INDIAN PRIME MINISTER Narendra Modi’s steadfast dedication to economic reform, environmental concerns, technological advancements and foreign policy has cemented his position as a respected and esteemed leader, said Bharat Patel, AAHOA chairman. Patel and other AAHOA officers attended Modi’s recent visit to the White House and his address to Congress, and he said plans were laid to increase AAHOA’s connections to India with programs supporting more trade with Indian companies and a worker training program.
Modi's state visit June 21 to 23 significantly strengthened bilateral relations between India and the U.S., Patel said. The Indian prime minister received a warm welcome from the American diaspora community.
"Americans wholeheartedly recognize him as a crucial ally and genuine friend to the U.S.,” Patel said.
“While the nature of each visit may differ, Modi's visit to the U.S. is universally acknowledged as carrying immense significance for both democracies, representing a strong and evolving relationship between the U.S. and India.”
From left, AAHOA member Rakesh Patel, Secretary Rahul Patel and Bharat Patel, AAHOA chairman, during the state visit by Indian Prime Minister Narendra Modi.
AAHOA is the largest hotel owners’ association in the U.S., with 20,000 members who own 60 percent of the nation's hotels. The association’s leaders actively lobbied Congress for PM Modi’s address to the House and Senate during his state visit. It also cosponsored “We the People: Celebrating the U.S.-India Partnership,” a special appearance by Modi and other officials and business leaders at the John F. Kennedy Center for the Performing Arts.
Their delegation included Bharat; Miraj Patel, vice chairman; Kamalesh “KP” Patel, treasurer; Rahul Patel, secretary; and Nishant “Neal” Patel, immediate past chair. They participated in the White House welcome ceremony and Modi's address to Congress, underscoring AAHOA’s dedication to robust Indian-U.S. relations.
"As two of the world's leading democracies, the U.S. and India share a remarkable number of similarities," said Bharat. "Amidst the intense scrutiny that world leaders endure on the global stage, Prime Minister Modi has garnered substantial support in the U.S. Many Americans appreciate his focus on economic development, initiatives such as 'Made in India,' and efforts to enhance India's global standing.”
Meanwhile, the prime minister also praised Indian Americans for their significant contributions to the host nation and the India-U.S. relationship during the state dinner. He highlighted their pride in values, democratic traditions, vibrant culture, and notable achievements in sectors like hospitality, healthcare, education, research, and logistics.
“Be it hospitals or hotels, universities or research labs, gas stations or logistics management, they are making their mark everywhere,” Modi said.
Enhanced bilateral relations
Modi’s visit acted as a catalyst for enhancing bilateral relations, offering a platform to discuss and advance cooperation in key areas such as trade, defense, security, technology, artificial intelligence, and cultural exchanges.
Bharat emphasized that Modi's visit signifies the strengthening ties between the two nations as they collaborate to address global challenges like climate change, AI advancements, defense and security, and shifting geopolitical dynamics.
Prime Minister Modi met with President Joe Biden during the visit and addressed a joint session of Congress.
He highlighted that the opportunity to attend a state dinner at the White House is universally recognized as an extraordinary honor.
“It serves as a prominent platform for diplomatic exchanges, bolstering bilateral relations, and celebrating international cooperation in a remarkable manner,” Bharat said.
AAHOA's properties make a substantial contribution to the U.S. economy, representing 1.7 percent of the U.S. GDP. Bharat said the association plans to step up its participation in the “Buy Indian” program.
“So many people of Indian origin do business in America, but they're not able to buy textiles for different reasons,” Bharat said. “We want to work with brands and hotel operators just to buy more textiles from India. I think that's a win-win for everybody.”
Past Chairman Neal Patel gave details on the need for cooperation with India.
“After COVID the cost of our expenses when it comes to FF&E and even soft goods, they've doubled and for some hotels, it's even tripled,” he said. “The idea was, how can you increase competition to drive the cost down or increase the quality of the products that we’re receiving in our hotels? And when you look at the hotel industry, mainly, their supplies are coming from either Pakistan or Bangladesh. Our goal is, how can we give India and the companies that are based there a platform to increase competition, lower the costs and hence increase our ROI on our assets.”
Neal said AAHOA previously sent a delegation to India to discuss plans for how the association can increase trade between its membership and Indian companies.
“The idea was very simple, to promote AAHOA and the hospitality industry by partnering with the Indian government,” Neal said. “The challenge that we saw that was happening is that the companies in India do not know the specs that are needed in our industry. So, what AAHOA’s role will be is to provide those specs, be the person in the middle, and provide the specs to the new companies and increase competition.”
Neal said the goal is to have 50 percent of AAHOA members buying products for their hotels from India in the next five years.
The AAHOA delegation to India also met with India’s minister of education to discuss a program that would help address U.S. hotels’ ongoing labor shortage.
“The idea would be for the Indian government to train hospitality students in AAHOA certification. Once they're trained, they'll provide us up to 50,000 students part time to work in our members’ hotels, and the cost will be very, very low compared to what we would pay here,” Neal said. “This helps us because right now, we can barely survive when it comes to labor and building a team. This will help us building a global team.”
U.S. tribute to PM
Bharat Patel described the atmosphere as Indian-Americans, influential figures, and dignitaries gathered for the momentous occasion.
“The White House paid a fitting tribute to Modi's visit by offering a delectable selection of vegetarian Indian cuisine, a splendid display that not only celebrated India's vibrant culture but also highlighted its global influences,” he said.
AAHOA officers were invited to participate in Indian Prime Minister Modi’s recent state visit.
According to Bharat, the relationship between the U.S. and India encompasses a wide array of dimensions, ranging from strategic and economic to diplomatic and cultural ties.
“With the U.S. recognizing India as a major global power, the acknowledgement extends beyond Asia, considering India's growing influence as the world's most populous country, even surpassing China.”
Patel emphasized that the U.S. and India share fundamental values, rooted in a steadfast commitment to democracy and individual freedoms.
"These shared values strengthen the enduring bond between our nations," he said.
Neal Patel said the AAHOA officers did have a brief meeting with Modi himself.
“It wasn't an official meeting, it was just in passing ‘Hello,’” Neal said. “Unfortunately, we weren't able to take our phones there, but it was a very good experience for us. AAHOA is now recognized on with the India-America partnership and we were invited to be part of the delegation.”
Hersha Hotels & Resorts sold The Boxer Boston to Eurostars Hotels.
The company acquired the property in 2012 for $12.6 million.
The property now sold for $23.6 million.
HERSHA HOTELS & RESORTS sold The Boxer Boston, an 80-room hotel in Boston’s West End, to Eurostars Hotels, part of Spain’s Grupo Hotusa. The company, which reportedly acquired the property in 2012 for $12.6 million, received $23.6 million for it.
The seven-story hotel, built in 1904, is near TD Garden, the Charles River Esplanade, One Congress, North Station and Massachusetts General Hospital, said JLL Hotels & Hospitality, which brokered the sale. It also has a fitness center.
Hersha Hotels & Resorts is part of the Hersha Group, founded in 1984 by Hasu Shah. Jay Shah serves as senior advisor and his brother Neil Shah is president and CEO.
JLL Managing Director Alan Suzuki, Senior Director Matthew Enright and Associate Emily Zhang represented the seller.
"The Boxer’s prime location at the crossroads of Boston's West End, North End and Downtown districts, combined with its strong cash flow and its unencumbered status regarding brand and management, made this an exceptionally attractive investment," said Suzuki. "Boston continues to demonstrate resilient lodging fundamentals driven by its diverse demand generators, including world-class educational institutions, medical facilities, corporate presence and convention and leisure attractions."
The property will become the Spanish hotel chain Eurostars’ fifth U.S. hotel, supporting the group’s North American expansion, the statement said.
Amancio López Seijas, president of Grupo Hotusa and Eurostars Hotels Co., said the addition of Eurostars’ The Boxer strengthens the company’s presence in key locations and promotes urban tourism.
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AHLA Foundation is partnering with ICHRIE and ACPHA to support hospitality education.
The collaborations align academic programs with industry workforce needs.
It will provide data, faculty development, and student engagement opportunities.
THE AHLA FOUNDATION, International Council on Hotel, Restaurant and Institutional Education and the Accreditation Commission for Programs in Hospitality Administration work to expand education opportunities for students pursuing hospitality careers. The alliances aim to provide data, faculty development and student engagement opportunities.
Their efforts build on the foundation’s scholarships and link academics to workforce needs, AHLA said in a statement.
"We're not just funding education—we're investing in the alignment between academic learning and professional readiness," said Kevin Carey, AHLA Foundation president and CEO. "These partnerships give us the insights needed to support students and programs that effectively prepare graduates to enter the evolving hospitality industry."
ACPHA will provide annual reports on participating schools’ performance, enabling the Foundation to direct resources to programs with curricula aligned to industry needs, the Foundation said.
Thomas Kube, incoming ACPHA executive director, said the partnership shows academia and industry working together for hospitality students. The collaboration with ICHRIE includes program analysis, engagement through more than 40 Eta Sigma Delta Honor Society chapters and faculty development.
“Together, we are strengthening pathways to academic excellence, professional development and industry engagement,” said Donna Albano, chair of the ICHRIE Eta Sigma Delta Board of Governors.
U.S. holiday travel is down to 44 percent, led by Millennials and Gen Z.
Younger consumers are cost-conscious while older generations show steadier travel intent.
76 percent of Millennials are likely to use AI for travel recommendations.
NEARLY 44 PERCENT of U.S. consumers plan to travel during the 2025 holiday season, down from 46 percent last year, according to PwC. Millennials and Gen Z lead travel intent at 55 percent each, while Gen X sits at 39 percent and Baby Boomers at 26 percent.
PwC’s “Holiday Outlook 2025” survey found that among those not traveling, about half prefer to celebrate at home and cost concerns affect 43 percent, rising to 50 percent for Gen Z non-travelers. Visiting friends and relatives remains the main reason for holiday travel, cited by roughly 48 percent of those planning trips.
Younger consumers are more cost-conscious, while older generations show steadier travel intent. This split influences travel operators’ planning: younger travelers may require clear value, bundled perks and flexible options, whereas older travelers respond to reliability and convenience. Despite overall spending pressure, travel remains a key priority, reflecting its social and emotional importance during the holidays.
PwC surveyed 4,000 U.S. consumers from June 26 to July 9, with 1,000 each from Gen Z, Millennials, Gen X and Boomers, balanced by gender and region.
Generational spending patterns
Gen Z plans a 23 percent reduction in spending after last year’s 37 percent surge, while Boomers expect a 5 percent increase. Millennials are largely flat, down 1 percent and Gen X edges up 2 percent. Overall holiday spending is down 5 percent, with gift spending falling 11 percent, while travel and entertainment budgets remain stable, increasing 1 percent.
Households with children under 18 plan to spend more than twice as much as households without, averaging $2,349 compared to $1,089, highlighting the focus on family-centered experiences.
For travel and hospitality operators, these patterns suggest stronger conversion potential among older cohorts with steadier budgets and the need for clear value and cost transparency for younger travelers. Consumers are prioritizing experiences and togetherness over material gifts. Flexible fares, transparent pricing and bundled benefits such as Wi-Fi, breakfast, or late checkout can reinforce value and encourage bookings, especially among younger demographics. Gen Z’s pullback makes price-to-experience ratios decisive.
AI, timing and travel strategy
About 76 percent of Millennials say they are likely to use AI agents for recommendations, signaling a shift to “assistant-first” travel discovery. Operators must provide structured, AI-readable content, including route maps, fees, loyalty policies and inventory availability. Brands that do not may be invisible in AI-driven search and recommendation systems.
This year’s late Thanksgiving on Nov. 27 compresses the holiday booking window. Short-haul visiting-friends-and-relatives trips may see bunched reservations, increasing demand for early inventory visibility, simple cancellation policies and accurate last-minute availability. Operators should hold a portion of inventory for late bookings, streamline mobile checkouts and maintain flexible policies to capture last-minute travelers.
Strategies should be generationally targeted. Boomers and Gen X respond to comfort, reliability and multi-generational options, while Millennials and Gen Z require clear value and AI-optimized offers. Focusing on VFR travel through “home for the holidays” packages, flexible dates, partner transport and easy add-on nights can capture demand in key residential hubs.
Despite overall spending declines, travel remains a priority. Operators that deliver transparent value, AI-ready content and offers tailored to each generation can maintain bookings, convert last-minute demand and meet consumers’ evolving holiday expectations.
A TravelBoom Hotel Marketing report found that Americans continue to prioritize travel despite inflation and economic uncertainty, but with greater financial caution. About 74.5 percent plan a summer vacation and 17.5 percent are considering one, showing strong demand linked to careful budgeting.
Indian visitors to the U.S. fell 8 percent to 210,000 in June 2025, according to NTTO.
President Trump’s 50 percent tariff on Indian goods took effect on August 27.
The U.S. has seen a decline in international visitors in recent months.
INDIAN VISITORS TO the U.S. fell in June 2025 for the first time this millennium, excluding the Covid period, according to the U.S. Commerce Department’s National Travel and Tourism Office. About 210,00 Indians visited the U.S. in June, down 8 percent from 230,000 in the same month last year.
The provisional figure for July shows a 5.5 percent drop from the same month last year, Economic Times reported, citing NTTO data. Meanwhile, President Donald Trump’s 50 percent tariff on Indian goods took effect on August 27, while Prime Minister Narendra Modi urged citizens to follow the “Vocal for Local” policy in his Aug. 15 Independence Day address. Beyond exports like textiles, the measure is likely to affect travel, tourism and hospitality in both countries.
The U.S. has seen a decline in international visitors in recent months, the Times said.
NTTO reported that total non-U.S. resident arrivals fell 6.2 percent in June 2025 from June 2024; 7 percent in May; 8 percent in March and 1.9 percent in February. January rose 4.7 percent and April 1.3 percent over the same months last year.
India is the fourth-largest source of international visitors to the U.S. Excluding Mexico and Canada, which share a land border, India is the second-largest overseas source after the UK.
“Combined, these top five markets, with Brazil fifth, accounted for 59.4 percent of total international arrivals in June,” NTTO said.
Travel industry leaders say it is too early to blame the drop in Indian visitors on stricter visa rules under Trump’s second term, which coincided with strained India-U.S. ties; the impact could rise if the policy continues. The U.S. mostly issues 10-year multiple-entry visitor and B1 and B2 visas, allowing holders to continue traveling, but new delays or stricter issuance norms could affect arrivals after a time lag.
“We are seeing a visible impact on the student segment this year due to delays in visa issuance, even after people have secured college admission,” a travel agent was quoted as saying in the report. “Historically, the biggest categories of visitors from India to the U.S. have been those visiting friends and relatives, business and students. The U.S. has never been a top leisure destination for Indians; that space is led by Southeast Asia, the Middle East and Europe, with North America following. Right now, apart from students, we are not seeing a significant impact on other segments, but if new visa issuances are affected, they will also be hit after a time lag.”
With an Indian diaspora of more than 5 million, the U.S. sees strong travel demand from India. NTTO data shows that every June since 2000 had recorded a year-on-year increase until 2025 broke the trend.
April saw high outbound travel from India. According to the tourism ministry, 2.9 million Indians traveled abroad, with the most going to the UAE, followed by Saudi Arabia, Thailand, Singapore and the U.S.
“But after May and June, travel was hit by the Pehelgam terror attack, closure of Pakistan airspace (which continues for Indian carriers and vice versa) and the Air India Ahmedabad crash,” a travel industry leader told the Times. “Every destination, especially in the west, was affected. The drop to the U.S. may not be in isolation, given how quickly western destinations were impacted.”
Global hotel RevPAR is projected to grow 3 to 5 percent in 2025, JLL reports.
Hotel RevPAR rose 4 percent in 2024, with demand at 4.8 billion room nights.
London, New York and Tokyo are expected to lead investor interest in 2025.
GLOBAL HOTEL REVPAR is projected to grow 3 to 5 percent in 2025, with investment volume up 15 to 25 percent, driven by loan maturities, deferred capital spending and private equity fund expirations, according to JLL. Leisure travel is expected to decline as consumer savings tighten, while group, corporate and international travel increase, supporting RevPAR growth.
Major cities continue to attract strong demand and investor interest, particularly London, New York and Tokyo. APAC is likely to post the strongest growth, fueled by recovering Chinese travel, while urban markets remain poised for continued momentum.
Lifestyle hotels are emerging as the new “third place,” blending living, working and leisure. The trend is fueling expansion into branded residences and alternative accommodations. JLL said investors must weigh regional performance differences, asset types and lifestyle trends when evaluating opportunities.
Separately, a Hapi and Revinate survey found fragmented systems, inaccurate data and limited integration remain barriers for hotels seeking better data access to improve guest experience and revenue.