Starwood continues to expand during economic crisis

Starwood continues to expand during economic crisis

Starwood Hotels & Resorts has announced it signed more hotels in 2012 than in any year since the start of the economic crisis.

Despite ongoing macroeconomic and geo-political uncertainty, the company expects to have signed in excess of 125 new hotel management and franchise agreements by year-end, surpassing last year’s deal signings by approximately 13 per cent.

By year end 2012, Starwood expects to have opened 71 new hotels, representing approximately 18,500 rooms in 20 countries, strengthening its global lead and expanding its footprint particularly in developing markets.

Since 2007, Starwood has added over 100,000 gross new hotel rooms to its system.

“Starwood’s nine highly sought-after brands, powerful systems, unmatched portfolio and established local operating teams around the globe set us apart from our competition and position us well for sustained balanced footprint growth in both mature and developing markets,” said Simon Turner, president of global development.

“Our agile and creative development approach allows us to adapt our growth strategies based on specific geographic markets or brand needs.

“Thus was a year of strong deal momentum for us throughout the world and we are encouraged by a continued high level of developer interest in working with Starwood.”

Starwood’s pipeline in developing markets is at the highest levels ever, including signed hotel deals in the vast majority of the most significant fast-growing economies.

For example, notwithstanding recent concerns about the pace of macroeconomic growth in China, Starwood’s footprint expansion continues unabated and the company expects to celebrate the opening of its 125th hotel in China in 2013.

Starwood also continues to see meaningful, quality growth in mature markets, including sustained, strong levels of hotel conversions.

Approximately 20 per cent of the deals signed in 2012 were conversions of existing properties, of which 12 opened during the year.