According to CBC News, the city of Calgary has announced its plans to convert three downtown towers into residential housing and hotel units.
Leadership changes at Aimbridge Hospitality
Third-party management company, Aimbridge Hospitality, has made changes in its C-suite with Mike Deitemeyer, CEO stepping down at the end of the year and Tom Song, CFO leaving at the end of November.
An executive committee of the board, helmed by Aimbridge chairman Glenn Murphy, has been formed to find the next CEO. A new CFO will be named at a later date.
The company also announced the appointment of industry veteran Stephen Joyce and former executive chairman of Avis Group Group Bernardo Hees to its board of managers.
Deitemeyer had suggested in the past that the Plano, Texas-based company was positioning itself for an eventual IPO, and it seemed to be the intention of major shareholder Advent International, a private equity firm that took a majority ownership stake in 2019 and merged it with competitor Interstate Hotels & Resorts. However, higher interest rates and a choppy public market might have slowed the process.
Baron Ah Moo, managing director, U.S., for PKF Hospitality Group suggested, “There is pressure on the third-party management fee model from all sides (brands, competition in the space, and the market economy) and Aimbridge, with an eye on a liquidity event (public sale/IPO), may have overextended itself to spur that aggressive growth.”
The first move by Aimbridge was to bring in Joyce, who has more than four decades of multi-brand and franchisee experience, including nearly a decade serving as president and CEO of Choice Hotels International. His time at Choice followed a 25-year career with Marriott International, where he rose to the level of executive vice president, global development. Most recently, Joyce stepped in from his board seat to lead RE/MAX Holdings following a run as CEO of Dine Brands Global.
Hees is also a board member at Bunge and Casa & Video. Before this, he was CEO at Burger King Worldwide Holdings, Inc., The Kraft Heinz Company and America Latina Logistica. Joyce and Hees will join Murphy and Jeff Case, managing director at Advent International, on the executive committee and work closely with Aimbridge’s senior leadership team to drive performance.
“The third-party management space is the future of the industry, and Aimbridge is poised to lead the way. The company plans to supercharge growth by expanding our current capabilities and zeroing in on areas that pose the greatest opportunities to gain market share, all while delivering superior results for our owners,” Murphy said.
Deitemeyer assumed the role of president and CEO of Aimbridge Hospitality in January 2021, after serving as global president following the company’s merger with Interstate in October 2019. He was president and CEO of Interstate Hotels & Resorts from 2017 until the merger, and served as president, COO and SVP finance at Omni Hotels & Resorts, where he worked for 21 years. He has had a pivotal role in the hotel industry for nearly four decades.
Song has been in the CFO role at Aimbridge Hospitality since January 2021, after working as CFO at Dine Brands Global for three years. He also worked as senior vice president, corporate development and innovation at Choice Hotels International for five years. Earlier in his career, Song held positions in management consulting and investment banking. His 25 years of experience includes global financial management, M&A, strategy, investor relations, and corporate growth initiatives within multiple industries such as franchising, hospitality, financial services, and technology.