LUXH News & Events

LuxUrban currently operates 9 hotels totaling 1,064 keys, with 855 keys across 8 properties expected to remain in its long-term portfolio: Blakely Hotel - 117 rooms; Tuscany Hotel - 124 rooms; Washington Hotel - 217 rooms; The Herald - 166 rooms; Hotel 27 - 74 rooms; BeHome - 43 rooms; The Condor - 35 rooms; Hotel 46 - 79 rooms; Hotel 57 - 209 rooms. With robust sales and distribution strategies now in place, combined with fully operational OTA partnerships and direct booking capabilities, LuxUrban is positioned to realize RevPAR performance at record levels. Revenue Outlook for 2025: Revenue is projected to range between $62-$67M, based on 8 properties totaling 855 units. RevPAR Growth: 2024 RevPAR performance is expected to finish at $180.60, with 2025 RevPAR projected to reach $216.58, driven by enhanced sales and distribution channels. Current Initiatives: Rebranding and ancillary revenue opportunities. Consistent tracking and modeling of RevPAR improvements to enhance performance and shareholder value. Strategic Focus on NYC: LuxUrban will focus exclusively on New York City, where significant growth opportunities exist: NYC remains one of the highest RevPAR performers in the United States. Anticipated turnover of migrant hotel contracts, returning 14,000 rooms to the market. Continued financing pressures on hotel assets, creating acquisition opportunities in a supply-constrained market. Increased tourism activity driving demand for accommodations.

LuxUrban Hotels announces a partnership to enable digital currency payments to all nine properties in the Company's portfolio. By integrating blockchain-based payment solutions, Lux Urban is setting new standards for the modern traveler. Guests staying at Lux Urban Hotels will soon have the option to pay for their stays using a variety of digital currencies, offering a decentralized payment experience.

Gross (Loss) Profit: $(16.8) million, compared to a profit of $7.8 million in Q3 2023; Total Operating Expenses: $12.1 million, compared to $2.7 million in Q3 2023, reflecting $9.7 million reserve for litigation with landlords;Net Loss: $30.7 million, compared to a net income of $4.9 million in Q3 2023. Rob Arigo, LuxUrban Hotels CEO, commented: "As we close out 2024 and enter 2025, we are excited to build on our LuxUrban 2.0 initiative. This strategy not only focuses on the elimination of non-performing hotel properties but also reinforces our commitment to enhancing operational efficiency. We have strengthened our management team by bringing on talented directors and officers with deep expertise in the hospitality and financial sectors. While challenges remain as we continue to transition from, and address obligations related to, legacy operations, we believe that the transformative changes we are implementing will enhance our financial stability and set a solid foundation for future growth. We look forward to updating our shareholders as we advance on this path and capitalize on the opportunities ahead."

LuxUrban Hotels announced that it will effectuate a one-for-seventy reverse stock split of its common stock. This reverse stock split was approved by stockholders at the special meeting held on November 12, and will be effective at the opening of trading on November 20. The reverse stock split is part of LuxUrban Hotels' strategy to strengthen its position within the Nasdaq Capital Markets, improve the stock's trading profile, and position the company for future growth and expansion opportunities. Following the reverse split, the number of shares of common stock issued and outstanding will be reduced from approximately 151.85M to approximately 2.17M shares. In addition, stockholders approved a proposal to waive the 19.99% share limitation under Nasdaq Rule 5635(d), allowing the company to issue additional shares of common stock upon the conversion of certain convertible promissory notes and the exercise of outstanding warrants. This approval enables LuxUrban to maintain its compliance with Nasdaq listing standards while maximizing the flexibility of its financing arrangements. The trading symbol for LuxUrban's common stock on the Nasdaq Capital Market will remain "LUXH." Stockholders who would own a fraction of a share as a result of the reverse stock split will instead receive cash in lieu of a fractional share.