Hotel Construction in Major Markets & 2nd Tier Cities is Signaling Growing Strength

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Alohilani Resort Waikiki Beach

New Builds Signal Growing Strength of Independent Hotels, New Entrepreneurial Brands, as a Dozen Teneo Member Hotels Open 2017-2018

Construction Trends Span Independent Properties, Leading Brands, Major Markets, Second Tier Cities, Historic Restoration, Contemporary Design

Eden Prairie, MN, October 2017 … New hotel construction in major markets and second tier cities is signaling the growing strength of independent hotels and smaller entrepreneurial brands. The new properties span urban hotels, resorts, historic restorations, and anchors of major redevelopment programs, emerging business districts and dynamic new sports and entertainment complexes. They are breaking new ground in the areas of sustainability, art and architecture, historic preservation, food and beverage service and design, and using modern technology to create new meetings and guest experiences.

“This year and in 2018, we will see more than a dozen new Teneo-member hotels opening in the US, Mexico and Spain,” says Mike Schugt, president of Teneo Hospitality Group, the premier global firm representing 300+ independent and luxury branded hotels, resorts and DMCs. “These innovative and farsighted entrepreneurial efforts are found across the industry spectrum, in independent properties, in newer boutique brands such as Salamander Hotels & Resorts, Solis Hotels & Resorts, 1 Hotels, Heritage Hotels & Resorts, the Sydell Group, and in major-brand players such as Marriott International, Omni Hotels & Resorts and InterContinental Hotels & Resorts.”

1. New builds are part of ambitious redevelopment programs. The InterContinental Washington DC – The Wharf is part of a dynamic new hub of hotels, restaurants, office buildings and residences now rising on the banks of the Potomac River. Omni Hotel at The Battery Atlanta is a cornerstone of the mixed-use area adjacent to SunTrust Park, the home of the Atlanta Braves. At Hartsfield Airport, the recently opened Solis Two Porsche Drive plays a key role in the emerging Atlanta Airport Business District. Frisco, Texas is part of the Dallas/Ft. Worth metroplex where the new Omni Frisco Hotel is the official hotel of the Dallas Cowboys and located in the team’s new Star Headquarters stadium and office complex. The Omni Louisville Hotel, a 610-room luxury hotel, is rising over the city as part of a new development of offices, clubs, restaurants and residences.

2. Hoteliers continue to see the investment potential in historic properties. Two of Teneo’s recently-opened member hotels occupy historic buildings being revamped and reopened. The LINE Hotel, DC will be reborn in an historic church and the NOPSI Hotel, New Orleans, is now open in the city’s former public utilities building, a National Historic Landmark. Notes Mike Schugt, “While renovating these properties and preserving their ambiance is expensive, the individuality and historic significance of these hotels are a strong marketing advantage. And, the construction of these buildings is far more sound than those built more recently, making them an excellent investment.”

3. Interior and exterior designs are breaking new ground and providing a sense of place. Hoteliers realize that cookie-cutter architecture and predictable guestroom interiors are no longer competitive in today’s environment. 1 Hotel Brooklyn Bridge boasts a stunning interior design that pays homage to nature and Brooklyn’s nautical history. With a spectacular $115 million redevelopment underway, the ‘Alohilani Resort Waikiki Beach features a spectacular 280,000-gallon oceanarium in the lobby. The Hotel Chaco’s stunning design is inspired by the architecture and ancient Native American civilization of the UNESCO World Heritage Site, Chaco Canyon, New Mexico. Located in Albuquerque, the hotel’s interiors are a modern version of the centuries-old pueblos and accented by Native American art and sculpture.

4. Recycled materials enhance construction and design. Recycled materials are being used in both new builds and reconstruction of historic hotels. The new 1 Hotel Brooklyn Bridge uses recycled local wood and metal to create art and furniture to reinforce the hotel’s nature-inspired design aesthetic. Designers used wood flooring from an old Brooklyn distillery, and artifacts that reflect the legendary borough’s history.

At The LINE Hotel, DC, the wood from the pews in the former church has been used in the lobby and pages from old hymnals have been framed and displayed. NOPSI Hotel, New Orleans began as the city’s public utilities building and its original ironwork, soaring ceilings and majestic windows have been preserved and repurposed.

5. While the farm-to-table trend continues, new restaurant concepts are emerging, including those created by celebrity chefs. ‘Alohilani Resort Waikiki Beach boasts two restaurants by celebrity chef Masaharu Morimoto. At The LINE Hotel, DC, two award-winning young chefs, Erik Bruner-Yang and Spike Gjerde, are creating three new restaurant concepts, one serving American classics with a Taiwanese twist, one with local Mid-Atlantic fare and another focused on a tasting menu.

6. Hotels are built to create new and unique guest experiences. At the rapidly expanding Atlanta Airport Business District the new Solis Two Porsche Drive overlooks the Porsche Experience Center at Porsche’s North American Headquarters. The Center’s 1.6-mile driver development track is great for teambuilding and just plain fun. Guests can drive with a professional instructor, view cars in the Heritage Gallery, challenge skills in a Simulator Lab and browse in the Porsche Retail Store. Omni Louisville Hotel will include a Speakeasy with a bowling alley and a high-end lifestyle and grocery store. The Grove Resort & Spa Orlando overlooks Lake Austin Nature Preserve where guests can fish, or take to the water aboard a variety of vessels from kayaks to electric boats. In 2018, the resort will open a spectacular Safari Water Park.

7. Local artists and artisans bring a sense of place, history and aesthetics. The Hotel Chaco in Albuquerque features the work of several of New Mexico’s leading Native American artists throughout the hotel, with contemporary painting and sculpture, fabric designs and crafts. In Barcelona, Spain, SOFIA is fresh from a multi-million-dollar renovation with stunning architecture and modern art that reflects the work of Barcelona’s legendary artists, Salvador Dali and Joan Miro. The soaring lobby showcases white and gold mobiles in the modern, geometric shapes they favored.

At 1 Hotel Brooklyn Bridge, local artists and artisans have provided original artworks, textiles and sculpture. All of the artwork in the NOPSI Hotel, New Orleans is inspired by transportation themes reflecting the hotel’s original theme as a transit hub and home of New Orleans’s fabled streetcars. At Omni Louisville Hotel, work by local artists reflects the city’s equestrian heritage and will be displayed in the lobby art gallery.

8. An Emphasis on Wellness. Most of the new build properties offer full service spas. The all-inclusive Le Blanc Spa Resort Los Cabos has a 29,000-square foot spa with 25 treatment rooms, a hydrotherapy facility, and a fitness center with personal trainers and numerous exercise classes. Omni Frisco Hotel offers a Dallas Cowboys Fitness Package based on the same exercise programs used by the legendary football team and its cheerleaders. At 1 Hotel Brooklyn Bridge, the internationally famous Bamford Haybarn Spa is open, offering holistic treatments and organic products.