The hospitality industry’s New York state of mind

From checking out the artsy scene at MoMA and Broadway to wrangling a reservation at a celebrity chef’s eatery, from getting right in the thick of the action in Times Square to taking it all in from the top of the Empire State Building, and from sampling vino in the Finger Lakes to getting soaked at Niagara Falls, there is something for everyone in New York. And according to the New York State Tourism Industry Association, “Tourism directly supports more than 914,000 jobs and generates billions of dollars in direct spending across the Empire State each year, including more than $63 billion in 2015‒16. The recently enacted [fiscal year] 2017‒18 New York State Budget includes $70 million... to further boost the already significant impact through statewide tourism promotion.”

Lodging Econometrics Data

Data by: Lodging Econometrics

With this constantly evolving tourism market, hoteliers are tasked with adding something new and unique to the already hotel-heavy streets of the state. Slated to have a record number of new hotel openings in 2017, New York is leading the U.S. hospitality scene. In an exclusive Q1 report shared with hT, Lodging Econometrics reports as many as 304 projects currently in the pipeline stage. The largest of these is the 655- room Pod Times Square Hotel, slated to open in October 2017. This will edge out the 612-room DoubleTree by Hilton Times Square West that opened in February 2017.

NEW YORK CITY

With more than one hundred new developments taking place in Brooklyn, Queens, and Manhattan, there is a lot to keep your eye on. International property consultancy firm JLL called New York “the most liquid hotel investment market in the world.” In their Hotel Intelligence New York report, they forecast that hotel performance would be under continued pressure in 2017, “given the city’s elevated supply pipeline, economic volatility in major source markets, and the impact of home-sharing sites.” Still, they predicted, “New York will remain hotel investors’ top global target.”

Adelphi Hotels

Adelphi Hotels, Saratoga Springs (Image courtesy: Tony Hisgett via Wikimedia Commons)

Curtiss Hotel

Curtiss Hotel built inside historic Harlow C. Curtiss building (Image courtesy: Curtiss Hotel)

NYC & Company is New York City’s tourism arm. Their Q1 report, “Hotel Development in NYC: 2015 to 2019,” boasts: “From the Bronx to Staten Island, the city continues to attract new developments in luxury hotels, boutique and lifestyle brands, independent and affiliated properties, ranging in size from just 14 rooms to 600 or more.” According to the report, “The active inventory for visitor accommodations stands at over 112,000 rooms with at least another 25,000 rooms in the short and long-term pipeline. The current pipeline tracking covers 151 properties across the five boroughs and representing the full spectrum of hotel experiences.”

Pod I

Pod Times Square Hotel (Image courtesy: Pod Times Square Hotel)

Double Tree by Hilton Times Square Hotel

DoubleTree by Hilton Times Square Hotel (Image courtesy: ©2017 DoubleTree)

The JLL reports states that “half of the new supply scheduled to open between 2016 and 2018 will be located in Midtown Manhattan, and one third will be located in Downtown New York. However, as a percentage of existing supply, Downtown is projected to see the largest increase among the main submarkets with 12 percent annual growth through 2019.”

TALK OF THE TOWN

Ian Schrager dominates the NYC skyline

After the success of Public Hotel in Chicago in 2011, the septuagenarian Ian Schrager continues to create waves as he opens the first Public Hotel in New York City. The man who invented the boutique hotels brings the brand new concept of “luxury for all” on Chrystie Street on Manhattan’s Lower East Side. The 367-room property offers rooms for an introductory price of $150 for the bookings made before August 2017.

Ian Schrager

Ian Schrager: Entrepreneur and hotelier (Image courtesy: LE Miami via Vimeo)

SLS Hotel Park Avenue

Park Avenue has been a long time hotspot for hospitality because of its history and central location. The new hotel is scheduled to open in 2017 in a new, trendy neighborhood in Manhattan. The hotel development will be run by a collaboration of sbe, a creative, luxury hospitality company, and Manhattan-based designer Philippe Starck. The hotel will also feature a luxury food and beverage program by chef José Andrés

TWA Hotel

The TWA Hotel is a one of a kind location and a unique design, located in the old terminal of the JFK airport. The hotel will feature 505 rooms and will provide convenient access to attractions in and around Queens. To read more about the people behind this project, see Industry Spotlight (pg 44).

SLS Hotel Park Avenue rendering (Image courtesy: SLS by sbe)

OTHER RECENT ATTRACTIONS (2017)

  • 1 Hotel Brooklyn Bridge Park; 192 rooms eco luxury brand hotel located in Brooklyn Bridge Park, with views of and access to the East River
  • The LOOK Hotel, a new boutique hotel property in the Red Hook neighborhood of Brooklyn, NY, is among the latest independent hotel properties to join the Ascend Hotel Collection by Choice Hotels International, Inc.
  • Four Points by Sheraton Midtown West; 148 rooms located between West 34th and 35th streets, will have a large restaurant on the ground floor

PROPOSED PROJECTS

  • Brooklyn: 25 projects under development; approximately 2,840 new rooms
  • Manhattan: 59 projects with 14,370 new rooms
  • Queens: 34 projects with 5,071 new rooms

POTENTIAL HIGHLIGHTS

  • James Hotel: 317 rooms located on 88 Madison Ave at East 28th street; plans are to convert the Beaux Arts Carlton Hotel to the city’s second James Hotel Brand, surrounded by the excitement of Madison Square Park
Lodging Econometrics data

Data by: Lodging Econometrics

  • Aloft Hotel Hudson Yards: 438 rooms on 11th Avenue and W 37th Street, 18-story new hotel across from the Jacob K. Javits convention center, links Hudson Yards and Midtown
  • Hard Rock Hotel New York: 445 rooms on West 48th Street
  • The Artezen Hotel: 128 rooms located in lower Manhattan; will offer a high end hotel experience in a constantly evolving area
  • Six Senses New York: 139 rooms located in Queens, HFZ Capital Group in NYC is developing this luxury hotel comprised of two soaring towers designed by award winning design group Bjarke Ingels Group
BUFFALO

Deep in history and with Niagara Falls surrounding the city, Buffalo’s recent openings are appropriately historical and beautiful. The two buildings that once were the landmarks of the city are given a facelift.

The Curtiss Hotel, built inside of the historic 1913 Harlow C. Curtiss building, opened to the public on June 30. The 68-room full-service hotel, which was first proposed eight years ago, is now taking reservations.

The hotel is owned by developer and hospitality entrepreneur Mark Croce and will be part of Choice International’s Ascend Collection of independent hotels. The hotel features high-speed elevators that “whisk you onto your floor or our rooftop lounge with spectacular panoramic views of downtown Buffalo, Lake Erie, and the Canadian shoreline.” The VUE Rooftop Lounge is slated to open on July 15.

The hotel’s lounge, Chez Ami, is gaining a lot of attraction. The name might ring a bell for many who recall the “Chez Ami Supper Club,” which is considered to be the first supper club and the first rotating bar of the U.S. According to the hotel website, “The lounge with a 200-plus patio seating capacity along West Huron Street is New York’s only revolving bar.”

Scheduled to open this year, Hyatt Palace Hotel in Niagara Falls, developed by Hamister Group LLC will have 128 rooms. The $35 million project broke ground in July 2016, and will include a six-story, 128-room Hyatt Place Hotel that will feature up to 6,600 square feet of meeting and banquet space (including the outdoor patio) on the top floor and 7,000 square feet of retail space facing Old Falls Street. Hamister Group LLC is also developing DoubleTree by Hilton Hotel in Jamestown, which is approximately 90 minutes from Buffalo. This is a 147-room full-service hotel.

TRICO BUILDING MAKEOVER

According to the Buffalo Urban Development Corporation (BUDC), the 617,000-square-foot complex was built in stages from 1890 to 1954 and includes five industrial buildings, which occupy an entire city block.

Trico building

Trico building (Image courtesy: Wikimedia Commons)

The Buffalo News reports that Peter Krog of Krog Corp. plans to spend $80 million to convert the former windshield wiper factory into a “120-room extended-stay hotel operated by [Buffalo-based Hart Hotels Inc.] There’s also as many as 185 studio, one-bedroom and two-bedroom loft-style, market-rate apartments, ranging in size from 500 to 1,200 square feet.” The plans also call for 35,000 square feet of office space, 86,000 square feet of additional commercial space, and 12,000 square feet of retail or food and beverage space, with completion and occupancy by late 2018.”

The project, which was first unveiled in early 2014, was delayed by the need to get approval for historic and brownfield cleanup tax credits. It received initial city approvals last year, and the purchase was completed in May.

ALBANY

Another “old-timer” slated to open at Saratoga Springs is Adelphi Hotels that is being developed by Richbell Capital, which purchased it in 2012. The 150-year-old historic boutique hotel has been reimagined for millennials after a series of renovations and construction, giving the Victorian decor a new twist. At press time, there was heavy speculation that the hotel would open on July 5, which is the 130th anniversary of the Adelphi Hotel.

Rivers Casino & Resort Schenectady are launching The Landing Hotel, which is set to open mid-July. The 165-room hotel is situated beside the scenic Mohawk River. The casino also gives the guests of the hotel a unique gaming experience.

By Dhwani Pathak Dave and Ravi Tewari