, especially with significant investment from groups like InnVest.” Russell also cautions that leisureoriented markets remain vulnerable to shifts in cross-border demand. “Many resort markets rely heavily on U.S. incentive travel.”

CBRE’s report Canadian Hotel Industry Outlook Q1 2025 highlights the continued dominance of major urban centres in shaping the national hotel landscape, with markets like Vancouver and Toronto expected to remain key drivers of performance due to sustained demand, ongoing investment, and their concentration of full-service properties.

Brand repositioning and conversion activity remain widespread. “Many sellers are offloading assets that need capital investment, and buyers are coming in with plans to reposition and rebrand,” says Russell. “Office-to-hotel conversions remain limited, but asset repositioning through capex remains a dominant theme.”

Gallagher says deferred development plans are now being re-evaluated as hotel performance strengthens. “There are a lot of sites acquired before Covid that were slated for condo or office towers,” he says. “Some of those uses don’t make sense anymore. A hotel component might now be the viable path forward—but developers need clarity before pulling the trigger.”

With performance metrics stabilizing at historic highs and the pipeline recovering cautiously, the Canadian hotel sector appears to be approaching a period of sustained equilibrium—defined less by dramatic growth and more by measured reinvestment and operational precision.

PART 5: MACROECONOMIC RISK AND THE U.S. TARIFF WILDCARD

While the Canadian hotel market enters 2025 with stable operating fundamentals and rising transaction volume, the broader macroeconomic backdrop remains uncertain. Inflation has begun to ease, interest rates are stabilizing, and debt capital is flowing— but international policy developments have added a new layer of complexity, according to recent news reports.

In early April 2025, the Trump administration introduced a 10 per cent across-the-board tariff on all imports entering the United States. The move, framed as an economic security measure, also included language suggesting future escalations based on trade imbalances. For Canada—one of the U.S.’s largest trading partners—the impact on hotel investment is likely to be indirect but significant.

The tariff policy has already introduced new concerns around construction inputs, crossborder visitation, and currency volatility. As of April 2025, the Canadian dollar was trading below USD 0.73, creating a pricing advantage for U.S.-based investors and inbound American travellers—but also raising the cost of imported materials for developers.

Russell says the impact may be most visible in project budgets and event bookings. “There’s definitely some hesitancy from U.S. groups considering incentive travel or events in Canada,” she says. “We’ve already seen some cancellations of U.S. conferences due to concerns about optics. At the same time, the low Canadian dollar is boosting interest from inbound leisure travellers.”

According to the Centre for Strategic and International Studies, even a modest 10 per cent decline in Canadian outbound travel to the United States could lead to

$2.1 billion in lost tourism-related spending and 14,000 job losses within the U.S. tourism sector. A portion of that demand may be redirected to Canadian destinations, but it remains to be seen how sustained or widespread such a shift will be.

Gallagher says investors are cautious but not retreating. “The risk is if the trade war becomes politicized and, for example, there’s a directive discouraging U.S. travel to Canada,” he says. “That’s the unknown everyone is watching.”

Despite these risks, most developers and investors appear to be managing them as part of broader risk-adjusted returns. Both Colliers and CBRE note that lenders remain active and committed to the hotel sector—even amid global volatility.

“Liquidity in the lodging sector is abundant with both domestic and international lenders actively deploying capital,” according to the 2025 Canadian Hotel Investment Report from Colliers. Russell agrees that financing remains available for projects with clear fundamentals. “The lending market is helping to stimulate hotel activity,” she says. “If not for the broader economic unknowns, this would likely be a very active year.”

Overall, the Canadian hotel sector has entered the second quarter of 2025 with a more complex set of variables than in previous years. With tariff pressure rising and global capital more sensitive to political signals, stakeholders are proceeding with care—but not standing still.

PART 6:

STRATEGIC OUTLOOK AND CONCLUDING ANALYSIS

As Canada’s hotel sector heads toward the summer, the investment narrative is defined by strategic selectivity and the re-emergence of long-term confidence. The fundamentals are strong: national RevPAR is at an all-time high, transaction volume has surpassed $2 billion, and the construction pipeline is regaining momentum after years of minimal growth.

Yet investors are not taking anything for granted.

Russell says, “This is not a market where you throw capital at anything and hope it sticks. There’s too much uncertainty around costs, trade, and crossborder dynamics. The good news is that the fundamentals of Canadian hotel markets—especially major cities—are solid.”

Brand repositioning continues to drive many of the year’s transactions. Sellers are offloading older properties with deferred capex, while buyers— especially hotel investment companies and entrepreneurial platforms—are bringing new capital and repositioning strategies to the table.

At the same time, because developers are somewhat guarded, the 6,500 rooms expected to open in 2025 are still below historic highs. This restrained growth may help sustain pricing power in high-demand markets.

“Developers are cautiously continuing with pre-development work— architecture, rezoning, design, feasibility—while holding off on large construction contracts until there’s more certainty,” says Russell.

Debt capital remains available, but lenders are focused on sponsor experience, location, and brand. Russell emphasized that lenders are now essential participants in deal structuring. “Debt is flowing, but it’s not dumb money,” she says. “The lenders are underwriting the story just as carefully as the buyers.”

From a capital markets perspective, hotels continue to benefit from being a relative outperformer compared to office and retail. The ability to reset rates daily, optimize cost structures, and benefit from strong domestic demand has made hotels an attractive hedge against inflation and market volatility.

“This is not a market where you throw capital at anything and hope it sticks. There’s too much uncertainty around costs, trade, and cross-border dynamics. The good news is that the fundamentals of Canadian hotel markets— especially major cities— are solid.”

Still, external factors—chiefly U.S. tariffs and potential retaliatory measures—pose a risk to both construction costs and inbound demand. Gallagher says the political dimension cannot be ignored. “If we get a directive or sentiment shift from the U.S. administration that impacts tourism or investment, we’ll feel it,” he says. “That’s the one scenario that could quickly change the outlook.”

As of spring 2025, however, no such major shift has materialized. Transaction activity remains brisk, debt markets are functioning, and the performance environment is stable. For long-term investors with a strategic lens and operational capability, the conditions remain favourable.

The Canadian hotel investment market ended 2024 in a strong position, and the momentum has carried into 2025 with over half a billion dollars in closed transaction volume to-date—including a handful of headline deals in major markets, according to Colliers’ Robin McLuskie, managing director-hotels, and Fraser Macdonald, senior director-hotels, Canada.

Despite the backdrop of U.S. tariff tensions and political noise, liquidity remains healthy. “We’re still seeing more buyers than sellers, and plenty of capital on the sidelines looking for the right opportunities,” says McLuskie.

Investors are taking a long-term view, focusing on building diversified portfolios across asset classes and market types to help buffer against temporary volatility. In the short term, the rise in Canadian nationalism has been wonderful to see and sets the stage for a strong year of domestic travel, especially in key leisure markets.

INSIDE THE MINDSET OF CANADA’S HOTEL INVESTORS PART 7:

We’ve established that confidence among Canadian hotel investors is building in 2025, with owner-operators, institutional funds and private groups aligning around a common theme: discipline over speculation. As supply begins to re-enter the market and operating fundamentals remain historically strong, active capital is returning—but with a more measured, strategic lens than in previous cycles.

Transaction data from Colliers Hotels supports the view that long-term Canadian capital is leading market activity. In the 2025 Canadian Hotel Investment Report, Colliers reported that six portfolio transactions were completed in 2024, representing more than 3,300 rooms and $550 million in value.

Firms such as Manga Hotels, InnVest and Artifact Group are pursuing full-service urban assets with upside potential, as noted in Cushman & Wakefield’s Canadian Lodging Industry Overview 2024.

That report highlighted investor interest in focused-service and limited-service assets, particularly in suburban markets, where operating margins are stronger and capex requirements more manageable.

“Investor demand is largely focused on select and limitedservice hotels,” reads the report by Cushman & Wakefield. “Full-service urban assets continue to attract institutional attention, but value-add execution remains the key strategy.”

That selectivity reflects the broader tone of the market. As Gallagher observes, “Investors aren’t taking blind bets. They want clarity on economics and execution.”

With most top trades in 2024 executed for continued hotel use—rather than redevelopment—the data suggests that capital remains focused on hotels for their long-term operational potential.

Despite some very wild wildcards, 2025 is largely a year of positivity for Canadian hoteliers. Capital is available. Demand is resilient. But every deal must be underpinned by strategy, sponsorship, and the ability to adapt.

Sources:

• Colliers Hotels. 2025 Canadian Hotel Investment Report.

• Cushman & Wakefield. Canadian Lodging Industry Overview 2024.

• CBRE Hotels. New Hotel Supply to Provide Relief Across Canada in 2025. Available at: https://www.cbre.ca/insights/articles/ new-hotel-supply-to-provide-relief-across-canada-in-2025

• CBRE Hotels, Canadian Hotel Industry Outlook Q1 2025. Published April 15, 2025.

• CBRE Hotels Research. 2025 Global Hotel Outlook. Published 2024.

• Avison Young. Interview with Curtis Gallagher, principal and hospitality lead.

• HVS Canada. Interview with Carrie Russell, managing director.

BUILDING SUCCESS TOGETHER

INNOVATIONS IN REVENUE MANAGEMENT

Three game-changing AI innovations driving revenue growth in today’s competitive market

BY TIM WIERSMA

AI is reshaping industries at an accelerating pace, and the hospitality sector is no exception. While it can be overwhelming to pinpoint where to focus efforts for maximum impact, one thing is clear: the potential for transformation is immense. Airlines and travel companies are already leveraging AI to turn common frustrations—delays, cancellations, and luggage uncertainty—into smoother experiences. AI helps anticipate needs, offers flexible flight changes, and provides real-time luggage tracking, enhancing both customer experience and operational efficiency. Companies that embrace this technology are well-positioned to thrive in an evolving landscape.

While AI is not a new concept—it has been operating behind the scenes for years—today’s rapid advancements make it more crucial than ever for the hotel industry to focus on key areas where AI can drive growth and improve bottom-line efficiency. Below, I’ll highlight three areas where AI can give hotels a distinct advantage in today’s dynamic, competitive environment.

DYNAMIC PRICING AND REVENUE MANAGEMENT

Dynamic pricing has been a key revenue strategy in hospitality for years, but AI-driven advancements have taken it to a new level. Today’s AI-powered Revenue Management Systems (RMS) leverage vast amounts of data in real-time to optimize pricing strategies, ensuring that hotels maximize revenue while staying competitive in a constantly evolving market.

AI-powered dynamic pricing and revenue management thrive on vast amounts of data, and external data sources are critical for making more accurate pricing decisions. By integrating external data, hotels can refine their pricing strategies based on real-world factors that influence demand.

Failing to leverage the right data, including external sources, can put your hotel at risk of losing revenue, market share, and operational efficiency. Access to competitor pricing, availability, and market demand is essential for enabling your RMS to make real-time adjustments. Additionally, your RMS can identify seasonal trends, allowing for proactive pricing strategies. It can also detect unusual booking activity for future dates, helping to optimize pricing and availability well in advance.

A common issue I encounter is the frequent second-guessing of system recommendations and excessively overriding decisions. If this happens regularly, it may indicate that your RMS is not properly calibrated and needs further evaluation of parameters and data inputs. A key advantage of a well-optimized AI-driven RMS is its ability to learn and adapt in real time. Constantly overriding its recommendations prevents the system from leveraging the full power of its analytical and strategic insights. When properly monitored and calibrated, hotels should trust their RMS, using overrides sparingly and only when absolutely necessary and justified.

ROBUST COMMERCIAL ANALYTICS PLATFORM AND CITIZEN DATA SCIENCE

Consolidating vast amounts of relevant data is just the first step. A powerful platform that can analyze, forecast, and detect patterns and behaviours elevates your organization to the next level.

We are currently working with several ownership groups to create more focus around analytics, allowing them to make fast and more targeted decisions while also understanding the various components of demand. A key competitive advantage of an AI-driven RMS is its robust and continually evolving commercial analytics platform. This platform enables quick access to valuable insights, offering a deep understanding of current trends and empowering hotel teams to adjust their strategies quickly to stay ahead. By gaining granular insights into customer behaviours and the effectiveness of implemented strategies, the platform allows for continuous refinement, ultimately driving significant increases in both revenue and profitability.

This ability to leverage actionable insights is crucial in today’s fast-paced, data-driven world. The key advantage for any organization lies in how effectively they can harness tools and models to make data-driven decisions. The challenge, however, is ensuring you have the right resources in place to analyze and interpret

this data. You don’t necessarily need to hire a data scientist, but identifying individuals with the right skills and aptitude is essential for success.

As my business partner and VP of data science and analytics, Dan Skodol explains the concept and role of citizen data scientists, “There are various definitions floating out there, but the one I like the best comes from Gartner, the global research and advisory firm: a person who creates or generates models that leverage predictive or prescriptive analytics, but whose primary job function is outside the field of statistics and analytics. This person must have a high comfort level with technology, a solid understanding of mathematical and statistical concepts, and arguably, most importantly, the appropriate subject-matter expertise. An advanced degree in a quantitative field is not required, and this distinction may be what sets the citizen data scientist apart from their professional counterparts.”

Skodol further explains: “Many industries face the challenge of keeping pace with rapidly expanding data while making business decisions at an exponentially faster rate and greater scale.”

I’ve often discussed the challenges our industry faces with all its legacy systems and siloed data. With a more robust business analytics system, however, you can gain a holistic view of your situation and build relevant and timely strategies that provide a strategic advantage.

We have seen this first-hand with our clients, who’ve received actionable insights in a short amount of time, driving stronger revenue results and improved operational efficiencies. Even if your organization lacks the bandwidth to develop this discipline in-house, consider a third-party solution. Just be sure that whichever option you choose aligns with your organization’s technology stack and the culture of your organization.

PERSONALIZATION AND GUEST ENGAGEMENT

Imagine being able to instantly recognize past guests who regularly book spa treatments and send them personalized offers for discounted wellness packages. You could also seamlessly recommend room upgrades, exclusive dining experiences, and curated activities, all based on their preferences. With the right discipline and powerful AI-driven customer relationship management (CRM) tools, this is not just possible—it’s a game changer.

Traditional marketing utilizes broad guest segment data, leading to marketing campaigns that are less efficient and, in most cases, less effective. AI, however, can analyze vast amounts of data to gain deep insights into guest behaviours, preferences, and booking patterns. This allows you to create highly personalized offers delivered at the perfect time, increasing both the likelihood of booking and guest satisfaction. By investing in a robust AI-driven CRM, hotels can analyze guest data in near real time, enabling them to deliver tailored experiences that enhance guest satisfaction and loyalty. This dynamic approach empowers operations teams to communicate with guests during and after their stay, instantly addressing inquiries, reducing response times, and escalating issues to the right departments for quick resolutions—ultimately enhancing customer satisfaction.

With AI, you don’t just serve the right offer; you deliver it when it matters most.

IN A NUTSHELL

AI is revolutionizing the hospitality industry by transforming revenue management, commercial analytics, and guest engagement. Hotels that leverage AI-driven tools gain a competitive edge by optimizing pricing strategies, streamlining operations, and delivering personalized guest experiences.

When executed correctly with the right resources, your hotel company establishes a strong foundation for sustained growth. This approach focuses on key success drivers, including guest satisfaction, effective revenue management and pricing strategies, strong reputation, operational efficiency, impactful marketing, and, most importantly, the ability to adapt to rapidly evolving trends.

ABOUT THE AUTHOR

With more than three decades of experience in the hospitality industry, Tim Wiersma is recognized as a leader in revenue management and commercial strategy specializing in property and portfolio revenue management, sales, marketing, distressed-asset turnaround, and asset assessment.

In more recent years Wiersma’s business has grown significantly in the area of building commercial analytics platforms where he and his associates apply data science to enhance profitability for hotels, resorts and event spaces.

Before founding Revenue Generation, Wiersma was a vice president with Host Hotels & Resorts. He has also held VP positions at TPG Hospitality, a private equity firm with over 60 full-service hotels representing all major markets and brands, and he was vice president of Red Roof Group where he oversaw the revenue strategy of over 650 economy hotels. He has held other corporate-level positions with Starwood Hotels & Resorts (now Marriott International) and Canadian Hotel Income Properties REIT (now owned by British Columbia Investment Management Corp.) and has been a key advisor for Marriott International in sales and revenue management.

Wiersma holds a BA in Business Administration and Finance. He is an active member of HSMAI (Hospitality Sales and Marketing Association International) and is past chair of HSMAI ‘s Revenue Optimization advisory board. In his spare time, he enjoys spending time with family and friends and on weekends you will often find him flying a Piper Warrior.

TELLING ‘TAILS’

Charming stories of hotel resident pets

BY JESSICA GEDGE

Canada is home to many hotels that offer the ultimate luxury experience, not just for humans, but for their fur babies too. From plush beds to gourmet treats, pet-friendly hotels go the extra mile to ensure your furry friends receive the royal treatment they deserve.

While pet-friendly hotels are abundant across Canada, those with resident pets that live on the property and interact with guests, are rare and charming finds. These hotels don’t just welcome pets, they’ve made them an integral part of the property’s character and charm. From furry ambassadors to beloved hotel residents, these animals add a special, heartwarming touch to the guest experience.

These hotels blend the charm of resident animals, pet ambassadors, and creatures that enrich the guest experience, creating a memorable and unique atmosphere.

PAWS ON THE PROPERTY

Fairmont Hotels & Resorts in Canada are renowned for their signature hospitality, and some of their properties elevate this experience with the presence of canine ambassadors— resident dogs meant to add an extra layer of warmth and charm for guests.

At select Fairmont locations, guests are welcomed by these lovable, fourlegged companions, ready to make guests feel more at home. Far from just pets, these dogs serve as true ambassadors, embodying the heart and soul of the property and offering that extra touch of comfort to visitors.

Winston, a Labrador and Golden Retriever mix was formerly a guide dog in training and known for his wagging tail and infectious positivity, especially when it came to greeting new guests. Winston spent four years as the beloved pet ambassador at the Fairmont Empress in Victoria, British Columbia.

Ella, also a Labrador and Golden Retriever mix, and Elly, a Black Labrador, are the two canine ambassadors at the Fairmont Hotel Vancouver who were originally trainees with BC & Alberta Guide Dogs. Ella and Elly’s love for socializing made them better suited for spreading joy as hotel dogs.

Before becoming the beloved canine ambassador at Hilton Mississauga/ Meadowvale, Blazer, a Husky/Shepherd mix, was a rescue pup who had been returned to the local shelter three times.

His gentle yet enthusiastic nature made it challenging for him to find a forever home until Hilton’s compassionate bellman, Christian Bartlett, stepped in. With Bartlett’s care and patience, Blazer underwent an incredible transformation, quickly becoming the hotel’s star attraction. Greeting every

guest with an endearing wag of his tail, Blazer ensured that everyone felt a warm welcome the moment they walked through the doors.

Blazer’s world expanded with the arrival of Duncan, a Yellow Labrador/Husky mix who, like Blazer, had endured hardship before finding a loving home with Bartlett.

Together, Blazer and Duncan made an inseparable duo, and their dynamism is emblematic of the pet-friendly Hilton experience. Whether greeting guests in the lobby, lounging on the patio, or relaxing near the heated outdoor pool, these two dogs radiated warmth, hospitality, and a welcoming spirit at every corner of the hotel.

The property’s director of sales and marketing Suzanne CinqMars says, “Blazer had been at the hotel since before Covid. He had been a valued and cherished member of the team for many years. Duncan is his little brother and has been coming to the hotel for the past 3 or 4 years now.”

Cinq-Mars adds, “They would often dress according to the holiday or time of year to ensure a fun photo op. They provide incredible joy and comfort to our guests and a sense of ‘home’ to the large lobby.”

Sadly, Blazer passed away after a battle with cancer. It was a difficult and heart-wrenching time not only for Bartlett and the Hilton Mississauga/Meadowvale team but also for all the guests who had been touched by Blazer’s gentle spirit. His presence left an indelible mark on the hotel, a testament to the impact of having resident pets.

At the heart of many hotels with resident pets, cats have also carved out their own special place, and arguably none more so than the Algonquin Hotel in New York City. The Algonquin’s history with feline residents dates back to 1933 when it first

welcomed Rusty into its storied halls. Today, Hamlet, the 12th-generation hotel cat, continues a legacy that has enchanted guests for nearly a century.

With his regal air and laid-back demeanour, Hamlet has become an enduring symbol of the Algonquin’s unique charm. At ease in the plush surroundings of the lobby, he greets guests with a warm, contented purr, effortlessly adding to the hotel’s inviting atmosphere.

Much like the legacy of the New York landmark, Hamlet’s presence brings a sense of character, seamlessly blending with the elegance of the space. Named for Shakespeare’s legendary tragic hero, Hamlet is a living tribute to the timeless allure of the Algonquin.

In keeping with its feline tradition but also changing with modern times, the Algonquin has taken its adoration for Hamlet and his predecessors to new heights, with a dedicated social media presence and according to his Instagram account, Hamlet is “An expert in residence, a real New Yorker.”

Across North America, hotels are welcoming resident pets, offering guests the comforting presence of a furry companion during their travels. These charming animals infuse each stay with a sense of warmth and familiarity, turning every visit into something a little more personal and memorable.

HOTEL VIPS: VERY IMPORTANT PETS

While not every hotel boasts a resident pet, ensuring a positive experience for four-legged guests remains a top priority for those in the hospitality industry.

The thoughtful touches and dedicated care offered to furry visitors are a testament to the growing commitment to making every stay, for both humans and their companions, truly exceptional.

According to Cinq-Mars, “Pets are family and for pet owners, the love they have for their pet runs deep. We at Hilton respect and recognize that love and deep connection between our guests and their pets and part of providing a memorable experience is to share that with their beloved pet.” Many Canadian hotels treat furry companions like VIPs and have unique ways to showcase their hospitality.

The Kimpton Saint George Hotel in Toronto is known for its all-inclusive pet policies. From no-fee stays to innovative ideas like Doggy Bathrooms for toy breeds, pets will be treated like members of the family.

The Hotel Saskatchewan, Autograph Collection in Regina is a haven for both guests and their pets. The hotel offers pet-sitting services, as well as a pet menu that includes gourmet treats tailored to your pet’s tastes. With an attentive staff dedicated to each pet’s comfort, four-legged friends will feel right at home.

The calm and picturesque lakeside setting of Manteo at Eldorado Resort in Kelowna offers the perfect backdrop for a relaxing getaway. With walking trails and green spaces nearby, the resort offers plenty of outdoor adventures for dogs, ensuring they have a memorable experience. →

PAWSITIVELY BENEFICIAL

Resident pets in hotels aren’t just cute faces, though they certainly add to the charm. They offer a wealth of positive benefits that elevate the guest experience, create a unique atmosphere, and foster a deeper connection with the property. Here’s why having a resident pet can be a game-changer for hotels and guests alike:

1. A warm, welcoming atmosphere

There’s something about a resident pet that immediately makes a hotel feel like home. Whether it’s a wagging tail greeting you in the lobby or a friendly purr as you settle in, these animals create an instant sense of comfort and relaxation. Guests can enjoy the simple joy of animal companionship, especially if they’re missing their own pets back home.

2. A loyal following

When a hotel features a resident pet, it becomes more than just a place to stay, it becomes a destination. Guests will return time and again to experience the warmth and charm these pets bring. For pet lovers, it’s a special perk that builds loyalty and keeps guests coming back for that personal connection

3. A true sense of hospitality

Resident pets embody the essence of hospitality. Their friendly presence creates a laidback, approachable atmosphere that sets the tone for the entire stay. It’s not just about checking into a room, it’s about feeling welcomed by both the staff and the hotel’s pet ambassador, whether you’re on a stroll through the garden or simply enjoying a quiet moment in the lobby.

4. Wellbeing boost

It’s been well-documented that spending time with animals is beneficial for people of all ages. According to the Social Sciences and Humanities Research Council of Canada, findings suggest that for hotel guests, interacting with a resident pet can help relieve stress, elevate mood, and offer a sense of calm, especially after a long day of travelling. Whether it’s a quick cuddle or a leisurely walk, these moments with a hotel pet contribute to a more relaxed, enjoyable stay.

5. Pet-friendly reputation

Hotels with resident pets naturally attract a loyal following of pet owners and animal lovers. They go beyond allowing pets, they actively embrace them as part of their identity. This creates a pet-loving atmosphere that makes the hotel stand out from the crowd. Guests often love sharing their experiences with the hotel pet, posting photos and videos that help create an authentic, fun vibe around the property. This word-of-

6. Elevated employee morale

The presence of a friendly animal can reduce stress, improve morale, and create a more connected team. Staff members can often feel more engaged and energized when they have the opportunity to care for and interact with the hotel’s pet, fostering a positive workplace environment that translates to better guest service.

Resident pets do more than just enhance the atmosphere, they can transform a hotel into a welcoming, heartwarming space where guests feel like part of the family. Their presence brings joy, comfort, and a special kind of hospitality that keeps guests returning for more.

Sources:

Canadian Foundation for AnimalAssisted Support Services: Accessibility

CNIB Guide Dog Legislation: Guide Dog Legislation

ARCH Disability Law Centre: The Law of Service Animals in Ontario

Think Human Rights: Know Your Rights: Service Dogs & Emotional Support Animals

MSAR Service Dogs: Provincial Service Dog Regulations

Support Dog Certification: Service Dog Certification and Regulations in Canada

Service

animals in hotels:

What

do Canadian regulations entail for guests and staff?

In Canada, both federal and provincial/territorial laws protect the rights of individuals with disabilities to be accompanied by service animals in public places, including hotels. While the Canadian Human Rights Act prohibits discrimination based on disability at the federal level, specific regulations regarding service animals vary across provinces and territories. Below is an overview of the relevant laws in each region:

ALBERTA

⦿ Service Dogs Act: Defines the rights of individuals with disabilities to be accompanied by service dogs in public places, including hotels.

⦿ Blind Persons’ Rights Act: Specifically addresses the rights of individuals with visual impairments using guide dogs.

BRITISH COLUMBIA

Guide Dog and Service Dog Act:

Provides rights to individuals with disabilities accompanied by certified guide or service dogs, ensuring access to public places such as hotels.

MANITOBA

⦿ The Human Rights Code: Protects individuals with disabilities from discrimination, including those accompanied by service animals, ensuring access to public services and accommodations like hotels.

⦿ The Service Animals Protection Act: Offers additional protections for service animals.

NEW BRUNSWICK

Human Rights Act: Prohibits discrimination based on disability, including the right to be accompanied by service animals in public places such as hotels.

NEWFOUNDLAND AND LABRADOR

Service Animal Act: Prohibits discrimination against individuals with disabilities accompanied by service animals in public places, including hotels, and outlines the responsibilities of service animal handlers.

NORTHWEST

TERRITORIES

Human Rights Act: Protects individuals with disabilities from discrimination, ensuring they can be accompanied by service animals in public accommodations like hotels.

NOVA SCOTIA

⦿ Blind Persons’ Rights Act: Addresses the rights of individuals with visual impairments accompanied by guide dogs.

⦿ Human Rights Act: Provides broader protection against discrimination based on disability, including the right to be accompanied by service animals in public places like hotels.

NUNAVUT

Human Rights Act: Prohibits discrimination based on disability, ensuring individuals can be accompanied by service animals in public accommodations, including hotels.

ONTARIO

⦿ Accessibility for Ontarians with Disabilities Act (AODA): Requires service providers, including hotels, to accommodate individuals with disabilities accompanied by service animals.

⦿ Ontario Human Rights Code: Protects against discrimination based on disability, reinforcing the rights of individuals with service animals.

PRINCE EDWARD ISLAND

Human Rights Act: Prohibits discrimination based on disability, including the right to be accompanied by service animals in public places such as hotels.

QUEBEC

Charter of Human Rights and Freedoms: Protects individuals from discrimination based on disability, ensuring they can be accompanied by service animals in public accommodations, including hotels.

SASKATCHEWAN

The Saskatchewan Human Rights Code: Prohibits discrimination based on disability, ensuring individuals with service animals have access to public places like hotels.

YUKON

Human Rights Act: Protects individuals from discrimination based on disability, ensuring they can be accompanied by service animals in public accommodations, including hotels.

Considerations for Hotel Employees with Service Animals

Employers, including hotels, have a duty to accommodate employees with disabilities, which may include allowing the presence of service animals in the workplace. This duty is subject to the standard of undue hardship, meaning that employers must accommodate unless it causes significant difficulty or expense. It’s essential for hotel management to engage in open discussions with employees requiring such accommodations to ensure compliance with applicable human rights legislation.

General Guidelines for Hotels

⦿ Identification: While not always mandatory, it’s advisable for individuals to have documentation or visible indicators (like vests or harnesses) identifying their animals as service animals.

⦿ Access: Service animals should be allowed in all areas open to the public, including guest rooms, dining areas, and other amenities.

⦿ Fees: Hotels should not charge additional fees for guests or employees accompanied by service animals. However, individuals may be responsible for any damages caused by their animals.

⦿ Behaviour: Service animals are expected to be under control and not pose a direct threat to the health and safety of others.

It’s crucial for hotel operators to familiarize themselves with both federal and provincial/territorial laws regarding service animals to ensure compliance and provide an inclusive environment for all guests and employees.

IN PROFILE BY JIM BYERS

STAY Magazine senior correspondent and frequent traveller

Jim Byers has stayed in some of the best, and most interesting, hotels in the world. This is the first of his regular hotel experience features. Look for three in every issue of STAY in 2025…

FAIRMONT HOTEL VANCOUVER

NĀPILI KAI BEACH RESORT ON MAUI

SHERATON CENTRE TORONTO HOTEL

FAIRMONT HOTEL VANCOUVER

There are some hotels that make you feel special the second you open the front door.

Fairmont has many of them in Canada, and the Fairmont Hotel Vancouver is definitely one. Here’s a look at one of the city’s most iconic properties.

THE STORY

The sturdy, handsome stone exterior speaks to another era, with its lovely, grey stone and Chateauesque, steeped-pitch green copper roof.

The hotel opened on May 29, 1939, with no less than King George VI and Queen Elizabeth on hand.

The so-called “Palace in the City” quietly embraces visitors with a strong sense of grandeur and a powerful shot of history. But you’ll also find modern, striking photos that act as a juxtaposition and ensure guests and visitors don’t simply wallow in the past.

“We collaborated with international portrait photographer Dennis Gocer of The Collective You to create a photo exhibition that re-imagines eight decades of iconic moments,” said Fairmont media relations coordinator Gianna Borja.

Two new additions are called “Where It All Boils Down,” which is an homage to the hard-working people who have manned the boiler room for so many years. Another is called “A Roaring Good Time,” which celebrates the old Panorama Roof bar, which was home to many a swanky dinner and dancing party over the years. The bar was open when Prohibition was the law in some Canadian provinces. The story goes that the Dal Richards Dance Orchestra, which played here five nights a week for two and a half decades, would strike up the tune “Roll Out the Barrel” when the police were on their way, giving patrons time to hide their booze.

The hotel in 2019 completed a five-year renovation project showcasing a new lobby and restaurant, as well as new guest rooms, the 14th-floor Heritage Suites and a new Fairmont Gold product with redesigned guest rooms and a private lounge.

The Fairmont Hotel Vancouver was named Best Historic Hotels Worldwide Hotel in the Americas by Historic Hotels Worldwide in 2024.

THE ROOMS

There are 557 keys and a variety of rooms, which range from 28 to 42 sq. m./301 to 452 sq. ft.

They also have a range of suites, including a splurge-worthy threebedroom suite that offers 223 sq. m./2,400 sq. ft. and has a full kitchen and formal dining room.

We had a lovely 12th-floor Deluxe Room with a bed surrounded by a black, lacquered wood frame and black pillows for a jazzy look. There were also four black-and-white photos in black frames on the wall. The room had a good-sized desk for working on the road, a comfy chair, plenty of storage, and a Nespresso machine for a late afternoon or early morning pick-me-up.

The good-sized bathroom (not always the case in older hotels) has Fairmont’s traditional Le Labo products, as well as plush bathrobes.

COURTESY

Afternoon tea offerings during the Lunar New Year and Cherry Blossom season

THE AMENITIES

One of the great features is the secret speakeasy room, which is hidden behind a bookcase and down a short flight of stairs from the lobby bar and restaurant. I visited around the Lunar New Year, which is also around the time cherry blossoms appear on the streets of Vancouver, and the room was decorated with red, Chinese lanterns and delicate cherry blossoms. They serve a marvellous afternoon tea, with everything from curry puffs, roast duck tarts, smoked salmon, and, of course, decadent desserts. They’ll switch to other themes throughout the year to change things up. If you’re lucky, you might drop in when they’re celebrating the hotel’s Famous “Lady in Red,” a ghost who is said to haunt the hotel’s historic halls.

The lobby bar and restaurant, Notch 8, is an elegant, modern space with tremendous cocktails. My wife and I enjoyed a smoky, deeply flavoured Sazerac and an Old-Fashioned with maple syrup.

We didn’t get a chance to try it, but the dinner menu features a raw bar and such dishes as Char Siu Sablefish and a slowroasted prime rib with Yorkshire Pudding.

There’s a light-filled indoor pool, a state-of-the-art fitness centre and a spa with a variety of treatments. The hotel also features several high-end boutiques, with names like Gucci, Omega and Dior.

THE PEOPLE

A great hotel deserves a great concierge, and 29-year-employee Debbie Wild is one of the best in Vancouver.

“I love helping guests and showcasing the city and what it has to offer,” she told STAY. “Travel can be stressful so it’s nice to give our guests a little help.”

Wild brings her Black Lab Ellie to work with her, giving guests a chance to interact with a friendly pet.

She told me U.S. President Joe Biden was in town for the 2010 Winter Olympics and kept stopping to pet her dog, as his favourite pet was back home in Washington.

“The secret service had to clear the way for him, but he kept stopping to pet my dog,” she said with a laugh. Biden also had a more pressing problem that Wild helped solve.

“He likes to buy his wife gardenias for her birthday every year, but they weren’t in season when he stayed with us. We looked all over town and finally found some. He was delighted.”

THE LOCATION

The Fairmont Hotel Vancouver is on Burrard Street, in the heart of downtown. There’s fabulous shopping and restaurant options all around. It’s less than a 10-minute walk to the waterfront. The lovely Vancouver Art Gallery is right behind the hotel. Vancouver Airport is roughly 25 minutes away.

A view of Notch 8 restaurant and bar at the Fairmont Hotel Vancouver

A junior suite at the Fairmont Hotel Vancouver

“A Roaring Good Time” is a modern artwork on display at the Fairmont Hotel Vancouver.

IN PROFILE

SHERATON CENTRE TORONTO HOTEL

Honey, I shrunk the hotel.

Well, okay, they haven’t actually reduced the size of one of Canada’s biggest hotels. But the recent updates at the Sheraton Centre Toronto Hotel have given this once formidable property a more intimate and jazzy feel.

The lobby is still bustling when there’s a convention on, and there are often conventions on at this 1,372-room hotel (it’s the largest Marriott in Canada) across the street from Toronto City Hall. But the main-floor Dual Citizen coffee shop has a cool, urban vibe, the 43 Down bar and restaurant has carved out a quiet corner off the lobby with a surprisingly sophisticated menu, and the 43rd-floor club lounge is an executive’s or travelling family’s dream.

PUBLIC SPACES AND MEETING ROOMS

The Sheraton says it has more meeting space than any hotel in Canada; a whopping 130,000 square feet (12,077 sq. m.).

The main ballroom can accommodate 2,000 people, but you can also slide into a small meeting space for just a handful of guests.

The lobby renovation was finished in July 2022.

“We wanted to give it kind of a town square feel,” said director of marketing Heather Horton.

The renovations were done by different design companies, but the work done here is reminiscent of the jazzy, new looks recently given to Le Centre Sheraton Montreal Hotel and

the lovely Sheraton Gateway Hotel in Toronto International Airport. The Sheraton Centre Toronto Hotel work was handled by DesignAgency.

The lobby encompasses a variety of seating styles; lounge chairs, sit-down dining space, and worktables with plenty of power outlets. It’s a nice mix for a hotel that attracts tons of businesspeople, as well as tourists and local families looking for a city break.

Most meeting spaces have to be rented by the day, but the attractive Connect Studio is an attractive, quiet space off the lobby that can be rented by the hour, as can Collaborate Studio.

There also are a couple of small, soundproof booths that can be used for privacy or to make a phone call.

“I once saw someone in there playing the saxophone,” Horton told me with a smile.

The ground floor shops will be updated soon, I was told, as will the lower level where the hotel connects to the PATH, Toronto’s underground pedestrian network.

THE ROOMS

In addition to the 1,372 rooms, the hotel offers 75 one- and two-bedroom suites.

Room renovations will begin fairly soon, but not before the hotel tests a couple of prototypes.

We stayed in room 3727, which had a nice desk, a super comfortable bed, a big-screen television, a chair with an ottoman and lovely Gilchrist & Soames bath products.

They also gave us an adjoining room, 3729, which had an enormous living space with a sofa and chair, a second bathroom, a great desk and a dining table for six people.

Both rooms had beige carpeting and dark wood furniture, which isn’t exactly the trend today. But there were cool Canadian photos with the Toronto ferries, Old City Hall and a waving red and white maple leaf flag, making it very on point with expressions of Canadian pride these days.

THE AMENITIES

The 43rd-floor Club Lounge is a beauty, with a long, wooden bar, dark blue-green chairs and floor-to-ceiling windows that look north to City Hall and south to the financial district and the CN Tower.

“It’s all about flexibility,” Horton said. There are quiet places to work, but the lounge also is a good fit for families or a romantic, pre-dinner cocktail.

“David Marriott came and said the only lounge he perhaps likes better than this one is one in Hawaii,” Horton said with a smile. “That’s pretty good.”

Local Character, Global Presence

We stopped by in the evening and enjoyed mac and cheese with a choice of toppings (including bacon and sun-dried tomatoes), as well as jambalaya with sausage, a nice beet and mandarin orange salad, a good mix of charcuterie, and excellent soba noodles.

The next morning at breakfast we found croissants, bagels, a slightly cold frittata with veggies, chicken apple sausage, savoury potatoes, cold meats, cheeses and more. The lattes were included, and the bar staff brought them to our table.

The hotel’s 43 Down restaurant is a serene sanctuary off the lobby with a great, late-night, sophisticated look. Soft jazz was playing in the background when we dined there, and the lights were down low.

I tried a wonderful cocktail called The 43rd with Kentucky bourbon (apologies to the Buy Canada movement), maraschino liqueur and Canadian-made bitters (Buy Canadian!) from Dillon’s distillery. The drink came in a smoke-filled birdcage, and that’s not something you see at most Sheratons.

The menu is fairly small, but my wife and I enjoyed shrimp crackers with a just-right-spiced mango salad, as well as tasty short rib served with Asian spices, and sensational tuna tataki with jalapeno, pickled onion and jalapeno peppers.

The food is excellent and, dare I say, surprisingly sophisticated.

Horton told me 43 Down can be closed off for private events.

There’s an expansive, renovated 24-hour fitness centre with new Techno Gym equipment, and what I was told is the largest indoor/outdoor hotel pool in Toronto. The outdoor pool gets a lot of light, which is unusual for a downtown hotel, and the Sheraton offers pool-view rooms.

You can get a membership to use the fitness centre, and they also have day passes to use the pool. There are saunas in the changerooms, as well.

One feature I’ve always enjoyed over the years is the 2.5-acre waterfall garden, which is just off the lobby and is an oasis of calm in the heart of the city. If you take the escalator to the second floor, you can check out the pools and waterfalls up close. It’s also a popular mingling space for meeting and convention-goers.

THE LOCATION

It would be tough to find a better location for downtown Toronto. The Sheraton Centre is just a block from the subway and the Four Seasons Centre for the Performing Arts. The shops and restaurants of Queen Street West are a couple of blocks away, and the Eaton Centre is just a three-minute walk away. The hotel is connected to Toronto’s PATH system, so you can walk all the way to the Scotiabank Arena for a concert or sporting event without having to go outside.

NĀPILI KAI BEACH RESORT ON MAUI

If you check out the flagpole at Nāpili Kai Beach Resort on Maui, you’ll see U.S. and State of Hawaii flags fluttering in the ocean breeze. You’ll also see a green flag with an orange heliconia flower, the official symbol of the resort. But there’s a fourth flag that flies proudly here each day on the shores of stunning Nāpili Beach—the Canadian flag with its iconic red maple leaf.

The story begins with Jack Millar, an honourably discharged wing commander from the Royal Canadian Air Force, and his wife, Margaret, who sought respite from Canadian winters and heard about a plot of land available on a great stretch of beach in then-undeveloped West Maui.

They came and scrambled through heavy brush to find the peaceful waters of Nāpili Beach and hurried home. What was initially called the Nāpili Kai Beach Club was built by Canadian investors and opened its doors in 1960, just as visitors were beginning to discover the magic of West Maui.

It has greatly expanded over the years but still offers a casually elegant atmosphere and tremendous cultural programming that makes it one of the most Hawaiian hotels on the island.

“Though the resort may be the oldest currently operating here on Maui, it is by no means old,” said general manager Gregg Nelson. “Each guestroom has been continuously upgraded and well maintained over the years, featuring the same amenities one might find in many brand-new properties.

“Our staff, many of whom have been with us for over 40 years, treat each other and our guests as ‘ohana (family). Guests often

tell me returning to Nāpili Kai is like coming home. We believe that is why so many choose to return ‘home’ to Nāpili Kai Beach Resort year after year.”

Indeed, the hotel has tremendous repeat loyalty, with some families returning to their favourite rooms for decades.

The resort is at the north end of Nāpili Beach. The north end of the bay is almost always calm, and there’s a nice reef for snorkelling. You’re likely to see brilliant, yellow, black and white angel fish and colourful humuhumunukunukuapua’a, the Hawaiian state fish, also known as the reef triggerfish. It’s not unusual to spot sea turtles, as well.

THE ROOMS AND GROUNDS

There are 163 rooms at the resort, which is spread over 10 acres. Nāpili Kai offers hotel-style rooms, studio units, and one and two-bedroom suites.

Hotel rooms come with an oversized bathroom and private lanai and can accommodate one to three people. The rooms include a refrigerator, microwave and coffeemaker. Larger units have full kitchens and other amenities, including divine-smelling, toiletries with scents of coconut, pineapple and other tropical delights.

Rooms offer a range of views from garden to ocean, as well as beachfront and oceanfront. There are several wings and separate buildings, some overlooking the manicured putting green and others with views of the sumptuous gardens or the main swimming pool. For many, the most prized units are those overlooking the water from behind the beach, or those that are scattered along rocky Puna Point, which separates Nāpili Bay from equally photogenic Kapalua Bay.

THE AMENITIES

They take their responsibility to represent Hawaiian culture very seriously here. Every

COURTESY

OF JIM BYERS

A sunset at Nāpili Kai Beach Resort on Maui

morning at the beachfront pavilion they offer free cultural demonstrations, including palm frond weaving, the history of the lei and the history of Hawaiian fishing and the Hawaiian canoe. There’s free coffee, iced tea and lemonade, too.

Every night just before sunset a fellow in a Hawaiian-style sarong and no shirt dashes about lighting the tiki torches along the coastal path, in front of the Sea House Restaurant (more on that later) and along the beach. There’s a putting party every Monday on the deep green putting green,

with prizes on offer, as well as a free children’s hula show every Tuesday at 5:30 p.m. that’s open to all guests. They have a weekly Mai Tai party on Wednesdays, and a horticultural tour (the grounds are gorgeous) every Thursday.

There are four swimming pools, two hot tubs, two shuffleboard courts, and a free book-lending library in the open-air lobby. They also offer special rates at the fabulous Kapalua Golf Resort, which is just a minute or two up the road.

Every Wednesday night they hold a “Slack Key” guitar show onsite. The show features multiple Grammy Award winner George Kahumoku Jr., who sings and plays an amazing guitar. Between songs, he tells stories of his life in Hawaii, some of which might even be true. He’s usually accompanied by at least one other musician, along with a lovely, graceful hula dancer.

Note: You don’t need to be a hotel guest to attend the show.

The resort is home to the fine Sea House Restaurant, which is perhaps a metre from the sand and a short frisbee toss from the ocean. The Sea House is a multi-winner of Maui Magazine’s ‘Aipono Awards for Best Happy Hour, Most Mauiest Restaurant and Best Breakfast.

The macadamia nut-crusted mahi mahi is a classic, and they make one of the island’s best Mai Tais. There’s also a great patio bar that’s maybe three metres from the quiet, northern end of Nāpili Bay.

The coastal walking path that strings along the north end of Nāpili Bay is my favourite stroll on the planet. There are native plants and dark lava rock on both sides of the path, along with orchids and leafy, bright green naupaka plants. At most, you’re maybe five metres from the blue Pacific Ocean as you walk the path, which fronts several groups of hotel buildings that line the point.

About halfway down there’s a stone bench under the shade of a small Hau tree. It’s a place I love to sit and admire the view of Nāpili Beach, the green slopes of the West Maui mountains and the not-too-distant island of Lāna’i.

Need more? Parking at Nāpili Kai is free, and there are no resort fees.

THE LOCATION

There are shops, restaurants and a nice grocery store less than two minutes away by car. The famed golf courses at Kapalua Bay, which is home to the opening tournament of the year on the PGA Tour, are right around the corner. Kapalua Bay, in some people’s minds just as pretty as Nāpili, is a three-minute walk away. Nāpili Bay is a little less than 15 minutes by car from the restaurants and shops at Whalers Village shopping centre at Ka’anapali Beach. The main Maui airport in Kahului is about 50 minutes distant.

George Kahumoku Jr. plays slack key guitar and sings every Wednesday night

COURTESY OF NĀPILI KAI BEACH RESORT

COURTESY OF NĀPILI KAI BEACH RESORT

The rooms in the Puna Point buildings at Nāpili Kai Beach Resort are serene and lovely

COURTESY OF NĀPILI KAI BEACH RESORT

The views of Nāpili Bay are sensational from the Puna Point rooms at the Nāpili Kai Beach Resort

Health and safety can save you money and time

YOUR PATH TO STABILITY IN UNCERTAIN TIMES

FROM WORKPLACE SAFETY & PREVENTION SERVICES

Amid the economic uncertainty facing Canadians, many are considering smart investment strategies to navigate potential challenges. As potential tariffs could hurt the growth of Canada’s travel industry, it only makes sense that businesses are looking for ways to reduce costs and retain employees. Investment in health and safety could be the solution.

“When looking at ways to reduce costs, health and safety should not be an area to cut. Doing so, could not only have a negative impact on the quality of service you provide to customers, but it will also leave your business vulnerable to the devastating costs that come with workplace injuries,” says Ayden Robertson, health and safety consultant with Workplace Safety & Prevention Services (WSPS).

“Imagine losing a member of your housekeeping team to a back injury, or a key person from your kitchen staff because of a serious laceration, or someone from maintenance after a fall. In addition to dealing with a medical emergency, now you have to rely on the remaining employees to fill the gap left by the injured worker, likely with overtime, which is costly and often leads to burnout. “When employees are stressed, overworked, and worried that they may get hurt while doing their job, it creates a psychologically unsafe workplace. It often leads to absenteeism and employees looking for work elsewhere,” explains Robertson. “Ultimately, when these things happen, they leave your business less able to meet the needs of your customers, which is [a] major disadvantage in hospitality.”

“

When employees are stressed, overworked, and worried that they may get hurt while doing their job, it creates a psychologically unsafe workspace.”

While trying to minimize the disruption to operations, you would also have to deal with the direct costs of the injury.

“In addition to lost productivity and a possible investigation, you will have medical costs, rising insurance premiums, and maybe fines,” says Robertson. “Don’t forget about the costs of recruitment and training,” he adds. It can be difficult for a business to recover from something like this, particularly smaller businesses and those that may already be in a precarious situation due to current economic circumstances.

WHAT IS YOUR HEALTH AND SAFETY ROI?

Rather than looking to cut spending on health and safety, investing in health and safety could be one way to shore up your business. The Institute for Work and Health, an Ontariobased organization that specializes in occupational health and safety research, studied the return on investment (ROI) when businesses invest in health and safety. They took the average health and safety expenditures across 17 sectors and measured them against the financial benefits gained. Their findings showed a return ranging from 24 per cent to 114 per cent, depending on the sector. “Twenty-four per cent would be considered a good return on any investment,” Robertson points out.

The expenditures used in the study included health and safety training, supervision, personal protective equipment, professional occupational health and safety services, and capital investments related to improving health and safety. The average amount invested per employee across the 17 sectors was $1,303.

To determine the return on that health and safety investment, researchers considered the tangible and intangible financial gains. When an injury is prevented, you save all of the direct costs Robertson mentioned (i.e., medical costs, insurance costs, fines, lost productivity, repairs, recruitment and training) and keep your operations running smoothly. When you factor in some intangible gains, such as employee morale and job satisfaction, along with stable, high-quality service, it adds even more to the financial return.

PSYCHOLOGICAL SAFETY MATTERS AS MUCH AS PHYSICAL SAFETY

Preventing mental harm is just as important as preventing physical harm. “Creating a psychologically safe workplace empowers employees,” says Robertson. “It demonstrates trust and value, which contribute to employee retention.”

Robertson recommends clearly communicating to employees that they are not expected to tolerate bullying, harassing, or violent behaviour.

Ensure that you have an up-to-date violence and harassment policy and provide training on that policy. “You may also want to complete de-escalation training with your staff to better equip them to handle difficult customers,” suggests Robertson. “It can be very stressful when someone finds themselves in a situation where they are unsure of what to do. Having knowledge, preparation, and a plan can reduce that stress, which contributes to positive mental health.”

INVESTING IN PEOPLE BRINGS STABILITY

Providing a mentally and physically safe work environment allows employees to grow and thrive in their jobs. “When people have the training, skills, and tools they need to perform their job well, it makes a difference. It shouldn’t just be about getting through a shift. You want people to take pride in the job they are doing,” says Robertson.

Robertson recommends starting with a detailed health and safety orientation for your workers, even if they are temporary. Review safe work procedures that address specific tasks and provide proper training on those procedures. “Talk to some of the more experienced employees when developing procedures. They can help identify some of the hazards involved with a particular task. Often, they can tell you what has worked and what hasn’t,” he says.

We know that healthy, competent workers contribute to stable, predictable operations, which is good for business. Rather than looking at health and safety as a cost, leverage it as an investment to help your business stay on track in an uncertain economy.

WSPS.CA

THE TROUBLE WITH TARIFFS

BY TROY TAYLOR, VP STRATEGIC PARTNERSHIPS AND MARKETING, FOODBUY CANADA

It is funny how memories can quickly bring you back to the past. I remember when I was working at Labatt Breweries, and my colleague came in and said, “You have to see this.”

The management team was gathered in the boardroom and on came the “I Am Canadian” ad from Molson. We sat in silence. No one said a word, just nervous glances. They (Molson) had nailed it... And we all knew it.

They managed to capture the zeitgeist of Canadians in a thirtysecond spot. Humble, caring, peaceloving and multicultural. The spot illuminated that if you dig a bit deeper, Canadians are a proud bunch. Proud of who we are and what we are becoming.

Although we were in a fiercely competitive industry, I had to smile and agree—“Yup, I am proud to be Canadian and someone finally stood up and shouted, ‘I AM CANADIAN!’” That campaign certainly shifted the beer marketing paradigm and maybe even the Canadian psyche.

Turn the clock forward and Jeff Douglas, from Truro, N.S., the then 20-something hero from the original campaign, now appears in a new spot circulating on social

media that is once again getting (inter)national attention.

Jeff is now 53, but the ad captures the same spirit. However, the emotions for me (and I assume all of us) are different this time around. While the first ad made us feel proud of who we were, this time, this spot has more of an edge. A harsher tone.

This new ad’s message is more like, “Canadians will pull your jersey over your head and give you a couple of uppercuts if necessary. Elbows up!”

This time, it is clearly aimed at the shenanigans going on down south. It captures the sense of betrayal that Canadians are feeling. While the “man with no plan” dithers, I really don’t think he realizes what he has done, and is doing, and the lasting impact it will have.

To me, it’s more about our collective psyche as much as it is financially… Canadians are a resilient bunch, we will survive, and we are starting to prove it with our “Buy Canadian” campaigns and actions and the world seems to be with us.

What does all of this mean for the hotel sector in the coming months? And our collective psyche?

The hotel sector has been surviving on domestic travel. Business and international travel has not fully rebounded to where it was pre-pandemic. Our domestic travel was partly fueled by some of the savings we accrued through Covid. Certainly, shaky situations around the globe also played a part. Operators happily opened their doors and welcomed Canadians home.

Family economics will play a role… As we brace for impact from the south and the number of mortgages coming due, combined with the rising costs of goods and interest rates, all will mean that many Canadians will “feel” it. That recession feeling moves into action faster than it has ever done before in our history. We know what gets cut first—travel and leisure activities.

Hotels are among the first to be squeezed by recessions and among the last to bounce back. Travel could once again move from a steady flow to a drip, as it did during Covid, but for very different reasons. This would have a significant topline hit.

American tourism is still key for the sector. I hope and trust that most Americans understand this is just politics and not directed toward them personally.

However, there is an undercurrent of anger that runs through the MAGA platform. We are being divided. And history shows that division does not work. It will take time for these sentiments of betrayal to heal, if ever. But today, we’re happily opening our doors a little wider to American travellers.

Controlling costs is paramount. This is where Foodbuy comes into play. I have been on more tariff calls in the last month than anyone needs to be. We are looking at every angle to help our hotel members save on costs. But we all know costs are going to go up if we stay on this path.

In my view, operators have pulled the price lever, leaving little room for maneuvering. The focus is on operations cost savings. All the gains from pricing and cost management may not be enough to hold the bottom line going forward. This will mean operations cuts. And that, ultimately means people. Lost jobs impact our collective psyche.

The last concern is the lack of growth on the supply side. This has broader impacts on the larger economy. The sector was managing well post-Covid, and there was early developer optimism after the world had ground to a halt through Covid. Then a punch from interest rates and a right hook now with tariffs. The one thing corporations shy away from is uncertainty, which signals risk. Risk can shut projects down quickly.

Canada will see a softness in new builds, at least in the short term. The issue is, we know for major centres that means three to five years out for a new build to open. Looking back on Covid, that could mean Canada could have a 10–15year development gap. An entire generation! That means fewer jobs, which does not bode well for all involved over the mid to long term.

What can we do?

These areas will require a unified approach with governments to get us through and will have to be done quickly, with a wartime mentality. Be it reducing interprovincial barriers, reducing red tape, protectionist measures for workers, rewiring our supply chain, or new trade partners, we need to be unified. Will we have a functioning, strong federal government to lead Canadians through this trade war?

Canadians, as much as we want to pull the jersey over our neighbours’ heads, we will have to remain calm and understand that we need each other. And fight with facts and the law. Trump and team go berserk when fact-checked. Facts can act as a breakwater against the tsunami of disinformation coming from the Trump administration. Our reliance on the 24/7 negative news cycle is a tough addiction to break—lies, hate, fear, and anger spread exponentially faster across social media today. The constant barrage of unchecked facts can change how we feel, and our collective psyche. Trump knows this all too well.

Lastly, try to remember…. It’s just politics.

We are being divided. And history shows that division does not work.” “

ABOUT THE AUTHOR

Troy Taylor is a 30-year veteran in the foodservice, hospitality and retail sectors where he has held senior roles with Labatt and PepsiCo. Taylor also helped serve the industry through Restaurants Canada where he played a key role in helping operators survive through the pandemic, one of the most trying times in the history of the foodservice industry.

Troy currently manages Foodbuy Canada’s publications that provide actionable insights, purchasing solutions and cost-saving innovations to over 20,000 hospitality and foodservice operators across the country. Foodbuy Canada is a Compass Group Canada Company.

DESTINATION MARKETING FEES IN CANADA: A DOUBLE-EDGED SWORD FOR HOTELS

BY STACEY NEWMAN

Destination Marketing Fees (DMFs) are a norm in Canada’s hospitality sector, funding tourism campaigns, local events, and marketing initiatives. But as these fees climb—particularly in large urban markets—the hospitality industry is navigating a complex and often polarizing debate.

Recent developments, including Edmonton’s proposal to raise its DMF to 4 per cent in 2025, Toronto’s consideration of a temporary FIFA-related tax hike to 8.5 per cent, and Calgary’s upcoming jump to 6 per cent, reflect growing tensions. Some hoteliers see DMFs as essential tools for driving visitation, while others raise serious concerns over fairness, oversight, and rising costs.

It is also important to note that DMFs are voluntary in most Canadian jurisdictions, and participation varies significantly from region to region.

This article does not take any stances, instead seeking to provoke reflection and dialogue around the mechanics, accountability, and equity of DMFs across Canada. By presenting sentiments from various parts of the country, we aim to encourage informed discussion.

THE CASE FOR DMFS: DRIVING VISITATION AND ECONOMIC IMPACT

DMFs as tourism accelerators

Proponents argue that DMFs are essential in competing for business events, attracting overnight visitors, and maintaining a city’s visibility in crowded global markets. Funds are often directed toward convention bidding, large-scale events, and destination marketing efforts that smaller hotels or individual operators could not afford independently.

Calgary is a prominent example. According to data from Destination Calgary, the city’s visitor economy hit $3.2 billion in 2024, up 18.2 per cent from the previous year. Domestic travel led that growth. With ambitions to double visitor spending to $6 billion by 2035, Calgary has increased its DMF from 3 to 6 per cent.

The Calgary Hotel Association (CHA) and Tourism Calgary argue this will help to support major infrastructure projects such as the BMO Centre

expansion and NHL arena. Calgary, they maintain, will still have the lowest combined accommodation tax burden among Canada’s major cities—even after the increase.

Edmonton, meanwhile, has proposed a DMF increase from 3 to 4 per cent, effective June 1, 2025. The Edmonton Destination Marketing Hotels (EDMH) group argues the extra funding—an estimated $3 million annually—would help secure large-scale events and support local campaigns like Edmonton’s Best Hotels and destination brand partnerships.

DMFs have enabled wins such as the Canadian Hydrogen Convention, the Canadian Country Music Awards, and the NHL Heritage Classic. EDMH maintains that corporate clients are familiar with similar or higher fees in comparable cities.

THE CASE AGAINST DMFS: FAIRNESS, SCOPE AND TRANSPARENCY

An uneven playing field

Hoteliers opposing DMF increases cite affordability and inequity. DMFs can disproportionately impact hotels—even though tourism success benefits a broad ecosystem including restaurants, retail, and attractions, many of these other types of hospitality ventures are not required to contribute.

While hotels already have the infrastructure to collect fees, stakeholders argue this should not exempt other sectors from participation. Mechanisms could be created to broaden contributions across tourism-related businesses.

The situation is compounded by non-uniform participation. In Calgary, for instance, only about 70 of 90 hotels contribute to the CHA DMF program. Some collect the fee but retain it for private marketing—raising concerns about competitive imbalance, transparency and end use. Hotels outside downtown areas may opt out entirely, citing a lack of perceived return.

Lack of transparency and accountability

There is no standardized federal or provincial framework to govern how DMFs are collected, spent, or audited. Oversight is largely left to individual Destination Marketing Organizations (DMOs) and their boards.

In some jurisdictions, DMF funds are allocated with little explanation or long-term strategy. In the words of one Canadian hotelier, “We’re building marketing budgets before we have business plans.”

Additionally, multiple industry voices have warned against future government appropriation of DMFs into general revenue, which would fundamentally change their nature and potentially disconnect them from tourism reinvestment.

Transparency and legality:

The problem of “price dripping”

One of the most significant consumer-facing issues involves price transparency. When hotel guests are quoted a nightly rate, additional fees like DMFs are sometimes not disclosed until checkout. This practice— known as “price dripping”—has attracted legal attention.

A 2024 report from Slater Vecchio LLP in British Columbia warns that price dripping may violate Canada’s Competition Act, which mandates full price disclosure at the point of purchase. The report identifies several instances of hotels adding DMFs after guests had accepted a lower base rate, potentially constituting deceptive marketing.

Inconsistency across platforms—particularly online travel agencies— further muddies the waters. Some display DMFs as taxes, while others bury them in fine print or remove them entirely from price displays until the final step in booking.

MAJOR MARKETS: A COASTTO-COAST BREAKDOWN

Western Canada:

Rising fees and infrastructure-driven strategies

In Western Canada, major cities are utilizing DMFs and related levies to fund tourism infrastructure and marketing initiatives. Calgary doubled its DMF from 3 to 6 per cent on April 1, 2025, with revenues supporting projects such as the BMO Centre expansion and a new NHL arena. The Calgary Hotel Association and Tourism Calgary note that the city continues to have the lowest combined hotel tax burden among major Canadian centres.

Edmonton will increase its DMF from 3 to 4 per cent, effective June 1, 2025. The EDMH forecasts the change will generate an additional $3 million annually, earmarked for major event attraction and campaign development, including the Edmonton’s Best Hotels program.

In British Columbia, a 3 per cent Municipal and Regional District Tax (MRDT) applies in most communities. Vancouver also levies a temporary 2.5 per cent Major Event MRDT until 2030 to support FIFA World Cup 2026 preparations, bringing Vancouver’s total hotel tax burden to approximately 20 per cent—among the highest in the country.

Ontario:

Toronto and the MAT increase Toronto currently levies a 6 per cent Municipal Accommodation Tax (MAT). However, the city is considering a temporary increase to 8.5 per cent from June 2025 to July 2026 to offset costs related to the FIFA World Cup 2026.

Mayor Olivia Chow frames the hike as appropriate, citing the city’s popularity and high hotel demand during major events. However, the Greater Toronto Hotel Association (GTHA) has raised alarms. In a letter to council, the GTHA warned the increase could make Toronto “one of the most expensive cities” in its class and risk job losses in the hospitality sector.

The GTHA has also cautioned that MAT increases risk pricing Toronto out of the business events market. “Thousands of small businesses that rely on tourism—restaurants, retailers, cultural institutions—will also suffer,” the letter states.

Quebec:

Provincially regulated lodging tax

Quebec mandates a 3.5 per cent lodging tax across most regions, collected from hotels and certified short-term rentals. This fee supports regional tourism offices and is administered under provincial regulation. With the addition of the GST (5 per cent) and QST (9.975 per cent), Montreal and Quebec City have total accommodation tax burdens of 18.475 per cent—among the highest in Canada.

Quebec’s system differs from other provinces by being uniformly applied and provincially administered, avoiding some of the enforcement issues seen in other jurisdictions.

Atlantic Canada:

Diverse approaches and evolving policy Atlantic Canada’s approach varies by municipality. Charlottetown (PEI) charges a 3 per cent accommodation levy, while St. John’s (NL) applies a 4 per cent tax. Nova Scotia’s Halifax Regional Municipality was recently granted authority to introduce a marketing levy of up to 3 per cent, though implementation is pending.

The Atlantic Canada Opportunities Agency (ACOA) and the federal government recently committed $30 million to support tourism development across the region, highlighting the growing role of public-private partnerships in tourism funding.

A COMPARISON WITH THE U.S. MARKET

Canadian hoteliers—particularly in Alberta—are increasingly comparing their tax environments with American cities that have direct air access.

According to EDMH’s comparative analysis, cities such as Chicago (17.39 per cent), San Francisco (16.75 per cent) and Houston (17 per cent) often have higher combined lodging taxes than Edmonton, where the proposed new rate would be 13 per cent. However, major Canadian cities like Vancouver (up to 20 per cent with special event surcharges) and Toronto (19 per cent) have comparable or higher accommodation taxes than many U.S. cities.

Despite differences in how these taxes are structured and allocated—some supporting general revenue, transit or stadiums—the perception remains that Alberta’s hotel sector lacks marketing firepower. This has led many destination marketing organizations to advocate for fee increases to remain competitive.

THE ROAD AHEAD: SEEKING BALANCE AND BETTER GOVERNANCE

As hoteliers, destination marketers, and policymakers consider the future of DMFs, several recommendations are gaining traction across the industry:

1. WIDEN CONTRIBUTION MECHANISMS

Develop systems for restaurants, attractions, and tour operators to contribute proportionally to tourism promotion.

2. STANDARDIZE AND ENFORCE GOVERNANCE

Introduce national or provincial frameworks for DMF oversight, including clear reporting requirements and third-party audits.

3. MANDATE TRANSPARENCY IN FEE DISCLOSURE

Require upfront disclosure of DMFs in all accommodation booking platforms to comply with the Competition Act and protect consumer trust.

4. APPLY LEVIES TO SHORTTERM RENTALS UNIFORMLY

Follow the example of Quebec and parts of Ontario in requiring platforms like Airbnb to collect and remit fees equivalent to DMFs.

5. SAFEGUARD DMF FUNDS

Prevent governments from redirecting DMF revenues into general funds to ensure reinvestment in tourism.

6. USE INCREASED REVENUE TO BUILD NEW BUSINESS, NOT JUST DUPLICATE EFFORTS

Stakeholders have emphasized the importance of spending DMF funds on new original initiatives, not simply scaling existing ones.

7. PARALLELS WITH AIRPORT IMPROVEMENT FEES:

Some comparisons have been drawn to Airport Improvement Fees (AIFs)— charges added to airline tickets to fund infrastructure at Canadian airports. Like DMFs, AIFs are paid by end users and support sector-specific reinvestment. However, AIFs are more standardized, clearly disclosed at the point of purchase, and governed by formal oversight mechanisms. Stakeholders have suggested that similar principles— particularly around transparency and accountability—could inform future DMF governance models.

A complex but necessary debate

DMFs are a vital revenue tool for cities and tourism organizations—but one that comes with complications. As fees increase across Canada, calls for fairness, transparency, and modernization are growing louder.

Whether a “destination” municipality is building new marketing capacity, preparing for massive infrastructure projects, or debating its place among the world’s most expensive hotel markets, the hospitality sector is in the midst of a fundamental conversation about value, sustainability, and shared responsibility.

The challenge going forward is not simply how much guests should pay—but how wisely those funds are used, and by whom.

The Canadian Hoteliers’ quick reference guide to DMFs

National Overview

• DMFs are typically voluntary levies collected by hotels to fund tourism promotion and events.

• Some provinces (notably Ontario and Quebec) use mandatory accommodation taxes, legislated at the municipal or provincial level.

• There is no national framework overseeing DMF collection, usage, or transparency.

Western Canada

• Calgary: DMF rising from 3 per cent to 6 per cent in April 2025. Despite the increase, Calgary’s total hotel tax burden remains the lowest among major Canadian cities.

• Edmonton: Proposal to raise DMF from 3 per cent to 4 per cent in June 2025. Edmonton Destination Marketing Hotels (EDMH) forecasts a $3 million revenue boost to attract events and grow visitation.

• Vancouver: The combined hotel tax burden reaches approximately 20 per cent. This includes a 3 per cent Municipal and Regional District Tax (MRDT), a 2.5 per cent Major Events MRDT (in place until 2030 to support FIFA 2026), a 1.5 per cent Destination Marketing Fee (DMF), the 5 per cent federal GST, and the 7 per cent provincial sales tax (PST).

• Saskatchewan: Saskatchewan does not have a province-wide DMF or accommodation tax. However, several municipalities—including Regina and Saskatoon—administer local tourism levies through hotel partnerships. These are typically voluntary and collected by destination marketing organizations to fund cityspecific tourism promotion and events.

• Manitoba: Winnipeg applies a 5 per cent Municipal Accommodation Tax (MAT), implemented in 2008. Revenue is used to support Tourism Winnipeg and major event attraction. Other municipalities, such as Brandon, do not currently levy a formal DMF or MAT, though discussions around tourism funding models continue at the local level.

Central Canada

• Ontario: Uses the Municipal Accommodation Tax (MAT), legislated province-wide since 2017. Rates vary by city.

• Toronto: Current The current Municipal Accommodation Tax (MAT) is 6 per cent. A temporary increase to 8.5 per cent has been proposed for June 2025 through July 2026 to help cover FIFA World Cup 2026 costs. If approved, the total hotel tax burden during that period would reach approximately 19 per cent, including the MAT, 5 per cent federal GST, and 6.5 per cent Ontario HST. Other municipalities (e.g. Ottawa, Hamilton, Haliburton) also collect MAT at rates between 4 per cent and 5 per cent.

• Niagara Falls applies a 4 per cent MAT and also has a separate voluntary Destination Marketing Fee (DMF), typically around 5 to 6 per cent, added by many hotels. This has drawn scrutiny over transparency and consistency in recent years. Concerns raised by hotel groups include a lack of proportional contributions from other tourism businesses and economic pressure during high-tax periods.

Quebec

• A 3.5 per cent lodging tax is mandatory and provincially regulated. It applies to hotels and certified short-term rentals in all designated tourism regions across Quebec, except Nunavik.

• Combined with the 5 per cent federal GST and the 9.975 per cent Quebec Sales Tax (QST), the total accommodation tax burden in most regions—including Montreal and Quebec City—is approximately 18.475 per cent.

• Revenue from the lodging tax funds regional tourism promotion and marketing initiatives, administered through Tourisme Québec.

Atlantic Canada

• Prince Edward Island: Charlottetown levies a 3 per cent accommodation tax.

• Newfoundland and Labrador: St. John’s applies a 4 per cent accommodation tax.

• Nova Scotia: Halifax Regional Municipality has been authorized to introduce a marketing levy of up to 3 per cent but has not yet implemented it.

• New Brunswick: Several municipalities, including Moncton and Saint Andrews, apply local Tourism Accommodation Levies (TALs), typically set at 3.5 per cent. These levies are used to fund municipal tourism marketing and development.

• A $30 million federal-provincial tourism agreement is funding destination marketing across the Atlantic provinces.

Territories

• Yukon, Northwest Territories, and Nunavut do not currently levy DMFs or equivalent accommodation taxes.

• Tourism marketing in the territories is funded through territorial government programs and industry partnerships, including initiatives led by Yukon’s Tourism Cooperative Marketing Fund, Northwest Territories Tourism (NWTT), and Travel Nunavut.

• While formal levies are not in place, discussions about long-term tourism funding strategies continue as visitation and infrastructure needs grow.

Legal and consumer issues

• “Price dripping”—the late-stage disclosure of DMFs at checkout—is under scrutiny.

• A 2024 legal report warns this may violate Canada’s Competition Act, which requires full price transparency at point of booking.

International context

• Despite higher taxes abroad, Canadian cities are striving to maintain competitive destination marketing budgets.

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HOW CANADIAN HOTELS SERVED ON THE HOME FRONT IN WWII

BY ALLAN LYNCH

Dressed in breeches, frock coat and the tri-cornered hat of French colonial gentlemen, Bernard Crustin says, “Some people have tears in their eyes because their family was directly connected to World War II.”

Crustin is a guide co-ordinator with Quebec City’s Cicérone Tours. For 28 years he has led daily tours of the Fairmont Le Château Frontenac, a place he knows intimately.

↑ Mackenzie King, Franklin D. Roosevelt, Winston Churchill, and the Earl of Athlone at La Citadelle in Quebec City. By the British official photographer from the collections of the Imperial War Museums.

His guests become teary-eyed learning about the chateau’s wartime role. While modern hotels can expect to generate 40 to 45 per cent of their business via meetings and conferences, Fairmont Le Château Frontenac easily hosted the most consequential meetings of the 20th century. It’s not hyperbole to suggest the fate of the world was determined in the second-floor turret Rose Salon.

In August 1943, the Quebec Conference, with the code name Quadrant, was held here. It was attended by British Prime Minister Winston Churchill, U.S. President Franklin Roosevelt, and Canadian Prime Minister Mackenzie King, with Governor General the Earl of Athlone and his wife Princess Alice acting as hosts. Other attendees included Lord Louis Mountbatten; the chief of the imperial general staff; the first lord of the admiralty; the chief of the Canadian naval staff; the chief of the Canadian army; and British air and field marshals. In total, 700 generals, admirals, air and field marshals, the heads of American, British and Canadian armies, navies and air forces, and their staffs took over the chateau to plan the invasion of Europe, aka Operation Overlord, better known as D-Day.

The prime ministers, president and governor general stayed at the Citadelle of Quebec. The world’s press used the nearby Clarendon Hotel as the conference overflow property and bused back and forth.

The Dufferin Terrace outside the chateau was ringed with anti-aircraft batteries, a submarine patrolled the St. Lawrence, and a squadron of Spitfires was stationed at what is now Quebec City Jean Lesage International Airport (YQB).

While the city’s citizens knew the leaders were meeting, no one knew the specifics or scale of what was happening. In that second-floor turret room, not only was the invasion of Europe being planned—but they also established the Southeast Asia Command to oversee the war with Japan and how to deal with the U-boat war. A second Frontenac conference in September 1944 is when Churchill and Roosevelt agreed to the use of nuclear bombs “if necessary” and began to imagine what a post-war world would look like.

The 1943 conference was so big there was no point trying to hide it, so while the military and RCMP kept onlookers from entering the chateau, delegates explored the city like any

THE

FIRST QUEBEC CONFERENCE, CODENAME “QUADRANT,” TOOK PLACE IN QUEBEC CITY ON AUGUST 17–24, 1943, AT BOTH THE CITADELLE AND THE CHÂTEAU FRONTENAC.

→ Women’s Royal Naval Service officers sightseeing after the conference. Photo by John Alfred Hampton from the collections of the Imperial War Museums.

other conventioneer. Clementine Churchill, her daughter Subaltern Mary Churchill, as well as Victoria Cross-recipient Wing Commander Guy Gibson, were photographed touring the city in horse-drawn calèches. Lord Mountbatten ventured to Wolfe’s Cove to see where the first commandos scaled cliffs to the Plains of Abraham. “The Army Show,” a musical revue starring Canadian service members, entertained conference attendees. The Churchills signed autographs. And rather daringly, conference workers and officers took riverboat tours.

That was a risky option, given that at least 24 merchant and naval ships were sunk in the St. Lawrence River and Gulf of St. Lawrence by German U-boats. University of New Brunswick military historian Marc Milner says 20 U-boats were assigned to Atlantic Canada. They weren’t all here at one time, but they engaged in a lot of action, including pitched sea battles off the approaches to Halifax Harbour, Yarmouth and elsewhere. Milner says, “Along the St. Lawrence it was not unusual for people to wake up with stranded people on their front step and bodies washing ashore. The wreckage of war was right outside their front doorstep.”

There were three known incidents where U-boats landed people on our shores. One set up a weather station in Labrador. Two others landed spies. The first spy landed near Saint John and made his way to Montreal, where he reportedly blew his money on booze and in brothels, before turning himself in. The other landed in New Carlisle,

While the city’s citizens knew the leaders were meeting, no one knew the specifics or scale of what was happening.

Gaspé. Halifax-based marine historian Don Conlin says, “The people in the hotel were suspicious at check-in. He smelled like diesel and tried to pay his hotel bill in ancient Canadian dollars. They called the RCMP, and he was arrested as he attempted to leave town.”

While we don’t know how many hotel staff enlisted, those who stayed home did their bit. In addition to the observant desk clerk who reported the spy was a dutiful Frontenac bellboy named Frank Brittle. Cleaning up after the Quebec Conference planners, Brittle came across a leather case which, after a quick scan, he turned over to the military. The case contained a draft of the invasion plan. Because of the seriousness of the situation, Brittle was questioned daily for six weeks by Scotland Yard and the FBI to see if he changed any detail of his story. He was eventually awarded a medal and the invasion proceeded as planned.

Curiously, in the early days of the Second World War, there was still a small tourism sector. Europeans quite naturally stopped travelling, but Americans were still coming to Canada. Kate Riordon, reference archivist with the Whyte Museum of the Rockies in Banff, says Ted Hart’s book Banff Springs Golf Club: Celebrating 100 Years reports: “By 1942, Canada was deep in the war, and gas and rubber rationing was followed by a ban on sightseeing bus trips in the national parks, which drastically affected the local tourist trade. The decreased golf course patronage in 1942 paled in comparison to the 1943 season. Early in the year, [Canadian Pacific Rail] management announced that the Banff Springs Hotel would remain closed until the conclusion of the war. Interestingly, the decision was made to keep the golf course open; obviously, management felt that the golf course was the only CPR tourist

operation that would continue to function in wartime conditions... The Banff Springs Golf Course managed to limp through the three remaining years of World War II, during which the hotel remained closed, without departing from its usual summer schedule... Local club members, visiting military personnel on leave, and the odd American and Canadian traveller who chose to visit the Canadian Rockies despite the war situation were the mainstays of the Banff Springs at the time.”

Back on the East Coast, Halifax became a tourist curiosity. Under a photo of an Ohio family checking into the Lord Nelson Hotel, author William Naftel writes in Wartime Halifax, “One type of visitor to Halifax in the early days before war restrictions hit hard was the tourist from still-neutral United States. In an expression of schadenfreude, Americans were fascinated by the sight of a nation at war, of convoys heading out to sea, of battleships that meant business, of blackouts and recruiting posters…”

Over in St. John’s, the city’s wartime population exploded from 40,000 to 60,000 as civilian workers and military personnel poured into the city. St. John’s was the most forward base on the continent, as well as a repair port for civilian and military ships.

According to Gary Green, a retired professor at Memorial University in St. John’s and military historian with the Crow’s Nest Officers Club, a lot of military wives and families also came to the city. While he didn’t suggest a cause and effect, the 1942 sinking of the ferry Caribou, travelling from Sydney to Newfoundland, in which 137 people died,

↑ Halifax citadel in modern times

THE SECOND QUEBEC CONFERENCE, CODENAME “OCTAGON” WAS HELD IN QUEBEC CITY, SEPTEMBER 12 – SEPTEMBER 16, 1944.

and/or America’s entry into the war may have contributed to the change in policy that sent military families away from this frontline port.

While the Canadian and American militaries quickly created bases around St. John’s, Green says the 1920s-era Newfoundland Hotel, precursor to the current Sheraton Hotel Newfoundland, housed both officers and offices. First in was the Canadian army. When they moved out, the RCAF came in. Once an airport was operational, the air force moved, and the RCN used the hotel as its headquarters. At about the same time, a group of naval officers organized the Crow’s Nest Officers Club on the top floor of a warehouse near the hotel.

St. John’s was the home port for the Newfoundland Escort Force, which provided cover for the constant war convoys leaving Canada for the U.K. This was stressful duty, and officers felt the need to help naval and civilian captains and crew socialize face-to-face and deal with what we now recognize as PTSD. This fraternization built trust that cut response times in action. The Crow’s Nest Officers Club continues and is recognized as a national historic site.

Outside the capital, beyond Gander, is the small community of Botwood. Before the war, it was a booming community with a port shipping vital minerals to Germany. After Charles

Lindbergh stopped to refuel before flying across the Atlantic, Botwood became the main airport for transatlantic flights for Pan Am Clipper flying boats en route from New York to Foynes, Ireland, and another service operated from Montreal. To accommodate wartime traffic, Botwood became the world’s largest land- and sea-based airport. Local churches had their spires removed to accommodate these low-flying clipper boats.

Green’s aunt Effie Cobb managed the Atlantic Inn, one of the town’s two hotels. “When these flying boats stopped to refuel in Botwood, people would go to her place for a meal or overnight.” Guests included Bob Hope, who put on a show for 800 members of the military and played golf; Lord Beaverbrook, the New Brunswick–born press baron and Churchill’s minister of aircraft production; and Averell Harriman, FDR’s personal representative. Green says his aunt “knew all of the war gossip because of the conversations she overheard. She knew about VE Day long before it was general knowledge.”

One of the CP hotels to remain open for the duration of the war was the Château Laurier, which provided accommodations for visitors like Churchill and Madame Chiang Kai-shek, who both came to speak to Parliament, as well as hosting secret production and armament conferences. The CBC also broadcast from a radio station in the chateau. Lorne Greene, “the voice of doom,” read reports from war correspondents like Matthew Halton.

The chateau had a large electric sign that encouraged citizens to buy Victory Bonds. On May 7, 1945, the hotel’s electrician managed to disable the first and last words, leaving the sign to flash “Victory.” That drew 25,000 Ottawans to Confederation Square to celebrate.

In times of war and peace, Canadian hotels have always remained hospitable. Canadian hotels not only provided refuge and comfort during wartime but also became unlikely settings for decisions that shaped the modern world. Their dual role—as secure meeting places for highstakes international diplomacy and as community hubs supporting the home front—remains a testament to their enduring impact. The legacy of wartime hospitality continues to resonate today, reminding us that service and resilience are at the heart of Canada’s history.

↑ Eleanor Roosevelt, Princess Alice, and Clementine Churchill during the second Quebec Conference. Photo from U.S. National Archives and Records Administration.

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