Big-city hoteliers will be happier sooner than their small-time counterparts. It looks like demand for rooms in smaller cities is going to take longer to come back, with rate increases unlikely, it seems until next summer. The New York market has already shown a solid recovery, thanks to the corporate cards that keep road warriors away from home. For the little guys, though, the future isn’t as bright … at least, it won’t be until almost a year from now.
According to a study by Smith Travel Research, here are five interesting (and important) facts about the U.S. hotel market:
1. Flat occupancy: Small-town and highway hotels stayed basically flat for the first half of 2010, at 49 percent. Meanwhile, metro markets – like New York, Chicago and Washington, DC – pushed from 61 percent for the first half of 2009 to 65 percent for the same period in 2010. Read the rest of this entry »
Three hotels have succumbed to weakness in the Atlanta market. Among the recent casualties is the 502-room Marriott Renaissance. Rates have been pushed lower by an abundance of capacity that has caused even top brands to get stuck charging less than $100 a night. When there’s far more supply than demand, of course, this is what happens.
Joining the Renaissance in the graveyard will be the city’s Wyndam Garden Hotel and Baymont Inn & Suites. Georgia State University will be buying both and converting them to dorms. The future of the Renaissance remains uncertain, though 75 percent of its laid-off staff will be moving to other Marriott properties.
Given the state of the Atlanta hotel market, there’s the risk that more hotels could follow: Read the rest of this entry »
The hotel has only been open a few months, but developers of the upscale W Boston Hotel and Residences are already facing financial problems. The owners filed for bankruptcy this week – a severe blow to the recently revitalized theater district area where the 28-story W Boston stood ground.
The W Boston was a welcome addition to Boston’s downtown theater district, which had been under construction for years working on the restructuring of worn facades and dilapidated buildings. The sheer glass exterior of the W Boston added a light to the darkening theater district streets giving Bostonians a reason to venture back to their old stomping grounds, which once hosted some of the best night life events and late-night clubs in the city. While the lights still shine bright on the theater marquees, there’s a dim shadow cast on the future of the W Boston.
According to documents filed in US Bankruptcy Court in Boston by SW Boston Hotel Venture LLC, a subsidiary of Sawyer Enterprises, the owners list liabilities of $100 million to $500 million. Read the rest of this entry »
The struggling economy in Las Vegas sent tourism officials into overdrive in 2009. The results: More hotels, more casinos and more entertainment options. The opening of Las Vegas CityCenter marked the first step in the city’s attempt to drive tourism dollars — a mini-city smack in the middle of the busiest street in the desert was sure to drive a new type of Sin City crowd. As CityCenter continues to roll the dice on the opening of new restaurants, hotels and residences, other hotel companies are placing their bets that a ‘newer’ Las Vegas will boost the ailing economy.
The newest headline on the marquee: the $3.9 billion Cosmopolitan of Las Vegas, which is scheduled to open mid-December.
The new casino-resort hopes to attract more visitors to Vegas with its 13 restaurants, a spa, nightclub and 150,000 square feet of meeting space. It will feature a rooftop pool deck overlooking the Strip and a 3,800-space underground parking garage. The hotel will have a total 2,995 rooms (only partially open by December) and the decor is said to be elegant and, well, cosmopolitan. Each room at the Cosmopolitan has its own terrace and, for the thrill-seeker, a 40th-floor open-air balcony overlooking the Strip. While the scene is likely breathtaking, it’s not for the faint of heart. (A steel-enforced railing bar keeps you about two feet from the terraces’ edge.) Read the rest of this entry »
New York revealed its newest fashion accessory today: Wyndham Fashion 26 hotel, a luxury hotel in New York’s Chelsea neighborhood. Following a few months of delays in opening the trendy hotel, Fashion 26 finally greeted guests into the new art-and-style space.
The hotel is located across the street from the famous Fashion Institute of Technology, and set in one of New York’s trendiest districts. The hotel’s own accessories are created from fashion favorites including cutting room tables and camera lights, and the hallways will host a rotating art program, including some pieces from local New Yorkers and students at FIT. According to a press release from Wyndham, the hotel will feature luxury amenities including Frette linens, free wireless Internet and Gilchrist & Soames toiletries. Read the rest of this entry »
It’s time again for the International Hotel Investment Forum. Just one year ago, the headlines from this conference were: “’Confidently gloomy’ at IHIF” and “Despite downturn, companies eye global reach.”
And it seems as though similar sentiment will reign again. There is uplifting talk of development leading into IHIF, but financing, performance and euro zone woes linger.
Deloitte reports today that based on data from STR Global, European hotel demand has experienced an upturn since October 2009, before pushing into positive territory in December 2009—up 4.2 percent. Results for January 2010 also show a 3.3-percent increase in the region against January 2009. Deloitte cautioned against a robust rebound, however. Read the rest of this entry »