This week we bring you a spotlight on travel. Family offices are continuing to deepen their investments in travel, tourism and hospitality, Susan Barnes reports. Three international families who are leaders in the hotel and luxury cruise industries share their insights into evaluating new opportunities and navigating multigenerational family businesses.
We round out the newsletter with the top travel trends of 2024. While things like exclusive culinary experiences and next-level ski trips make the list, a few more just may surprise you. Read on to see what’s lined up for this year.
As always, we appreciate any comments, ideas and insights that would make this newsletter more useful. I look forward to growing this family office community with your help. Please email me at [email protected].
HANDPICKED: Travel runs deep in these family offices
By SUSAN B. BARNES
Travel is back — in a big way — and family offices are getting on board with some big investments.
Late last year, the World Tourism Organization forecast that international tourism receipts could reach $1.4 trillion in 2023, and the Global Business Travel Association expects global spending on business travel alone to exceed prepandemic levels to the tune of $1.4 trillion in 2024, predicting it to increase to $1.8 trillion by 2027. According to the International Air Transport Association, a whopping 4.7 billion people are expected to travel by air in 2024, a historic high exceeding the prepandemic level of 4.5 billion in 2019.
All of this bodes very well for the travel industry as a whole.
Myriad family offices are investing in the travel industry. For insights, we talked with leaders in hotel and luxury cruise industries.
Ludovica Rocchi
Rocchi is the brand director for R Collection Hotels, a Milan-based luxury Italian hotel portfolio that has been family-owned for three generations and prides itself on preserving and enhancing Italian heritage with a modern twist.
How did your family office become interested in investing in the travel space?
Our grandfather, Pompeo Rocchi, was always fascinated by the business of hospitality and tourism. He began acquiring properties in destinations special to our family — including Lake Como, where we have deep family roots. My grandfather kept his focus on his primary business in the textile industry in Milan, enlisting third-party management to care for his budding passion projects in hospitality. Over time, the R Collection Hotel group evolved into the successful, growing business it is today.
What did your family office do before going into travel?
Before moving into the travel industry, our family [grandfather and father] had success in the textile and fashion industries. That said, my whole life, all I've known is the focus on hospitality as the family office moved fully to hospitality around 2009. In fact, the actual R Collection offices are still in the building once used for textile manufacturing, which has been updated into a modern office space.
Are there any future investments on the horizon for your family office?
We’ve actually just announced two new properties under the R Collection portfolio: The five-star Montana Lodge & Spa in La Thuile and the five-star Grand Hotel Courmayeur Mont Blanc in Courmayeur. The Collection's footprint in the Italian market broadens to include these two renowned destinations for skiing enthusiasts and mountain lovers.
Within Italy, we're looking to move expiring management contracts in-house and procure additional urban properties focusing on Rome, Florence and Venice. Looking even further ahead, the strategic plan encompasses expanding beyond Italy, with a primary focus on France and the UK.
What tips would you provide to other family offices interested in moving into the travel space?
Getting involved in the travel industry as a family office can be an exciting venture. For us, the key to success has been a driving force based on our overall values and a combination of passion, dedication and adaptability. For instance, our family has connections to the Lake Como area, and I spent my childhood on family vacations in Courmayeur, so we know the people and places well and love them deeply.
Some of the most important things for our family office have been:
- Identify your niche (adventure, luxury, family-friendly, etc.) to tailor your approach and offerings.
- Collaborate and delegate within the family office. Identifying each family member's strength in business allows you to efficiently stay attuned to the needs of your target market. Clear communication between us, and our driving mission, is what keeps us growing effectively.
- Customer service is of the utmost importance, as hospitality is a people-centric industry. Cultivating a reputation for warmth and attentiveness significantly contributes to fostering customer loyalty and generating favorable word-of-mouth recommendations, enhancing the likelihood of repeat business.
- Having a clear understanding of regulations and compliance is immensely important as well to ensure smooth business operations.
Mario Mikowski
Mikowski is a third-generation Costa Rican hotelier who has a passion for sustainability and hospitality, which is evident at his three hotels: Tabacón Thermal Resort & Spa, Hotel Nantipa and Hotel Presidente.
How did your family office become interested in investing in the travel space?
I’m a third-generation Costa Rican hotelier, as my great-uncle opened Hotel Presidente in San Jose in 1963. In the early 1990s, my father, Jaime Mikowski, rewilded 900 acres of pastureland to become Tabacón Thermal Resort & Spa in La Fortuna at the base of the Arenal volcano. He dreamt of creating a world-class wellness resort with healing thermal springs while simultaneously reestablishing a tropical rainforest that is now home to 200 species of plants and indigenous wildlife.
He recruited friends and family, and together they made this dream come true when Tabacón opened, and it has been a family-operated hotel ever since. Tabacón has 18 thermal springs coaxed into a river creating a series of waterfalls and secret bathing spots, ranging from 72 to 105 degrees, and is Costa Rica’s largest network of naturally flowing hot springs.
Environmental and social responsibility remain a core part of the resort’s DNA operationally and in the guest and community experience. The resort creates a minimal environmental footprint, with low-rise buildings made from natural materials, water naturally heated by the volcano, hundreds of solar panels and restaurants serving local organic produce.
Tabacón’s infrastructure has been embedded into the landscape, while the resort features an integrated water management and electricity conservation program including extensive solar paneling and sustainable production and consumption.
A founding philosophy of the resort was also community development, so we have built extensive programs to support the surrounding culture, provide education opportunities and promote responsible tourism.
What did your family office do before going into travel?
My great-grandparents and my grandmother’s family arrived from Poland in the mid-1930s. As immigrants with no knowledge of the language or culture, they had a hard time adjusting. Initially, they started generating income as peddlers, which then led to opening retail clothing stores in downtown San Jose. My father was born in Cartago and was educated in the public school system. After graduation from high school, he was able to enroll in college in Israel, eventually concluding his studies in architecture [and] later returning to Costa Rica, where he set up his professional practice and set his sights on the hospitality industry.
He was an avid entrepreneur, dabbling into different business ventures including solar energy, concrete construction panels, a vineyard, coffee production and more, and designing residential developments and single-family homes. He also designed and built two hotels for clients in Costa Rica.
Are there any future investments on the horizon for your family office?
Every year we have significant improvement projects at Tabacón to enhance the guest experience and continue our journey in improving sustainability developments.
In addition to Tabacón, I’ve ventured into other hospitality projects to continue my passion for regenerative travel experiences. Hotel Nantipa – A Tico Beach Experience opened in 2019 in partnership with two of my longtime friends in Santa Teresa, on the Nicoya Peninsula. Nantipa is a slice of barefoot beachfront heaven in a more "undiscovered" part of Costa Rica which happens to be one of only five blue zones in the world. And our family still owns and operates Hotel Presidente, the boutique 75-room hotel in downtown San Jose.
What tips would you provide to other family offices interested in moving into the travel space?
My advice would be to consider the future of wellness and sustainable travel and build an operation and business model that creates positive output that travelers can feel good supporting. More than ever, today’s consumer wants to know that their travel dollars are aligned with their values and actively seek out brands that walk the walk when it comes to sustainability. It’s no longer just a trend — sustainable travel is here to stay, as evidenced by my father’s innovative foresight in the 1990s, and consumers can sense when brands are only greenwashing and using clever marketing tactics.
Post-pandemic and in an increasingly technologically focused world, at the end of the day, people want to unplug and get back to their roots, to ground themselves in nature and connect with like-minded people in person while eating real foods. As we see artificial intelligence gain traction in our culture and in world business, we still find that nothing can replace the experience of travel, living well and seeing other cultures. How we relate to the Earth is how we relate to ourselves, so getting back to basics and immersing ourselves in nature can help heal at the individual and collective level. This is the type of travel that Tabacón aims to facilitate, and we will continue to adapt to our changing world to provide an unmatched experience in wellness and healing.
Aldo Macchiavello
Macchiavello is one of the visionary co-founders of Delfin Amazon Cruises. Along with his wife, Lissy Urteaga, he emerged as a pioneer of luxury cruising in Peru back in 2006. The couple have built their fleet to three luxury vessels, all of which are affiliated with Relais & Châteaux.
How did you become interested in investing in the travel space?
Our journey into investing in the travel space, particularly with Delfin Amazon Cruises, began with our shared passion for exploration and a desire to create something meaningful in our beloved Peru. Traveling in style with our family has been a lifelong pursuit, and this passion ignited the vision to pioneer luxury cruising in the heart of the Amazon.
Our fascination with the beauty of Peru and its diverse cultural heritage inspired us to embark on this venture. Crafting unique experiences that intertwine luxury with local authenticity became our mission. We wanted to provide travelers with an opportunity to immerse themselves in the wonders of the Amazon while indulging in exceptional service and supporting the local communities
Do you have any future investments on the horizon?
As a matter of fact, yes! We’ve always envisioned expanding our presence within Peru, and although unforeseen circumstances in 2020 temporarily paused our plans, we’re now gearing up to reactivate one of our projects. We’re excited to share more details in the upcoming months.
What tips would you provide to other family offices interested in moving into the travel space?
Our journey as a couple transitioning into the travel industry was a learning curve, especially as we hadn’t previously worked together. Initially, our focus was entirely on the construction of the vessels and crafting unforgettable experiences. However, as time passed, we learned the importance of effective communication. Balancing work discussions with quality family time became paramount, especially with our daughters now heavily involved in preserving Peruvian heritage through their fashion brand, ESCVDO.
Our advice to family offices venturing into the travel space would be to prioritize open communication. Segregating work from family conversations has been crucial. As grandparents now, we cherish moments with our little ones while still nurturing our passion for global exploration. Finding a balance between work and family time is essential. We love both family travels and romantic getaways, relishing experiences like The Brando for a serene retreat and immersing ourselves in the African landscape, Relais & Châteaux-style.
Here are 2024’s luxury travel trends
By ALYSSA SHELASKY
For upscale travelers, standards are higher than ever. After all, if you’re spending the money, it’s hard to argue that you don’t deserve the most bragworthy meals, the dreamiest spas and saunas, and the world’s top laundry ninjas. What’s new on the horizon? Here are a few luxury travel trends that our favorite experts are predicting in 2024.
Exclusive food experiences
“One of the biggest luxury travel trends we’re seeing at Brush Creek Ranch is the demand for unique culinary experiences,” said Mike Williams, executive vice president and COO of the ultradesirable ranch in Wyoming. “Guests love that our cuisine is freshly sourced from the ranch for every meal and that they get to personally ‘live it,’ including learning about sustainable hydroponic gardening and plucking fresh fruits and vegetables from the greenhouse, or meeting our own herd of goats before participating in hands-on cheese making.” Williams said demand has been so high that they’ve created a series of Epicurean Retreats so that guests can dive into a specific interest — including bread making, chocolate making, farmstead creamery, and wagyu and whiskey.
Other-level ski trips
"In a world where extraordinary experiences eclipse mere possessions, the zenith of luxury is a hyperluxury ski experience,” said Robert Siegel, CEO of Bomber Ski, the brand most linked to luxury and whose mantra is “Aim beyond.” With their new subscription program, “Bomber offers unforgettable ski moments that money cannot buy, with access to the inaccessible” at the world's finest resorts, including the Four Seasons Resort in Vail, Hotel Jerome in Aspen and Montage in Big Sky. Bomber even has a demo program at their Fifth Avenue Showroom in Manhattan.
Attention to upscale amenities
“High-end ‘amenities’ are no longer an amenity; they're a requirement,” said Mark Bau, a co-founder of AMPM, a luxury travel concierge group.
Think Diptyque soaps and Parachute robes.
Andrew Wilder, senior director of performance marketing at Leesa Sleep said upscale travel clients are increasingly savvy, even when it comes to mattress selection at hotels. Travelers often pull down the sheets and look at the mattress brand before even unpacking — they will ask questions like: “Is the mattress fiberglass-free? Does the mattress have zoned support to help with back pain?” To illustrate this point, Wilder notes that the worldwide mattress market was valued at $49 billion in 2021 and is expected to reach $78 billion by 2030.
Wellness, wellness, wellness
Ashley Kohler, director of wellness for Destination Kohler Hospitality & Real Estate, said that not just good, but life-altering, wellness programs have become essential. “Think hot and cold therapy … the prevalence of advanced shower and sauna systems. Also, IV therapies. It all needs to be available.”
In the past year, The Well New York has also seen a rise in demand for IV therapy — particularly for fatigue busters, sleep and mental clarity support — to help with physical and mental exhaustion. Many are adding glutathione, taurine and glycine to the “Myers Cocktail” or the base for all IVs — which include magnesium, calcium, vitamin C, and B vitamins for the ultimate recovery.
No one knows more about this than Alex Glasscock, co-founder and CEO of The Ranch Malibu and The Ranch Hudson Valley, slated to open this spring. One trend Glasscock has added at his new Hudson Valley property is colon hydrotherapy. “It offers numerous health benefits for those looking to enhance the detoxifying and cleansing elements of our program," he said. "It has also been an incredibly supportive tool for those entering the program with digestive issues, offering immediate relief for a more comfortable stay overall.”
At Hemlock Neversink, the new escape in the Catskills that travel snobs are flocking to, goat yoga and goat hikes are a major attraction. “You can't help but let it all go and be with the goats," said Katie Childs, director of wellness and spa at Hemlock's parent company, Foster Supply Hospitality. "It's like an instant palate cleanse for the brain. There's an act of caring for another creature … happiness from connection and that connection that you form with an animal.”
LOOSE CHANGE
Rockefeller Global Family Office expands in Southeast: The wealth management giant recently announced that it was adding Charlotte, North Carolina-based Variant Path Group to its team.
Vanguard Charitable saw spike in giving last year: Donors granted more than $2.6 billion to more than 56,000 nonprofits, a nearly 40% increase from 2022.
Women-led VC firm, launched as a family office, closes first fund: Lebanon-based Globivest was launched by entrepreneur Jasmine Busson as the venture arm of her family office before transitioning it into a venture capital fund.
Help us with a story: We are working on a story about how women are leading the charge with philanthropy and impact investing. If you have any comments on the topic, reach out to [email protected].