Growth period includes new markets, new segments and major development.
BOSTON, MASS. – Officials of Pyramid Hotel Group, one of the nation’s largest, independent, hotel management companies, announced that it has added nearly 4,300 rooms via acquisition, new development or in its pipeline during the past year, a 15 percent increase to its overall portfolio.
“Last year was a good year for Pyramid,” said Chris Devine, Pyramid chief financial officer. “We added 11 hotels, a combination of third-party management and joint venture acquisitions, to our portfolio, began construction on three hotels and have four additional properties well along in the development pipeline. We continue to have an aggressive appetite for growth, as we agree with forecasts that point to substantial upside in the hotel cycle.”
Devine said the company’s growth continued to be represented by “big box” hotels and resorts with substantial meeting space. “Meeting business continues to rebound as companies realize the importance of bringing people together face to face. We saw more than 11 percent increase in meeting revenue last year and expect it to continue on a strong upward trend.”
The company also expanded its portfolio in the luxury independent hotel and resort segment. “Food and beverage plays a critical role in an independent hotel’s success,” Devine noted. “Vice President of Food and Beverage Doug Cole and his team created several new restaurant concepts last year, as well as made significant upgrades to existing restaurants and menus. In addition, the company continued to expand its premium-branded, focused-service portfolio, primarily through development.”
Pyramid also added its first European property with a luxury, independent hotel in Dublin, Ireland. “We see significant opportunities in Europe reflecting the growth in global institutional investors and brands who want institutional grade hotel management,” Devine added. “We are building the infrastructure to support rapid growth and expect to become a force overseas.”
Devine pointed out that the company oversaw significant renovation activity in 2014, with its renovation division, Pyramid Project Management, overseeing the upgrade of more than 25 percent of its existing portfolio. “Our relationship with the PGA and renovation work at the Sawgrass Marriott Resort & Spa secured the resort taking the world’s top ranking by Golf Magazine.”
Looking to 2015, Devine said he expects growth both domestically and internationally. “Our same property net income was up 36.5 percent in 2014 on a 12 percent increase in RevPAR. We have added significant, new, well capitalized public and private institutional investors and have the funding available to expand at the individual property or portfolio levels.”
Theodore is the Co-Founder and Managing Editor of TravelDailyNews Media Network; his responsibilities include business development and planning for TravelDailyNews long-term opportunities.
