Things are hotting up in the US 'mid-scale' sector after two companies launched new concepts at the Phoenix Lodging Conference, held in late September 2005.
Starwood Hotels & Resorts finally unveiled its new 'select service' concept, 'aloft', promising "urban-inspired loft-like guestrooms...and an energetic lounge scene."
The same day, Michael Mueller, Starwood's former senior vice president of development, now president of Nylo Hotels, announced his company's eponymous new concept, which features "a breakthrough urban-loft design, with a red brick and glass construction creating the appearance of a multi-building streetscape."
Starwood had been working on its new brand under the codename 'Project XYZ', in reference to its successful 'upscale' hotel brand 'W'.
"We are building on our success and lessons learned from W and reinventing the category," explained Steve J.Heyer, Starwood's CEO. "Aloft will offer travellers a radical departure and a welcome refreshing alternative to what's currently out there. We intend to deliver great style, design and functionality, all at an affordable room rate with a high comfort quotient." Many of the team which created W have worked on the new brand, including Ross Klein, President of W Hotels Worldwide. "Our customers are more sophisticated and they expect more than just a place to sleep. With Aloft we're shaking things up and offering something fresh, inspiring and ultimately more fun," said Klein. "We see Aloft as an oasis at the end of the road, a place that's comfortable, easy and effortless."
John Russell, CEO of Atlanta-based Nylo Hotels claimed his company had "redefined the mid-scale segment of the market" with a brand which is "unique, offering the style and amenities of the world's leading upscale hotels at mid-scale rates of $115 - $135 per night."
Both concepts have been developed in collaboration with well-known designers in the hospitality sector.
David Rockwell, whose portfolio includes the Chambers Hotel New York, celebrated restaurant Nobu, and Gordon Ramsay's Maze, has worked on the designs for Aloft. Rooms will offer nine-foot ceilings, oversized windows and a signature bed. Other features will include MP3 docking stations, walk-in showers and flat panel TVs.
Stephane Dupoux, creator of bars including New York's Cielo, London's Cocoon, and Miami's Champagne Lounge, is the designer for Nylo. Each room will offer approximately 300ft2 of living space within exposed brick and polished concrete walls, a combination high-tech office and entertainment centre, as well as custom-designed furniture and lighting.
Aloft's public areas include 'Relax' a communal space for drinking, and 'Fresh Air', an alfresco area where guests can socialise or grab a light meal. 'Refuel' will provide food, snacks and drinks to take away 24 hours a day. 'Train' fitness centres and 'Splash' pools will provide the gym facilities.
The social hub of Nylo Hotels will be an open floorplan area dubbed 'The Loft.' where guests can "work, eat, talk, sip coffee, have cocktails, check email, read the paper and relax in an area that feels like a living room."
Both companies have ambitious expansion plans for their new brands. According to Mueller, Nylo Hotels has several sites across the US and Canada under purchase agreement, and several other sites under active consideration. Chris Jones, Senior VP of Development & Construction for Nylo noted the concept's newbuild design with exposed surfaces would save on construction and operational costs. He predicted each room would cost approximately $90,000 on a per-key basis. Nylo expect to have more than 50 properties open by 2010, eventually growing to a chain of 150-200 hotels.
Starwood were more specific in naming Lexington, Massachusetts; Tucson, Arizona; San Francisco Airport, Philadelphia Airport, and Cherry Creek, Colorado as the locations for the first Aloft properties. The first hotels are expected to break ground in early 2006, for opening in early 2007. The plan is for 500 properties worldwide by 2012.
Where Nylo will develop, own and operate the first five or six hotels, Starwood has already issued its "franchise offering circular". It also said that since first announcing its plans for a new brand at the New York University International Hotel Investment Conference in June, it has already had interest from over 25 leading hotel development and ownership groups, each intending to develop at least ten properties.
Starwood may have the upper hand in terms of the size of its parent company, whereas Nylo points to the combined experience of its senior management team. John Russell, chief executive officer, has worked in senior executive positions for the likes of Cendant, Days Inn, and Carlson.
Michael Mueller was involved in Starwood's creation and growth into one of the worlds' largest hotel companies. He also played a key role in the development and expansion of W Hotels.
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www.nylohotels.com
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