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THE OFFI CI AL MAGAZI NE OF THE AMERI CAN HOTEL + LODGI NG ASSOCI ATI ON FEBRUARY 2014

DAVID CHASE
GENERAL MANAGER,
THE NEW YORK
PALACE HOTEL

LODGI NG MAGAZI NE

@LODGI NGMAGAZI NE
SPAS PROFIT
FROM THE
WELLNESS
TREND
CHOOSE
THE RIGHT
PARTNER
TO GET DEALS
DONE
SMALL
SPACES
BIG
RETURNS
GETTING THE MOST
OUT OF URBAN LOCALES
CHANGE
FOR
GOOD
HOW 3 HOTELS
STRATEGICALLY
REINVENTED
THEIR PROPERTIES
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CONTENTS FEBRUARY 2014 | VOLUME 39 | ISSUE NO. 6

2 LODGI NGMAGAZI NE. COM FEBRUARY 201 4


FEATURES
32
Game Change
Despite staggering investments and
time-consuming challenges that are part
and parcel of hotel renovations, some of
the most ambitious makeovers are an-
chored by basic goals: increasing guest
satisfaction, generating some buzz, and
boosting overall revenues. Heres a look
at how three distinct hotels strategically
reinvented their properties.
BY KRISTIN BOYD
40
All Well and Good
No longer a place for mere pampering,
hotel and resort spas continue to ex-
pand their focus on health, tness, and
prevention to woo an emerging segment
of wellness travelers, who spend 130
percent more than the average tourist.
At 41 percent of the market, spa is a
core component of the rapidly growing
wellness tourism sector.
BY MEGAN SULLIVAN
46
Taking the High Road
Family-run Drury Hotels performance
seems like a statistical anomaly, but it
consistently dominates other midscale
brands when it comes to guest satis-
faction. Part of the chains success is
that it doesnt rely so much on statistics
and research, it focuses on hiring the
right team members, providing excellent
training, and listening to guest feedback.
BY MIKE LLEWELLYN
32
ADDISON GEARY
PALACE PRIDE
General Manager David
Chase in the library of the
landmarked Villard Mansion
at The New York Palace
Tui Swiirisr Oiioiruxir\
DoubleTree by Hilton oers the exibility to create properties with unique style
and the global support to help achieve your goals. At over 360 locations around the world,
we oer the same friendly, thoughtful service that all starts with
our warm chocolate chip cookie. Come join us.
For development opportunities, visit hiltonworldwide.com/development or call (800) 286 0645
Where the little things mean everything.
TM
A M E R I C A S E U R O P E M I D D L E E A S T A F R I C A A S I A A U S T R A L I A


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4 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
CONTENTS

OWNER S MANUAL SUPPLY LINE FRONT DESK


WEB EXCLUSIVE
13 Success Stories
Top Chef alum Brian
Malarkey goes into
uncharted territory with
his rst hotel restaurant,
Herringbone at the
Mondrian Los Angeles.
16 Quick Take
Recent ndings show that
hotels in rail cities have
higher room rates, RevPAR,
and occupancy.
16 Good Housekeeping
Prolong the use life of
guestrooms through deep
cleaning.
18 Checking In
New York City hotelier
and restaurateur Sean
MacPherson strives to
create a subtle and
personal design narrative
in all of his properties.
20 Washington
Dispatch
Workforce issues,
technology and taxes,
and travel promotion and
tourism are key areas of
focus for the industrys
advocacy efforts in 2014.
Tech-Friendly Epiphany Hotel Gears Up for Opening
In Palo Alto, Calif., a hotbed for venture capitalists, cutting-edge startups, and innovative
Stanford University students, Joie de Vivre is getting ready to reveal its newest hospitality
concept. The Epiphany Hotel, located just blocks from the university, will be an eight-story
luxury boutique hotel that caters to the regions tech-savvy travelers. The property, which is
set to open in late February or early March, took over Casa Olga, a former senior care facility.
23 Smart Strategy
Why choosing the right
business partner involves
more than simply nd-
ing someone with deep
pockets.
26 Market Report
A shift in hotel retail impacts
revenues and prots.
28 Startup
Designing hotels for tight
spaces pays off big in urban
markets.
30 Backstory
The Silverado Resort lures
tourists with ne food and
wines during a traditionally
slow month.
53 Hotel Lighting
Ambient and accent
lighting design.
56 Look to the
Bright Side
Eight trends driving hotel
lighting in 2014.
LODGING (ISSN 0360-9235) IS PUBLISHED MONTHLY BY MCNEILL GROUP, INC., 385 OXFORD VALLEY ROAD, SUITE 420, YARDLEY, PA 19067. TELEPHONE 215-321-9662.
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64 Hotel Victor South
Beach Bathrooms
Design rm Yabu
Pushelberg brings
modern-day standards
to the Art Deco property.
23
53
13
64
OUR FRANCHI SEES ARE TREATED EXTREMELY WELL.
SO ARE THEI R BOTTOM LI NES.
Meet Charlie Bosselman. He has quite the portfolio. He owns everything from restaurants and convenience
stores to an indoor professional football team and six Motel 6 properties. Charlie believes in sound,
successful investments that turn a profit year after year. Which is why hes a big fan of Motel 6, where
franchisee success is our top priority.
2013 All rights reserved. G6 Hospitality Franchising LLC. 4001 International Parkway, Carrollton, Texas 75007. This advertisement is not an offering. An offering
can only be made by a prospectus filed first with the Department of Law of the State of New York. Such filing does not constitute approval by the Department of Law.
888- 842-2942 I f ranchi sesales@g6hospi tal i ty.com I g6hospi tal i ty.com
MORE
THAN 30 MILLION GUESTS
BEST
OPERATING MARGINS
HIGHEST
SEGMENT OCCUPANCY
6 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
PUBLISHER
William E. Corsini
ASSOCIATE PUBLISHER
Jeffrey Cohen
EDITOR
Sean Downey
CREATIVE DIRECTOR
Shane Hickey
MANAGING EDITOR
Megan Sullivan
ONLINE EDITOR
Deidre Wengen
PRODUCTION MANAGER
John Mass
CIRCULATION MANAGER
Jessica Noll
SENIOR GRAPHIC DESIGNERS
Bill Hamilton, Brian Needles, Dave Tomko
CONTRIBUTORS
Kristin Boyd, William D. Frye, Jay Jones, Mike Llewellyn,
Robert Mandelbaum, Gary McDade, Vanessa Sinders
SALES
SOUTHEAST/MIDWEST: Jeffrey Cohen
678-587-5000, fax 215-321-9636
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Director of Business Development
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MCNEILL MEDIA GROUP INC.
PRESIDENT: Edward J. McNeill Jr.
CHIEF OPERATING OFFICER: Donald Foy
CONTROLLER: Lou Taicher
EDITORIAL DIRECTOR: Jessica Downey
AMERICAN HOTEL &
LODGING ASSOCIATION
CHAIR: John Fitzpatrick
VICE CHAIR: Jim Abrahamson
TREASURER/SECRETARY: Mark Carrier
IMMEDIATE PAST CHAIR: Ronald L. Vlasic
PRESIDENT/CEO: Katherine Lugar
EXECUTIVE VICE PRESIDENT/COO: Pam Inman
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FOUNDING EDITORS: James A. Pearson, and
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Published by McNeill Group, Inc., Yardley, PA. Nothing
contained in this publication shall constitute an
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with respect to the use or reliance on any such infor-
mation. The information contained in this publication
is in no way to be construed as a recommendation by
AH&LA of any industry standard, or as a recommen-
dation of any kind to be adopted or binding upon any
member of the hospitality industry.
FROM THE EDITOR

Fault Lines
I LOVE HEARING FROM OUR READERS, even when they take issue with stories that have
appeared in our pages. Our prole of TripAdvisor (Power Trip, January 2014) touched a nerve
with many of you, but none more so than Peter Florczak, general manager of the Bufalo Niagara
Marriott. He took exception to our coverage of the company because he sees the entire Trip-
Advisor system as awed in that reviews dont always come from people whove stayed at the
property. Also, I have never seen the number of reviews actually reset from year to year, he
says. Things like management changes and renovations will all impact the reviews and rankings,
but a brand new property with only 10 surveys should be handled diferently than one with 100.
While TripAdvisor has a process in place to screen reviews and tally rankings, the company
falls well short of verifying the authenticity of each review posted to the site. Instead, it tasks hotel
owners and operators with policing the reviews of their own properties. If our readers have any-
thing to say about it, TripAdvisor will need to take on more of the fact checking burden before the
company will ever be whole heartedly embraced by the industry. Lets face it, a bad review can be
seen by millions, Florczak says. Guests know this and unfortunately use it to their advantage.
Ive had some even threaten me to provide what they want, or feel their wrath on social media.
This sentiment is echoed at the brand level as well. Sure [TripAdvisor] is the biggest site
in the business, but we ought not to let it host the conversation with our customers for us,
says Steve Joyce, CEO of Choice Hotels. We ought to be providing the forum for our cus-
tomers to tell us the good, the bad, and the ugly. This is the thinking that lies behind Choices
new system of veried reviews on its own website. Unless youve stayed at a hotel, youre not
allowed to review or comment on it, so when someone goes to post a review or a comment, the
site checks against the stay database to make sure. For now the pool of reviews on the Choice
site will be a fraction of those posted to TripAdvisor, but that doesnt make what the company
is doing an exercise in futility.
After all, when it comes down to it, communicating with your customers (and potential
customers) is the key to unlocking guest loyalty in an era of shrinking customer retention.
With increasing price transparency and accessible alternatives, creating an ongoing dialogue
between you and your customer base can provide your hotel and your brand with the cover it
needs to weather economic ups and downs. This sort of dialogue is what TripAdvisor has built
its business on. If youre looking to build up your own business, then regularly engaging with
your customers is a great way to do it, especially since it will let them know that TripAdvisor
isnt the only game in town.
866-832-6574
|
Franchise@LaQuinta.com
|
LaQuintaFranchise.com
This is not an offering. Federal laws and regulations and the laws and regulations of some states and provinces regulate the offer and sale of franchises. An offering will only be made in compliance with those laws and regulations, which may require that
we provide you with a disclosure document. (MNREG#4544). La Quinta Franchising, LLC. 909 Hidden Ridge, Suite 600, Irving, TX 75038. 2014 La Quinta Worldwide, LLC. All rights reserved.
Your Opportunity Is Waiting
Success Is Beautiful
8 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
CONTRIBUTORS CORRECTIONS

Addison Geary
Addison Geary is a Philadelphia-based commercial pho-
tographer. When he is not making photographs, he tends
to the family chickens and beehives. He is an avid cyclist,
likes to canoe and kayak, and occasionally competes in
vintage motorcycle trials. For this issue, Geary photo-
graphed The New York Palace General Manager David
Chase. The motto of the mansions original owner, Henry
Villard, was joy, hospitality, and moderation, to which
Geary replied, two out of threes not bad.
Mike Llewellyn
When hes not covering business and culture as a free-
lance writer, Mike Llewellyn helps tech and media com-
panies build their brand stories. Thats why it was so
fascinating to work on a piece about Drury (see Taking
the High Road). Behind the chains blockbuster success is
one pretty humble and quiet family. Everything about their
hotelsconstruction, management, marketingthey do
themselves. Llewellyns work has appeared in Philadelphia
Magazine and The New York Times and on TED.com.
IN THE GUIDE TO
MANAGEMENT
COMPANIES that
ran in our Decem-
ber 2013 issue, we
mistakenly listed
2012 gross annual
revenue for some
of the companies
featured when we intended for all of the
numbers to reect a six-month disclo-
sure, Jan. 1June 30, 2013. The correct
gross revenue numbers for the specied
time period are as follows:
Benchmark Hospitality, $262,846,435
Crescent Hotels and Resorts, $310 million
First Hospitality Group, $125,500,000
GF Management, $260 million
Hostmark Hospitality Group, $189 million
InterMountain Management, $103,930,619
Interstate Hotels and Resorts, $1.3 billion
Pyramid Hotel Group, $413,620,000
Rim Hospitality, $185 million
TPG Hospitality, $370 million
WHAT YOU NEED TO KNOW
BEFORE PUTTING YOUR
PROPERTY IN THE HANDS
OF A PROFESSIONAL MANAGER
BY BRUCE SERLEN AND THE LODGI NG STAFF
GUIDE TO
MANAGEMENT
COMPANIES
Mngmt-Reprint_LM1213.indd 1 12/20/13 1:29 PM
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AT
FIRST
GLANCE
OPENED
DECEMBER
2013
ROOMS
69
OWNERS
LARRY LEVY
AND BOB
HEYAT
10 LODGI NGMAG A Z I NE . COM FEBRUARY 201 4
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 11
LIFESTYLE HOSPITALITY COMPANY SBES RECENT
GROWTH in the Miami region continues with the opening of The Red-
bury South Beach on Collins Avenue. Once again, SBE enlisted lm-
maker and photographer Matthew Rolston, the originating brand director of The
Redbury, to conceptualize the overall design. Echoing the spirit of the 1950s,
the 69-room boutique hotel emulates mid-century Art Deco glitz while mixing in
signature brand accents from The Redburys roots in Hollywood. Guestrooms
feature customized furniture, an art collection highlighted by historic Fillmore
Theater posters and archival images of Miami Beach, and vintage-style record
players, complete with a collection of vinyl selected by Capitol Records and
Universal Music Enterprises. Additional design elements include the brands
signature red velvet opera curtain in the lobby, custom millwork, paisley wall
coverings, and vintage and eclectic art pieces. Authentic Italian restaurant
Lorenzo, helmed by cookbook author and James Beard Award-winning chef
Tony Mantuano of Chicagos four-star Spiaggia, elevates the overall experience.
A 12,000-square-foot rooftop pool and event facility crowns the property.
Guests will also have exclusive access to amenities at SBEs nearby properties,
SLS Hotel South Beach and The Raleigh.
ART DECO GLI TZ
Make An Entrance. Its Time We Met.
bestwesterndevelopers.com | 800.847.2429
*Numbers are approximate and may uctuate. Each Best Western

branded hotel is independently owned and operated.


Best Western and Best Western marks are service marks or registered service marks of Best Western International, Inc. 2014 Best Western International, Inc. All rights reserved.
Dont settle for investment potential. Go for proven performance. Invest in a BEST WESTERN PLUS


hotel and put the power of the worlds most recognized hospitality brand to work for you capturing
mid-market business and leisure travelers with more money to spend. Youll earn a higher ROI
and keep more of it with the most competitive fee structure of all the major hoteliers. Ready to talk
numbers? Call ours today. Best Western is The Worlds Largest Hotel Chain

with 4,000 hotels in more


than 100 countries worldwide.*
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 13
NEWS, IDEAS, AND INSIGHTS
FRONT
DESK
AT 8 A.M. ON A MONDAY in January, executive chef
Brian Malarkey is rushing to catch a ight to Park
City, Utah, where he will prepare a four-course meal
at ChefDance, a private dining event held in conjunc-
tion with the Sundance Film Festival. The Top Chef
3 Miami alum is coming of the high of a successful
grand opening weekend for Herringbone restaurant
at the Mondrian Los Angeles. More than 900 guests
showed up on Jan. 16 to sample the ocean-to-table
cuisine, socialize over cocktails, and explore the
7,500-square-foot indoor-outdoor space designed by
Thomas Schoos.
Then we cleaned up the restaurant, put it all back to-
gether, and opened up to 200 reservations Friday night,
says Malarkey, co-founder of the San
Diego-based restaurant and nightlife de-
velopment company Enlightened Hospi-
tality Group. We wound up doing about
250 each, Friday and Saturday night. That
was a really exciting start for us.
Herringbone L.A. is Malarkeys sev-
enth restaurant to open since 2010, but
its his rst in a hotel. Breakfast, room
service, and banquets are all new to the
Oregon native. I knew it was going to
be a lot of hard work when we rst went
into it, Malarkey admits. Fortunately,
he can rely on the guidance of chef de cuisine Anthony
Sinsay, whose hotel F&B experience includes SLS Ho-
tel Beverly Hills, Viceroy Hotel in Santa Monica, and
Platinum Hotel and Spa in Las Vegas.
When Malarkey got amped up about putting fried
chicken and waf es on the room service menu, Sinsay
broke the news that the dish wouldnt travel well.
Malarkey hadnt even considered that possibility. So
he made me fried chicken and waf es,
put it underneath the dome, and opened
it up 15 minutes later. It was kinda gross,
sorry, Malarkey says. Good in theory,
bad in execution.
Herringbone, which replaced the
longtime Asia de Cuba restaurant, took
over the kitchen at the Mondrian in
September. Malarkey retained many of the Asia de
Cuba cooks and service staf. For three months, the
team cooked out of a temporary kitchen in the base-
ment until renovations were complete. The upgrad-
ed kitchen now features a wood-burning oven that
churns out atbreads with toppings like bone marrow
and clam, prosciutto and burrata, or roasted beet and
bergamot orange.
New Material
TOP CHEF ALUM BRIAN MALARKEY
GOES INTO UNCHARTED TERRITORY
WITH HIS FIRST HOTEL RESTAURANT
BY MEGAN SULLIVAN

[Top Chef] gave


me humility and
a lot of confi-
dence. It really
let me step my
game up from
that cowboy kid
from small-town
Oregon.
BUILDING
AN EMPIRE
Executive Chef
Brian Malarkey has
been going nonstop
since opening his
rst restaurant in
2010. Herringbone
L.A. is his latest
endeavor.
SUCCESS STORY
14 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
FRONT DESK
POSH DINNER PARTY
Designer Thomas Schoos con-
ceptualized Herringbone L.A. as
a sensual, breezy, contemporary
California destination.
Once dinner is completely dialed in,
the culinary team will ne-tune room
service, then lunch, and then breakfast.
It will take a few months to really touch
every single aspect of service we want,
Malarkey says. Were still working on
banquets and catering menus. Now we
have a nice kitchen where we can really
push stuf out.
Malarkey is excited to serve riskier
menu items, such as chicken liver mousse
with caviar and lamb or smoked salmon
tartare, that are too aggressive for Her-
ringbones original location in La Jolla,
Calif., which opened in 2012. Were
going to be bigger and broader in the L.A.
location, Marlarkey says. The kitchen is
bigger and the clientele is more diverse.
There are a lot of diferent European
markets coming together at the Mondri-
an, a really fun and classy crowd.
Designer Schoos also added a jeweled
sheen to the rustic atmosphere of the
original Herringbone to give the L.A. lo-
cation a more elegant, Hollywood look.
Were in the Mondrian, you cant be
putting a barn into a castle, Malarkey
says. The breezy, fresh California vibe is
augmented with striking art pieces such
as an acacia root table dipped in gold,
two gold-leafed skeletons of fantasy
creatures, lobster traps lled with pufer
sh, and original paintings turned into
dining tables.
Malarkeys culinary career has been
in full gear since competing on Bravos
Top Chef in 2007. It gave me humility
and a lot of condence, Malarkey says. It really let me
step my game up from that cowboy kid from small-
town Oregon. He had the chance to meet and get to
know major players in the restaurant industry, includ-
ing renowned French chef and restaurateur Daniel
Boulud, French chef Eric Ripert of Le Bernardin fame,
and outspoken American chef Anthony Bourdain, former host of
Travel Channels No Reservations.
After guest judge Ripert kicked Malarkey of in part one of the season
nale, he returned to his post as executive chef and operating partner
of San Diegos Oceanaire restaurant. About two years later, he began to
build his food empire. Malarkey partnered up with hos-
pitality innovator James Brennan and the duo launched
Enlightened Hospitality Group in 2010. That July,
Malarkey opened his rst restaurant, Searsucker, in
the heart of the Gaslamp District. We got this amazing
location and success was right out of the gate, he says.
In addition to Herringbone, Enlightened Hos-
pitalitys restaurant portfolio has grown to include
Gabardine, a seafood bar in San Diegos seaside
community of Point Loma; and three more Searsuck-
ers, in Scottsdale, Ariz., Austin, Texas, and Del Mar,
Calif. The company plans to add more Searsucker and
Herringbone locations in the next few years. But for
now, Malarkey is focused on learning the ins and outs
of running a hotel restaurant. We get smart fast. Im
not going to allow myself that long of a learning curve,
Malarkey says. I think once I gure it out, it will all
become much easier. Ill have a huge package of how to
implement it next time.
GOOD ADVICE
BRIAN MALARKEY DISHES OUT ADVICE ON OPENING A
SUCCESSFUL RESTAURANT.
Dont rush into it. Youve got to run somebody elses restau-
rant before you jump in. Prove that you can make protability,
make happy guests, and you can increase sales before you get
this big ego that youre going to do your own.
Its not only about the food. I think its a combination of
all the senses that brings people together and memories are
created over a great meal.
Understand the commitment. So many people want a
restaurant, but once you get a restaurant, you realize you
have to babysit that restaurant every single day for the rest
of its life.
1
2
3

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A
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H
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W

H
U
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C
H
I
S
O
N
Restrictions apply. Not available in all areas.
Call for details. Comcast 2014. All rights reserved.
HOW GOOD
IS YOURS?
BANDWIDTH
TRUMPS THREAD
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Todays travelers demand much more
from their in-room entertainment.
24/7 connectivity is the number one
expectation among hotel guests and
its a key driver of guest satisfaction.
Comcast Data Solutions, with speeds
that scale up to 10Gbps, help ensure
your guests get to, get on, and get as
much use out of the Internet as they
expect. Dont wait. Upgrade today.
BUSINESS.COMCAST.COM/HOSPITALITY
877-967-4999
16 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
BUSINESS TRAVELERS AND MEETING
PLANNERS may be attracted to hotels
with free WiFi, exible meeting space, and
complimentary breakfast, but properties
that provide direct rail-to-airport access may
have a leg up on the competition, according
to recent ndings by the American Public
Transportation Association (APTA) and the
U.S. Travel Association.
The study compared hotels in cities with
robust rail systems to locations where infra-
structure did not support rail service from
airports to the downtown corridor. Over a
seven-year period from 2006 to 2013, hotels
located within a quarter-mile of a rail station averaged nearly 50 percent
higher daily room rates compared to hotels without rail-to-airport access.
In good times and bad, cities with more transportation options showed
stronger hotel performance across key indicators, particularly in attracting
business travelers through conventions and meetings, says Darnell Grisby,
APTA director of policy development and research.
Rail cities include Atlanta, Chicago, Washington, D.C., Minneapolis, Port-
land, and San Franciscoall of which have major multimodal transportation
infrastructure options. These six cities were compared to hotel performance
in popular convention cities that lacked direct rail connections to airport
terminals, such as Las Vegas, New Orleans, Orlando, Sacramento, and Tampa.
Not only did hotels in rail cities demand higher room rates, but they also
brought in a 16 percent higher RevPARwhich translates to a potential $313
million in city revenue per yearand a 12.5 percent higher occupancy rate
than hotels in non-rail cities. Upper upscale and luxury properties beneted
the most from rail-to-airport access, since those properties usually attract
more business travelers and meetings than economy or midscale tiers.
The study demonstrates that hotels and cities can see big nancial
benets from investing in transportation, and Grisby says federal,
state, and local policymakers should weigh those benets when
mulling over infrastructure decisions. In order for our nations
great convention cities to be more competitive and to command
higher rates for available hotel rooms, transportation investments
should be considered, he says. Smart spending in transportation
infrastructure reaps benets not only for the local city and state
but allows for the entire nation to remain globally competitive.
Fast Track
HOTELS IN RAIL CITIES HAVE HIGHER ROOM RATES,
REVPAR, AND OCCUPANCY BY DEIDRE WENGEN
QUI CK TAKE
Deep Cleaning
Prolonging the use life of guestrooms
BY WILLIAM D. FRYE
For many hotels, the slower winter
months are a perfect time to ramp up
deep-cleaning eforts in guestrooms.
Here are fve important areas to tackle:
High dusting. Use a dust wand with
long handle to reach high areas, including
smoke detectors and sprinklers. Dust light
difusers, air vent grates, and the tops of
hutches, armoires, and door jams.
Window areas. Dry clean fabric
draperies, wipe clean vinyl draperies, and
launder window sheers. Wash the inside
of the windows and clean the frame and
track. Vacuum the PTAC unit grates and
replace the PTAC flter.
Beds. Clean mattress and box spring
platform and rails. Vacuum the carpet
under the bed. Remove the headboard
from the wall and inspect both sides for
contamination. Rotate and replace the box
spring and mattress.
Furniture. Clean all surfaces of
furniture, both inside and out. Inspect
upholstery for stains and rips. Repair or
replace as needed.
Floor tile and grout. Use a nylon bristle
brush and general cleaner to clean tiles.
Rinse with fresh water and dry with clean
rags. Clean around the sink and toilet with
a nylon bristle brush (a little larger than a
toothbrush) and disinfectant. Wipe dry.
n William D. Frye is coauthor of
AH&LEIs textbook Managing House-
keeping Operations. For more tips, read
the full version on lodgingmagazine.com.
GOOD
HOUSEKEEPING
The qMetrix Groups new RoomChecker app for hotel room inspections combines both mobile and
Web-based applications to provide comprehensive data collection and analysis. Hotel managers
and inspectors can inspect rooms without mounds of paperwork. Cleaning and maintenance issues
are recorded immediately and notifcations are automatically sent to the appropriate personnel.
That way, issues can be resolved before they become a guest complaint.
APP
WATCH
18 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
FRONT DESK
AS THE SON OF A NEW ZEALAND SURFING
CHAMPION, New York City hotelier and restaurateur
Sean MacPherson normally spends a fair amount
of time catching summer waves in Montauk, where
he owns the recently expanded Crows Nest Inn and
Restaurant, or traveling to his surf homes in Costa Rica
and Mexico. But lately hes been immersed in nishing
two big hotel projectsthe Parisian-inuenced Marlton
Hotel on West 8th Street, which opened in September
and debuted its restaurant, Margaux, in early January,
and The Ludlow, a 187-room property slated to open
this summer on the Lower East Side. And after having
a second child in December, MacPherson is eager to
spend more time with his family.
Whats your overall approach to hotel design?
I like places that feel personal. I like that feeling where
if you go to someones home, even if you dont neces-
sarily like the design, you have a sense of who they are.
It can be potent when someone really cares about what
it is theyre doing as opposed to being a hired hand. I
try to infuse that kind of humanity into my places, as
opposed to making them design showpieces. Ideally,
people feel that personal aspect, but they dont see it.
So you dont want the narrative to be obvious.
When things register with you, the subtext tends to be
more powerful and memorable rather than just reading
whats on the surface. Its great if theres a bit more to
the story.
What do you like most about hotels?
Theres some sort of contradictory relative feeling of
safety within a hotel and an implied potential naugh-
tiness. People are traveling from another place, so
theres an excitement and an ever so slightly alternate
universe. Successful restaurants or bars transport their
guests to some slightly diferent universe for a short
period of time, and I think the hotel just feeds that
narrative, because people are on a diferent time with
diferent priorities than they would have in their regu-
lar, everyday life. Its a subtle thing, but its something
that we feel.
How do you leverage your experiences
as a restaurateur in your hotel projects?
Its all part of the same kind of theater and narrative
and putting on a show. I design and build my own
hotels whereas most of my colleagues hire designers to
do it. I just really enjoy the process of making my own
place and telling a story. I denitely draw upon my past
experiences, and I like having it all tie together, going
back to the early days of doing restaurants when I was
25 years old. Its all been part of a learning process.
What inspired you to go solo with The Marlton?
Its a little and sort of contained project that spoke to
me, so it seemed appropriate to do it on my own. The
way I personally like to work is to design, build, and
operate, so its quite immersive, but its a labor of love.
It took everything I had, but in a good way, by choice.
And what can you tell us about The Ludlow?
The Ludlow is in quite a diferent neighborhood than
The Marlton. Its on the Lower East Side, so its a
younger, grittier project. Its sort of based on an 80s loft
on the Lower East Side when people could rent these
spaces very reasonably and have some real elbow room.
Im doing it with [developers] Richard Born and Ira
Drucker, the same people I did The Marlton with. But
Im the lead person with the design and all that stuf.
Are you concerned about all the development
in New York City?
I am mindful of it, but I think like everything in life,
hopefully the strongest best products stand out.
Checking in
Sean MacPherson
The total number of hotels, restaurants, and bars Sean MacPherson has opened.
He has seven properties in New York, including the Bowery, Maritime, and Jane
hotels, and eight in Los Angeles, such as Jones, Swingers, and Good Luck Bar.
15
BOTTOM LINE
Title: Hotelier and
restaurateur
Years in hospitality
industry: 25
First hotel job:
Co-owner and
operator, The
Maritime Hotel
Hometown:
Malibu, Calif.
Hotel must-haves:
Free, fast wireless
Internet
Best advice he
ever got: You dont
need to state whats
implied.
FAST
FACTS
JOEL KIMMEL
FRONT DESK FRONT DESK
Stepping Up
to the Plate
THE INDUSTRY HAS A VALUABLE OPPORTUNITY
TO TACKLE KEY ISSUES IN 2014 BY VANESSA SINDERS
HISTORICALLY, ELECTION YEARS ARE MARKED by
limited action in the House and Senate, as members
shift their attention to activities in their home districts
and states. This year has a chance to be diferent. The
U.S. budget deal brokered in December by Rep. Paul
Ryan (R-Wis.) and Sen. Patty Murray (D-Wash.) brings
new hope that Congress will collaborate again to achieve
some meaningful accomplishments. This positive devel-
opment gives us a valuable opportunity to further action
on critical issues for the lodging industry. Over the next
several months, AH&LA will focus its advocacy eforts
in three major areas: workforce issues, technology and
taxes, and travel promotion and tourism.
WORKFORCE
Over the course of this year, we will
concentrate our workforce eforts on
health care, labor, and immigration.
The lodging industry didnt ask for the
Afordable Care Act (ACA), nor did we
think it was the best solution to address-
ing the health care needs of millions of
Americans. However, it is the law of the
land, and our challenge is to ensure key
areas are adjusted through the legis-
20 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
lative and regulatory process in order to
reduce the cost and burdens on employers.
Our objectives are to push for a change to
the ACAs denition of a full-time employ-
ee; to develop and institute a workable
denition of a seasonal employee; and to
seek a repeal of the auto-enroll mandate.
Its also imperative that we make head-
way with cost containment measures and
educate Congress on the dramatic impacts
our industry will continue to face if these
important changes are not made.
Although card check legislation was
blocked in 2007, organized labor is still
attempting to institute the provisions of that
bill through rulings and regulations at the
U.S. Department of Labor and the National
Labor Relations Board. AH&LA is busy
tracking living wage proposals being pushed
forward across the country. And Senate Majority Leader
Harry Reid (D-Nev.) is widely expected to attempt to pass
legislation that calls for incremental growth in the federal
minimum wage over the next several years. We will contin-
ue to educate members of Congress on the consequences of
wage increases, while also providing our members with the
necessary tools to ght back on these issues.
While we successfully worked with the Senate to pass
its U.S. immigration reform bill last year, we are still wait-
ing on action in the House. It is of paramount importance
that hoteliers have ongoing access to a strong workforce to
ll positions for which no domestic workers are available.
This includes the creation of a new lesser-skilled visa cate-
gory and retention of the H-2B seasonal worker program.
We also continue to push for an efcient and accurate
worker verication system.

TECHNOLOGY AND TAXES
AH&LA strives to better position our industry in the
online environment so hoteliers are able to operate on a
level playing eld with their out-of-state competitors. To
The amount travel exports rose to in November 2013, in-
creasing for the eighth time in the past 11 months. The
travel industry generated 24 percent of the overall increase
in U. S. exports through November compared to the same
timeframe the prior year. ACCORDING TO THE U.S. TRAVEL ASSOCIATION
$15.3 billion
IN AGREEMENT
Rep. Paul Ryan and Sen. Patty Murray
brokered the U.S. budget deal in December.
WASHI NGTON DI SPATCH
AP PHOTO / J. SCOTT APPLEWHITE
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 21
FRONT DESK FRONT DESK
One of the key catchwords for
AH&LA in 2014 is engagement.
Whether its meetings with
policymakers, grassroots
action by members across the
country, or participating in the
political process, sustained
engagement by the industry
is crucial to our continued
success and growth. There
are many ways you can
get involved. AH&LAs new
model included the creation of six
new councils, one for each membership category. These provide
members with opportunities to identify emerging trends and to
have a voice in the associations leadership through the election of
representatives to the board of directors.
You can be a leading voice in driving the agenda, sharing lodgings
compelling narrative with key policymakers and ensuring your
needs are refected in the legislation and regulations coming out
of Washington, D.C. The April 12 Legislative Action Summit at
the JW Marriott in Washington is a way of engaging those at the
heart of policy discussions and an event with a proven track record
of success. Your engagement can take the form of hosting your
congressman or senator on a back-of-the-house tour. Consider
submitting a letter to the editor to your local paper to outline the
issues afecting your team and operations. Many members of
Congress start their day by reading the editorial page, so its a visible
and efective way of making sure your voice is heard. Regardless of
how you get involved, AH&LA is here to assist, and we have many
resources available on our website (ahla.com). We know you have a
business to run, so let us do the legwork to make your engagement
as easy as possible.
No matter how you get involved in the activities of this association,
there will always be a level of accountability. Members of Congress
are accountable to us for their actions, as is demonstrated at polling
places each election cycle. So, too, are each of us accountable for
what we do to guarantee the continued strength of lodging. These
are serious times requiring signifcant action by hoteliers. Taking
advantage of any and every opportunity to engage on issues
impacting our industry gives you and the industry a stronger
voiceand a presence that should be taken seriously.
KATHERINE LUGAR
President and CEO, AH&LA
klugar@ahla.com
INSIDE AH&LA
that end, our goal is to ensure that state and local gov-
ernments can collect the full amount of room taxes from
online travel agencies when travelers book through these
third-party sites. Without this tax parity in place, hotels
are put at a competitive disadvantage and essentially
subject to a higher efective tax rate. Another key area of
interest for AH&LA is the growing number of patent troll
lawsuits led against end users, including hotels, across
the country. And further tax reform proposals are always a
possibility, which means we, along with our members, will
work to ensure any new initiatives on this front by Con-
gress and the administration are pro-business and allow
hoteliers to grow and create more jobs.
TRAVEL PROMOTION AND TOURISM
Domestic and international tourism are vital components
of the U.S. economy and the nancial success of the lodging
industry. As the top U.S. service export in 48 of 50 states,
this sector generates billions of dollars in annual revenue
and supports millions of jobs, so there is much we can do
to support and promote it. Passage of the Jobs Originated
through Launching Travel (JOLT) Act is at the top of our
list of priorities in this area. Were urging members of the
House to vote on the standalone version of this bill, which,
as of this writing, has nearly 120 bipartisan cosponsors.
Were also committed to improving the travel expe-
rience for the tens of millions of international visitors
coming to the United States every year, especially since
each one is responsible for the creation, on average, of one
job in this country. This includes streamlining the arrival
process and expanding the Visa Waiver Program to allow
even more foreign visitors to come to our shoresincreas-
ing revenue and driving more visitors to your front door.
Finally, we want to forge ahead with redening the
government travel debate. Through participation in such
forums as the General Services Administrations Gov-
ernmentwide Travel Advisory Committee, AH&LA and
our members are advocating for policies that encourage
continued government travel and conferences at hotel
properties across the country while ensuring responsible
stewardship of federal funds.
GETTING INVOLVED
Each of you has the opportunity to participate in this
process at the grassroots level and represent the interests of
the entire industry while working to safeguard your bottom
line. You can bring your message directly to Washington
policymakers by attending our annual Legislative Action
Summit in D.C., April 12. LAS is one of the best ways to
engage with members of Congress and the administration,
and your participation is crucial to making sure our indus-
trys collective voice is heard loud and clear. Together, we
can make our 2014 advocacy eforts the most successful yet.
n Vanessa Sinders is SVP and department head of governmental
afairs at AH&LA. To register for LAS, visit ahla.com/LAS.
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$
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ARIA HOTEL, LAS VEGAS
THE FOLLOWING ARE ENCOURAGED TO ATTEND
Owners, investors, nance executives, property management executives, general managers, engineers,
operations management, design consultants, meeting planners, sales & marketing, hotel F&B executives, and academia.
Content will be delivered across 3 tracks: nance/ownership; engineering/operations; and design;
with a common theme of Innovation. Updates on speakers and topics can be seen as they are posted on our website.
I N COOPERATI ON WI TH
Hotel
Supporting Hospitality Sustainability
ECOGREEN
REGI STER AT: LODGI NGEVENTS. COM/GREEN
Limited exhibit space available. Prospective exhibitors please contact Bill Corsini at bcorsini@lodgingmagazine.com
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C O N F E R E N C E
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 23
OWNERS
MANUAL
Character Study
WHY CHOOSING THE RIGHT BUSINESS PARTNER INVOLVES MORE THAN
SIMPLY FINDING SOMEONE WITH DEEP POCKETS BY JAY JONES
GARY LOVEMAN WAS SEETHING. The CEO and
president of Caesars Entertainment Corp. felt burned
following the collapse of a licensing agreement with
New Yorks Gansevoort Hotel Group. Whether he
was playing with re is open to debate. The deal was
supposed to breathe new life into Bills Gamblin Hall,
a dowdy hotel-casino on a prime piece of Las Vegas real
estate, across the Strip from Caesars Palace. The Gan-
sevoort name was intended to provide the remodeled
property with a hip, youthful image.
Loveman pulled the plug last October after gaming
investigators in Massachusettswho were researching
an unrelated Caesars investmentrevealed that a Gan-
THE BUSINESS OF HOSPITALITY

sevoort principal allegedly had a connection, through


a family member, to organized crime. Im deeply dis-
appointed and, frankly, angry about this outcome, said
Loveman during a quarterly earnings call. This individ-
ual has never been charged or convicted of anything.
While the failed Caesars-Gansevoort deal is some-
what unique, given the role gaming regulators played,
it stillhighlights an important issue, that partnership
problems do arise from time to timeand they can
attract unwanted attention. For example, in April
2013, the owners of the Eden Roc Renaissance Hotel
in Miami Beach sued Marriott, claiming that the com-
pany mismanaged the property. The highly publicized
SMART STRATEGY
24 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
OWNERS MANUAL OWNERS MANUAL
dispute made further waves when Eden
Roc attempted a surprise takeover of
the hotel. Despite a long-term hotel
management contract, Marriott was
eventually ousted as operator.
When youre creating a partnership
agreement or a management agreement,
the tendency is to look at the econom-
ic issues that surround it, notes Greg
Hartmann, the executive vice president
at Jones Lang LaSalle who oversees hotel
asset management. He warns, however,
that choosing the right partner involves
more than simply nding someone with
deep pockets, especially in the hotel
industry. Among real estate sectors,
the hotel business is quite diferent in
that it has such a heavy operational
component, Hartmann
observes. Youre involved
with the operation virtu-
ally on a day-by-day basis,
so it is a diferent animal.
Hotel expertise is para-
mount to putting together
a deal thats going to last,
according to Guy Maisnik,
vice chairman of the Glob-
al Hospitality Group at the
Jefer Mangels Butler and
Mitchell law rm. Over the past 25 years,
the company has handled more than $60
billion in hotel transactions. Maisnik
says integrity and compatibility should
also be key components to successful
relationships. Its important because
these partnerships are going to be tested,
he explains. All projects have their ups
and downs. There are always surprises.
There are things that just happen. Its how
parties work together to address issues.
Partners who dont like each other
dont do well. The communication is too
important, Maisnik adds. They have
to agree on things. When they dont get
along well, you read about those battles
in the paper. Hartmann points to a 1994
court case as a well-known example of a
partnership that turned sour. According
to an article in the Los Angeles Times,
the owners of the New York Grand Hyatt
sued Donald Trump for $100 million
because he failed to put up his half of the
$37 million proposed for renovations,
plunging the property into decline.
Oftentimes, its the wrong deal that
becomes the problem more so than any
particular pitfall within the deal and
how its structured, Hartmann says.
You want to consider, Is that particular
partner litigious? Have we seen a lot of
issues with them in the past? There are
individuals in the hotel business whove
had more issues than others.
You have to be willing to do exactly
what you say youre going to do and be
willing to accept the consequences if you
do not, Maisnik points out. He believes
that having an exit strategy in writing
helps keep disputes from snowballing
into public view. Parties should build
into their documents a way to unwind
the relationship so that, if its not work-
ing, one party can continue on and the
other party can leave, he says.
After ending a business partnership
that isnt working, its time to move for-
ward. In Las Vegas, construction is under
way on Caesars new boutique hotel, The
Cromwell, slated to open in late spring.
Roomer, an online marketplace for non-refundable hotel reservations (think StubHub for
hotel rooms), recently expanded beyond its original New York, San Francisco, and Las Vegas
anchor markets. The service now works nationwide, opening up another way for hotels
to keep their inventory occupied and generate additional revenue from these guests that
would have been lost if the room were to remain unused. It eliminates the overhead costs and
chargeback problems for no-show rooms and helps turn canceled customers into the hotels
biggest promoters.
FRESH
INC
Buildable
Envelope
The maximum space on a lot within which
a structure can be built, as permitted
by applicable height and other factors,
is referred to as the buildable envelope.
Its important to know this when youre
working in a market that deals in square
footage of buildable space. The goal is
to ll up as much buildable area as you
can, within the envelope thats prescribed
by zoning, says Robert Uhrin, principal
at design rm Cooper Carry. Designing
hotels isnt like doing an ofce building in
which you can just do a footprint thats the
size and then extract it. You have to carve
out the room sizes you need for the brand
as well as all the other necessities without
leaving any wasted space. Each zoning
district has a oor area ratio (FAR) which,
when multiplied by the area of the zoning
lot, produces the maximum amount of
oor area allowable on that zoning lot. For
example, on a 10,000-square-foot zoning
lot in a district with a maximum FAR of
2.0, the oor area on the zoning lot cannot
exceed 20,000 square feet. Sean Downey
EXPLAI NER
Oftentimes, its the wrong
deal that becomes the problem
more so than any particular
pitfall within the deal and
how its structured.
GREG HARTMANN, EVP, STRATEGIC ADVISORY AND
ASSET MANAGEMENT, JONES LANG LASALLE HOTELS
Visit www.aahoa.com/convention for details
Be Part Of It!
March 19 - 22, 2014 Philadelphia
Pennsylvania Convention Center & Philadelphia Marriott Downtown
2014 AAHOA Annual Convention & Trade Show
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Former White House
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Fred Thompson
Former U.S. Senator
Lively Political Debate
VS.
Secretary of Defense
(2006-2011)
Author, Duty:
Memoirs of a
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KEYNOTE SPEAKER
Robert Gates
Thousands of owners buying millions of dollars in
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Its the ultimate sales call.
Dont miss this once-a-year opportunity!
And much more!
B
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26 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
OWNERS MANUAL
HOTELS PROVIDE RETAIL OPERATIONS primarily for
guest convenience and satisfaction and, in general, are
only a small part of total hotel revenue. For the prop-
erties in PKFs Trends in the Hotel Industry database,
retail sales made up just 0.9 percent of total hotel rev-
enue in 2012. Retail operations vary greatly depending
on the type of hotel. While large full-service, resort,
and convention hotels often have clothing stores, gift
shops, and newsstands, limited-service, select-service,
and extended-stay properties are more likely to oper-
ate a kiosk or mini-mart that sells convenience items
such as snacks, drinks, and microwavable food.
To examine the nancial impact of retail operations
on U.S. hotels, we analyzed the 2012 revenues, expens-
es, and income provided by the 2,037 properties in the
Trends in the Hotel Industry database that reported
retail sales and expenses. We also analyzed the annual
revenues, expenses, and income of 435 properties that
reported retail sales data for each year from 2007 to
2012 to gain an understanding of historical trends. Every
property we included manages its own retail operations
and doesnt lease them out.
Retail revenue for all hotels in the survey sample
averaged $1.80 per occupied room in 2012, which is still
27.4 percent below 2008 levels. This is consistent with
the results we have seen for other non-room related
revenue. As noted in previous PKF studies, while room
Retail Therapy
SHIFT IN HOTEL RETAIL IMPACTS REVENUES AND PROFITS
BY ROBERT MANDELBAUM AND GARY MCDADE
revenues have steadily increased since the depths of the
2008 and 2009 industry recession, revenues from food
and beverage, other operated departments, and rentals
and other income have not grown concurrently. This
is, in part, due to guests and meeting planners need to
control their spending in light of higher room rates.
Resort hotels generated the highest retail revenue
in 2012, measured on both a dollar per occupied room
($7.47) and percentage of total
revenue basis (1.7 percent). Although
retail oferings at convention proper-
ties are similar to resorts, the volume
of sales at convention properties was
much lower on both a dollar per oc-
cupied room ($1.56) and percentage
of total revenue (0.6 percent) basis.
The ratio of retail revenue to total
revenue among the other property
types ranged from 0.4 percent at
limited-service properties (39 cents
per occupied room) to 0.8 percent
for full-service properties ($1.43 per
occupied room).
PROFITS ALMOST BACK
In contrast to the decreasing sales
volumes, retail outlet department
MARKET REPORT
The average retail
revenue per occupied
room in 2012. This is
27.4 percent below
2008 levels.
ACCORDING TO SURVEY SAMPLE, TRENDS
IN THE HOTEL INDUSTRY DATABASE, PKF-HR
$1.80
ATTENTION
GRABBING
The Herb N Kitchen
restaurant and market at
New York Hilton Midtown
has a retail-like experience
with relevant merchandise
in a well-designed display.
OWNERS MANUAL
prots, while still below, are much closer to pre-
recession levels. Prots per available room were
$149.51 in 2012, which is much higher than the 2009
amount of $116.57 but slightly below the $156.96
earned in 2008. On a per occupied room basis, retail
outlet department prots were 59 cents in 2012. This
is still below the 2008 level of 63 cents but improved
over the 2009 value of 51 cents per occupied room.
Prot margins for retail outlets have increased above
the 2007 level of 28.5 percent of department revenue.
In 2012, after deducting direct operating expenses for
cost of goods sold (47.6 percent of department revenue),
labor costs (15.2 percent), and other direct operating
expenses (4.1 percent), retail departments returned an
average 33 percent of department revenue to the bot-
tom line. The primary reason for the increase in retail
department prot margins is the 14.6 percent decline
in labor costs that occurred from 2007 to 2012. We
attribute this decline to the growing number of hotels
that have replaced their gift shops with kiosks stafed by
front desk pers onnel.
The prot margins for limited-
service, extended-stay, and
full-service hotels were higher
than the margins at resort and
convention hotel retail outlets.
Limited-service, extended-stay,
and full-service hotels averaged
a 39.3 percent prot margin in
2012, while prots for the more extensive operations at
resort hotels were 25.1 percent of department sales. The
greater prot margins at limited-service, extended-stay,
and full-service properties are attributable to the nature
of retail operations associated with these property types.
Their retail operations are generally smaller in scale
than resort and convention hotels and require little or
no labor resources to operate. Retail operations at resort
hotels are generally more extensive than those at other
property types and often include clothing, souvenirs,
news periodicals, books, and other items. These outlets
are separate from front desk operations and require
their own dedicated staf to operate.
Hotel owners and operators continually alter their
operations to meet the changing requirements of their
guests. Stimulated by the growing desire for quicker and
simplied retail outlets, properties have abandoned the
traditional newsstand/gift shop in favor of kiosks and
mini-marts. This transformation has occurred in both
large and small hotels. These new retail operations have
proven to be well received by guests and highly ef cient.
Robert Mandelbaum is director of research informa-
tion services and Gary McDade is a research associ-
ate for PKF Hospitality Research (www.pkfc.com).
Special thanks to Marlane Bundock, managing editor
of ConventionSouth, for sponsoring the survey.
Retail sales
made up just
0.9 percent
of total hotel
revenue in 2012.
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 27
U. S. HOTEL RETAI L OPERATI ONS
OWNERS MANUAL
RETAI L DEPARTMENT
EXPENSES AND PROFI T*
Percent of department
revenue 2012
Cost of goods sold
Department prot
Salaries, wages, and bonuses
Employee-related expenses
All other expenses
$2.50
$2.25
$2.00
$1.75
$1.50
2007 2008 2009 2010 2011 2012
$2.03
$2.48
$1.85
$1.96
$1.82
$1.80
ANNUAL RETAI L OUTLET SALES*
Retail revenue per occupied room is still 27.4 percent below 2008 levels.
Note: * Before deduction of undistributed and xed expenses.
HOTEL RETAI L OPERATI ONS DEPARTMENT PROFI T*
Retail departments returned an average of 33 percent to the bottom line.
2007 2008 2009 2010 2011 2012
$0.65
$0.60
$0.55
$0.50
$0.58
$0.63
$0.51
$0.54
$0.59 $0.59
ANNUAL RETAI L OUTLET PROFI TS*
On a per occupied room basis, prots are improved over the 2009 value.
47.6%
33%
11.2%
4.1%
4%
Property Type
ALL
CONVENTION
EXTENDED STAY
FULL SERVICE
LIMITED SERVICE
RESORT
Department
Proft* $PAR
$150
$106
$82
$143
$37
$434
Department
Proft* $POR
$0.59
$0.42
$0.30
$0.56
$0.16
$1.88
Department
Proft Margin*
33.0%
27.0%
39.6%
39.2%
39.3%
25.1%
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28 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
OWNERS MANUAL
The Squeeze Play
DESIGNING HOTELS FOR TIGHT SPACES
PAYS OFF BIG IN URBAN MARKETS
BY SEAN DOWNEY
DESIGNING AN URBAN HOTEL is a bit
like playing Tetris; you have to put all
the little pieces together just right.
Just ask architect Rob Uhrin. Hes
been squeezing hotels into tight spaces
for 15 years. Of course, hes worked
on plenty of properties that spread
out across acres of land, but its in the
space-constricted urban projects that
his expertise in hospitality design and
brand knowledge comes into play. As a
principal at Cooper Carry, Uhrin runs
the hospitality practicein the rms
Alexandria, Va., of ce. The studio has
STARTUP
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and energy consumption,
without compromising linen
quality your guests deserve.
Were talking about using as little as 0.3 gallons of fresh water
per pound of room linen instead of 2 or more gallons in a large
washer-extractor.
No matter how dirty your sheets, towels, or tablecloths are,
hotel laundries across the country have seen remarkable
improvement in wash quality with a dramatic reduction in
water usage and energy. All-told PulseFlow

*
tunnels will
save more than 500,000,000 gallons of fresh water this year
alone. And now, if your facility washes 1,000 pounds of linens
an hour or more, you can take advantage of PulseFlow
technology in a new, smaller ve-module tunnel.
Contact an authorized Milnor distributor or
call 504-712-7656 to nd out more about
getting big savings with a modest footprint.
www.milnor.com/pulseflow_technology
/ pellerinmilnor *Patent applied for
designed more than 40 new properties
in the past decade.
Our traditional market has been
full-service hotels, but weve found
lately that select-service hotels are
lling more of our workload, he says.
Thats because of the desirable business
model [of select service] and the hotels
themselves are exactly what works in
many of the tight, mixed-use, urban
environments. He notes that urban
markets require a certain amount of
density to make the land values work.
Where a particular site needs 625 keys,
TIGHT SPOT
Arlington Capital View is
a 625-room hotel complex
occupied by a Renaissance
and a Residence Inn.
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 29
OWNERS MANUAL
for example, to be protable, devel-
opers dont want to rely solely on one
single hotel brand to occupy the spot.
There was a time before the recession
where you could reach that density by
building a hotel and adding another
use to itofce, condo, or retail outlet,
Uhrin says. But as time has shifted and
those markets became less valuable, we
saw hoteliers and developers grouping
diferent brands together.
This trend has taken of so much that
developers are now putting dual-brand
properties in smaller and smaller urban
footprints. If the location is desirable,
the brand will bend over backward to get
into that space, Uhrin says. And there
are times when combining two brands
makes the economics of the system that
much better. For instance, we had a
high-end four-pipe heating and cooling
system that we used for both brands in
the same project, and we spread the cost
out over the entire property.
When an architecture
rm understands the
brands well enough to
pull apart the proto-
types and put them back
together, it can gain a
lot of efciencies. If
you can nd an extra 10
keys just by being more efcient, thats
a huge help to the development team.
He says that the prototype usually isnt
as important as the brand standards.
So instead of being hyper focused on
the prototype, its often more useful to
make sure all the identiers are there
and that the brand is happy with them.
It comes down to working within their
vision, Uhrin says. For some brands its
all about the room, for others its about
the welcoming sequence of things that
people see as theyre going to check in.
He points to one of Cooper Carrys
hotel projects in which he needed to
put 200 keys into 10,000 square feet of
space in the NoMa district of Wash-
ington, D.C. With the citys stringent
building height restrictions, the hotel
could only go so high. The rm solved
the problem by packing a select-
service brandHyatt Placein tight
and making it as tall as possible to ll
the buildable envelope. In the process,
we came up with some unique rooms
and some unique ways to stack things
together. Hes quick to add that all
of the things that make it difcult to
develop these properties also bring
value when it comes to higher barriers
to entry. Well soon nd out when the
NoMa Hyatt Place opens this May.
If you can fnd an extra 10
keys just by being more
efcient, thats a huge help
to the development team.
ROB UHRIN, PRINCIPAL, COOPER CARRY
30 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
OWNERS MANUAL
The Big Event
THE SILVERADO RESORT LURES TOURISTS WITH
FINE FOOD AND WINES DURING A TRADITIONALLY
SLOW MONTH BY DEIDRE WENGEN
AT THE ANNUAL FLAVOR NAPA VALLEY WELCOME
DINNERa six-course feast featuring Californias nest
wines and food from famed chefs including Roy Choi,
Michael Chiarello, and Masaharu MorimotoJohn
Evans plate remained largely untouched.
The managing director of the Silverado
Resort and Spa, which played host to the
lavish November event, was too busy
buzzing around the room, checking in
with guests, directing staf, and ensuring
the awless execution of every detail.
Four years ago, the Silverado teamed
up with its management company, Dolce
Hotels and Resorts, the tourism marketing
organization Visit Napa Valley, and local
chefs and winemakers to create a food and
wine festival that highlighted the Wine
Countrys bounty and brought in crowds
during a traditionally slow tourism month.
Dolce and the Silverado were the founding
sponsors of the festival, which has grown
from an intimate afair to one of the regions premier
food and wine events. When we arrived here in July of
2010, we wanted to make sure we found a way to give
back to the community, Evans says. The rst two years
we ran the event ourselves and kept it within the walls of
BACKSTORY
the Silverado Resort. But we always had the plan that we
would open it up to other resorts and restaurants.
The most recent event, which set out to raise money
for culinary scholarships, featured 150 participating
wineries, 70 culinary and wine experts, and 30 diferent
events and demonstrations. Venues ranged from the
Silverados event facilities and the Culinary Institute of
America to the Meritage Resort and Spa and multi-
ple area wineries. The promotion brought in 2,700
attendees88 percent who came from outside the Napa
Valley area, from 34 diferent states and ve countries.
Strategizing for the 2014 festival picked up almost
immediately following the 2013 wrap up. Dolce and
the Silverado put together a steering committee in
December to assess feedback and form ideas for the
next year. Because Flavor Napa Valley sets out to bring
in top celebrity chefs, Evans says they generally need
to book top talent 12 to 18 months in advance. Six
months prior to next years event, preparations will
kick into high gear, with menu arrangements, weekly
conference calls, and marketing initiatives to attract
media attention and nancial support.
Planning and putting together such a large-scale
event is a challenge, but Richard Maxeld, Dolces chief
operating ofcer, says it has become easier over the
years. We started small. We didnt bite of more than we
You have to have
alignment on vision.
You need the key
stakeholders and the
leadership to pull it
all together and the
team to support it.
RICHARD MAXFIELD,
CHIEF OPERATING OFFICER,
DOLCE HOTELS AND RESORTS
1
2
3
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 31
OWNERS MANUAL
could chew, he says. You have to have align-
ment on vision. You need the key stakeholders
and the leadership to pull it all together and
the team to support it. You also need commu-
nication, follow-up, and support.
When developing the rst festival, Dolce
hired Karlitz and Company, a full-scale
marketing rm, to handle the event manage-
ment and sponsorship sales. Hiring an outside
event-planning company, Evans says, was an
essential step for growth. For other resorts or
hotels considering hosting a food or wine fes-
tival, Evans suggests bringing in an agency to
help with promotion and logistics. Thats the
route weve went and its proven to be success-
ful for us, he says. I dont think, as a resort,
you would typically have the kind of resources
available on a day-in, day-out basis to run the
event and operate the resort, even if you had
the support of a large corporate structure.
Being so heavily involved with Flavor
Napa Valley each year helps position Dolce
at the forefront of culinary trendsan
asset that remains vitally important to the
company as it promotes meeting packages
to prospective corporate clients and group
guests. The exposure and publicity drummed
up by the festival is worth all of the hard
work and planning headaches. Our core
business around meetings focuses on food,
Maxeld says. Flavor Napa Valley was our
opportunity to enhance and support that. It
is a nice strategic t for our organization to
be involved at such a high level.
FEAST FOR THE SENSES
1} Guests swarm food and wine booths during a
tasting event at the Culinary Institute of America
at Greystone. 2} Master Sommelier Andrea Rob-
inson and Silverado Resorts Managing Director
John Evans at Flavor Napas welcome dinner
3} Guests salute the six-course welcome dinner.
4} CIA grad and renowned chef Scott Conant
gives a cooking demo. 5} Iron Chef and Napa
Valley local Masaharu Morimoto participates in a
cooking demo for Flavor Napa guests.
4
5
32 LODGI NGMAGA Z I NE . COM FEBRUARY 201 4
NO MATTER THE PRICE TAG OF THE RENOVATION,
THESE HOTELS HAVE THE SAME MISSION:
TO GET BACK ON TOP
CHANGE
High-end hotel renovations stretch far beyond adding a fresh coat of paint or
installing new carpeting. They pour millions of dollars into splashy upgrades
like speakeasy bars, rooftop terraces, and specialty suites with wine caves.
Despite staggering investments and time-consuming challenges that are part
and parcel of such massive undertakings, some of the most ambitious make-
overs are anchored by basic goals: increasing guest satisfaction, generating
some buzz, and boosting overall revenues. Heres a look at how three distinct
propertiesa chic Southern boutique hotel, an urban Midwest agship hotel,
and a historic landmark hotel in New York Cityexecuted multimillion-dollar
renovations and strategically reinvented themselves.
GAME
BY KRI STI N BOYD

NEW RENOVATION RULES


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 33
A
D
D
I
S
O
N

G
E
A
R
Y
General Manager
David Chase relaxes in
Rarities, an intimate lounge
in the Villard Mansion section
of The New York Palace.
34 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
F
Financier, ambassador, railroad
magnate, and owner of The New York
Post Henry Villard built the famed
Villard Mansion on Madison Avenue
in 1882. Today, the brownstone palazzo
serves as the entrance to The New York
Palace Hotel, an architectural gem
with opulent gilt ceilings, marble walls,
stained glass windows, and Italian
marble replaces. In the mid-1970s,
the Archdiocese of New York, owners
of the land, cleared the way for a hotel
development that blended the land-
mark mansion with a contemporary
55-story tower. The hotel opened in
1980 as The Helmsley Palace (the name
was changed to The New York Palace in
1992 when it came under new manage-
ment), operated by Harry Helmsley
and his wife, Leona, who was dubbed
the Queen of Mean for her strict and
intolerant management style.
To ensure the success of the recent
high-prole restoration of The New
York Palace, the hotels executives
pulled together a dream team of
designers, architects, and contractors
to handle the 18-month project. Such
a massive collaboration would seem
daunting, says General Manager David
Chase, but it yielded impressive results
that strike a balance between historic
and modern elements. This is a once-
in-30-year renovation, he says, and it
was the right approach.
As a New York landmark, the Villard
Mansion section of the Palace requires
any changes to be approved by the
Landmarks Preservation Commission.
When the Mansion was restored to
its original grandeur in the 1980s, all
interior sections had to be relaid in pre-
cisely the same pattern and positioned
to reproduce the landmark-protected
interiors. When embarking on a $140
million renovation in 2012, the current
owners, Northwood Investors, faced
similar challenges. The designers had
to nd innovative ways to meld the
hotels rich and storied
past with present-day
amenities while also
following strict land-
mark rules, Chase says.
Some designers would
like a clean slate, but our
designers thought it was
kind of neat. You just
have to work with things
that are already there.
For example, the hotels new brasserie, Villard
Michel Richard, is located in a landmarked space that
was originally intended to serve as Henry Villards
music room. It has an elaborate suspended balcony
designed as a performance stage for musicians and wall
panels adorned with images of musical instruments
and garlands of foliage. When designer Jefrey Beers
updated the restaurant, which was formerly home to
ne dining outlet Gilt, he could not alter the walls or
ceilings in any waynot even attach anything to them.
So he installed new furniture and a new bar setup
thats not fastened to the wall, Chase explains. There
is this 1800s stone and mosaic work and beautiful
handworked wood, so it all plays beautifully together.
The massive two-phase renovation project, com-
pleted in the fall, included input and work from two
project management rms, two construction rms,
and four premier interior design rms: Jefrey Beers
International, BAMO, Champalimaud, and BBG-
BBGM (acquired by HOK in December). They added
six culinary destinations and redesigned the meeting
spaces, the hotels 909 guestrooms and suites, includ-
ing 176 exclusive towers accommodations, and the
lobbies. There is no question that this needed to be
done, Chase says. The rooms were overdue and the
public space, which was very classic and traditional,
needed an update.
The hotel is also attracting extremely wealthy foreign
visitors for longer stays in its two residential-style,
specialty triplex suites, which start at a whopping
$25,000 a night. Caroline Bertrand and Dianna Facci,
senior associates with HOK New York, designed the
5,000-square-foot suites, which are located on the 53rd
oor. The Champagne Suite has a rustic wine cave for
hosting exclusive tastings led by trained sommeliers,
hewn woods representing aged grape presses ofset by
crystal xtures, and a classically inspired library. The
Jewel Suite by Martin Katz, a renowned jeweler to the
The New
York Palace
THE CHALLENGE
To maintain
historic details
while adding a
modern edge
TIME IT TOOK
18 months
PRICE TAG
$140 million

NEW RENOVATION RULES


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 35
Jeweler to the stars Martin
Katz collaborated on the Jewel
Suite at The New York Palace
with design rm BBG-BBGM.
36 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
W
stars, ofers a romantic ambience with its Port Laurent stone
oors, diamond-like wall coverings, a grand piano, and a 20-
foot cascading chandelier at the entryway. Both suites have
oor-to-ceiling windows, wood burning replaces, and private
outdoor terraces with Jacuzzi spas.
Among Chases favorite additions is the reclaimed space
underneath the grand stairway in the ground-oor lobby,
which was transformed into
Troubles Trust, a stylish,
hideaway bar named after
the late Leona Helmsleys
famous dog. Architect Louis
Hedgecock, senior principal
and director of hospital-
ity for HOK New York,
conceived of the idea to
use the space for a bar, and
Champalimaud designed
it. Sometimes you modify,
sometimes you redecorate,
sometimes you renovate,
Hedgecock says. Youve got to make a lot of judgments
about what part of the hotels original fabric is really mean-
ingful and which parts you really want to preserve. I walked
by last night, and it was buzzing, buzzing, buzzing.
Sometimes you modify,
sometimes you redecorate,
sometimes you renovate. Youve got
to make a lot of judgments about
what part of the hotels original
fabric is really meaningful and which
parts you really want to preserve.
LOUIS HEDGECOCK
SENIOR PRINCIPAL, DIRECTOR OF
HOSPITALITY, HOK NEW YORK

NEW RENOVATION RULES


The New York
Palace rede-
signed its 909
guestrooms
and suites.
(Clockwise, from left):
Champagne
Suite, towers
junior suite, and
deluxe corner
suite.
W
The Joule Dallas
invested in its
meeting and
event space
to create a
high-end, retreat
experience.
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 37
With one ballroom, only two meeting rooms, and no outdoor
space, the Joule Dallas was missing out on protable booking
opportunities, according to Jessica Craycraft, director of sales
and revenue at the luxury boutique hotel. To establish the
Joule as a premier venue and ideal destination for corporate
meetings, special events, and weddings, Craycraft and her
team needed additional space to work with. We were maxing
out with a 40-person capacity in our meeting rooms, she says.
By investing in the Joules meeting and event space, owner
Headington Hotels could create a high-end, retreat experience
for executives. At least that was the original impetus for the
$78 million expansion project. By the time Tihany Designs
completed the project last year, the Joules meeting space
was nearly tripled to more than 14,000 square feet. The hotel,
which rst opened its doors in 2008, now features two new ballrooms, three
breakout meeting rooms, and a rooftop terrace that overlooks the downtown
Dallas skyline. The hotels original ballroom was also renovated. It completely
opens up our doors to host multiple groups, and we have so many diferent op-
tions, Craycraft says of the expansion. Were really able to put the Joule on the
map in a whole diferent way.
To accommodate the renovation, Joule closed down its meeting space for six
months, from fall 2012 through February 2013. The team devised creative ways
to work with clients and fulll existing bookings, such as using the restaurant,
lobby, and penthouse spaces to host events when the meeting space renovations
couldnt allow them, Craycraft says. We learned to be upfront and honest with
clients, she says. When the project was delayed, the hotel staf reached out to
clients immediately to gure out how to still accommodate them. We wanted
to ensure our integrity and what we had guaranteed, Craycraft says. And we
learned to add a cushion on deadlines and open dates.
The expansion also added 32 guestrooms 21 premier rooms, eight deluxe
suites, and three luxury penthouse units in the second towerbringing the
Joules total to 161 guestrooms. Last month, the Joule added a sculpture garden
across from the hotel. The
space, which is available
for corporate meetings and
events, can accommodate a
500-person reception. But its
the chic new 3,300-square-
foot rooftop terrace with a
climate-controlled pavilion
and retractable glass thats
generating attention from
many guestsand staf
members. The terrace is
accessible via a glass-shaft
elevator. We had no outside
space before, Craycraft says. Its working out
from the corporate standpoint and the social
standpoint. Corporate meetings will host their
feed space on terrace. Its a way to step out
and get some fresh air, and you can see all of
downtown Dallas.
This year Craycraft expects to book three
times the amount of corporate meetings and
social events she did last year, thanks to the
new spaces and amenities in the meeting
rooms, which include high-speed WiFi access
and new digital A/V systems with touchscreen
controls. Prior to the renovation, the Joule
largely focused on business travelers and indi-
vidual stays, but now the sales staf can market
and ofer special promotions to large groups,
national organizations, and corporations,
Craycraft says.
Joule
Dallas
THE CHALLENGE
To triple the
meeting space
and add premier
guestrooms
TIME IT TOOK
2 years
PRICE TAG
$78 million
E
R
I
C

L
A
I
G
N
E
L

38 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
I
If the Hyatt Regency
Chicagos lobby was
ever going to reclaim
its look-at-me status,
General Manager
Patrick Donelly knew
the fountain had to
go. The eight spouts
shooting into the over-
sized pool of water was a head-turn-
ing feature when the hotel was built
in the 1970s, but as the years passed
and guests expectations evolved, the
excessive waterworks became a clunky
centerpiece. More of a distraction
than attraction, the fountain obstruct-
ed views and drained the space of its
potential for usability. When visitors
entered the old lobby, they often had
dif culty guring out which direction to
head because it was confusing and over-
whelming, says architect Paul Bentel,
who collaborated on the project with
partners Carol Bentel, Peter Bentel, and
Susan Nagle. Sight lines are critical.
One of the biggest challenges was: How
do you take the lobby all apart and put
it back together? There was an efort to
rethink the way it all worked.
Architect and planning firm Bentel + Bentel did just that during
the third phase of the hotels three-year, $168 million renovation,
which wrapped up in April 2013. The lobby is a very powerful
architectural space because its essentially one large room entirely
enclosed in glass, Paul Bentel says.
But this one was a product of 1970s
architectural style.
We wanted to bring this 23-year-
old lobby into the 2020 era and make
the renovations good for the next 20
years. Donelly says. He decided to
keep the lobby open during renova-
tions, implementing a build-as-you-
go renovation model that involved
relocating the registration desk and
closing designated sections at different periods of the project. The
business-savvy move boosted interest in the lobby and its new
elements, says Donelly, who even installed windows so guests and
patrons could take a peek at the remodeling process under way
behind the walls.
Hyatt
Regency
Chicago
THE CHALLENGE
To create a
functional, social
lobby space while
reinventing the
F&B outlets
TIME IT TOOK
3 years
PRICE TAG
$168 million
Without the giant
fountain, the
Hyatt Regency
Chicagos lobby
has become a
more energetic,
unied space.
One of the biggest
challenges was: How do
you take it all apart and
put it back together?
PAUL BENTEL,
PARTNER, BENTEL + BENTEL
Before
After
continued on page 60

NEW RENOVATION RULES


PHOTOS COURTESY OF HYATT REGENCY CHICAGO
40 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
ALL
WELL
AND
GOOD
BY MEGAN SULLI VAN

FRESH SPA IDEAS


NO LONGER A PLACE FOR MERE
PAMPERING, HOTEL AND RESORT SPAS
CONTINUE TO EXPAND THEIR FOCUS ON HEALTH,
WELLNESS, AND PREVENTION TO WOO A
NEW GENERATION OF TRAVELERS
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 41
WELLNESS
An active process
through which people
become aware of,
and make choices
toward, a more
successful existence.
NATIONAL WELLNESS INSTITUTE
42 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
F
or a rapidly growing segment
of leisure travelers, the days of
overeating and lying around
doing nothing while vacation-
ing are over. As more and more
people are seeking better ways to
take care of themselves at home,
theyre adopting healthier habits
on the road. With travelers
embracing overall healthier lifestyles at home, we are
now seeing those behaviors translate and be integrated
into their travel and vacation habits, says Susie Ellis,
chairwoman and CEO of the Global Spa and Wellness
Summit (GSWS) and president of Spander Wellness.
We are seeing many people commit their vacation
time and dollars to wellness travel.
Wellness tourism has become a $438.6 billion global
market, representing about 14 percent of all global
tourism expenditures, according to a report from SRI
International in conjunction with the GSWS. And its
projected to increase by more than 9 percent per year
through 2017nearly 50 percent faster than overall
global tourism. The spa industry is also in growth
mode, International Spa Association statistics show.
In 2012, U.S. spa revenue reached a record high of $14
billion and the total number of spa visits in the country
increased to 160 million. Wellness-oriented experi-
ences have become more vital to the growth of the spa
industry now that many consumers view spas as a place
to nourish their minds and bodies rather than indulge
in extravagant pampering.
Pampering is denitely more of a dated word in
the spa industry, says Karen Ray, director of spa at
Solage Calistoga, a hip resort in northern Napa Valley.
Ten years ago we used pampering a lot more and now
the shift is denitely to wellness. Guests are denitely
interested in adopting wellness as a lifestyle.
Wellness travel involves enhancing personal
well-being through healthy eating, mind and body ac-
tivities, spa and beauty treatments, tness classes, and
outdoor activities. At Solage Calistoga, for example,
guests can maintain their daily tness routinesor try
something completely newin the resorts yoga studio
and state-of-the-art gym, which ofers free tness
classes like TRX and spinning. They can even explore
the trails at the nearby state park area on a compli-
mentary bicycle. Post-workout, guests can then head
to the bathhouse for a mudslide treatmentwhich
involves applying a body mask made with mineral-
enriched clay and volcanic ash and soaking in a geo-
thermal poolto recover and detoxify their bodies.
While some of these travelers may take a trip en-
tirely for well-being purposes, most plan to engage in
healthy activities, such as spa treatments and tness
classes, as part of their vacation. The primary market is
(ABOVE) Travassa
Experiential Resorts
(RIGHT) Spa Solage at
Solage Calistoga
$438.6
BILLION
Wellness
tourism
accounts
for about
14 percent
of all
domestic and
international
tourism
expenditures.
ACCORDING TO THE
GLOBAL WELLNESS TOURISM
ECONOMY, PREPARED BY SRI
INTERNATIONAL IN AGREE-
MENT WITH THE GLOBAL SPA
AND WELLNESS SUMMIT

FRESH SPA IDEAS


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 43
TRENDSPOTTER:
MINDFUL
LIVING
The simple but compelling act
of mindful living is weaving its
way through every trend in 2014,
according to Spafinder Wellness.
The physical benefits of spa
and wellness activities have long
been known to reduce stress and
relax our bodies, but in 2014 and
beyond there will be a sharp fo-
cus on interweaving mindfulness
techniques into these practices
to help us reach a whole new
place of serenity and calm, the
report states. And perhaps more
importantly, give us the tools we
need to focus on whats import-
ant in our lives, both at work
(with renewed focus and produc-
tivity) and at home (helping
us to be in the moment with
those we care about).
44 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
more likely to choose destination health resortsthink
Cal-a-Vie, Canyon Ranch, and Miravalwhich is why
hotels and resorts with spas benet from concentrat-
ing on the secondary market, says Anna Bjurstam, vice
president of spa and wellness for Six Senses Hotels Re-
sorts Spas, which will be adding nine new resorts and
four spa and wellness clubs over the next three years.
In hotels, its more about keeping well while you
travel, says Bjurstam, who is also owner and managing
director of the Swedish-based spa consultancy group,
Raison dEtre. What weve seen from hotels is they
have tried too much to go into serious wellness, but
then no one really wants to buy it because you dont go
to the Four Seasons to detox or lose weight, in general
you go there to relax. Properties promote healthy life-
style choices by integrating multifaceted food, tness,
spa, and sleep programs that touch on all aspects of the
guest experience.
One of Six Senses latest wellness initiatives is to
install new lighting technology in its gyms and exercise rooms to
enhance the bodys natural alertness. In its spa nap rooms, the compa-
ny will install light bulbs that use a technology developed with NASA
to enable astronauts to naturally manage their circadian rhythms.
While well continue to always be on a holistic, rejuvenating, and
spiritual path, were also looking at what is scientically proven when
it comes to results and how can we work with that, Bjurstam says.
At 41 percent of the market, spa is a core component of wellness
tourism, the SRI International report shows. No longer a place for
mere pampering, hotel and resort spas continue to expand their focus
on health, wellness, and prevention to woo this emerging segment of
high-yield wellness travelers, who spend 130 percent more than the
average tourist. Rather than relying on massages, facials, and body
wraps alone, hotel spas are adding specialized holistic treatments
(e.g., reexology and acupuncture),
tness and nutrition consultations,
and guest lectures on everything
from stress management to the
health benets of running. Spas are
also weaving mindfulness tech-
niques into their treatments, such as
integrative breathing, meditation,
and visualization.
Spas can really help with educa-
tion on lifestyle, personal training,
and stress management, says Susan
Harmsworth, founder of ESPA,
which has approximately 400 spas
in 60 countries. The data coming
through on the medical benets of
massage, lowering heart rate and
really helping recovery circulation,
all of that sort of stuf is very strong.
BEYOND THE SPA WALLS
Providing a seamless wellness
experience in hotels and resorts can
be hard to achieve when temptation
aboundsthe sound of bartenders
shaking up cocktails in the lobby bar or the smell of baked goods
wafting from the cofee shop. If youre in a luxury hotel with all the
food and beverage, you have to be a very disciplined person if youre
going to do a three-day program and not go to the bar or ask room
service for a drink, Harmsworth says. If guests are participating in
a spa wellness program, Harmsworth recommends that hotels take
simple steps to remove temptation, such as restocking the minibar
with healthy items or training staf to refrain from ofering bread or
alcohol with room service orders. There are a lot of changes you have
to make within the structure of the hotel itself if youre going to go the
wellness route, she says.
In the hotel industry, wellness is not conned within the walls of
the spa or gym anymore. Last year, a wave of hotel brands jumped
on the wellness bandwagon, rolling out healthier menus, rejuvenat-
ing sleep programs, in-room tness options, and tness gear kits.
I think we will see much more activity when it come to spaces of
wellness in hotels, Bjurstam says. I think hotels should prole
themselves as not only having the guest experience in mind but also
the guests well-being.
In September, MGM Grand in Las Vegas quadrupled its number of
Stay Well rooms, which ofer special features like Vitamin C showers,
aromatherapy difusers, air purication systems, energizing light, and
dawn simulator alarm clocks. The program debuted in October 2012
with 42 wellness guestrooms and has since increased to 171 rooms
to meet increased demand. But industry experts are most curious to
see what InterContinental Hotels Group delivers when the rst two
locations for its new lifestyle wellness brand, EVEN Hotels, open in
Norwalk, Conn., and Rockville, Md., this June. The brand is aimed at
business and leisure travelers who want to eat better, work out more,
sleep tighter, and work more ef ciently while on the road.
When it comes to the four- and ve-star market, dening wellness
needs is dif cult, says Harmsworth, who started her distinguished spa
career running destination health farms and seawater therapy centers
in the early 1980s. The challenge for hotels and wellness is every-
one is talking about it, nobody knows what it is, nobody really knows
how to deliver it, and there isnt a model out there thats really even
started, she says.
Harmsworth believes her company has come closest to the mark
with ESPA Life, its new approach to health and well-being that
(RIGHT) Six
Senses Hotels
Resorts Spas
(LEFT) ESPA at
Joule Dallas
I think we will
see much more
activity when it
come to spaces
of wellness in
hotels. I think
hotels should
profile them-
selves as not
only having the
guest experi-
ence in mind but
also the guests
well-being.
ANNA BJURSTAM, VICE PRESI-
DENT OF SPA AND WELLNESS, SIX
SENSES HOTELS RESORTS SPAS

FRESH SPA IDEAS


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 45
debuted at the Corinthia Hotel London and the Gleneagles Hotel in
Scotland in 2011. The spa teams comprise of alternative health and
tness specialists: naturopathic practitioners (who rely on natural
remedies to cure ailments), osteopaths, traditional Chinese medicine
acupuncturists and herbalists, and personal trainers. The enhanced
wellness concept provides additional marketing opportunities during
the shoulder season, Harmsworth says, and has helped the Corinthia
and Gleneagles extend guest stays. The wellness side is denitely
helping, she says, but you have to be sure with wellness that youre
doing it well and delivering guest expectations.
Rebranding around wellness is a costly endeavor, she adds. Well-
ness is much more expensive to deliver because the cost of the prac-
titioners is much higher than a normal facial or massage therapist,
Harmsworth says. Spas also need to ensure their well-being providers
are aligned in their philosophies. Delivering consistency in wellness is
dif cult because every country has diferent licensing and qualifying
issues, she says.
All of those things are on target with what the market wants, says
Chris Manning, co-founder and president of Travaasa Experiential
Resorts. People are living that way more and more in their daily lives
and they expect to live that way when they travel. Travaasa opened
its rst two spa resorts in 2011, one in Austin, Texas, and the other
in Hana, Hawaii. Formerly known as Hotel Hana Maui, the Hawaii
property originally opened in 1946 and became a popular retreat
where travelers stayed for two weeks at a time. With the average
travelers vacation shrinking, its more common for guests to spend
only three nights, Manning says. The sooner you can unwind and get
in the mindset, the better.
BUILDING UP THE BUSINESS
Historically, hotel spas have lagged behind the recovery of other
operating departments as spa visits have been considered a luxury
amenity, writes Andrea Foster, vice president and national director
of spa and wellness consulting for PKF Consulting USA. However,
as the hotel industry continues to recover, PKF Hospitality Re-
searchs data suggest that guests are returning to hotel spas. Accord-
ing to the companys Trends in the Hotel Spa Industry 2013 survey,
spa revenue is now growing at a pace equal to or greater than most
other non-guestroom amenities and services. From 2011 to 2012,
TOP 10
GLOBAL SPA AND WELLNESS TRENDS FOR 2014
1

HEALTHY HOTELS 2.0
Healthy hotels fulll the profound human need for restorative
travel and helping people stay well on the road. Look for hotels to
move from healthy as a marketing differentiator to deeper, more
multifaceted, inspired, and comprehensive programming.
2

WIRED WELLNESS
Today there are hundreds of tness apps out there to help
people get in shape, get healthy, and keep their tness goals on
track. Spas as well as tness and wellness providers should be
paying close attention to this sector to see where some of these
new technologies can t with their businesses.
3

HOT SPRINGS HEAT UP
There has never been a hotter moment for thermal springs,
with more and more people seeking out this affordable, social,
benecial, and natural therapeutic spa experience.
4

SUSPENDING GRAVITY
A distinct suspending gravity or oating trend is rising as
people have an increased psychological and physical desire to
disconnect from our hyper-connected society. We are seeing more
weightless stressand mind-melting otation tanks, chambers,
and pools at spas.
5

FEROCIOUS FITNESS
Ferocious tness is on the rise, led by people who seriously
train for competitions or want to establish their own personal best,
often with high-intensity interval training with shorter timeframes.
Fitness has also become a major ingredient in peoples social lives.
6

NATURAL BEAUTY MEETS SOCIAL MEDIA
A new clean-beauty era that focuses on the natural is taking
shape. Spas will remain the torchbearers with organic products,
science, and technology intersecting to deliver minimal downtime
results that are seemingly produced by nature.
7

AROMATHERAPY: SCENT WITH INTENT
As aromatherapy plays a greater role in the treatment of
physical and mental issues, spas are working in tandem with bota-
nists and digital technology to improve effectiveness.
8

WELLNESS RETREATS RISE...AND URBANIZE
Look for exciting movement on the destination spa front,
where personalized, immersive wellness programming is the DNA,
and life transformations are the goal. A distinct sub-trend is also
emerging: the urban-close wellness retreat.
9
DEATH AND SPAS: THRIVING DURING
LIFES TRANSITIONS
As baby boomers start thinking seriously about aging and death,
spas of all kinds are helping clients tackle the changes, challenges,
and choices that come with dying. Spas are also helping people
address other life challenges like divorce, illness, and job loss.
10
TOP 10 SURPRISING SPA
AND WELLNESS DESTINATIONS
Savvy spa-goers and wellness seekers are searching for more
exotic destinations and indigenous experiences to stamp on their
spa passports. Look for an emergence of new travel destinations
in countries like Bhutan, Ghana, and Nicaragua.
SPAFINDER
WELLNESSS
continued on page 62
H
E
R
B
E
R
T

Y
P
M
A
46 LODGI NGMAGA Z I NE . COM FEBRUARY 201 4
HIGH
ROAD
TAKING
THE
BY MI KE LLEWELLYN

THE DRURY HOTELS STORY


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 47
ROAD
O
N ITS WAY TOWARD MEMPHIS, INTERSTATE
55 STRAIGHTENS INTO A PRECISE VERTICAL LINE
AS IT RUNS DOWN THE EASTERN EDGE OF SIKESTON, MO.
ABOUT HALFWAY BETWEEN ST. LOUIS AND NASHVILLE,
THE OLD RAILROAD TOWN SITS IN A VAST PATCHWORK QUILT OF
ALMOST PERFECTLY FLAT FARMLAND. SINCE THE DAYS OF FOLDED PAPER MAPS,
WEARY SALESMEN AND ROAD-TRIPPERS HAVE LOOKED TO EXIT 67 (SIKESTON)
FOR A PLACE TO REST BEFORE ROLLING ALONG AGAIN. AND FOR THE PAST 41
YEARS, THE FIRST THING THEY SEE WHEN THEY LEAVE THE HIGHWAY IS THE
FIVE-STORY, BEIGE-AND-AUBURN DRURY INN AND SUITES.
48 LODGI NGMAGA Z I NE . COM FEBRUARY 201 4
Drury Hotels routinely
leads the national brands
in guest satisfaction. When
J.D. Power released its 2013
North America Hotel Guest
Satisfaction Index Study in
July, Drury was number one
among midscale hotels. And
when Market Matrix com-
piled its quarterly reports
for 2012, Drury came out on
top across the board, sur-
passing even big names like
Hampton Inn and Suites,
Looking at the numbers, though, Drurys performance
seems like a statistical anomaly. Yet the same results are borne
out, year after year. Part of the success of the 130-property
chain is that it doesnt rely heavily on statistics and research.
For instance, GMs are encouraged to ask guests how theyre
feeling about their stay while relling cofees at Drurys com-
plimentary breakfast instead of using survey cards. The same
goes for the rest of the staf, who tend to worry less about job
descriptions and more about what needs to get done.
Its tough for other brands to draw specic lessons from
Drurys success, because there isnt an especially novel
strategy driving itCEO Charles Drury says it comes down
to taking care of what the customer needs. So while lots of
midscale hotels serve complimentary breakfast, the business
Drury plans
to convert the
old Cleveland
Metropolitan
School District
headquarters
into a Drury
Plaza.
A
S THE FIRST DRURY PROPERTY, THE SIKESTON HOTEL ESTABLISHED
THE FOUNDATION FOR WHAT WOULD BECOME A MAJOR REGIONAL
CHAIN. SINCE 1973, DRURY HOTELS HAS EXPANDED TO INCLUDE
130 CURRENTLY OPERATING PROPERTIES ACROSS FIVE BRANDS:
DRURY INN AND SUITES, DRURY INN, DRURY SUITES, DRURY PLAZA
HOTEL, AND PEAR TREE INN BY DRURY. THE CONCRETE-AND-STUCCO BUILDING IS
LARGE FOR A TOWN LIKE SIKESTON BUT STILL UNASSUMING. ITS SURROUNDED BY
PROPERTIES THAT BELONG TO BIGGER NATIONAL CHAINSSUPER 8, HOLIDAY INN
EXPRESS, AND COMFORT INN, AMONG OTHERS. BUT DRURY IS SOMETHING SPECIAL,
AND NOT JUST BECAUSE ITS LOCALLY OWNED.
Best Western Plus, and Fair-
eld Inn and Suites. These
ratings are a nod to our team
members who work hard to
deliver on [our] promise to
our guests every day, says
Carolyn Feltner, director of
marketing for Drury Hotels.
She suggests that perhaps
the foundation of the brands
success is simply hiring the
right team members, provid-
ing excellent training, and
listening to guest feedback.
J
A
S
O
N

M
I
L
L
E
R

THE DRURY HOTELS STORY


FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 49
doesnt hinge on it. And while many brands ofer free Inter-
net, Drury throws in free long distance calling toowhich
is an easy ofer, since guests tend to use their cell phones
anyway. Its really just getting the fundamentals right.
Taken together, though, small oferings like these add up to
establish trust in the brand. Combined with the companys
attention to detail and do-it-yourself ethic, they become
signals of genuine value.
BUSINESS THE OLD-FASHIONED WAY
Its practically a tradition in American business to claim Mid-
western virtues like hard work and simple quality, regardless of
the evidence. But Drury appears to be the genuine article. The
family business began in the 1940s, in Kelso, Mo., a tiny town
that has doubled in population over the past seven decades
to about 600. Kelso resident and struggling farmer Lambert
Drury, father of nine, began supplementing the familys income
with plastering jobs. The preceding drought-lled decade was
tough on midwestern farmers, and family members credit their
Catholic faith with giving them the strength to soldier on.
But with the war ended and the Great Depression receded
into history, the economy nally took of. Lambert opened
his own business, Drury Plastering, and his sons soon joined
him. The family grew the outt from plastering to residential
construction, earning references and repeat business for
the quality of their work. By then, money was easier to come
by, though the family remained devoutprayers before and
after dinner each night, working on all of the secular holidays
but none of the religious ones. Meanwhile, the Federal Aid
Highway Act of 1956 passed in Washington, and by the
early 1970s, hundreds of miles of interstate had been paved
through Missouri alone, bringing business and travelers
(Clockwise, from left):
The Drury Inn
and Suites
Valdosta, Ga.;
the Drury Plaza
Hotel Santa Fe,
scheduled to
open in August;
a sneak peek
of the Drury
Inn and Suites
New Orleans
expansion
with themand they needed
a place to stay. One of the
highways, I-55, ran past
Kelso (which did not get its
own exit) before intersecting
I-57, 22 miles to the south,
in Sikeston.
The familymost notably
brothers Charles and Rob-
ertsaw an opportunity:
They could build hotels and
operate them, too. They
began with a Holiday Inn
franchise in nearby Cape
Girardeau and took on four
Ramada Inns, as well. It was a
learning experience. The Hol-
iday Inn, for instance, would
make money on the rooms
side of the business only to
lose it all on the restaurant
and lounge side. But there
wasnt exibility in the
franchise contract to drop the
restaurant. The experience
led to the decision to operate
their own hotels, starting with
the Drury Inn and Suites in
Sikeston. Putting their name
on the hotel was a last-minute
decisionon all the paper-
work completed up until the
property opened it was called
no-Name Hotelbut today
its a distinction that matters
to a family that takes clear
pride in owning and operat-
ing all 130 of its hotels and
not franchising at all.
FAMILY VALUES MEET
REAL BUSINESS VALUE
The Drury family came to
the hotel business by way of
construction, and construc-
tion by way of plaster and
tile. That history gives the
company both an unfussy
personality and a belief that
details matter. Because the
company builds, owns, and
manages each of its proper-
ties, it also enjoys a degree of
strategic control impossible
for other brands.
Most of the time, though,
the family culture of the
business takes the form
of easy approachability
and a preference for lling
leadership positions through
internal promotions. We
believe its important to take
care of the 4,000 Drury team
50 LODGI NGMAGA Z I NE . COM FEBRUARY 201 4
members that have become part
of our extended family, says
Drury Hotels CEO Charles Drury.
The family sufered a loss in 2013
with the death of Robert Drury,
CEO of Drury Southwest, and
co-owner of Drury Hotels with
his brother Charles.
The company tends toward
a lengthy and careful hiring
process, but once on board, staf
and management at individual
locations are encouraged to call
upon the corporate of ce and
upon each other for support and
guidance whenever necessary.
Career paths are clearly demar-
cated, and with the brands rapid
growth, strong performers usu-
ally have plenty of opportunity
to advance within or between
properties.
That control gives the
business the feel and culture
of a familythe Drury family,
specicallyand from time to
time, they get some attention for
it. The company made a few
headlines in the early 1990s
when it removed adult
content as a pay-per-view
option at all of its locations.
In February 2013, it turned
a few heads by wading into
the health care reform
debate. Drury challenged a
provision of the Afordable Care
Act (ACA) on the grounds that
it violates the familys religious
freedom. In an amicus brief,
the family states that the health
coverage the ACA would require
Drury to provide includes
life-ending emergency con-
traception, and argues that as
Catholics, the Drurys should not
be obligated to pay for it. Pro-
life advocacy group Americans
United for Life led the brief on
the familys behalf.
If there were just one thing
driving Drurys remarkable
guest satisfaction scores, this
keep it in the family approach
to employee recruitment and
retention would likely be it. But
there really is no single thing. In-
stead, for this straight-shooting
company, success is just a result
of doing what needs to get done.
Today, the chain is continu-
ing to expand, with a focus on
remodeling historic buildings.
The company is gearing up to
strengthen its presence in Ohio,
with a Drury Plaza expected
to ll the old Cleveland School
District headquartersthe rst
time its upscale brand will appear
in the state. This summer, it will
complete another adaptive reuse
project, turning an old hospital in
New Mexico into the Drury Plaza
Hotel Santa Fe. Drury will also
open its rst location in Penn-
sylvania, converting the former
Federal Reserve Building in Pitts-
burgh to a Drury Inn and Suites, a
$30 million project expected to be
completed in November 2015.
Highest in guest
satisfaction
among midscale
hotel chains,
eight years
in a row.
J.D. Power
For more information,
visit us online or call us today!
EssentialAmenities.com
208 Passaic Ave, Faireld, NJ 07004
800-541-6775
SOOTHING. PURIFYING. INVIGORATING.
CUCUMBER
&
ACAI COLLECTION
1-800-545-4947
www.hotelsafes.com

THE DRURY HOTELS STORY


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ESSENTIAL PRODUCT KNOWLEDGE

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Christopher Thompson. As such, many hotels are incorporating LED technology
into most of their lighting designs, says Jef Wierzba, vice president of Troy Lighting
Contract Hospitality. While many of our products ofer LED technologies, we
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The Stilla, Imber, and
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8 TRENDS DRIVING HOTEL LIGHTING IN 2014
Excerpt courtesy of GE Lighting with expert insight from Heather Wilson Coode,
hospitality marketing manager and brand manager for LED, halogen, and CFL lamps.
LEEDing a New Way
Between a majority of travelers who
have signifed that they often take
the environment into account when
making travel decisions and government
regulations that are gradually becoming
more stringent, the expectations being
placed on hoteliers with regard to
environmentally sensitive construction
and operations are rising.
Hybrid Hospitality
Visionary hoteliers are developing
multidimensional concepts that integrate
elements from other building types, such
as theaters, galleries, or restaurants,
with more traditional hotel design. This
means the traditional t-grid and acoustical
tile layout that is so commonplace in
commercial lighting arrangements will no
longer cut it for hotels.
A Farewell to
Incandescent
A shift toward more efcient hotel lighting
technologies is one way that many
hoteliers are making subtle energy-saving
changes, and light-emitting diode (LED)
and compact fuorescent (CFL) lamps are
playing a big role. While more expensive
than incandescent bulbs, these lamps can
often pay for themselves through energy
and maintenance savings.
A Return to
Simplicity
Clean, simple, and elegant is in. Some
hotel design experts have expressed a
belief that guests want little in the way of
trendy aesthetics and more value for their
money. As a result, they expect there will
be a shift toward simplifed, yet seemingly
sophisticated design that combines lighting
and architecture as an art form.
Mobile Meetings
Beyond providing free WiFi and electrical
outlets in a lobby, hotels are beginning to
ofer conference rooms rentable by the
hour, which may come with interactive
worktables, whiteboards, a lounge, and
more. This trend means that appropriate
lighting design must take place to facilitate
presentations, detail-oriented tasks, and
other business functions.
Balancing Generational
Considerations
Millennials are more likely to seek out open
working environments and many look for
hotels with design fair. For these reasons, it
is important to consider how both ambient
and accent lighting design may attract the
mobile Millennial. And as the Baby Boomer
generation reaches senior citizenship, there
will be an ongoing need for better lighting
quality in general throughout hotel spaces.
Take Control,
Wirelessly
One way to facilitate appropriate lighting
for spaces is to integrate lighting controls
for daylight harvesting in tandem with
occupancy sensors. These tools not only
lower energy costs by supplying lighting for
a space only when appropriate but help to
avoid overlighting as well. Wireless sensors
make it simple to install these technologies
without the time and costs associated with
running wires behind walls and ceilings.
Systematic Savings
As part of the move toward more advanced
energy-saving techniques, hoteliers are
exploring comprehensive ways to integrate
lighting into building systems. Some hotels
now require a room keycard to be inserted
into a switch that activates lighting, heating,
air conditioning, and even radio or TV
controls. This simple change limits the
amount of energy wasted when systems
are activated but rooms are unoccupied.
Look to the Bright Side
FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 57
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58 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
SUPPLY LINE
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Demolition of the fountain opened up
the heart of the lobby and allowed Bentel +
Bentel to design an energetic, unied space
that boosted the number of seats from 30
to 200 and incorporated a sleek, urban so-
phistication to match the hotels downtown
location. The new spacious lobby features
106 large-format plasma TV displays, iPad
check-in kiosks, as well as four new dining
conceptsStetsons Modern Steak and Su-
shi, American Craft Kitchen and Bar, Mar-
ket Chicago, and Big Bar. The new restau-
rants and bars are part of the hotels push
to better monetize the lobby and make it a
destination spot in downtown Chicago for
guests, travelers, and locals, Donelly says.
Bentel + Bentel also added a new registra-
tion desk to foster better interaction between
staf and guests, created a boundary between
registration and the restaurant spaces to
improve ow, oriented the bar in the lobby,
enlarged the 24-hour food retail market, and
installed a new LED lighting system. Other
upgrades included a long, narrow band of
constantly owing water and a wall mural of
rippling water, creating a visual efect that il-
lustrates the hotels connection to the nearby
Chicago River.
For me, the greatest accomplishment
is the view when you come in front door,
with the lighting system coming up over
your head, ltering the sunlight that comes
through, the wall mural creeping up, the wa-
ter feature, Bentel says. It is an overarching
experience that allows you to see the lobby
as something all its own. It reads as a single
thing, rather than a lot of individual pieces.
The lobby transformation was the crown-
ing touch to the long overdue renovation
project, which also involved an overhaul
of all 2,019 guestrooms in the West and
East towers. And the investment is pay-
ing off, as more guests and local residents
are stopping by the lobby to explore the
renovated space and socialize. People are
just coming to meet and talk in the lobby,
and as a result, they grab a cup of coffee,
he says. Were gaining a local following for
our restaurants. People are now coming
for drinks after work and take out [dinner].
Guests are very happy.
By the Numbers
Rate for the new
specialty triplex suites
at The New York Palace
New culinary
destinations introduced
during the The New York
Palace renovations
Meeting space at the
Joule Dallas nearly tripled
in its expansion project
Large-format plasma
TV screens in the
revamped Hyatt
Regency Chicago lobby
Seats now available
in the Hyatt Regency
Chicago lobby, a boost
from only 30 before the
renovation
$25k
6
14k+
Sq. Ft.
106
200
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62 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
continued from page 45
Send updates on contact information and
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spa department revenue increased by 5 per-
cent at the properties in the survey sample,
while food and beverage revenue only grew
2.5 percent.
This data suggests hotel guests are
considering their health and wellness, or at
least focusing on reducing their stress levels
and having a relaxing travel experience, to be
important factors when choosing where to
spend their money at a hotel, Foster says in
the report. Although the economic downturn
caused the spa market to globally atten,
Harmsworth says it paid of in the long
run. It made all our spa directors and our
operations teams address the marketing and
nancial side in a much more focused way,
she says, and I dont think thats a bad thing.
PKFs experts say the opportunity for
hotel spas to achieve future growth will be
dependent on their ability to convert more
hotel guests to spa patrons, raise the price of
spa services, increase the number of treat-
ments per spa guest, and attract a greater
number of local patrons. To boost business,
Harmsworth says hotels should market spas
better internally, allow employees to test
out the spa so they can speak uently about
it, and train reservationists to book the spa.
The integration of sales and marketing is
absolutely key, she says. Yield management
in a lot of spas is poor, so they should be
addressing that with rostering and pricing.
They should be able to make their spas prof-
itable, but a lot of it comes down to marketing
and cost control.
Something as simple as measuring mas-
sage oils for the therapists rather than letting
them pour it directly from the bottles can
cut back on sales costs. ESPA has a cost of
product per treatment and its all quantied
so each therapist knows how much theyre
supposed to be using, Harmsworth says.
Massage, skin care, and bodywork treatments
continue to generate the most revenue at
hotel spas. According to PKF, these services
combined represented 72.6 percent of total
spa revenue at the properties surveyed and
grew by 4.7 percent in 2012. The quality of
the treatments will dictate whether hotels
garner a loyal following, Harmsworth says.
A common mistake U.S. hotels make is over-
hyping treatment descriptions on spa menus,
she adds. You cant overpromise, youve
got to deliver what you say. If you have an
Ayurvedic or Balinese treatment, you better
be sure its not just a Swedish massage with
a bit of herbs. The consumer is much more
savvy than that.
Renee Risch, director of sales and market-
ing at Solage Calistoga, says retail is another
way spas can increase their overall prot-
ability. Spa Solage has seen positive results
by selling house-branded items, such as a
take-home mudslide kit with samplings of
clay, ash, and essential oils, and by intro-
ducing designer clothing and jewelry. PKFs
survey shows that spa managers have been
successful at increasing the purchase of spa
merchandise and clothingretail revenue for
hotel spas grew by 6.6 percent in 2012.
The success of hotel spas comes down to
listening to customers and creating treat-
ments and programming they are willing to
pay for, Manning says. Spa is a competitive
environment. There are a lot of destination
resorts and there are a lot of local oferings
like Massage Envy. I think theres room for all
of them, theyre all doing something difer-
ent, but you just have to stand out among
your peer group and authentically deliver
something that the market wants.
As more hotels tout themselves as wellness
providers, Manning fears a rise in decep-
tive and misleading marketing, similar to
greenwashing. But ultimately, guests will
decide whats genuine and whats fake. I
think people are going to be able to discern
and theyre going to choose products and
places that ofer really authentic health and
wellness experiences, Manning says. I think
its going to be as prevalent and as expected
as green initiatives were, where they were
new in the relatively recent past, now its an
assumption, a requirement.
Although more hotels are catering to
health-conscious travelers and nding new
ways to integrate wellness, tness, and nutri-
tion, they will need to develop programming
that is sticky and sustainable to standout
from the crowd. While many are trying, it
cant just be the Emperors New Clothes, it
has to be lled with truly meaningful and
impactful ways of keeping the guest more
well, Bjurstam of Six Senses says. The races
have begun and there are enormous amounts
of initiatives. Well see which ones survive in
the long term.
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FEBRUARY 201 4 LODGI NGMAGAZI NE. COM 63
ADVERTISER INDEX
American Hotel & Lodging Association (AH&LA) ...........................................................................................................52
American Hotel & Lodging Educational Institute (AHLEI) ............................................................................................... 61
Applied Science Labs ...................................................................................................................................................63
Asian American Hotel Owners Assoc. (AAHOA) ............................................................................................................25
Best Western ............................................................................................................................................................... 12
Cicero Development Corp. ........................................................................................................................................... 31
Comcast....................................................................................................................................................................... 15
Continental Contractors ............................................................................................................................................... 57
Cruise Shipping Miami .................................................................................................................................................. 51
Day-Use .......................................................................................................................................................................29
DirecTV ............................................................................................................................................ Inside Front Cover, 1
Essential Amenities ......................................................................................................................................................50
Gilchrist & Soames .........................................................................................................................................................9
Global Safe Corp. .........................................................................................................................................................50
Hilton Hotels ...................................................................................................................................................................3
Hunter Hotel Conference ..............................................................................................................................................59
LaQuinta ......................................................................................................................................................................... 7
Lodging Green & Sustainability Conference and Expo ................................................................................................... 22
Magnuson ................................................................................................................................................ Back Cover, 55
Miracle Method ............................................................................................................................................................63
Motel 6 ...........................................................................................................................................................................5
Pellerin Milnor ...............................................................................................................................................................28
Pest Pro Thermal Systems ...........................................................................................................................................63
PGF Corp. d/b/a Southern Comm. & Elec. .....................................................................................................................63
Reeves Co. ...................................................................................................................................................................63
Safe Step .....................................................................................................................................................................63
Seesmart .....................................................................................................................................................................39
SoftVac ................................................................................................................................................Inside Back Cover
Steri-Fab (Noble Pine Products) ...................................................................................................................................58
VingCard Elsafe ............................................................................................................................................................ 19
Vintage Furniture ............................................................................................................................................................8
Vtech Communications .................................................................................................................................................17
Woodford/Watco Manufacturing...................................................................................................................................60
64 LODGI NGMAGAZI NE. COM FEBRUARY 201 4
ST. TROPEZ SPIRIT
We stripped away the previous
cacophony of materials and pattern
and replaced it with a refreshing,
simple palette of white xtures, light
stained oak, and Carrara marble,
Pushelberg says. The comfortable,
rich materials and furnishing in the
rooms and suites are a continua-
tion of the same soft palette found
throughout the hotel, reecting the
spirit of St. Tropez in Miami.
IN A GOOD LIGHT
Pushelberg explains that although his rm generally likes to add lighting behind the mirror
in bathroom renovations, the design and budget for this project couldnt accommodate it.
We used decorative sconces on each side of the vanity to provide ambient light and down
lights, which together eliminate shadows from the face, he says. Soft lighting from all
angles is the most attering.
CHECK OUT
AFTER A FIVE-MONTH RENOVATION, the Hotel Victor
South Beach reopened in September with new guestrooms
and a redesigned lobby and poolscape. The independent
property is owned by the Nakash family of Jordache Enter-
prises (creators of Jordache Jeans) and was formerly afli-
ated with Thompson Hotels. Design rm Yabu Pushelberg
brought modern-day standards to the Art Deco property
and made the guest bathrooms look upgraded without a full
overhaul. The bathrooms were one of the most challeng-
ing areas of this project, says Glenn Pushelberg, the rms
co-founder. Bathrooms are typically the most expensive
part of construction, and although we wanted it to appear to
be a complete gut, this was only a partial renovation.
OPEN DOOR POLICY
Translucent screens, inspired by European sash
windows, act as sliding doors that transition from the
guestroom into the bathroom. We wanted to open
up the relationship between the bedrooms and the
bathrooms, Pushelberg says. This allows for more
natural light to lter through, providing privacy while
maintaining an uncluttered, relaxed feel.
Hotel Victor South Beach Bathrooms
MIRROR, MIRROR
We removed the existing heavy vanity and replaced
it with a new wood X-based vanity, which is visually
lighter and more open and looks more like a piece of
furniture, he says. We also extended the mirrors
but framed them to give them a very residential feel.
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