Running Around With This Hotel Owner
He owns the property, and offers hands-on personal fitness too
By Rob MacKnight
How many hotels have you stayed in where you’re invited to get fitness training or run 3.5 miles…with the hotel’s owner?
Bob Rauch (far right), keeps his hotel guests on the run.
Meet Bob Rauch. He shares his healthy lifestyle in a hands-on manner as he runs and works out with hotel guests at his Hilton Garden Inn and Homewood Suites in Del Mar.
The two properties attract many business travelers. The 7 a.m. runs and grunt sessions provide an ideal outlet for guests to receive personal instruction, sweat hard and attack their days with clear heads. Among other regulars, the properties are home-away-from-homes to entertainers who pass through town to perform at the Del Mar Race Track.
(more…)
Wine Maker’s Dinner Returns to Del Mar
Bistro 39 at the Hilton Garden Inn, San Diego/ Del Mar to Host Event
SAN DIEGO, Calif (May 19, 2010) – Stanger Vineyards and Bistro 39 Exec
utive Chef, Larry DiFolco are teaming up to present a five course Paso Robles Winemaker’s Dinner, June 10 at the Bistro 39 ballroom, attached to the Hilton Garden Inn, San Diego/ Del Mar. A reception will begin at 6:30 PM, while the dinner will begin promptly at 7:00 PM. The Paso Robles Winemaker’s dinner runs $39++ per person.
(more…)
New Leadership Takes Reins At Hilton Campus, San Diego/ Del Mar
Matt Seamons andAmy Buitenhek promoted ,Viera Kovalejva Hired
SAN DIEGO, Calif (Apr. 1, 2010) – The Hilton Campus, San Diego/ Del Mar is pleased to announce Matt Seamons is the new General Manager, Amy Buitenhek is the new Assistant General Manager, and Viera Kovalejva is the new Director of Sales for the Hilton Garden Inn, San Diego/ Del Mar.
(more…)
Serenity Spa Featured in Lodging Magazine
Serenity Spa and Salon, an integral part of the Hilton Campus San Diego, is featured in April’s issue of Lodging magazine. “Personalize, Economize and Socialize” highlights new trends in Spas. Leading the trend is the Serenity Spa Happy Hour.
“While day spas have always been a popular retreat, the concept of mini-spa services and sampler packages is becoming all the rage for those who don’t have the time – or funds – for big spurges.
Serenity Spa and Salon, on the Hilton Campus in San Diego, Calif., is combating the unstable economy by providing a quick fix. In addition to offering promotions and disconunted services, Serenity recently launched its “Serenity Happy Hour” that promotes fun express services, while introducing new clients to diverse treatments.
The happy hour offers 25-minute services ranging from massage, to body scrubs, pedicures, and facials.
To encourage socializing, these discounted services come with low-cost appetizers and a free cocktail. Price points start much lower than a full treatment.
Spa Director Jessica Woolfrey expains, “I think guests are always seraching for different things to do in a group setting that does not have a huge price tag attached. We have definitely jumped on this with the Serenity Happy Hour. It meshes the right-priced services with a fun and relaxing time spent with yourself, one friend or a group of ten. The response has been fantastic!”
The Light at the End of the Tunnel is Closer than You Think: Hospitality Forecast, 2010
So what is really happening in 2010? According to the U.S. Travel Association, business travel will be up 2.5 percent in 2010 with leisure travel up 1.9 percent. That leaves the group market…it would be nice if we could find someone who will project an increase in that market segment but we can’t. Naturally, each market and submarket in the U.S. will respond differently to the recovery. However, the latest travelhorizons survey indicates that travel intentions of U.S. travelers is improving, which is certainly good news for strong markets like San Diego.
San Diego’s occupancy finished at 63.3 percent, down nearly 9 percent from 2008. Clearly, 2009 was not a banner year. But the real problem was the drop in average rate to $124.45, down 12.7 percent. The second half of 2009 saw Revenue per Available Room (REVPAR) drop nearly 15 percent, with a late year trend of 8 percent declines. This was a big improvement from the first half of 2009, when we saw 25 percent declines.
The good news: we are on the road to recovery, and 2010 should see a flattening out of occupancy and rate.
(more…)
Naked in 2010: Football Play Gives Game Plan to Hoteliers
Interactive online specials, special events, amazing and genuine customer service, leadership required to weather the storm.
Naked bootleg is a term used in football whereby the quarterback runs counter to his blockers and tries to create a run or pass opportunity with no help from his blockers. Well, we are operating our hotels naked but not by choice.
We have no “wind at our backs” from a strong economy and no “compression” from other areas such as conventions or events. No, we must build our hotel businesses from scratch during these times.
Management today must include creative leadership that stresses the urgency to work as a team and find ways to entice corporate travelers and groups to our hotels. Gone are the days when we just responded to leads from our brands and convention bureaus. Also gone are the days when we posted our “vacancy” signs outside the hotel and guests would just check in…yes, I was around in the 1970s when that is all that was necessary to fill a limited service or mid-market hotel.
Today, we need to be developing revenue sources in a whole new ballgame. Consumers are vigilant at finding the absolute best value out there. They shop multiple web sites and rely on social media to get input from friends or those who think alike. That means that we as operators must know what key words to use to get potential guests to find our own web sites and we must proactively utilize social media to market our products.
This medium includes but is certainly not limited to Trip Advisor, Twitter, Facebook and Linked-In.
(more…)
Creating a Business Plan for 2010
The budgeting process for 2010 has been very difficult but we have the answers. PKF Consulting just came out with a forecast saying that nine straight quarters of declining lodging demand will come to an end in the second quarter of 2010. They are forecasting continued erosion of average rates.
Most investors expect continued declines in revenues and net income and that will result in lower asset values. While all of this is bad news, I am very bullish on the long-term prosperity of the lodging sector, especially in San Diego. In this article, I will provide insights into San Diego’s current, and near term financial performance based on a wide variety of factors.
(more…)
Tips for Travelers Wanting to Stay Healthy
By Robert A. Rauch, CHA, General Manager, Hilton Garden Inn, San Diego/Del Mar
Staying healthy is difficult while traveling. All those germs on the plane, hard to stretch out in those seats, then it is running through airports, finding cars and hotels and getting comfortable in your home away from home. If you stay with us, we have a spa, “Stay Fit” kits delivered to your room, a general manager (me) who runs with his guests on request and also provides personal training sessions for those who want a workout, desire to lose weight or both. I’m also happy to have a healthy breakfast with my guests.
(more…)
Mezzanine Funding – An Option
Mezzanine finance is that part of the capital structure between bank debt and equity. It has emerged as an enticing and in many cases “only” new finance option for hotel owners or buyers increasingly faced with a credit squeeze from banks. Market conditions have created an increasingly favorable climate for mezzanine debt financing, elevating it to critical component status.
This stems from the fact that Wall Street has a severely reduced appetite for large securitized, individual asset loans as well as development loans with inexperienced borrowers. Banks currently understand the local markets better and offer the best terms in many markets if they are still lending; however, they are not offering much leverage. This creates an opportunity for a “mezzanine debt fund.”
U.S. hospitality markets have begun to hit the bottom of the cycle and we are now in a period of slow growth. Banks have not yet assumed that an upturn is imminent. These banks will, however, eventually loan money again with tougher terms and conditions and increased spreads on existing or refinanced facilities when they do believe the cycle is coming back. Hoteliers will have the option of looking at new funding sources, including mezzanine finance.
(more…)
The Hotel Industry Recovery: A Primer
During periods of economic recession, there is typically a shifting of market share from traditional channels to discount channels. In 2008, brand sites had 73 percent share of the market. According to TravelClick, it is 70 percent in 2009. Another sign that we are in the economic doldrums is when corporate bookings disappear and the consumer leads the market. Weekends are up in 23 of the top 25 markets according to Smith Travel Research (STR) – considering that each of those top 25 markets is down in revenues year over year, corporate bookings have got to be lagging badly.
RRC Associates states that leisure trips are not impacted like corporate bookings. While that is heartening, those of us who are full with leisure travelers know that they are not paying for rooms without negotiating aggressively for the very best deal they can get. To date this year, REVPAR (revenue per available room) is down 21 percent in those top 25 U.S. markets. In San Diego, it is down 25 percent according to STR. The RRC Associates study indicated 32 percent feel that the business travel recovery will be in 2011, ahead of 19 percent who say it will be in Q3 of 2010, 19% Q4 2010, 13% 2012, 17% beyond 2012 and there is a major shift or “trading down” of accommodations from luxury to upscale and upscale to mid-scale.
Big negative changes in average daily rate have fueled big drops in net operating income. This has already had a massive impact on the ability or lack thereof to refinance. One of the following scenarios will actualize in 2010:
(more…)