Starwood is losing battle in Vegas
Jun 6, 2013, 2:18 pm
#16
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sorry but what can *W do lower their fees just in order to get in the door.If the owners of the hotels chose not to be a *W for whatever reason thats that. Lets not forget that Hilton lost both its Flagships Fountainbleu in MB and LVH in Vegas, both which used to be on their advertising
SLS was smart they werent known and *W helped them become known. But SLS didnt need *W any longer to be successful , so why pay all the fees when you already learnt all you need to from *W being with the LA hotel. SLS has its own following and doesnt need *W any longer. I too expect SLS LA to deflag once its present contract is up
SLS was smart they werent known and *W helped them become known. But SLS didnt need *W any longer to be successful , so why pay all the fees when you already learnt all you need to from *W being with the LA hotel. SLS has its own following and doesnt need *W any longer. I too expect SLS LA to deflag once its present contract is up
Jun 6, 2013, 2:34 pm
#17
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I may be wrong on this, but I haven't come across many *Wood locations worldwide that are gaming properties. Not in Macau. Not in Mississippi. Not in New Orleans. Not in Atlantic City. in fact in 1999 Park Place (then part of Hilton) bought Caesars from *Wood.
There are some *Wood gaming properties of course (San Juan, LV) and some hotels with funny little casino rooms like the Sheraton Cairo.
I just don't see Starwood as a gaming-focused group. In leisure sectors I perceive it to be more focused on big resort development. As a non-gamer myself I don't really mind its absence on the strip in LV. My guess is room rates are fairly unattractive in LV for a hotel operator; the casino floor and restaurants are where the $$$$$ is.
That said, the Vdara is my favorite property for this very reason! No smoking and no casino. ^
There are some *Wood gaming properties of course (San Juan, LV) and some hotels with funny little casino rooms like the Sheraton Cairo.
I just don't see Starwood as a gaming-focused group. In leisure sectors I perceive it to be more focused on big resort development. As a non-gamer myself I don't really mind its absence on the strip in LV. My guess is room rates are fairly unattractive in LV for a hotel operator; the casino floor and restaurants are where the $$$$$ is.
That said, the Vdara is my favorite property for this very reason! No smoking and no casino. ^
Jun 6, 2013, 2:43 pm
#18
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Jun 6, 2013, 2:44 pm
#19
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Caesars was sold to Harrah's and Steve Wynn bough the Desert Inn Hotel and Country Club (actually did a stock swap as his stock and interest in Mirage resorts was acquired by Kirk Kerkorian who also owned the MGM) where the Wynn and Encore are located today.
Sternlicht is still the head of Starwood Capital Group so I wouldn't look for a major casino property to be acquired by Starwood anytime soon.
The Planet Hollywood was a Starwood franchise until Harrah's took over then it just became a Harrah's (Caesar's Entertainment) property.
As far as existing properties the Westin (old Maxim) is not my idea of a Cat5 property, the Element is too far west to be a tourist destination and the Lake Las Vegas Westin (even farther away from the strip than the Element) lost a couple of stars when the Westin name was pasted over the Lowes name on the front of the building. Originally that opened as a Hyatt.
Jun 6, 2013, 2:48 pm
#20
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Jun 6, 2013, 2:48 pm
#21
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Sternlicht has nothing to do with Starwood Hotels & Resorts (HOT) since 2006.@:-)
Last edited by TerryK; Jun 6, 2013 at 2:57 pm
Jun 6, 2013, 2:50 pm
#22
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Funny you should say that. Starwood did own Caesar's Palace and the Desert Inn. Barry Sternlicht was 'uncomfortable' with high-rollers who could lose or win millions in a day. It was the millions in a day that terrified him. Now anyone who's been to Vegas (or any other casino) knows that if you win big you probably won't keep it. Barry dismantled the casino marketing departments so the win would be constant (constantly smaller) so the high rollers went to Bellagio, MGM, Hilton (now LVH) and other high end properties that were in the casino business - not the hotel business.
Caesars was sold to Harrah's and Steve Wynn bough the Desert Inn Hotel and Country Club (actually did a stock swap as his stock and interest in Mirage resorts was acquired by Kirk Kerkorian who also owned the MGM) where the Wynn and Encore are located today.
Sternlicht is still the head of Starwood Capital Group so I wouldn't look for a major casino property to be acquired by Starwood anytime soon.
The Planet Hollywood was a Starwood franchise until Harrah's took over then it just became a Harrah's (Caesar's Entertainment) property.
As far as existing properties the Westin (old Maxim) is not my idea of a Cat5 property, the Element is too far west to be a tourist destination and the Lake Las Vegas Westin (even farther away from the strip than the Element) lost a couple of stars when the Westin name was pasted over the Lowes name on the front of the building. Originally that opened as a Hyatt.
Caesars was sold to Harrah's and Steve Wynn bough the Desert Inn Hotel and Country Club (actually did a stock swap as his stock and interest in Mirage resorts was acquired by Kirk Kerkorian who also owned the MGM) where the Wynn and Encore are located today.
Sternlicht is still the head of Starwood Capital Group so I wouldn't look for a major casino property to be acquired by Starwood anytime soon.
The Planet Hollywood was a Starwood franchise until Harrah's took over then it just became a Harrah's (Caesar's Entertainment) property.
As far as existing properties the Westin (old Maxim) is not my idea of a Cat5 property, the Element is too far west to be a tourist destination and the Lake Las Vegas Westin (even farther away from the strip than the Element) lost a couple of stars when the Westin name was pasted over the Lowes name on the front of the building. Originally that opened as a Hyatt.
Jun 6, 2013, 2:54 pm
#23
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Not today but he was and was a major force in developing the present Starwood brand. He didn't like the fluctuations of gaming when SPG owned casinos.
Starwood Capital
Starwood Hotels & Resorts, Inc. (NYSE: HOT)
In February 1994, Starwood Capital acquired performing debt and exchanged it, together with assets of SOF I, II and other partnerships, for a 75% ownership interest in the nearly bankrupt NYSE-listed Hotel Investors Trust (HOT). With Starwood Capital acting as the acquisitions arm of the company between 1994 and 1998, HOT was transformed from an overleveraged, $8 million equity value liquidating REIT into a $20 billion global enterprise three years later. During this time, the company completed the $1.6 billion acquisition of Westin Hotels and the $14.6 billion acquisition of ITT Sheraton. Mr. Sternlicht served as Chairman and CEO of Starwood Hotels from January 1995 to May 2005, during which time he created W Hotels, built St. Regis into a global luxury brand from a single asset, revolutionized the four-star hotel category by launching the Westin Heavenly Bed and Bath and introduced the industry’s first “no blackout” frequent stay program with Starwood Preferred Guest. Starwood Capital exited its investment in Starwood Hotels in 2000.
Starwood Capital
Starwood Hotels & Resorts, Inc. (NYSE: HOT)
In February 1994, Starwood Capital acquired performing debt and exchanged it, together with assets of SOF I, II and other partnerships, for a 75% ownership interest in the nearly bankrupt NYSE-listed Hotel Investors Trust (HOT). With Starwood Capital acting as the acquisitions arm of the company between 1994 and 1998, HOT was transformed from an overleveraged, $8 million equity value liquidating REIT into a $20 billion global enterprise three years later. During this time, the company completed the $1.6 billion acquisition of Westin Hotels and the $14.6 billion acquisition of ITT Sheraton. Mr. Sternlicht served as Chairman and CEO of Starwood Hotels from January 1995 to May 2005, during which time he created W Hotels, built St. Regis into a global luxury brand from a single asset, revolutionized the four-star hotel category by launching the Westin Heavenly Bed and Bath and introduced the industry’s first “no blackout” frequent stay program with Starwood Preferred Guest. Starwood Capital exited its investment in Starwood Hotels in 2000.
Jun 6, 2013, 2:56 pm
#24
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Jun 6, 2013, 3:01 pm
#25
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I guess when an owner is looking to deflag from X or is building new construction, for whatever reason *W seems not to be in the ballpark.
Jun 6, 2013, 3:04 pm
#26
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Not today but he was and was a major force in developing the present Starwood brand. He didn't like the fluctuations of gaming when SPG owned casinos.
Starwood Capital
Starwood Hotels & Resorts, Inc. (NYSE: HOT)
In February 1994, Starwood Capital acquired performing debt and exchanged it, together with assets of SOF I, II and other partnerships, for a 75% ownership interest in the nearly bankrupt NYSE-listed Hotel Investors Trust (HOT). With Starwood Capital acting as the acquisitions arm of the company between 1994 and 1998, HOT was transformed from an overleveraged, $8 million equity value liquidating REIT into a $20 billion global enterprise three years later. During this time, the company completed the $1.6 billion acquisition of Westin Hotels and the $14.6 billion acquisition of ITT Sheraton. Mr. Sternlicht served as Chairman and CEO of Starwood Hotels from January 1995 to May 2005, during which time he created W Hotels, built St. Regis into a global luxury brand from a single asset, revolutionized the four-star hotel category by launching the Westin Heavenly Bed and Bath and introduced the industry’s first “no blackout” frequent stay program with Starwood Preferred Guest. Starwood Capital exited its investment in Starwood Hotels in 2000.
Starwood Capital
Starwood Hotels & Resorts, Inc. (NYSE: HOT)
In February 1994, Starwood Capital acquired performing debt and exchanged it, together with assets of SOF I, II and other partnerships, for a 75% ownership interest in the nearly bankrupt NYSE-listed Hotel Investors Trust (HOT). With Starwood Capital acting as the acquisitions arm of the company between 1994 and 1998, HOT was transformed from an overleveraged, $8 million equity value liquidating REIT into a $20 billion global enterprise three years later. During this time, the company completed the $1.6 billion acquisition of Westin Hotels and the $14.6 billion acquisition of ITT Sheraton. Mr. Sternlicht served as Chairman and CEO of Starwood Hotels from January 1995 to May 2005, during which time he created W Hotels, built St. Regis into a global luxury brand from a single asset, revolutionized the four-star hotel category by launching the Westin Heavenly Bed and Bath and introduced the industry’s first “no blackout” frequent stay program with Starwood Preferred Guest. Starwood Capital exited its investment in Starwood Hotels in 2000.
That is most likely why Terry K and I made similar posts.
Jun 6, 2013, 3:23 pm
#27
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Not today but he was and was a major force in developing the present Starwood brand. He didn't like the fluctuations of gaming when SPG owned casinos.
Starwood Capital....
Starwood Capital....
I wish Starwood Capital were still part of Starwood Hotels & Resorts as Baccarat Hotels & Resorts will be a wonderful addition.@:-) Starwood Capital owns many other hotels, a few are under Starwood brands, most aren't. Four Starwood Capital owned hotels in France were recently sold and became Hyatt Hotels.
Last edited by TerryK; Jun 6, 2013 at 3:48 pm Reason: grammar
Jun 6, 2013, 3:37 pm
#28
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I'm sure there are people who visit Vegas today who have never heard of the Desert Inn, much less the Dunes or Hacienda. Personally I liked the Tropicana Golf Course better than the MGM Grand.
Jun 6, 2013, 6:52 pm
#29
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(couldnt resist sorry for taking the thread OT)
Jun 6, 2013, 7:10 pm
#30
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A W would probably fit in Vegas perfectly IMHO the problem is Vegas has way too many hotel rooms. The last thing they need is more hotel rooms right now. Maybe a property could be re branded into a W? I think they will work on getting something over time at a good value.