"What Hospitality Business Are you REALLY in?" ~ Alexander Mirza
When I joined Starwood in 2000 and Hilton Hotels Corporation in 2005, both companies generated about 40% of their EBITDA from a relatively small number of owned and leased properties. In Hilton’s case, the top 10 owned Hiltons accounted for roughly 30% of the company’s $2.5B EBITDA.
In Starwood’s case, it was a real estate company that grew out of a paired share REIT and acquired brands such as Sheraton and Westin. “Riding the cycle” was key pillar of Starwood’s strategy.