Room Rates

Marriott International Inc. yesterday reported that its first-quarter income jumped 29 percent over the same period a year ago, the result of a healthy lodging industry, acquisitions and increases in average room rates.The Bethesda-based hotel giant generated net income of $89 million in the three-month period ended March 27, fueled largely by its purchase of the Renaissance Hotel Group N.V. and a 9 percent gain in daily average room rates."The U.S. lodging industry remains very robust, and Marriott lodging continues to set the pace in terms of both [revenue available per room]

DEVELOPER Harvey Schulweis' intention to build a 600-room Westin hotel downtown without public subsidies challenges the basic economic assumptions of Baltimore's highly politicized quest for more hotel rooms.Why would two competing builders need big favors from taxpayers, if Mr. Schulweis can finance a 28-story hotel from private sources?This is a question the City Council must probe Wednesday when it meets to consider a request by builders of the $134 million Inner Harbor East Wyndham hotel for $40.9 million in public aid, mostly in tax breaks.

For months, Baltimore leaders have been worrying whether there would be enough hotel rooms to handle the city's growing tourist industry. But now that another major downtown hotel project has unexpectedly surfaced, they are worrying that there might be too many rooms.Yesterday, after the disclosure that New York developer Harvey Schulweis plans to build a 600-room Westin Hotel across from the Inner Harbor without public subsidies, hotel industry analysts warned that a glut of hotel rooms could spell disaster for older, established hotels and the new hotels planned for downtown.

Marriott International Inc. reported yesterday that its first-quarter net income rose 22 percent, to $77 million from $63 million, the result of growth in international markets and higher rates for its hotel rooms.The Bethesda-based hotel operator earned 57 cents a share for the quarter ended March 28, compared with 47 cents a share for the corresponding period the year before. Analysts had projected that earnings would be between 55 cents and 65 cents a share.Sales were up 18 percent, to $2.6 billion, from $2.2 billion in the 1996 period.

A 10-star property, can you believe it? Five stars for the overnight accommodation. Five more stars for the restaurant. That adds up to almost as many stars as there are guest rooms.This is the Inn at Little Washington. Only Dallas' renowned Mansion on Turtle Creek can equal the Mobil Travel Guide's dual rating for this wonderful little hideaway about 65 miles west of Washington.The AAA also bestows its maximum five diamonds separately on both the inn and its fabulous dining room.Yet the Inn at Little Washington contains only 12 units and has no nearby city from which to draw a clientele.

Marriott International Inc. continued to take advantage of the hotel industry's positive momentum in the first quarter, posting a 21 percent gain in net earnings.The Bethesda-based lodging, resort and senior living community operator generated net income of $63 million, or 47 cents per share, with increases in virtually every segment of its business.The earnings increase came amid revenue growth of 7 percent to $2.2 billion in the period that ended March 22, as compared with the same period a year ago."

A Houston hotel company yesterday finalized the purchase of the twin-towered Omni Inner Harbor Hotel for $25 million, the largest sale of a downtown lodging property in five years.The Gencom Group said its interest in the 707-room Omni stems from improved occupancy and room rates for local hotels, as well as the anticipated boost to the area's $1 billion tourist industry after the completion of the Convention Center's $150 million expansion."As a reasonably priced convention destination, Baltimore is a great area," said Lee Grossbard, a Gencom vice president of operations.

Marriott International Inc. yesterday reported that its earnings soared 24 percent to $247 million in 1995, the best performance in its nearly 70-year history.The Bethesda-based lodging operator's record net income -- equal to $1.87 a share -- also represents the latest evidence of the hotel industry's dramatic rebound. The company said it posted healthy gains in its full-service, Courtyard, Fairfield and Residence lodging lines, along with its services businesses."We continue to benefit from the power of our brands, a strong business environment and improved operating efficiencies across all our product lines," said J. W. Marriott Jr., the company's chairman and chief executive.

In a story Sunday about Host Marriott Corp., the amount reported for revenues of the company's hotel operations should have been $315 million.The Sun regrets the errors.With his round-rimmed glasses, soft smile and disarming voice, Terence C. Golden doesn't look the part of an empire builder.But that's exactly what the new 55-year-old president and chief executive of Host Marriott Corp. is -- thanks to a unique set of events that are both shaping the lodging industry and setting the course for the Bethesda-based hotel owner.

Bolstered by improving occupancy and room rates and a lack of new construction, investors are expressing renewed interest in Baltimore-area hotels after a five-year lag.Demand has risen so high that owners of hotels such as the 12-story Latham Hotel downtown are beginning to consider selling."