Hotel terrorist attacks and their worldwide/USA performance implications. (2015)

• Record Type: Journal Article
• Authors: Dermisi, Sofia
• Is Part Of: International journal of the built environment and asset management. Volume 1:Number 4(2015)
• Page Start: 307
• Page End: 328
• Publication Date: 2015
• Subjects: terrorist attacks -- hotel attacks -- asset management -- attack cyclicality -- attack frequency -- financial fallout -- luxury hotels -- mid-price hotels -- economy hotels -- financial performance -- socio-economic variables -- hotel revenue -- terrorism; Real estate development -- Periodicals; Commercial real estate -- Periodicals; Leisure industry -- Management -- Periodicals; Construction industry -- Management -- Periodicals; Retail trade -- Periodicals; Transport planning -- Periodicals; 333.3387068
• Languages: English
• ISSNs: 2046-4533

Abstract

In recent years terrorists shifted their focus towards 'soft targets', such as hotels, and mass transnational casualties which are analysed in this paper from 1996 through 2014. The trends explored, include: attack cyclicality, factors affecting their frequency, and the financial fallout among luxury, mid-price and economy hotels. The results suggest an 8-year attack cycle on hotels and a 3-year on casualties, with the attack frequency increasing by 75% after 11 September 2001 and new hot spots recently generated. Additionally, countries which are predominantly Muslim, with radical elements, experience a 52% increase in the frequency of attacks on hotels. However, only the luxury hotel Average Daily Rate (ADR) and Revenue-per-Available Room (RevPAR) decreased by 6.9% worldwide and 1.7% in the USA when hotel terrorist attacks occurred. Other socio-economic variables (e.g. GDP/capita, oil prices, recessions) applied had either a non-effect or a diverse effect on attack frequency and hotel revenue.