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Cho : It largely comes down to shifting consumer trends . Post-COVID , travelers realized they still can have a memorable experience if they don ’ t want to splurge on luxury , and that midscale hotels can serve as affordable and reliable alternatives for “ staycations ,” which became more popular during and following the pandemic . For owners , midscale properties and brands provide a financially accessible entry point with solid returns . Generally , they have lower capital requirements , stabler financial projections and are not as reliant on food-and-beverage revenue .
Garner hotels also offers beneficial flexibility . One of the biggest hurdles right now is the
IHG execs Jennifer Gribble and Karen Gilbride with Andy Cho of S1 Hospitality Management .
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high cost of capital due to higher interest rates , which make the financing of new developments more expensive . A conversionready brand arguably has more appeal in today ’ s market for the ability to work within existing properties , save on new-build costs and ramp up revenue quickly . As we began developing our plans for what would become Garner Auburn – Seattle , IHG helped streamline the conversion process and provided support to navigate logistical pressures and financial challenges . |
HOTELS : How else has your collaboration with IHG supported the hotel ’ s development and performance ?
The ‘ Make It Yours ’ hot breakfast includes sandwiches , egg bowls , yogurt parfaits , fruit and more .
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Cho : As cliché as it sounds , I couldn ’ t have done it without them . I ’ ve converted a lot of hotels in my career , so I know what it takes , but working with IHG felt like an “ All-Star Weekend .” Everyone was focused on their part of the process : From the corporate team to the support on the ground , they made it easy for us to hit our timelines and open the property quickly . It was a well-oiled machine from start to finish and definitely sets the bar for what ’ s possible in future projects .
HOTELS : One year in , how would you sum up your experience as a Garner hotels owner ? Cho : It ’ s been incredible . There ’ s a lot going on in the market , but from a property performance standpoint , Garner has exceeded my expectations . We ’ ve seen more corporate accounts with higher negotiated rates and more bookings from IHG One Rewards loyalty members than we anticipated . The IHG One Rewards loyalty program especially has offered a huge advantage in driving repeat business , filling occupancy gaps and relying less on OTA business . The property has outperformed other hotels nearby , even though in comparison we sometimes have up to 30 fewer rooms , which shows just how much potential this brand has in our area and beyond . It ’ s not something I expected to happen so quickly – the rates have been higher , the occupancy has been great
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and the performance has been incredibly competitive .
HOTELS : Looking ahead to year two , what are your goals for Garner Auburn – Seattle ? Cho : We have a big year ahead . We decided to order the new FF & E ( furniture , fixtures and equipment ) package that IHG has developed for any Garner hotel requiring complete renovation . We ’ re continually evaluating ways to elevate the guest experience even further . We ’ ve set some ambitious goals for the next year , but based on how things have gone so far , I ’ m confident we ’ ll hit them .
Additionally , our experience with Garner Auburn – Seattle has gone so well that we are exploring potential new opportunities with the brand in and outside of our region .
HOTELS : Why would you recommend a Garner hotel as a wise investment to other owners and developers ? Cho : It ’ s a no-brainer . For anyone coming from a smaller , midscale brand and upgrading to a Garner hotel , there ’ s really no comparison . The support , the IHG One Rewards loyalty program connection and the overall brand potential all are top-notch . I simplify it by looking at the STR report to gauge how a property is performing compared to where it could be as a Garner hotel . If the numbers make sense , it ’ s an easy investment decision . And with Garner hotels , you know you ’ re getting a brand that can work in every market .
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December 2024 hotelsmag . com 13 |