Big-ticket hotel transactions heat up, cruise companies lean into megaships, and the World Architecture Festival reveals its 2024 shortlist. All that and more in this week’s Five on Friday.
Royal Caribbean doubles down on megaships
The Icon of the Seas can hold up to 7,600 passengers; photo courtesy of Royal Caribbean
Royal Caribbean’s Icon of the Seas may have sparked mixed reactions when it launched as the world’s largest cruise ship, but its popularity has led the company to double down on its megaship strategy, reports The New York Times. With plans for four more Icon class ships by 2027, Royal Caribbean is riding a wave of record demand in the cruise industry (in 2023, cruise passengers surpassed 2019 numbers by some two million), despite growing concerns from environmental groups about the impact of these massive vessels. As cruise giants continue to expand their fleets, the sector faces a balancing act between scaling up and meeting sustainability goals. “Achieving net zero is not something any one company can do alone,” Jason Liberty, president and CEO of Royal Caribbean Group, said last month. “It requires collective problem solving, creative thinking, and a willingness to have tough conversations.”
This is the world’s best new architecture
Designed by WOHA, the 21 Carpenter hotel was restored from four former shophouses and features a contemporary cubic extension; photo by Jovian Lim
This year’s recently announced World Architecture Festival shortlist is a global tour de force, featuring more than 220 projects vying for the World Building of the Year prize. From towering hotel developments to Cyprus’ space observatory and Turkey’s solar power plant control center, the competition spans 18 diverse categories, writes CNN. Notable contenders include the Australian Embassy in Washington, DC; the expanded Terminal 2 at Singapore’s Changi Airport; and Atlantis the Royal resort in Dubai. Finalists will present their projects at the festival, taking place November 6-8th in Singapore, with 175 delegates casting votes to crown the ultimate winner.
IKEA Preowned offers marketplace for secondhand furniture
Photo courtesy of IKEA
IKEA is upping its sustainability goals with IKEA Preowned, a peer-to-peer resale platform currently being tested in Madrid and Oslo. Designed to keep used IKEA products out of landfills, the platform lets users buy and sell secondhand furniture with ease, leveraging AI to ensure accurate listings, according to Dezeen. If successful, a global rollout could follow, positioning the Swedish furniture manufacturer as a major player in the secondhand market alongside giants like eBay. This initiative is part of IKEA’s broader mission to become a circular business by 2030, reinforcing its commitment to reducing waste and extending product lifespans. “Already today, 10 percent of the secondhand home furnishing market is made up by IKEA products,” says Tolga Öncü, retail operations manager for IKEA franchisee Ingka Group. “[W]e have the possibilities to simplify and enhance the experience for both the seller and the buyer.”
Large hotel transactions are on the rise
The recently reopened Royal Lahaina Resort & Bungalows in Hawaii; photo courtesy of Royal Lahaina
In a week of market fluctuations, lodging stocks were mixed as JLL’s latest research spotlighted a surge in large hotel transactions, hitting an eight-year high for deals over $200 million, reports Skift. Major transactions include the $1.1 billion sale of the Hyatt Regency Orlando and the $725 million deal for Oahu’s Turtle Bay Resort, soon to be transformed into a Ritz-Carlton. Meanwhile, new hotel developments are heating up across the U.S., with projects in Scottsdale, San Juan, and Phoenix moving forward. In Hawaii, Highgate announced the reopening of the Royal Lahaina Resort & Bungalows on Maui—with new culinary venues and expanded wellness amenities—following the 2023 wildfires, while Castle Peak Holdings debuted its nature-inspired Trailborn brand in Highlands, North Carolina. On the financial front, Nuveen Green Capital closed a record-breaking $190 million C-PACE financing deal for Virgin Hotels Las Vegas, signaling a continued push for energy-efficient upgrades in the hospitality sector.
Go behind the scenes of New York’s latest hotels during BDNY
The lobby at the Kimpton Hotel Theta in New York, the handiwork of Créme; photo by Regan Wood
Dive into New York’s design scene this November with BDNY’s curated tours, which offer an insider’s peek at the creative minds behind some of the city’s latest hotel projects. Explore the Kimpton Hotel Theta, Tempo by Hilton New York Times Square, and Moxy Brooklyn Williamsburg, all guided by the visionaries who brought them to life. Each tour wraps up with cocktails, light bites, and networking. Spots are limited for these exclusive tours, so register for BDNY and sign up today!
