Justin Knight, president and CEO of Apple Hospitality REIT (NYSE: APLE), participated in a video interview at Nareit’s REITworld: 2019 Annual Conference in Los Angeles.
Knight said that in most of the REIT’s markets, new supply has followed meaningful increases in demand, and that there continues to be strong demand for “high-quality, select service hotels,” similar to Apple’s portfolio.
“In today’s environment, we’re intensely focused on managing the mix of our business and looking to mitigate expense increases through active asset management,” he said.
Knight also discussed a boutique hotel that Apple purchased in downtown Richmond, Virginia, earlier this year and the opportunities the REIT sees in terms of working outside of its traditional operating partners. He said the new asset is down the street from Apple’s headquarters and the intent is to use it as a “laboratory to experiment” with new technologies, customer service models, and customer acquisition techniques.