Facing Up to the New Reality — Escalating Luxe Hotel Rates
#1
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Join Date: May 1998
Location: Palo Alto, CA, USA
Posts: 3,222
Facing Up to the New Reality — Escalating Luxe Hotel Rates
We’ve (well, some of us) have been grumbling about the relatively recent escalation in luxe hotel rates for a while, since pandemic times. Here’s a thread to centralize those comments and reactions, prefaced with this article from The Telegraph:
Starting rates at London's new Raffles and Peninsula hotels mean the capital is following in the footsteps of Paris
https://archive.ph/KSQLo
The Ł1,000-a-night hotel is here to stay – this is how they justify the absurd prices
The Telegraph, 1 Nov 2023Starting rates at London's new Raffles and Peninsula hotels mean the capital is following in the footsteps of Paris
https://archive.ph/KSQLo
The world's Ł1000-a-night hotels:
The Peninsula London
Price per night: Ł1,100
Aman New York
Price per night: Ł3,176
Hôtel de Crillon, Paris
Price per night: Ł1,381
Raffles London at the OWO
Price per night: Ł1,300
Bulgari Hotel Paris
Price per night: Ł1,319
#3
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Join Date: May 1998
Location: Palo Alto, CA, USA
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I don’t have an issue (much) with paying well over $1K per night but I almost always book a suite, never entry level, so the rate escalation does have a deleterious effect on my travel expectations.
#4
Join Date: Oct 2014
Posts: 264
Yes, I too have noticed a sharp spike in luxury hotel rates--much more so than with mid-range properties. Belmond Maroma, in Mexico, used to be around $400 per night; now it's around $2000 per night. I stayed at the Carlyle in NYC pre-pandemic for about $600 per night; now it's around $1400. I also had reservations at the Faena in 2020 that I had to cancel due to the pandemic; the rate then was around $500 per night, and now it's just over $1000.
#5
Most of us in this forum are used to paying for quality but the new reality is nickel and diming, cutbacks and just pure greed on the part of many properties.
Last edited by Aventine; Nov 2, 2023 at 12:54 pm
#6
I've decided to cut back next year. Whether I can do it is another question. But it's perverse what you spend on travelling. When I think of a 16-night holiday and nothing under €2,000 (I'd already limited myself in some cases!), it's actually crazy. In Italy, I've now paid almost €1000 a night in a "decent" hotel. The Intercontinental Malta charges at least four-figure rates for a proper suite, something reasonable costs €2000. I once stayed there in 2008. A lot may have changed since then and the suites didn't even exist back then, but I don't remember it being particularly luxurious. And I had different expectations in 2008 than I do today.
So, enough grumbling. I have to write something about Villa Feltrenelli in my trip report. At €2,200.00, my suite was almost a bargain compared to many of the others I saw.
#7
This is part of the reason that I’ve been focusing on Asia a lot recently. Rates are still a lot higher than pre-pandemic, but a lot of great hotels can still be had for $500-700 a night (not for suites though).
As for what’s in store for the future, Hawaii seems to be coming down some, so I’m a bit hopeful that the rest of the world follows suit with more realistic prices soon.
As for what’s in store for the future, Hawaii seems to be coming down some, so I’m a bit hopeful that the rest of the world follows suit with more realistic prices soon.
#8
Hope it for a while. But here is another example. Stayed last month at Il Pellicano (absolute low season, 2 weeks before closing), booked it last year in August. OK, booked Suite Argentario which is their top-suite. Price was 2184 € per night. When I had a look later on the days before and after it was around 4.000,00 €. At least next year same time it's "only" 3000,00. So prices go down
#9
Join Date: Jan 2010
Location: SFO
Posts: 1,754
Hotel rates hit different for the middle class as well. What used to be $300 a night is now $550 or more. Adds $1750 or more to a trip, and its just not worth it.
We end up staying in serviced apartments for less than a hotel, with more space. You lack in service, but overall its much better.
We end up staying in serviced apartments for less than a hotel, with more space. You lack in service, but overall its much better.
#10
Join Date: Sep 2009
Location: Europe
Posts: 2,600
Some of it is inflation, lots of it is just demand ("revenge travel"). When I talk to GMs, lots of them are telling me they are selling less rooms at higher rates, which ends up working better because of staff shortages. So they'd rather focus on less volume at higher revenue.
I think some of it will come down eventually, but not to pre-pandemic levels.
Looking at rates in Paris and Dubai... haha!
I think some of it will come down eventually, but not to pre-pandemic levels.
Looking at rates in Paris and Dubai... haha!
Last edited by scented; Nov 2, 2023 at 4:43 pm
#11
Some of it is inflation, lots of it is just demand ("revenge travel"). When I talk to GMs, lots of them are telling me they are selling less rooms for higher rates, which ends up working better because of staff shortages. So they'd rather focus on less volume at higher revenue.
I think some of it will come down eventually, but not to pre-pandemic levels.
Looking at rates in Paris and Dubai... haha!
I think some of it will come down eventually, but not to pre-pandemic levels.
Looking at rates in Paris and Dubai... haha!
#12
Join Date: Sep 2009
Location: Europe
Posts: 2,600
I'll gladly wait until they come to their senses. Too many other exciting destinations, plus looking at IQ Air for Dubai these days -- I'd rather not spend 3,000 USD per night and breathe that air for a week...
#13
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Location: Palo Alto, CA, USA
Posts: 3,222
There are yet good deals to be had. I just booked five nights in a master pool suite at Casa Que Canta for $500/nt. I didn’t intend to but the combination of outstanding rate and a non-stop flight home overcame my budget sense.
#14
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This is not surprising when in the same location (city/metro center) of these luxury hotels, even mid-tier hotels are often seeing $400 nightly rates.
I was reliably told people regularly staying in these properties money is never an issue. Enjoy!
I was reliably told people regularly staying in these properties money is never an issue. Enjoy!
#15
Agree, even today you can find good rates. My aim is to organise my trips accordingly next year. There are enough interesting destinations and I plan to travel wherever I can find a good deal.