TORONTO — InnVest REIT’s busy second quarter has led to increased same-hotel revenues and RevPAR, the company reported in its quarterly release. Overall revenues increased by 1.7 per cent during the second quarter of 2015, compared to the year prior; same-hotel revenues grew by 3.6 per cent; and RevPAR grew by four-per-cent through a combination of rate and occupancy gains.
“This quarter we maintained our focus on enhancing and repositioning our property portfolio and strengthening the REIT’s financial position,” commented Drew Coles, president and CEO of InnVest. “Our high-quality portfolio of newly renovated hotels and recent acquisition, the Hyatt Regency Vancouver, are driving strong year-over-year growth,” he said. “Looking ahead, we continue to focus our efforts on improved operating performance, continued reinvestment and lowering interest cost, while increasing the size and scale of our property portfolio through prudent and accretive acquisitions.”
During the past two years the REIT has made significant investments in its core portfolio of hotels, including the renovation of 58 Comfort Inn properties. It has invested $17.6 million in capital programs through the first six months of 2015, and expects to invest approximately $60 million in its core portfolio in 2015.
During the past quarter the REIT made several acquisitions, including a 100-per-cent interest in Hotel Saskatchewan, a 224-room upscale hotel located in Regina, which will be repositioned as a Marriott Autograph Collection in late 2015. It also signed an agreement to acquire a 33-per-cent interest in the 575-room Courtyard by Marriott hotel in downtown Toronto.