  Itsjeff Member Username: Itsjeff Post Number: 6484 Registered: 10-2003 Posted From: 208.27.111.125 |
Downtown Detroit, a longtime also-ran in the hotel and convention arena, is poised to become a more influential player with the addition of glitzy new casino hotels and restored architectural gems. About 1,850 new hotel rooms are expected to be ready for overnight visitors by 2008, an increase of 56 percent from current levels. The new construction could affect hotel business from Windsor to Cleveland, according to industry experts. http://www.detnews.com/apps/pb cs.dll/article?AID=/20060731/B IZ/607310360 | ||
Jt1 Member Username: Jt1 Post Number: 7620 Registered: 10-2003 Posted From: 198.208.159.19 |
Interesting seeing that Detroit is second in the region in hotel occupancy barely behind Dearborn. | ||
Jt1 Member Username: Jt1 Post Number: 7621 Registered: 10-2003 Posted From: 198.208.159.19 |
Link I used - I stand corrected. Guess I should have actually looked at the graphics in the article. http://www.detnews.com/2005/bu siness/0504/19/C01-154986.htm (Message edited by jt1 on July 31, 2006) | ||
Hysteria Member Username: Hysteria Post Number: 975 Registered: 02-2006 Posted From: 216.223.168.132 |
That's not what the chart shows. | ||
Jt1 Member Username: Jt1 Post Number: 7622 Registered: 10-2003 Posted From: 198.208.159.19 |
True - I was going by older charts. My bad. | ||
Merchantgander Member Username: Merchantgander Post Number: 2034 Registered: 01-2005 Posted From: 150.198.150.244 |
Jt1 we need to change your user name to stats because you always have them ready. | ||
Jt1 Member Username: Jt1 Post Number: 7623 Registered: 10-2003 Posted From: 198.208.159.19 |
Too bad in this case as I was wrong and the info was right in front of me on the attached link. I'm usually slow but I guess I am really slow on Monday mornings. | ||
Motorcitymayor2026 Member Username: Motorcitymayor2026 Post Number: 1090 Registered: 10-2005 Posted From: 67.38.21.156 |
Interesting to see that Ferchill himself isnt confident about the hotel portion of the BC. Restuarant/Condo/convention spaqce is what he thinks will carry the place.. | ||
Hysteria Member Username: Hysteria Post Number: 976 Registered: 02-2006 Posted From: 216.223.168.132 |
I thought the same thing. | ||
Illwill Member Username: Illwill Post Number: 74 Registered: 11-2003 Posted From: 24.12.180.87 |
i was thinking the same thing about ferchill. this guy doesn't sound very confident about such a hefty investment. | ||
Jt1 Member Username: Jt1 Post Number: 7625 Registered: 10-2003 Posted From: 198.208.159.19 |
The investment and the risk is taken on by many people and organizations. There is a reason why Ferchill only put up a small (comparatively speaking) amount of their own cash. They are taking on a lot of risk and if successdul stand to make a lot. If not, they will not kill their business. | ||
Rusty Member Username: Rusty Post Number: 411 Registered: 10-2003 Posted From: 71.194.184.8 |
Yeah, that is not a good quote for supporters of the BC deal. I hope the lending groups don't read the papers. | ||
Gambling_man Member Username: Gambling_man Post Number: 787 Registered: 11-2003 Posted From: 199.178.193.5 |
I'm not so sure Ferchill has taken on "a lot of risk" in this deal, I'd like to see the operating agreements, I'm sure he's making out pretty good being the "developer"...... | ||
Dan Member Username: Dan Post Number: 1248 Registered: 10-2003 Posted From: 69.216.122.179 |
My bet is the BC Hotel will do fine, I would be more nervous about the Fort-Shellby or The Hilton Garden. | ||
Jt1 Member Username: Jt1 Post Number: 7628 Registered: 10-2003 Posted From: 198.208.251.23 |
I think the Hilton does well due to the location and price point. | ||
Mackinaw Member Username: Mackinaw Post Number: 1939 Registered: 02-2005 Posted From: 71.144.117.26 |
Just give all these hotel owners big events to feast off of...that way, when they're splitting the regular market during off-times, they'll have something to look foward to and keep them operating. Of course, we need more major corporations downtown to attract business travelers, and we need more tourists. The casino hotels will house a lot of visitors, especially those who will be here for the casino-related fun. But first things first, book big events, and market the city as a good place for conventions. | ||
Motorcitymayor2026 Member Username: Motorcitymayor2026 Post Number: 1092 Registered: 10-2005 Posted From: 67.38.21.156 |
The Hilton is doing great, better than expected, and is one of the main reasons Ferchill decided to go ahead with the BC... | ||
Bobj Member Username: Bobj Post Number: 918 Registered: 11-2003 Posted From: 65.221.183.120 |
The H-C is very reasonably priced for its location and quality and will be less expensive than the BC or the casino hotels. The BC could take traffic from the Ren Cen, although that is a lot of GM business. I would be very worreid about the Fort Shelby unless they come up with something different to market like suites or something to attract business. It is a chicken or egg thing to some extent, if there are a greater number of nice hotels (some with casinos) will that bring more groups downtown?? Hard to say. I am working on a project with about 60 consultants on it from all over the US and Canada - I have been very surprised how negative their view of detroit is and what they heard from friends/co workers before they came to MI. I knew it was bad, but after getting to know these folks for 9 mos now, they have opened up and said a lot. Most seemed surprised how nice detroit is. My point being, the City has a ways to go before large groups come here just because we have new hotels. | ||
Mackinaw Member Username: Mackinaw Post Number: 1940 Registered: 02-2005 Posted From: 71.144.117.26 |
The owners of both the BC and F. Shelby buildings will be able to bank on condominium sales. Knowing this, the buildings have a bright future, even if their hotel portions change operators now and then. I would guess than an owner like Westin and Doubletree would be in it for the long run, and would also do some serious marketing. What they also have going for them is convention and ballroom space, so they can hedge their bottom line by booking weddings and meetings. | ||
Motorcitymayor2026 Member Username: Motorcitymayor2026 Post Number: 1093 Registered: 10-2005 Posted From: 67.38.21.156 |
Exactly, with the condos (especially)/ restuarant/retail/convention space providing constant revenue, the BC will be able to survive on the big events downtown for hotel occupancy while it may be sluggish in between events. | ||
Rocket_city Member Username: Rocket_city Post Number: 93 Registered: 04-2006 Posted From: 141.217.214.203 |
The comment by Ferchill would remain standing regardless of any other hotel activity. The clientelle the Book Cadillac will attract is not the same as the other hotels being constructed in the downtown area. That number remains constant, given the suburban presence. In other words, the BC would be competing primarily with the suburbs with or without the casino hotels and others. So, in other words, I'm not too concerned. | ||
Bobj Member Username: Bobj Post Number: 922 Registered: 11-2003 Posted From: 65.221.183.220 |
The condos are not a constant source of revenue, they are a one time sale. I think the BC will be fine, but I would be concerned about the Fort Shelby and stealing business from the Rencen. In upscale hotels, you make your money off the business traveler, on expense account, paying a premium rate, ordering room service, buying drinks, etc. Weekend travelers for football games, concerts are not what profits are made of. | ||
Detroitej72 Member Username: Detroitej72 Post Number: 139 Registered: 05-2006 Posted From: 66.184.3.44 |
Still all this has to help the city lure more conventions downtown. One of the biggest knocks on downtown for conventions was its lack of hotel space. It never made much sense to have people stay in Auburn Hills or N. Oakland Co. and commute downtown with our wonderful mass transit. Now we need our local officials need to stop f*#@%ing around and expand Cobo to better accomidate said conventions as well as our signature event the auto show. Wouldn't it be sad if we lost it to say Chicago because they couldn't expand the show? | ||
Messykitty Member Username: Messykitty Post Number: 36 Registered: 03-2006 Posted From: 24.21.198.33 |
Quote: I would guess than an owner like Westin and Doubletree... Westin and Doubletree will not be owners, merely operators. | ||
Mackinaw Member Username: Mackinaw Post Number: 1947 Registered: 02-2005 Posted From: 71.144.117.26 |
Good point, and that was actually what I was emphasizing in an earlier post--that the operators might change hands in these hotels fail, but that chains like Westin are probably investing in this historic hotel for the long run. | ||
Detroitej72 Member Username: Detroitej72 Post Number: 2 Registered: 05-2006 Posted From: 66.184.3.44 |
Just wondering, why was the Ramada Hotel left of the list of downtown hotels in the News article? Had many memorable Saturday night s at City Club... | ||
Andylinn Member Username: Andylinn Post Number: 161 Registered: 04-2006 Posted From: 64.141.144.2 |
"Doorman Lemarco works the valet desk with Tracey Richardson at Westin, whose occupancy was up 40 percent last year." (http://www.detnews.com/2005/bu siness/0504/19/C01-154986.htm ) do i read this right... is that guys name "Doorman" or is that his job title? | ||
Itsjeff Member Username: Itsjeff Post Number: 6497 Registered: 10-2003 Posted From: 208.27.111.125 |
Talk about your self-fulfilling prophecy. Good thing they didn't name him Crackhead or something. | ||
Digitaldom Member Username: Digitaldom Post Number: 455 Registered: 08-2004 Posted From: 24.192.148.150 |
Well as soon as Joe Louis Arena and Cobo Arena are leveled.. They will have the space to expand.. Of course then there is also politics involved too.. Anyone know if the decision has been made to keep COBO at it's current location... In order to prevent a thread jack.. I created another thread on Cobo's future.. (Message edited by digitaldom on July 31, 2006) | ||
Hamtramck_steve Member Username: Hamtramck_steve Post Number: 3126 Registered: 10-2003 Posted From: 68.77.160.58 |
Joe. The man's name was Joe. Not Joel. | ||
Digitaldom Member Username: Digitaldom Post Number: 460 Registered: 08-2004 Posted From: 24.192.148.150 |
Thanx for the correction.. You are correct.. My bad.. | ||
Dan Member Username: Dan Post Number: 1249 Registered: 10-2003 Posted From: 69.14.211.234 |
I should clarify my point; I was not really meaning to be specific in regards to the Hilton –Garden. I know the HG is doing great business these days. What I meant was, when all these hotels are operational, the BC will be among the leaders of the pack as far as number of guests, its historical significance, and its prominence give it a higher profile, and I would argue the likelihood of more guests. It is the smaller and less prominent operations that will be in trouble. | ||
Ramcharger Member Username: Ramcharger Post Number: 26 Registered: 05-2006 Posted From: 68.42.78.175 |
One point that was not mentioned in the article was that the 1200 casino/hotel rooms will be subsidized. The casinos will have no trouble filling those rooms with gamblers even if they have to give them away. | ||
Newlaster Member Username: Newlaster Post Number: 179 Registered: 06-2004 Posted From: 69.136.136.209 |
HOTELOPOLY? What a stupid headline? I feel personally insulted. | ||
Gambling_man Member Username: Gambling_man Post Number: 788 Registered: 11-2003 Posted From: 199.178.193.5 |
Without question, the casino hotels alone will doom several other hotels downtown. The Pontchartrain and the Holiday Inn will surely close, with the Marriot Courtyard close behind. Even with that happening, the new hotels (outside of the casinos) will struggle to stay afloat. | ||
Detroitstar Member Username: Detroitstar Post Number: 101 Registered: 01-2006 Posted From: 35.8.144.6 |
The only hotel I see in Jeopardy downtown will be the Holiday Inn Express. I dont think anyone would invest $12 Million into Hotel Pontch if they knew it would likely close in a couple years. That would be delaying the inevitable and wasting money. However, is there any shot of tPontch being turned into apartments? I've never been beyond the loby, but I'm sure there would be a market for it. | ||
Gistok Member Username: Gistok Post Number: 2527 Registered: 08-2004 Posted From: 4.229.72.26 |
OK, this begs the question... do corporations allow their employees to stay at hotels within casinos? I know that in Atlantic City and Las Vegas this is the case, but what about the rest of the country? I wonder if outside companies will steer their employees to the non-casino hotels when visiting Detroit? | ||
Jdkeepsmiling Member Username: Jdkeepsmiling Post Number: 116 Registered: 01-2006 Posted From: 208.50.91.234 |
I think what people also need to realize is that if you are a loyalist to one hotel chain or antother... as most business travelers are, Detroit is sorely lacking in options. That is the reason that all of these major operators are coming downtown. They have loayal bases of customers who are HAVING to stay in Dearborn and the OC becasue Hilton or Doubltree have nothing downtown. These hotels will get some business just by being operated by those companies. I would agree that there will be some shakeout with a smaller older hotel likely to close in the next 10 years. | ||
Ramcharger Member Username: Ramcharger Post Number: 27 Registered: 05-2006 Posted From: 68.42.78.175 |
I think having a luxury Westin right across the street will help the Holiday Inn Express tremendously. It will add a lot of activity to the area and the people staying there will be able to enjoy many of the amities of the Westin without paying the high price to actually stay there. I just hope they don’t close before the Westin Cadillac opens. | ||
Bibs Member Username: Bibs Post Number: 534 Registered: 10-2003 Posted From: 152.163.100.8 |
I attend three large conventions every year. The convention usually negotiates a lower price than you can get in the market place and the convention coordinator secures a block of hotel rooms. Since the price is cheaper, I normally pick the hotel chosen by the convention. If the Detroit Metro Convention and Vistors bureau succeeds in luring more conventions to the city then the hotels downtown will be filled with attendees like me! |
