Bethesda's LaSalle Provides Two Sets of Q3 Figures. Here’s Why.
Bethesda-based LaSalle Hotel Properties has alleged that dirty union tricks impacted its Q3 numbers and has provided two sets of figures for shareholders to show the impact of the one-off event.
The company claims that a series of alleged health and safety violations at two of its Manhattan properties was due to union retaliation, GlobeSt reports. LaSalle transitioned from Kimpton Hotels and Restaurants, the management company from three of its San Francisco hotels, in July. The hotel workers’ union made the claims against the New York hotels in late August, claims that LaSalle believes were a targeted attack. While LaSalle says the conflict has been resolved and no violations occurred, the matter impacted Q3 results.
The company was forced to close many of the available rooms at the two Manhattan hotels to test for the issues and the interruption helped to decrease RevPAR by 320 basis points and reduced hotel EBITDA margin by 125 basis points. The hotel industry as a whole has enjoyed 59 consecutive months of RevPAR growth through July. [GlobeSt]