Starwood Hotels & Resorts Worldwide opened 74 new hotels in 2013, representing approximately 16,200 rooms in 22 countries, strengthening its global lead and expanding its footprint particularly in developing markets. The company signed 152 new hotel agreements in 2013, marking the fourth consecutive year of increased signings and the highest number of new hotel deals signed since 2007. Starwood expects another strong year of global growth in 2014, with hotel openings and deal signings across all nine brands in more countries than ever before through organic growth. “There is a global travel revolution underway, and the secular trends of rising wealth, rapid urbanization and increasing digital interconnectivity make us as confident as ever about demand for high-end travel,” said Frits van Paasschen, President and CEO, Starwood Hotels & Resorts Worldwide.
In 2013, Starwood signed a total of 152 new hotel management and franchise agreements, which represents an increase of 16 percent over 2012 signings levels. The company also signed 75 contract renewals, up nearly 34 percent from the previous year.“Consistent, sustainable high-quality portfolio growth in both mature and emerging markets led to another strong year of openings, incremental hotel agreements and the highest number of contract renewals in our company’s history,” said Simon Turner, President of Global Development for Starwood Hotels & Resorts Worldwide.
In line with macroeconomic trends, nearly 75 percent of the company’s development pipeline and 60 per cent of the 2013 signings were in fast-growing markets, including Bangladesh, Malaysia, Indonesia, Colombia and Saudi Arabia. Approximately 40 per cent of Starwood’s 2013 signings were in developed markets, with 13 conversions that signed and opened within the year. Conversions will continue to fuel growth in North America with increased momentum in Asia Pacific, the Middle East and Europe.
Starwood is also seeing an increased interest in adaptive reuse projects, particularly for its Aloft brand. The company opened three such projects this year: Aloft Orlando Downtown, Aloft Tulsa Downtown and Aloft Miami – Brickell, in addition to signing Aloft New Orleans. Starwood will open another three adaptive reuse Aloft hotels in 2014 with Aloft Liverpool, Aloft Detroit, and Aloft Tampa Downtown, as the company continues to look for opportunities to use this approach across its brands in cities throughout the world.
