Hospitality Trends – Dual-Brand Hotels Becoming More Popular

Dual-Brand Hotels pic
Dual-Brand Hotels
Image: forbes.com

Bharat Lall is the president and CEO of Pinnacle Hotels USA. Pinnacle Hotels offers over 1,700 rooms in nine locations across the United States, including multiple offerings in Southern California. Bharat Lall accordingly keeps a watchful eye on national and regional trends in hotel development.

In Southern California, one new trend is reshaping the hospitality industry. Hotel companies have increasingly been joining forces by combining two brands in one building. Leading examples of this growing pattern in Los Angeles include the combination JW Marriott/Ritz Carlton and the Courtyard/Residence Inn, both on West Olympic Boulevard.

This new arrangement saves on operating costs for both brands. Some companies share operations or management staff, and many combine back-of-the-house operations for efficiency.

For buyers and investors, this trend has been lucrative. Blending brands or offering them side-by-side brings in more guests and can eliminate some degree of local competition. This brand diversification remains appealing to investors, and brands like Marriott continue to seek out dual-brand opportunities in major cities.

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