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Multiple hotels in the same complex/building
I'm starting this thread out of curiosity more than anything else because it doesn't have much financial relevance to me (as someone who is not an institutional investor).
I'lll kick things off by providing a few examples I know about, off hand (all in Asia, for better or for worse, but I assume this a global thing). Conrad // SL Hong Kong (two, identical from the outside, towers in the same complex) GH .// Ren HK (I think they actually are in a single building, but have separate entrances; they share the pool) Le Meriden // Hilton Kuala Lumpur (same building and lobby; there's basically an invisible line running down the middle of the lobby) JW // RC Beijing China Central Place (different sized buildings about 250 meters apart) Hyatt Place // Hyatt House Shenzhen Airport (from the outside, the two buildings look identical) Questions/comments: -More examples are welcome -Can I assume that most of these places have the same owner (per location)? -If so, does the benefit of brand diversification offset the cost of dealing with multiple management companies? (I have some guesses on this point, but I'll hold them back until further comments come in) -the hotel within a hotel concept (e.g. high floors are a sub brand) seems like a different case to me, but how is this better/worse than simply selling high floors as club level? |
Originally Posted by moondog
(Post 35301856)
If so, does the benefit of brand diversification offset the cost of dealing with multiple management companies? (I have some guesses on this point, but I'll hold them back until further comments come in)?
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My husband is from Montreal and recently two (four?) of these have opened near his parents. We've stayed at the Hilton Garden Inn/Homewood Suites. (There is a Marriott equivalent a block or two away.) The oddest thing about the experience was that they were separate Wi-Fi networks. Why?
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I've noticed this a bit in the US too with some Hilton brands. I would definitely guess that these are under the same owner. Perhaps there are some tax, personnel, and/or marketing advantages that we are not given context to.
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By CDG there has long been this kind of thing. Nowadays there is also the Hyatt Place and Hyatt House sharing lobby and facilities.
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In Mexico City, there's a combined Fairfield/Courtyard....Same building attached to a shopping center. Half the floors for one chain, half for the other, as I recall. They may have shared breakfast facilities. Can't remember about check-in.
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Originally Posted by mecabq
(Post 35302573)
Are there usually multiple management companies? This phenomenon seems to be more and more common; I assume that one benefit is an economy of scale -- you can have multiple brands appealing to a wider range of customers (to a greater extent than you could with a club floor for example) with some common facilities such as a single central kitchen or functions like sales, maintenance, housekeeping, and back-office. Maybe mundane things too like larger-volume purchasing for items used at all of the brands. It could be the same management company even if it were different brand owners, like a couple of your examples.
1. Hyatt Place and Hyatt House (everywhere these new builds exist)- probably one management company 2. JW Marriott and RC in Beijing - both are Marritoot brands, but I think cooperation is minimal, though there are also some Marriott Executive Apartments in the complex, so economies of scale are probably good 3. Pacific Place HK - I did a little research and it appears that Swire has 20% equity in each of the three hotels (JW, Conrad, Island SL), but each of them are managed very independently |
Originally Posted by chgoeditor
(Post 35302586)
My husband is from Montreal and recently two (four?) of these have opened near his parents. We've stayed at the Hilton Garden Inn/Homewood Suites. (There is a Marriott equivalent a block or two away.) The oddest thing about the experience was that they were separate Wi-Fi networks. Why?
All the ones I've stayed in have the little plaque saying something like "operated by XXXX under license from Giant Hotel Chain International" indicating they have the same ownership. |
One interesting one is the Marriott Marquis in Doha that used to be a Renaissance, Courtyard, and Marriott Executive Apartments spread across two towers that were then all merged into one hotel - albeit with different stylings in the rooms based on which tower you are assigned.
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LM and Westin in Manama. Shared pool/fitness. Restaurants seem to be cross marketed.
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Austin has a combo Courtyard and Residence Inn. Columbus OH used to have a combo Marriott/Residence Inn, but not sure if it is still there.
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A number of resorts in Las Vegas do this. Resorts World, for example, has three Hilton properties--a Hilton, a Conrad, and a Crockfords. Mandalay Bay has a Four Seasons in one of its towers.
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Originally Posted by Scott in LA
(Post 35304366)
A number of resorts in Las Vegas do this. Resorts World, for example, has three Hilton properties--a Hilton, a Conrad, and a Crockfords. Mandalay Bay has a Four Seasons in one of its towers.
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Originally Posted by Scott in LA
(Post 35304366)
A number of resorts in Las Vegas do this. Resorts World, for example, has three Hilton properties--a Hilton, a Conrad, and a Crockfords. Mandalay Bay has a Four Seasons in one of its towers.
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In BOM, the Oberoi (the better one) and the Oberoi Towers share a single large complex. They’re completely separate hotels, but they share the conference/banquet facilities.
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