Hilton has expanded its global footprint, achieving net unit growth of 7 percent in the second quarter. More than half of Hilton’s total global pipeline is in the Americas, with nearly 1,500 properties in development in addition to more than 5,600 open properties.
“Hilton’s growth has remained solid throughout the course of the pandemic,” said Kevin Jacobs, CFO and president, global development. “Globally, our owners continue to see the long-term value and returns Hilton offers, demonstrated by the exciting development activity we’ve recently seen.”
Brand Milestones
During the second quarter, the company opened its 200th Tru by Hilton, five years since the brand’s launch, followed by the July opening of the 500th Home2 Suites by Hilton, which currently has the largest pipeline in North America industrywide. Motto by Hilton opened its second location, Motto by Hilton Philadelphia Rittenhouse Square, and Canopy by Hilton Portland Waterfront marked Hilton’s first lifestyle brand hotel in New England.
In July, Hilton opened its first hotel under the Signia by Hilton brand, Signia by Hilton Orlando Bonnet Creek, rebranded from a Hilton Hotels & Resorts property. Hilton also broke ground in Atlanta on the first newly constructed hotel for the brand.
Beyond its recent opening at Resorts World Las Vegas, Conrad Hotels & Resorts continues to expand on the West Coast. The brand recently announced its debut in California with the signing of Conrad Los Angeles, slated to open in 2022. The hotel is part of Related Cos.’ mixed-use development, The Grand LA, designed by Frank Gehry and located in downtown Los Angeles.
U.S. Expansion
Hilton has reported more than 60 percent year-over-year growth in Nevada, totaling 44 Hilton-branded hotels with more than 14,000 rooms as of June 30. At the forefront is Las Vegas, where Hilton has nearly doubled its presence in the market during the past three years and represents the only U.S. destination housing all three of Hilton’s luxury brands. The company expects to have more than 30 hotels and 11,000 rooms in the market by the end of 2021. Resorts World Las Vegas opened in late June as the largest multibrand deal in Hilton’s history and its biggest property globally with 3,500 guestrooms across three brands: the largest Conrad Hotels & Resorts property in the world, one of the first U.S. locations of LXR Hotels & Resorts and a marquee Hilton Hotels & Resorts hotel.
Earlier this year, Hilton also added Virgin Hotels Las Vegas, Curio Collection by Hilton to its Las Vegas supply.
With eyes on the Southeast, Hilton has looked to Florida as a target market for advancement. Recent openings in Florida include Hilton Aventura Miami, Hotel Melby Downtown Melbourne, Tapestry Collection by Hilton, Hilton Garden Inn St. Pete Beach and Home2 Suites by Hilton Fort Myers Airport. Hilton expects to open more than 20 new hotels in Florida in the next 12 months.
Beyond 2021, Hilton will also expand its luxury footprint in the state with the openings of the 430-room Conrad Orlando and the Waldorf Astoria Hotel and Residences Miami. Designed by architect Carlos Ott and standing at nearly 1,100 feet, Waldorf Astoria Miami will be the tallest building in Florida. As of June 30, Hilton has 440 hotels with nearly 70,000 rooms in the state.
Mexico Expansion
Hilton has more than 70 open hotels and more than 30 properties in its Mexican development pipeline. The upcoming opening of Conrad Tulum in late 2021 will be Conrad Hotels & Resorts first flag in the Quintana Roo region. The Waldorf Astoria Cancun is set to open in 2022. Additionally, Hilton has continued its expansion across the all-inclusive category in Mexico, opening The Yucatan Resort Playa Del Carmen, Tapestry Collection by Hilton, the first all-inclusive resort for Tapestry Collection, and most recently Hilton Vallarta Riviera All-Inclusive Resort. Later this year, Hilton Cancun, an All-Inclusive Resort, is slated to debut on 100 acres of Mayan coastline with 715 guestrooms.
Motto by Hilton and Tru by Hilton are expected to make their debut in Mexico with several openings in 2022 and 2023 including Motto by Hilton Tulum, Motto by Hilton Guadalajara Centro Historico and Tru by Hilton Monterrey Fundidora.