EUROPE
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EUROPE
THE MAGAZINE OF THE WORLDWIDE HOTEL INDUSTRY AUGUST 2009 HOTELS ® EUROPE Holding Up Under Pressure IN THIS ISSUE U.S. Real Estate Under Distress Great Hotel Restaurant Awards Design: Suite Views www.hotelsmag.com HOTELS THE MAGAZINE OF THE WORLDWIDE HOTEL INDUSTRY ® AUGUST 2009 VOL. 43, NO.8 (I) features SPECIAL REPORT Europe’s Gateways To Stability p24 Europe’s gateway cities are showing relative resilience through the downturn, but secondary cities—especially in Eastern Europe— are being truly pummeled. Meanwhile, lack of credit hampers new development opportunities, but international brands are seeing a rush to conversions and re-flaggings. about the cover Mardan Palace in Turkey’s resort region of Antalya opened in June as Europe’s most expensive hotel. The 560-key property cost DESIGN US$1.4 billion and features a Suite View p29 5-acre (2-ha) swimming pool, an The expectations of 21st century suite-goers have designers considering disparate possibilities, ranging from classic interpretations of elegance and timelessness to over-the-top colorful strokes of ultra-creativity. Nothing seems to lie in the middle these days. a Jack Nicklaus-designed golf on-site river with gondoliers and course. With its impressive opulence, Mardan Palace is the most prominent example of Turkey’s rise as an international luxury destination. departments FOOD AND BEVERAGE Great Hotel Restaurants p34 Beautiful rooms, unparalleled views, the freshest ingredients and impeccable service define the best hotel restaurants across the globe. See which ones were named Great Hotel Restaurants in 2009 by our panel of distinguished judges. 5 7 9 11 38 40 41 46 What’s New At hotelsmag.com Editor’s Diary: Payback Time Index To Companies Global Update: Real Estate Outlook HITEC Wrap-Up Abrahamson Home At IHG Technology: Mobile POS Supply Line Products: Coffee/Tea; Kitchen Lagniappe To subscribe, renew subscription or change address online, go to: www. getFREEmag.com/hotels For free daily hotel news, subscribe to HOTELS’ Daily News Service at www.hotelsmag. com August 2009 . HOTELS . 3 A UNIQUE FUSION OF LUXURY BODYCARE AND SOPHISTICATED SCENTS RETAIL REVENUE OPPORTUNITIES COMPREHENSIVE SPA PROGRAM UNIQUE GIFT PACKAGES NO SULPHATES CHINA | CZECH REPUBLIC www.pacificdirect.co.uk NO ARTIFICIAL COLOURS NO PARABENS | NO ANIMAL DERIVATIVES CZECH REPUBLIC T: +420 466 681 703 E: sales@pacificdirect.net DUBAI T: +971 (0)4 341 8920 E: pacificd@emirates.net.ae GERMANY T: +49 89 218 929 45 E: munich@pacificdirect.co.uk SINGAPORE T: +65 6567 3848 E: sales@pacificdirectasia.com UNITED KINGDOM T: +44 (0)1234 347 140 E: sales@pacificdirect.co.uk UNITED STATES Toll Free in USA: 877 363 4732 T: +1 847 297 5105 E: sales@pacificdirectus.com DUBAI | GERMANY | HONG KONG | SINGAPORE | UK | USA www.pacificdirectus.com WHAT’S NEW AT BLOGS ON hotelsmag.com 08/2009 SOMETHING TO TALK ABOUT Food & Beverage: A Good Idea Well Executed The Hyatt Regency Lake Tahoe Resort, Spa & Casino transformed one of its restaurants into a modern general store—a grocery and gourmet market for guests to stock up for their rooms or grab supplies for a picnic. Sound good? Well, it looks even better. Read more of Derek Gale’s blog at hotelsmag.com/gale hotelsmag.com/food Raffles Hotels & Resorts has published seven recipes for signature cocktails from its hotels, including the Champagne Mojito, the Dubai Sling and the iconic Singapore Sling. WEBCAST Which Social Media Site Is Right For You? MUSINGS & MISCELLANY Future Of Hotel Booking Is… Call Centers?! Color me skeptical about new booking portal GetARoom.com. To get really special rates on GetARoom, users must place a telephone call to a live person who then may (or may not) offer an even better rate. I can’t believe that, in 2009, a Web site centered on a call center is being called “innovative.” What’s next, a new line of futuristic guestroom armoires? Read more of Adam Kirby’s blog at hotelsmag.com/kirby During a live webcast hosted in July by HOTELS magazine, a panel of hotel marketing experts discussed best practices and strategies for the various social media platforms. The webcast is available for download on demand. View the Experiential Marketing Webcast at hotelsmag.com/webcasts HOT OPENINGS W SOUTH BEACH With stunning views of the Atlantic Ocean from all rooms, W South Beach features 408 branded residences, of which 312 are available as hotel guestrooms.The hotel boasts celebrity dining hotspot Mr. Chow, the Mediterranean-inspired Solea restaurant, Wall nightclub and a Bliss spa. View a photographic slideshow at hotelsmag.com/wmiami www.hotelsmag.com . August 2009 . HOTELS . 5 KVajZ ;jcXi^dcVa^in FjVa^in BV`ZhjgZ^iÉhG6@ G6@EdgXZaV^c:jgdeZH#6#qIZa#/ (*''+(+%++*q:"bV^a/^c[d5gV`edgXZaV^c#Zjqlll#gV`edgXZaV^c#Zj G6@EdgXZaV^cJ6:qIZa#/ .,&,'))*%)+q:"bV^a/gV`edgXZaV^c5gV`XZgVb#Xdbqlll#gV`edgXZaV^c#Xdb G6@BjaYZgEdgXZaV^cEkiAiYqIZa#/ .&&&'+-&.-+($'+-&'*,+q:"bV^a/_VngV_5gV`edgXZaV^c#Xdbqlll#gV`edgXZaV^c5gV`XZgVb#Xdb BdYZa/6aahe^XZq6c\Za^XV Design HOTELS THE MAGAZINE OF THE WORLDWIDE HOTEL INDUSTRY EDITORIAL Jeff Weinstein, Editor In Chief 1.630.288.8260 E-mail: jweinstein@reedbusiness.com Derek Gale, Senior Editor 1.630.288.8263 E-mail: derek.gale@reedbusiness.com Adam Kirby, Associate Editor 1.630.288.8222 E-mail: adam.kirby@reedbusiness.com Mary Lenart, Senior Production Editor 1.630.288.8262 E-mail: mlenart@reedbusiness.com Ala Ennes, Senior Art Director 1.630.288.8292 E-mail: alaennes@reedbusiness.com CONTRIBUTING EDITOR Mary Gostelow (News) PUBLISHING Dan Hogan, Publisher 1.630.288.8270 E-mail: dahogan@reedbusiness.com Vida Wojewski, Assistant to the Publisher 1.630.288.8271 E-mail: vida.wojewski@reedbusiness.com Nicole Hopman, Production Manager 1.630.288.8423 E-mail: nicole.hopman@reedbusiness.com Katharine Tucker, Director of Audience Marketing 1.303.265.6276 E-mail: ktucker@reedbusiness.com I N T E R N AT I O N A L A DV I S O R Y B OA R D CHEVY CHASE, MARYLAND Simon Cooper, President and Chief Operating Officer, The Ritz-Carlton Hotel Co. DUBAI Joe Sita, Chief Executive Officer, Nakheel Hotels HONG KONG Helmut Knipp, Senior Vice President of Development, Langham Hotels International LAS VEGAS Randy Morton, President and Chief Operating Officer, Bellagio Resort MALTA Tony Potter, Chief Executive Officer and Managing Director, CHI Hotels & Resorts NEW YORK CITY Ian Schrager, Chairman and Chief Executive Officer, Ian Schrager Co. Ted Teng, President and Chief Executive Officer, The Leading Hotels of the World PALMA DE MALLORCA, SPAIN Luis Riu, Chief Executive Officer, Riu Hotels & Resorts WHITE PLAINS, NEW YORK Simon Turner, President, Global Development Starwood Hotels & Resorts Worldwide EDITORIAL AND PRODUCTION OFFICES HOTELS Reed Business Information, 2000 Clearwater Drive, Oak Brook, Illinois 60523 USA; phone: 1.630.288.8000; fax: 1.630.288.8265. SUBSCRIPTIONS/CHANGE OF ADDRESS For address changes or subscription questions, please contact: Customer Service, Reed Business Information, 8878 S. Barrons Blvd., Highlands Ranch, Colorado 80129-2345 USA. Phone: 1.303.470.4445; fax: 1.303.470.4280; e-mail: subsmail@reedbusiness.com Web site: www.getfreemag.com/hotels REPRINTS For custom reprints, electronic usage or content licensing, please contact: The YGS Group. E-mail: hotels@theygsgroup.com; phone: 1.800.290.5460, ext. 129 or 1.717.399.1900 Payback Time W hile there are always some feel-good stories about the hotel industry and the hospitality lifers who are so dedicated to their craft, today the news is not so rosy. I would be a Pollyanna to write feel-good prose about the around-the-corner next cycle that will bring greater returns to owners, operators, designers, brokers and purveyors. The reality remains that no one seems to know when the good times will return. Owners are losing generational wealth on real estate, developers can’t find financing for even what seem to be the smartest deals, and operators are out there searching for the bottom of the economic downturn. Everyone is looking for the signals that travel will start to pick up again and provide opportunities to drive revenue. However, PKF Consulting predicts net operating income for hotels in the United States will decline 37.8% this year and another 9.2% in 2010. Elsewhere in the world, RevPAR is expected to decline further in 2010, and the recovery thereafter is expected to be slow. To better the explain the situation at hand, this month’s lead story in Global Update is about the crash in hotel real estate ignited by an unprecedented decline in revenue, the weight of financial leverage and the lack of liquidity in the debt and equity markets. As many as 20% of U.S. hotel loans may default through 2010, while foreclosures are gathering pace in the UK and Ireland, with several other European markets coming under pressure. It appears that only Asia is somewhat insulated, as the owner-lender relationship differs and loans are adjusted to avoid outright defaults or foreclosures. The silver lining here—and there is a silver lining—is that soon, maybe as soon as early next year and maybe at late as 2011, the tide will turn. Buyers will acquire assets at steep discounts and enjoy handsome returns in another three to five years’ time, when values are expected to recover. Pent-up demand always seems to be a given, and the travel-deprived masses once again will hit the road in search of great experiences and the best in hospitality. The only question that will remain is whether or not luxury demand will return. The good news is that the prognosticators believe we all have short memories and the desire for all things luxury will return— maybe this time with a bit of a green cast to it. The only thing I can tell you right now is to remain forever vigilant. While your rates may be slipping, try not to let go of your service culture and treat everyone— especially your own —with dignity. Get back to the basics of hotelkeeping because when we do come out of this malaise, I think, and hope, everyone will appreciate simple, meaningful gestures a lot more. Editor In Chief TIMESHARES FRACTIONALS PRIVATE RESIDENCE CLUBS THE 11TH ANNUAL VACATION OWNERSHIP INVESTMENT CONFERENCE SEPTEMBER 14 – 17, 2009 THE PEABODY ORLANDO ORLANDO, FLORIDA Opportunity IN Adversity • Explore the viability of various opportunities in vacation ownership, including resort conversions, fractional development, and private residence clubs. • Learn about financial strategies in the “new normal” environment. • Discover how the prepaid nature of vacation ownership encourages usage, maximizing a project’s earning potential and generating additional revenue. • Hear about the emerging vacation habits of travelers in the current economic environment. Find out where they want to go and what types of vacation real estate they want to buy. • Exchange insights and make valuable contacts with vacation ownership experts, lenders, developers, hoteliers, government and tourism officials, and others. REGISTER TODAY! VacationOwnershipInvestment.com $849 through August 14 — SAVE $150! $999 from August 15 BOOK YOUR HOTEL ROOM NOW and ask for the special $224 per night. Call 800.Peabody. conference hotel rate of For more information, or information on sponsorship opportunities, call toll-free 877.700.1153; outside toll-free limits 305.668.3495. FEATURED GUEST SPEAKER: Economist and author Dr. Robert Genetski has been commended on his ability to “outforecast the pack.” Hear this prominent asset manager and investment advisor, whose books include Taking the Voodoo Out of Economics and A Nation of Millionaires, discuss the “Outlook For The Economy And Financial Markets,” and come away with a better understanding of today’s financial climate. COMPANY INDEX COMPANY ............................. PAGE COMPANY ............................. PAGE Alekson Development Group .. 20 Alvear Palace, Buenos Aires... 37 Arabian Peninsula & Indian Ocean ........................ 46 Aruba Ocean Club .................. 46 Aruba Surf Club ...................... 46 Atlas Hospitality Group ........... 11 Belgravia Properties Ltd.......... 22 Blue Tree Hotels...................... 16 Centara Grand Mirage Beach Resort Pattaya ........................ 46 Centara Hotels and Resorts ... 46 Central Plaza Hotel Public Co. 46 Claridge’s, London .................. 16 Connaught, The, London ........ 36 Cushman & Wakefield Hospitality ............................. 25 Dorchester, The, London ........ 25 Epic Hotel, Miami .................... 16 Extended Stay America .......... 11 Fairmont Le Montreux Palace, Switzerland ............................. 31 Fairmont Raffles Hotels International .......................... 26 Four Seasons Hotel Hong Kong ............................ 33 Four Seasons Terre Blanche, Provence, France .................... 36 Grand Hotel Europe, St. Petersburg ....................... 26 Hampshire Hotels and Resorts Group .................................... 22 HEI Hotels & Resorts .............. 13 Hilton Hotels Corp....... 25, 28, 46 Hilton Hotels, Middle East & Africa .................................... 46 Hilton Inn at Penn, Philadelphia .......................... 46 Hilton International .................. 26 Horizon Hotels Ltd. ................. 20 Hotel Baur au Lac, Zurich ....... 37 Hotel Cipriani, Venice.............. 27 Hotel Santa Teresa, Rio de Janeiro....................... 30 Hotel Sax Chicago .................. 21 Hotel Vier Jahreszeiten, Kempinski München, Munich 27 HVS International ................... 11 Hyatt Regency Lake Tahoe Resort, Spa & Casino ...............9 Iberostar’s Grand Punta Cana 40 IHG ....................... 18, 25, 27, 28 InterContinental Dubai Festival City .......................... 37 InterContinental Hotels & Resorts ................................. 21 InterContinental Stockholm ..... 36 Interval International ............... 46 Jones Lang LaSalle Hotels12, 24 Kalahari Resorts ..................... 46 Kalahari Waterpark Resort Convention Center, Wisconsin Dells .................... 46 Kempinski Hotels .................... 28 Kempinski Hybernska Prague . 28 Kimpton Hotels & Restaurants .................... 13, 16 La Mamounia, Marrakech ....... 31 Langham Hotels International . 22 Langham Yangtze Boutique Hotel, Shanghai .................... 22 Legacy Hotels & Infraprojects . 22 Luxuriant World Resorts ......... 20 Makkah Hilton and Towers, Saudi Arabia ......................... 46 Mandarin Oriental, Barcelona . 26 Mandarin Oriental Hotel Group .................................... 26 Mardan Palace, Antalya, Turkey ................................... 28 Marriott International......... 27, 39 MKG Hospitality ...................... 24 Mövenpick Hotels & Resorts ... 26 Orient-Express Hotel Cipriani, Venice ................................... 25 Park Hotel Group .................... 22 Park Hyatt Washington D.C. .... 34 Peninsula Shanghai ................ 22 Phoenician, The, Scottsdale, Arizona ................................. 38 Plaza Athenee, Paris .............. 29 Radisson Blu Le Dokhan Hotel, Paris Trocadero ....................... 25 Radisson Blu Le Metropolitan Hotel, Paris Eiffel .................... 25 Raffles Hotels & Resorts ..........9 Red Roof ................................ 40 Renaissance Stanford Court ... 11 Residence Inn Seattle Bellevue/ Downtown ............................. 21 Rezidor Hotel Group ............... 27 Ritz-Carlton Chicago, A Four Seasons Hotel ........... 31 Ritz-Carlton Hotel Co. ............. 22 Ritz-Carlton, Dallas ................. 34 Riu Hotels & Resorts .............. 25 Sheraton Centre Toronto Hotel 39 Sheraton New York Hotel & Towers ............................... 39 Sheraton on the Park, Sydney 39 Spotlight Hotels by Chieko Aoki 16 St. Regis Monarch Beach ....... 11 Starwood Hotels & Resorts Worldwide .......... 26, 28, 30, 39 Strategic Hotels & Resorts...... 12 Verdura Golf & Spa Resort, Sicily ..................................... 26 Vikram Chatwal Hotels............ 22 Villa San Michele, Florence .... 34 W Barcelona ..................... 25, 26 W Chicago-City Center ........... 39 W Doha ............................. 29, 30 W San Diego........................... 11 W South Beach .........................9 Westin Kuala Lumpur .............. 46 Westin Los Angeles Airport .... 39 Hotelsmag.com Have you visited us lately? Hotelsmag.com. is a dynamic, high-traffic site that’s the go-to source for all things hotel related. • Daily content updates, including breaking news • Topic-specific pages on design, food and beverage, technology, sales and marketing, green hotelkeeping and more • • Powerful hospitality industry search • Topical blogs written by hotel industry leaders and HOTELS’ editors • • • • Webcasts and Audio/Podcasts Talkback forums to discuss articles online Free eNewsletters RSS feeds Industry calendar Easy navigation makes it simple to find the information you need. hotelsmag.com E d it e d and wr it t e n b y the editor s of H O TELS ma ga zine GLOBAL UPDATE WORLDWIDE The average hotel in the United States was valued at US$100,000 per key in 2006. By next year, that value will have sunk to US$50,000 per room, according to a forecast by HVS International. To make matters worse for sellers, for the next 18 months, any transaction will most likely be done at a liquidation value because no one who does not have to sell will sell at these fire-sale prices. As a result, HVS Chairman Steve Rushmore suggests that the typical US$100,000 per key hotel in 2006 could very well sell at US$25,000 per key in the months ahead. No doubt, this situation brought on by illiquidity and dramatically lower operating performance is going to create a huge transfer of wealth around the world. Financially strapped owners and lenders will take huge losses and buyers should see great returns on investments—perhaps by 2014, when HVS predicts values should next eclipse those 2006 levels and if financing becomes available. The lack of available credit is causing defaults in all markets and among every property type. New Yorkbased real estate research firm Real Capital Analytics reports that as of June 30, there were 1,060 distressed hotels in the United States valued at US$15.7 billion. The biggest chunk of that distress comes from bankrupt Extended Stay America. “We started seeing distressed hotels 18 months ago and it started with smaller independents in secondary Heavy leverage, overly optimistic valuations and income shortfalls lead to global defaults, foreclosures, bankruptcies. EXCESS Takes Its Toll markets,” says Alan Reay with the brokerage firm Atlas Hospitality Group, Irvine, California. “Right now (midJuly) in California there are 32 hotels being foreclosed on, and 31 of those are independents. Only one is a franchise.” Reay says hotel deals in default have increased 125% in California, and everything from small independents to full-service resorts such as The St. Regis Monarch Beach, the Renaissance Stanford Court and W San Diego are under pressure. “It is broad-based now,” he says. “This will turn out to be the worst downturn in business since the 1930s, and what happened in the early ’90s pales in comparison.” Looking ahead, US$20 billion of hotel-related commercial mortgage-backed securities (CMBS) matures in 2010. RealPoint LLC, a credit-rating firm based in Horsham, Pennsylvania, reported in June that 753 Marriotts had a combined outstanding securitized loan balance of US$10.4 billion; 270 Hilton-branded hotels had US$5.6 billion in debt; and 48 Hyatts had US$1.6 billion in outstanding debt. This huge wave of CMBS loans about to hit the shore has no form of financing to resolve the situation and will force further defaults, foreclosures and bankruptcies. Just about any hotel built or refinanced since 2005 is in trouble, according to the experts, as crashing industry fundamentals do not support the ability for any owner to generate enough net income to pay debt service. The options going forward for these owners is to keep ` FAST FACTS: The global hotel and motel industry generated total revenues of US$484.3 billion in 2008. (Research and Markets) www.hotelsmag.com . August 2009 . HOTELS . 11 GLOBAL UPDATE feeding cash into the property to keep it afloat; for lenders to offer relief in the form of extended terms, as they do not want to own the dwindling asset either; or for the owner to turn over the keys to the lender in what is so aptly called “jingle mail.” Any way you slice it, this is the worst of times for hotel owners, and the bottom for industry fundamentals and real estate values has still not been established. “Half the lenders (in the United States) will force borrowers to give back keys and of time—say, a year to 18 months—hoping to refinance, sell or hold. But they will operate almost certainly in accordance with a plan agreed upon with the lender. “A bulk of the troubled assets probably fit into this category, and less than 10% will actually sell because credit is so limited and neither the owner nor the lenders in general want to take an unnecessary writedown if there is a limited market for properties at this time,” he says. The banks will take back the asset from owners who rational lenders will realize “that if they don’t like the value of their hotel collateral today, they will like it even less in six to 12 months. In addition to lower values, they may also risk having to ‘feed’ hotels’ negative cash flows to meet payroll and utility costs.” Global Phenomenon? While the economy is struggling through this deep recession, hotel defaults and foreclosures are not expected to occur nearly as much outside of the United States. ‘‘ It is prudent not to be too aggressive, as no one knows how far down this is going, and the number of foreclosures and pain-building on the asset side hasn’t ’’ shown itself yet. It is coming. — Michael Depatie the other half willwork it out to extend terms and provide relief,” Rushmore predicts. “Lenders don’t want to take the properties, as there is no financing available for them to find a buyer.” Laurence Geller, CEO of Strategic Hotels & Resorts, Chicago, agrees that most lenders do not want to take control of these assets. “If loan maturity is the issue and interest is still being paid, it will be likely extended,” he says. “Provided your hotel is in good shape; you haven’t drained the money out for your own purposes; you are operating at, or better than, market share; your margins are better than most in your market; and you have been an honest communicator; why would the bank want to take it form you?” Geller says owners will stay in for a period have no money and drained the asset. “About 50% to 70% will get sold rapidly, and some will be exceptional buys,” Geller adds. Jim Butler, chairman of the global hospitality group at the law firm of Jeffer Mangels Butler & Marmaro, Los Angeles, believes the industry is close to the much needed “capitulation,” where there will be a complete “reset” of market values, leverage and expectations for hotels and many other investment classes. “We won’t have the predicate for recovery until this happens, so as painful as it will be, it is a necessary and inevitable precondition for the turnaround,” he says. Butler thinks many The most impacted markets in Europe are the UK, Ireland and Spain, with markets like Italy and France seeing much less pressure at the moment, according to Arthur de Haast, global CEO of Jones Lang LaSalle Hotels, London. “Foreclosures have started and are gathering pace in the UK and Ireland, but mostly of smaller assets owned by developers or private investors who were highly geared and do not have the financial capacity to meet short-term cash flow problems,” he says, adding that pressure is building on larger borrowers, but banks in all Europe markets are generally adopting an “extend and pretend” strategy. In Spain, many banks have effectively taken control assets and are trying to sell them, but at prices that are not finding buyers. “Spain is storing up a lot of problems, and more foreclosures will happen, but not until late 2009 or 2010,” de Haast says. In Germany, pressure is developing on borrowers, but de Haast says there have been no foreclosures on major hotel assets so far, of which he is aware. In Central Europe, the picture is very grim, with hotel performance particularly hard hit in the Baltics. “Main lenders in this region have been Scandinavian, German and Austrian banks who are beginning to talk about foreclosure, and we expect things to start happening in the coming months,” de Haast says. Reports out of Bulgaria claim the banks will foreclose on and own 300 hotels by the end of 2009— again due to steep drops in visitation to the country. On the other hand, in Asia, there have been no defaults or foreclosures to speak of (other than a few in Australia and New Zealand), and there exists a fair amount of optimism about market conditions, according to Robert Hecker, principal of Horwath HTL, Singapore. “Despite many investors on the sidelines hoping for such opportunities to arise for them to buy distressed assets, most don’t really think many such opportunities will arise,” he says. “The owner-lender relationships and methods of doing business in Asia differ somewhat from North America such that work-outs of one kind or another are more likely to occur than ` FAST FACTS: 44% of investors in Australia/New Zealand expect a drop in hotel investment conditions for one to two years. (HTL Capital Advisors) 12 . HOTELS . August 2009 . www.hotelsmag.com GLOBAL UPDATE ‘‘ After the excesses of the pig went through the python in the 1990s, it didn’t take that long until we had it all back again. It is the old syndrome: ’’ ‘We will never do this again’—until the next time we do it. — Jim Butler outright defaults or foreclosures.” Buying Opportunities The consensus is that real estate values will hit bottom around the mid2010, which should finally bring cash holders and newly created funds off the sidelines to buy. Experts forecast that many hotels will suffer 50% to 80% price discounts from valuations made between 2005 and 2008, which will be very attractive to those with the stomach to buy. “We won’t see a lot of activity this year, but next year owners and lenders will see it is getting worse and will mark down these assets,” says Tom Morone, principal with advisory firm Warnick & Co., Los Angeles. He says a lot of private equity capital is being formed—some in the form of vulture funds seeking to pay 20 to 30 cents on the dollar and others formed with a combination of equity and debt offering high yields and no more than a threeyear hold. “In 2010, we will see a number of those funds showing up,” Morone says. For now, however, most cash kings are biding their time, knowing values have more room to drop. “It is prudent not to be too aggressive, as no one knows how far down this is going, and the number foreclosures and pain-building on the asset side hasn’t shown itself yet. It is coming,” says Michael Depatie, president and CEO of Kimpton Hotels & Restaurants, San Francisco, which is sitting on a US$250 million war chest ready to buy assets. “We are looking but see nothing changing hands of interest to us. We would step up and buy at the right place, because no one is smart enough to call the bottom, but we see no trades that we missed.” Clark Hanrattie, chief investment officer with HEI Hotels & Resorts, Norwalk, Connecticut, is looking to acquire via his firm’s existing US$550 million equity fund and believes the timing is just about right. “Historically, we have been a very focused and diversified investor with 200- to 500-room hotels, not highly leveraged, in markets with limited exposure. As a result, we have been managing fairly well through this downturn,” he says. “We will continue to invest in assets where we have management expertise and begin to make investment off our historical fairway because we have the expertise to execute a business plan. We might recapitalize assets managed by third parties or acquire debt as opposed to straight asset acquisition… There is so much deterioration in value on equity side that anyone leveraged does not have any equity to transact.” Thomas Smit, Londonbased CEO of Waldeck Capital, which has a fund preparing to buy non-performing assets in the luxury sector, says, “We don’t have baseball bat attitude of ‘sell it at our price.’ We are dealoriented. At same time, we are sitting and waiting. The pressure is mounting and we are in for a dismal summer. Hoteliers are going to have to face the music beginning in the fourth quarter and make calculated decision to write down losses on both the debt and equity side.” He believes that by December, banks will realize their exposure is far greater than anticipated. “They will bite the bullet and make massive allowances for next year and take the writedowns,” he says. Rushmore says waiting to buy could be a mistake. “Very good properties in great locations will be available in the short term for 30% of replacement cost,” he says. “If you see something today, not as many are chasing it and you might as well buy it if it fits into your parameters. These types of assets should be available by the end of this year.” Lesson Learned When this mess is sorted out over the next five to seven years, what will be the lessons learned? “The lessons learned (again) were being preached by veterans of prior downturns at least as far back as 2005: avoid high leverage, don’t underwrite on overly optimistic valuations and income projections, keep recourse to align owner and borrower interests, and watch out for onerous management agreements and subordination non-disturbance and attornment agreements,” Butler says. But, he reflects, if this had been the case, not many deals would have gotten done over the last three years. The question is whether the industry be better off today if it had not done those deals? “Fortunately or not, we seem to have short institutional memories,” Butler continues. “People swear off high debt levels and aggressive underwriting after every major downturn. After the excesses of the pig went through the python in the 1990s, it didn’t take that long until we had it all back again. It is the old syndrome: ‘We will never do this again’— until the next time we do it.” This time, however, Butler believes we are likely to have major structural changes, including government regulations, investment proscriptions, lower leverage on all assets and changed consumer attitudes in an attempt to “codify” some of these lessons. L Direct comments to: jweinstein@reedbusiness.com FAST FACTS: UK-based Travelodge has launched a £100 million property fund to snap up struggling hotel assets. www.hotelsmag.com . August 2009 . HOTELS . 13 t h e c u l i n a r y i n s t i t u t e o f a m e r i c a a n d a lt o - s h a a m announce the jerry d. maahs scholarship fund. Jerry Maahs devoted his life to better food. It started in the 1950s when he developed Halo Heat to keep home-delivered food warm during cold Wisconsin winters. That original technology soon appeared in the first Cook and Hold oven and changed the culinary world when Jerry introduced low-temperature cooking. Soon the Cook and Hold became a kitchen staple, and Alto-Shaam became a trusted name in restaurant equipment. Even though Jerry passed away in 2006, his devotion to better food lives on. Alto-Shaam is proud to announce that the Maahs family established a $1 million perpetual scholarship fund for the Culinary Institute of America in Hyde Park, NY. Jerry had always invested in the food service industry, and this scholarship will see that others have the same opportunity to make a difference in the food service industry as well. The scholarship offers one culinary arts student per year a complete educational package, including tuition, expenses, room and board, books, fees, and equipment. “Jerry came from modest beginnings when he started working Pictured: Dominick Cerrone, Assistant Professor Culinary Arts - CIA; Bruce Mattel, C.H.E., Associate Dean Culinary Arts - CIA; Michelle Stone, Scholarship Recipient - CIA; Andrew Mayeshiba, Chef - Alto-Shaam; William Rakow, Chef - Alto-Shaam in the 1950s toward what is now Alto-Shaam,” said Karen Hansen, CEO of Alto-Shaam and Jerry’s daughter. “It’s only fitting now to give back to the culinary industry by helping top students who would otherwise not afford this high level of culinary education.” 7•14esG Combitherm® Combination Oven/Steamer 20•20esG Combitherm® Combination Oven/Steamer 1767-SK/III Cook/Hold/Smoker Oven 500-2D Drawer Warmer QC-100 QuickChiller™ 1 - 8 0 0 - 5 5 8 - 8 7 4 4 • w w w . a lt o - s h a a m . c o m GLOBAL UPDATE Epic Offers Guests Digital Library impton Hotels & Restaurants’ new Epic Hotel in Miami has launched the Epic Page Turner guest reading program, which provides select complimentary books for adults and children, access to Sony Reader Digital Books, and the online Epic Virtual Nightstand (available via the hotel’s Web site), where guests can access select book excerpts from their own in-room desktop computer. Author visits and signing events held during the hotel’s complimentary evening wine hour also are planned. “Today’s travelers want to be able to enjoy their personal interests and passions without having to pack more than they need,” says Eric Jellson, area director of sales and marketing, Kimpton Hotels. “Our guests enjoy keeping up with a favorite author, literary genre, or the latest bestseller, and the Epic Page Turner program is our way to provide our guests with epic experiences in every sense of the word.” The Epic Page Turner program is the result of a partnership between the hotel and Hachette Book Group, Sony Digital and the Early Learning Coalition of Miami-Dade/Monroe. K Spotlight Shines On Blue Tree’s New Brand R ecognizing an opportunity in Brazil’s underdeveloped budget sector, Blue Tree Hotels President Chieko Aoki is launching a contemporary economy brand called Spotlight Hotels by Chieko Aoki. The first hotel is set to open this month in São Paulo and Aoki says she plans to have five hotels in operation by the end of the year in primary markets of Brazil. She wants an additional 10 hotels by the end of 2010 across Latin America. Although properties have a Westernstyle design, Aoki is creating the brand based on the Japanese ryokan—traditional inns where general managers personally welcome guests and make themselves available to help the guests throughout their stays. “Our focus is on our guests, and that is the reason for the name Spotlight Hotels—guests are in the center of the spotlight and have the attention of the whole team,” Aoki says. “Our staff is extensively trained to not only to do things right, fast and perfectly, but also warmly and with a lively spirit so that guests can feel relaxed and taken care of.” Aoki says the F&B concept is a “typical American deli with tasteful and healthy choices that guests can select and prepare as they wish.” The lobby lounge is designed to be like a living area, where guests can have drinks and watch television. The “meeting point” offers information about the city and areas of interest. Claridge’s Pampers With Dressing Tables laridge’s, London, has unveiled vintage, deco dressing tables inspired by designer Christian Dior in its Linley and Claridge’s Suites. Available for an additional £300 to the quoted room rate, amenities at the dressing table include an elegant cream silk Claridge’s dressing gown personalized with guests’ initials, high-heeled marabou mule slippers and a rose pink cashmere eye mask. On the dressing table itself, Christian Dior has selected a range of classic Dior fragrances. In addition, a cocktail menu from Claridge’s Fumoir Bar sits on the dressing table featuring cocktails from the 1930s, including swizzles, daisies, sours, juleps and pick-me-ups, all from the original recipes and served in Lalique glasses. Little touches to enhance the ambience include a selection of classic works from era novelists like Evelyn Waugh and Nancy Mitford, and a music collection with notable songs from Josephine Baker and Fred Astaire completes the experience. As guests head out the door for the evening, Dior also has created a beauty kit of the essentials, including compacts, powders and ruby red lipstick and nail varnish. “We have identified from our guests a desire to experience some nostalgic escapism and sense a return to bygone glamour,” says General Manager Philippe Leboeuf. C 16 . HOTELS . August 2009 . www.hotelsmag.com Get your daily dose of Led by hospitality experts and HOTELS’ editors, BLOGS are your vital lifeline to the industry. Join the conversation wherever and whenever you need a dose! FEATURED BLOGS: • Check Your Ego at the Door, Bart Berkey • Deal Tracks, Michael Shindler • Designs on Profitability, Roger Hill • EcoSpeak, Lyndall DeMarco and Ray Burger • Editor’s Viewpoint, Jeff Weinstein • eMarketing Muse, Scott van Hartesvelt • Musings & Miscellany, Adam Kirby • Something to Chew On, Bob Puccini • Something to Talk About, Derek Gale Read what industry leaders have to say. Visit: hotelsmag.com/blogs GLOBAL UPDATE: PROFILE ABRAHAMSON At Home With IHG “Product of the system” has his hands full with economy, replacing legendary Porter. which we operate. Yes, we are seeing close to 800 hotels globally (one-third of the system) with financial default numbers going up, but in long seemed destined to become president of the Americas real numbers it is not at an alarming rate.” the new identity package in for IHG, as he did in January. To help keep IHG owners in busiplace. The goal is to complete He spent several years as a GM ness, Abrahamson says the company the re-imaging program by in the Bass plc system during the end of January, with costs is highly focused on driving revenue. the ’80s, went to Holiday Inn The company has completely realigned estimated at US$150,000 per school and considers himself the revenue delivery system, launched hotel. “The success we are “a product of the system.” Over seeing in performance (5% to the largest free nights program through the past 10 years or so, he has the loyalty program, created a huge 6% RevPAR premium) and been growing his skill set with gain of market share has been “friends and family” discount program Hilton and Hyatt in franchisand added 30% to the national sales a great revelation for us all,” Jim Abrahamson ing and development—the latest force. “This is hand-to-hand warfare,” Abrahamson says. feather in his cap being the creation and Abrahamson says. “We added 22 people Abrahamson also is pleased with the rollout of the Hyatt Place brand. Unforto our national sales team.” progress of the pipeline, which should tunately, it took last year’s tragic passing The Americas team also has decided lead to 350 hotel openings this year. In of Stevan Porter, a friend and colleague to forego its systemwide conference this May alone, 40 hotels opened under the of Abrahamson, to bring him back to various IHG flags, and 60 new contracts year in lieu of 85 town hall meetings. The his roots with the IHG family. Now, he “Book Solid” tour teaches salespeople were executed during the first quarter— is charged with building on the legacy how to present to potential customers. about 50% to 60% of the usual pace, created by Porter and managing this with according to Abrahamson. “Pipeline The program helps general managers and aplomb at perhaps the most difficult directors of sales better understand growth is back to where it was eight or moment in the industry’s history. distribution strategies and make changes nine years ago,” he says. “Those early impressions are longthat will have a positive impact on While hotel loan defaults and bank lasting, and I learned the business around demand, rooms sold and revenue per sale. foreclosures are growing by the minute, Holiday Inn,” Abrahamson says. “ToAt the end of the day, Abrahamson Abrahamson says IHG owners appear to day, the motivation of the team is high, says, “We are seeing a shift toward the have limited exposure, especially because the company operates mostly in the the brands are well positioned and the mid-scale, so our brands are well received. mid-market and limited-service segments. Groups and meeting planners are looking pipeline is strong. Knowing Steve and his “We have franchisees dealing with this legacy, I have an opportunity to pick up at us as a great spot for their travelers. It is where he left off. It is a natural evolution.” problem, but most have relationship loans no longer all about price negotiation—it is with local banks, so there is not as much Abrahamson’s challenge is to refocus position in the market.” L the energy of the organization and owners, of a rush to foreclose in the segments in Direct comments to: jweinstein@reedbusiness.com who are under fire during these difficult times. He is realigning the organization a bit to address areas needing the most IHG, The Americas, By The Numbers attention and re-slotting some team N 1,300 hotels in the pipeline—about 850 of them Holiday Inn or Holiday Inn members as he sees fit. For example, Express (95% of those are new developments) Angela Brav has moved into the role of N 350 hotels scheduled to open in the Americas this year vice president of franchise services and N71% of IHG’s global pipeline in the United States operations; Eric Pierson has taken over as N By the end of 2009, 40% to 50% of Crowne Plaza portfolio will be renovated vice president of brand performance; and NCrowne Plaza has 40 hotels in the Americas pipeline Jim Anhut is now senior vice president N The upscale InterContinental brand has seven hotels in the pipeline, with Times and chief development officer. ATLANTA Jim Abrahamson has Staying The Course Job number one remains the Holiday Inn relaunch, which through May hit Square in New York City coming online next in 2010 N Regional pipeline: United States/Canada, 1,200-plus hotels; Mexico, 62 hotels; Central, South and Latin America, 17 hotels FAST FACTS: In 2010 in the United States, occupancy will drop 0.3%, ADR will fall 3.4%, RevPAR will decline 3.7%. (Smith Travel Research) 18 . HOTELS . August 2009 . www.hotelsmag.com GLOBAL UPDATE: PROFILE Seattle Developer Plans Chain Of Luxury Casinos—IN GUATEMALA Alekson’s Luxuriant brand a public-private partnership and a philanthropic endeavor. SEATTLE Jim Alekson resorts and use them understands why people for various governshoot him a skeptical ment agencies to look when he explains improve the lives of his plans to start a chain the people of of luxury casino resorts Guatemala,” he in the Central America says. nation of Guatemala. The gaming After all, the former operations will be chief operating officer branded as Luxuriof Milliken Developant World Resorts ment Group once and operated by a Jim Alekson shared that skepticism. third-party gaming “I was invited to Guatemacompany—Alekson is la a couple years ago, and I looked not sure which one yet, but he says at the country at thought, ‘Oh, it will not be a Las Vegas-based opdo I really want to get involved erator. “It may be more culturally in what I perceived to be a Third conducive to have someone come World country?’” Alekson says. out of Europe—Spain or Portugal, “Of course, my perception of the perhaps,” he says. country has changed dramatically Adjoining hotels will feature over the time I’ve been working one or more international flags, there.” and the resorts will be collectively Alekson sees immense luxury marketed within a luxury consortourism potential in this developtium called Luxuriant Masterpiece ing country of 13 million people Collection. Each Luxuriant resort immediately south of Mexico. will be between 300 and 500 acres His Seattle-based Alekson De(121 and 202 ha) and will cost in velopment Group has signed an the range of US$200 million. New agreement with the Guatemala Jersey-based Horizon Hotels government for control of six Ltd. will act as asset manager for gaming licenses in exchange for Luxuriant properties. 20% of the net gaming win being Alekson has not yet settled on donated to the Guatemala Pedisites for the resorts, but he says atric Association. An additional destinations near the UNESCO percentage of the profits will be World Heritage-protected city of donated to other charities, AlekLa Antigua, along with Flores El son promises. “Primarily, we’re Peten, near the ancient Mayan rubeing set up so we can take the ins of Tikal, are likely candidates majority of the profits for some for investment. Alekson expects to start development on the first property this year, with the first Luxuriant property slated to open by 2012. Future Luxuriant resorts are planned elsewhere in Central and South America, with a goal of six properties open within 10 years. Peru, Argentina and Brazil are long-term targets, as is Cuba. “One of the things that intrigues me is being able to go back into the Havana harbor and gathering the gambling and hotel establishments that were in the waterfront in the heyday of the 1950s and bringing those back again,” Alekson says. “I think that would be an absolute treat to be able to do that again. You could create such an opportunity, from a tourist point of view, and use those same profits to stimulate the economy in Cuba.” Alekson considers Guatemala a logical jumping-off point for the Luxuriant brand due to its close proximity to the United States and its geographic diversity of mountain, beach and jungle locales. That the country is largely unknown to tourists gives it an added mystique, he says. Americans, Canadians and Western Europeans are expected to make up the bulk of visitors. So what changed Alekson’s mind about Guatemala’s viability as a destination? He spent a week driving around the countryside meeting with natives. “I went, ‘Whoa!’” he says. “There are some parts of Guatemala City where you find clubs that are comparable to New York—there are some very sophisticated people in Guatemala. Now, granted, there are some parts of Guatemala that are impoverished, and that’s part of what we’re doing with the philanthropy.” L Direct comments to: adam.kirby@reedbusiness.com FAST FACTS: There were 247 million global tourist arrivals through April 2009, down from 269 million in 2008. (UNWTO) 20 . HOTELS . August 2009 . www.hotelsmag.com GLOBAL UPDATE: TECHNOLOGY HITEC 2009 HIGHLIGHTS: The Future Of Guestroom TV ANAHEIM, CALIFORNIA At last year’s Hospitality Industry Technology Exposition and Conference, better known as HITEC, future-looking chatter centered around what the guestroom phone would eventually look like, if it exists at all. This year, observers were beginning to look at what will follow the traditional fee-based videoon-demand model. Declaring the old hotel revenue stream of fee-based video on demand “dead,” iBahn President Greg Hodges showed off what he believes is the future of guestroom TV. iBahn’s iMedia technology is true high-speed Internet streamed over television. This is not another version of IPTV; this is a PC in the guestroom that just happens to double as a highdefinition television, with incredibly crisp streaming video—a picture so perfect that most guests would not be able to tell the difference from regular HDTV. For the first time in years, this will enable mainstream upscale and upper-upscale hotels to offer guests a technological experience better than what most have in their homes. Unlike traditional video on demand, iMedia gives guests a virtually unlimited video library from which to choose. Even better, it sidesteps the need for digital video recorders, which are becoming commonplace in many homes, since most TV shows can be streamed for free online—or in this case, on TV. So how are hoteliers going to recoup that revenue stream? By selling the additional bandwidth required to stream these videos. In the same way that hotels today offer free television but charge for video-on-demand content, hotels using iMedia could allow free basic Internet browsing but charge a fee for bandwidth-intensive applications, like streaming media. iMedia will be field tested in the third quarter and is slated for a fourth quarter release. Computer-TV integration is definitely coming, in one form or another. LodgeNet Interactive Corp. at HITEC introduced its IPTV+ offering, which integrates Apple’s Mac Mini with HD IPTV, giving hoteliers the ability to customize in-room interactive experiences, including entertainment and sales and marketing information. The solution provides access to on-demand entertainment content and programming, complete with interactive programming guide and support for Webbased entertainment. While HITEC 2009 was a more streamlined affair, with attendance off 28% and the number and extravagance of vendor-sponsored parties down even more, there were many highlights, including these: turbine. It may be some time before it comes to market, though, as the return on investment is not there yet. MICROSOFT VINGCARD ELSAFE Perhaps by the end of this year, VingCard Elsafe hopes to launch a locking system that uses guest loyalty program cards as keycards, according to Rune Venas, North America president of Assa Abloy Hospitality Inc., VingCard’s parent company. Few details have been released about how exactly the system will work, but Venas says the technology will allow guests to bypass front desk check-in. Rival company Saflok has been working for a couple years on a similar product called Reggie, but it has yet to achieve market penetration. KABA ILCO Speaking of Saflok, the company’s sister brand, Ilco, displayed one of the coolest innovations at HITEC 2009. The Ilco Powerlever is an electronic lock that eliminates the need for batteries by generating its own electricity each time the door handle is turned. It is basically a miniature InterContinental Hotels & Resorts has begun rolling out Microsoft Surface at select properties, beginning in Atlanta and soon extending to Asia Pacific. The InterContinental versions of Surface will feature a customized wedding planner application, allowing salespeople and brides-to-be to sit around the interactive tabletop computer and digitally design the big day, right down to ballroom layout. In limited market testing, the brand claims to already have closed several wedding bookings thanks in large part to the interactive planning program. Microsoft’s Experience lounge that debuted last year at Hotel Sax Chicago is now a branded concept, having been also installed at Residence Inn Seattle Bellevue/Downtown. Microsoft is offering to customize future Experience lounges via à la carte packages. TWITTER At a session featuring numerous roundtable discussions of industry issues, the table devoted to Twitter had twice as many people—and a more captive audience—than any other. In fact, the Twitter table dwarfed even the green table. Social media in general and Twitter in particular seem to be the industry’s new hot topics. L Direct comments to: adam.kirby@reedbusiness.com FAST FACTS: 56% of leisure travelers make some aspect of their travel reservations online. (Ypartnership) www.hotelsmag.com . August 2009 . HOTELS . 21 GLOBAL UPDATE: NEWS GOSTELOW report M any of the bigger projects already announced for the sultanate of Oman have, at best, been put on hold, but among the developments still going ahead is Zeitgeist Projects’ tented camp, which will have 45 units. Vikram Chatwal of New York-based Hampshire Hotels and Resorts Group has been schooled both by Morgan Stanley and at the Wharton School of Business. On behalf of his family, he is now giving priority to expansion in India, where he wants at least 10 hotels to be managed by Vikram Chatwal Hotels. His targets include Bangalore, Chennai, Goa, Hyderabad, Jaipur, Kochi, Kolkata, Mumbai and Noida. Another company expanding in India is Legacy Hotels & Infraprojects, Delhi. It plans to have no fewer than 40 Sun Hotels around the country, offering quality rooms at affordable rates. As today’s new-luxury travel includes escape and privacy, developers are realizing the need for more island resorts. The Liem family, which own most of the Hyatts in Aus- ‘‘ tralia, has a 2,400acre (970-ha) island off Bali that might attract developers. Hainan Island, which some call the Hawaii of China, continues to be a magnet for many developers. Keith Darby, chairman of Belgravia Properties Ltd., Hong Kong, has beachfront land on the island that would accommodate a 100-room hotel. But there are so many other areas of China that are attracting interest. Historic properties in Shanghai are being converted, and The Peninsula Shanghai opens in October on the end of a beautiful garden that at one time belonged to the British Consulate, a few hundred yards from The Bund. And is the rumor that Number One The Bund will become a hotel true or false? At the gala to celebrate the extensive renovations of The Langham, London, Lo Ka Shui, chairman of Hong Kong-based Langham Hotels International, shared his expansion plans. With one hotel in mainland China already open—the Langham Yangtze Boutique Hotel, Shanghai—he wants four more there. He is also looking HOT TYPE The problem on our anyone is talking about. I find myself hoping the Obama administration has plans to bail out CMBS and related mortgages. We are still in deny ’’ and defer mode. - Tom Morone, Warnick & Co., on the state of hotel real estate HOTELIERS horizon is bigger than for more in Europe and the United States. Singapore-based Park Hotel Group has similarly set a target of an additional 10 properties in China by 2015. Mark DeCocinis, Hong Kong-based regional vice president for The Ritz-Carlton Hotel Co., Chevy Chase, Maryland, is still remembered for taking visitors to Shanghai around that city in the sidecar of his vintage motorbike. Now he prepares for the 2010 opening of the 300-key RitzCarlton Hong Kong, which Sun Hung Kai Properties is building on the Kowloon mainland (Sun Hung Kai Properties has a new chief executive, Ricco de Blank, who joins from Ritz-Carlton, where he was opening GM of Ritz-Carlton Tokyo). Mark DeCocinis currently oversees a portfolio of 14 hotels and a pipeline of 12. He wants to add to the resort component, not only in China, where he sees potential in mountain resorts, but also in Vietnam. On the city side, he wants a return both to Hong Kong Island and to Australia (his company formerly had two hotels in Sydney). In Asia, he says, Ritz-Carltons are increasingly being used as social centers. Mary Gostelow, Contributing Editor Send news via e-mail to: mary.gostelow@wowtraveler.net Lodgian Inc. names Dan Ellis president and CEO... Vila Vita Portugal names Luís Fernandes CEO... Waterford Hotel Group names Gregory Smith CFO and vice president of finance… Choice Hotels International appoints Kevin Lewis president of upscale and extended stay brands… Hilton Hotels Finamore Goessing Corp. promotes Andrew Flack to vice president of global brand marketing for the Hilton brand… The Dow Hotel Co. promotes Randall King to vice president of marketing and revenue development… Starwood Hotels & Resorts Canada names David Ogilvie vice president of sales and marketing… Aimbridge Hospitality appoints Richard Sprecher to vice president of business development… Preferred Hotel Group names Jose Ventura regional director of Africa and regional director of Preferred Residences for Europe, Middle East and Africa… Rosewood Hotels & Resorts names Peter Finamore managing director of Al Faisaliah Hotel and Hotel Al Khozama... Mandarin Oriental Hotel Group names Jan Goessing general manager of Mandarin Oriental, Bangkok… Pan Pacific Hotels Group names Rudy Rodas general manager for Pan Pacific Xiamen. FAST FACTS: China’s hotel pipeline, still the second largest, is down from its peak 22% for projects, 20% for rooms. (Lodging Econometrics) 22 . HOTELS . August 2009 . www.hotelsmag.com Hotelsmag.com Have you visited us lately? Hotelsmag.com. is a dynamic, high-traffic site that’s the go-to source for all things hotel related. At HOST the Hotel Industry puts its best foot forward. Hotel Emotion Hotel Industry Exhibition 23-27 October 2009 World's leader with 15,000 sqm of display area and 400 exhibitors, • Daily content updates, including breaking news • Topic-specific pages on design, food and beverage, technology, sales and marketing, green hotelkeeping and more • • Powerful hospitality industry search Talkback forums to discuss articles online • Topical blogs written by hotel industry leaders and HOTELS’ editors • • • • Webcasts and Audio/Podcasts Free eNewsletters Hotel Emotion is in a reserved area inside Host, International Exhibition of the Hospitality Industry, the world's number one with 1,865 exhibitors, 350 of which from abroad, 110,000 sqm of net display area, and over 135,000 professional visitors, 35,000 of which from 134 countries. www.host.fieramilanoexpocts.it RSS feeds Industry calendar Easy navigation makes it simple to find the information you need. hotelsmag.com INTERNATIONAL EXHIBITION OF THE HOSPITALITY INDUSTRY O SPECIAL REPORT Business is down across the continent, but primary destinations are holding their own. Europe’s Gateways To STABILITY By Adam Kirby, Associate Editor A s elsewhere in the world, hotel performance across Europe is down, but some analysts say the industry has actually held up better than expected, and some European markets are even showing signs of rebounding. Major gateways like London, Paris, Barcelona and Amsterdam are among the cities showing relative resilience. Established markets with strong corporate and leisure markets, unsurprisingly, are holding up better than others. On the whole, Jones Lang LaSalle Hotels expects Europe RevPar to fall by 15% to 20% overall this year. And while even Europe’s primary destinations are having a tough time, it is the secondary cities that are being truly pummeled, with major cities benefiting from intraregional short holidays, says Christiane Fiack, a Frankfurt-based partner with Ernst & Young. “Some markets appear a bit more robust—the traditional business, government and tourist destinations such as London, Frankfurt, Brussels, Paris and Venice have not declined as badly as the secondary markets,” Fiack says. “All European markets are likely to be scarred. Nonetheless, markets in secondary cities with a high share of domestic demand might be impacted less, but they usually trade at a comparably low, though stable, level.” The upper-upscale and luxury segments, especially in markets with a high share of international demand and which showed strong growth in supply and demand in recent years, may be the ones that really suffer worst, Fiack says. France’s hotels, in general, have shown more resilience than most of those throughout the rest of Europe due to the country’s diversified and mature tourism industry, says Vanguélis Panayotis, the London-based director of development for consultancy MKG Hospitality. The country’s biggest player, Paris-based Accor, is buoyed by its limited reliance on franchise deals, giving it more control through subsidiaries and via management contract properties, he says. But resilience, of course, ON THE WEB: 58% of respondents say free breakfast influences their choice of hotels, up from 51% last year. (Ypartnership/ Yankelovich) 24 . HOTELS . August 2009 . www.hotelsmag.com Radisson Blu Le Metropolitan Hotel, Paris Eiffel (l.), and Radisson Blu Le Dokhan’s Hotel, Paris Trocadero (above), both opened this year. is relative. IHG has taken to tracking RevPAR relative to the rest of the market, rather than year-over-year, as a more telling measure of success. “We’re not immune, but like in the [rest of the] world, IHG continues to outperform generally in Europe,” says Kirk Kinsell, IHG’s vice president of Europe, Middle East and Africa. “All of us will see our numbers fall off considerably, but on a relative basis, we think we’ll stay out ahead.” Maintaining rate integrity is the ideal scenario, but while few hoteliers admit to a strategy of cutting rates, most have given in, to varying degrees. In London, for instance, occupancy actually grew 1.5% year over year in May, but ADR dropped by 5.4%, according to TRI Hospitality Consulting. Although rate slashing does not pay over the long haul, it can serve to make things a little easier in the short run, says Stewart Coggans, the Czech-based head of Central and Eastern Europe for Cushman & Wakefield Hospitality. “With no ADR adjustments, guests will not magically appear— today’s consumer is spending more time looking for bargains—and as a result, the performance of hotels who do not address the ADR issue can fall of a cliff, and it’s more difficult to bring the guest back,” he says. Complicating revenue management is a dwindling advance-booking window. In June, The Dorchester, London, booked about a quarter of its inventory within a week of arrival, says Dorchester Collection CEO Chris Cowdray. Some operators also report that the duration of travel is getting much shorter, particularly among European travelers. “The Europeans previously booked an average 10 days stay, and Americans five days,” says Luis Riu, CEO of Riu Hotels & Resorts. “Now, the Europeans get closer to the Americans, if they travel to mid-haul and short-haul destinations.” development opportunities. Instead, major international brands are seeing a rush to conversions and flaggings by owners of unbranded hotels. But while new project starts may be limited, projects well into development are continuing to open, giving hotel companies plenty to talk about. Some 38,879 guestrooms in 277 hotels are projected to open across Europe this year, according to a June forecast from Lodging Econometrics, while a further 278 hotels and 47,464 guestrooms are expected to open in 2010. The Europe pipeline for Hilton Hotels Corp. will Openings Still Happening A lack of available credit across Europe, as in most of the rest of the world, is severely hampering new 14 The 473-key W Barcelona (r.) is set to open in October as Europe’s second W. Orient-Express’ Hotel Cipriani, Venice (below), is undergoing a major renovation. www.hotelsmag.com . August 2009 . HOTELS . 25 SPECIAL REPORT The Rocco Forte Collection’s first resort, Verdura Golf & Spa Resort, is set to open this month in Sicily. deliver more slowly in the coming year, acknowledges Patrick Fitzgibbon, senior vice president of development for Europe and Africa. Still, the company expects a typical attrition rate. Most developers are waiting out the storm, and even projects that would otherwise be abandoned are being kept alive by other developers looking to enter several of Europe’s notoriously high-barrier-to-entry markets, he says. Panayotis backs up Fitzgibbon’s analysis generally, saying many investors remain confident and are continuing to pursue development plans made prior to the downturn—particularly in Western Europe. “Of course, many are playing the waiting game now,” he says, “but as soon as things become clearer, we will see investors out of the block. It is the same situation with many of the refurbishment programs that have been postponed for next year.” Mandarin Oriental Hotel Group is making its entry into Southern Europe at the end of this year—the 98-key Mandarin Oriental, Barcelona, will be housed in a redeveloped building. Also notable in that city is the opening of W Barcelona, which is Europe’s second W, following last year’s Istanbul debut. The opening of the stunning 473-key new-build is set for October; other W projects remain under development in Paris and London. Fairmont Raffles Hotels International continues to seek Raffles-branded properties in several major Europe gateways—London, Milan and Berlin at the forefront— but those plans are on the back burner for now. The Fairmont brand’s expansion in Europe likewise remains a dream deferred, says Chris Cahill, chief operating officer for Fairmont Raffles. “Because of the lack of liquidity, lack of equity, lack of debt and lack of demand, there’s really not much impetus for new supply at this point,” he says. Raffles Paris is slated to open early next year, while the London Savoy is in the midst of a £100 million renovation. Kiev Fairmont should open late in 2010. London and Paris are medium-term targets for Mövenpick Hotels & Resorts, but land and development prices in those cities have not come down to a point where new construction makes 26 . HOTELS . August 2009 . www.hotelsmag.com financial sense, says Ola Ivarsson, Mövenpick’s senior vice president for Europe. Mövenpick plans to explore expansion in markets where it already has a presence, like Germany and Switzerland. Conversions Appeal Setting aside projects already in the ground or with committed financing, Coggans estimates that only about a quarter of Europe’s announced pipeline actually will commence in the next 18 months. However, conversions— either in the form of extensive renovations or, more likely, brand re-flaggings—are increasingly common across Europe. Owners of unbranded hotels, which make up about 75% of Europe’s inventory, are feeling more pressure than ever to affiliate from lenders wary of default. As a result, Hilton has more growth opportunities today than at any time since the 2006 merger with Hilton International, Fitzgibbon says. “In any downturn or crisis, there is always opportunity, and for us that has been one of the real highlights. Whilst there have been some developments that have slowed down, there are others that have really accelerated,” he says. The Doubletree by Hilton brand is generating especially strong conversion interest, having flagged six hotels in the past year in the UK, with at least four more expected in the next 12 months. And while the luxury and upper-upscale segments have been hardest hit by the downturn, branded product is holding up better than independent; Hilton thus sees opportunity to continue growing its Waldorf Astoria Collection portfolio across the continent. Starwood Hotels & Resorts holds similar optimism for its Luxury Collection in Europe, says Bart Carnahan, senior vice president of acquisitions and development for Starwood’s Europe, Africa and Middle Grand Hotel Europe, St. Petersburg, restored 10 historic suites this year, including the Lidval Suite. East division. “It is a major luxury hotel brand that is ideal as a conversion proposition for owners that treasure individuality and flexibility, but that seek to enhance their positioning by linking to the well-established Starwood engine,” he says. Starwood remains on track to grow its EMEA portfolio by more than 25% in the next five years, and conversion will be a major component to that, Carnahan says. Meanwhile, Starwood reports a general slowdown in new-build requests in Western Europe. “We think this is to be expected, that it is temporary and that it opens up conversion opportunities, which are a perfect match for Starwood and which previously may not have been on our radar,” Carnahan says. Marriott International continues to seek opportunities for its upscale brands in major European cities, complemented by its limited-service brands. What has changed with the downturn is a new emphasis on conversion opportunities, says Carlton Ervin, Marriott’s senior vice president for development. New management contracts are off this year for IHG, Kinsell says, but activity on the conversion side is way up. He reports heightened interest among owners of independent hotels and properties with “weaker brands” across Europe looking to convert to Holiday Inn and, to a lesser extent, the upstart Hotel Indigo brand. Indigo made its Europe debut in January with a 64-key property in London, with three more in the pipeline for that city. IHG is keeping an eye on unfinished residential and office projects in Europe that have been stalled by the credit crunch as prospects to be repurposed as hotels. “It’s certainly in the considered set,” Kinsell says. “We’re paying attention to deals gone bad for other uses. To a lot of real estate developers, hotels are starting to look attractive because they’ve got the notion that inflation is coming back, especially if they are able to buy the asset below replacement cost.” Emerging Markets Struggle Most new development is being mothballed or deferred in Europe’s emerging markets, with the exception of some budget and midscale projects. Lack of equity and debt funding, higher loan-to-value ratios, hesitant investors and difficulties defining market values are conspiring to keep emerging markets in their proverbial cocoons. Markets reliant on inbound visitors, like many in Eastern Europe, are struggling mightily. While Panayotis believes the mature markets of Western Europe are already beginning to offer limited opportunities for investment, he is less optimistic about the rest of the continent. Central and Eastern Europe markets are less active both in terms of development and performance, he says. In Bulgaria, for example, a national tourism organization projects some 300 hotels there will be in foreclosure by the end of the year. According to STR Global, no Europe market has been hit harder than Moscow, which posted a 40% RevPAR drop in May year-over-year. Nevertheless, Olga Arkhangelskaya, a partner with Ernst & Young’s Moscow office, believes the recent rate of industry expansion may, in fact, be sustainable in the CIS. Telling indicators like occupancy and ADR are decreasing, but not substantially. “Even during the period of rapid development the market experienced an undersupply of hotels, so currently the hotel sector shows the least downturn in comparison to other real estate sectors,” Arkhangelskaya says. During the boom times, emerging markets benefited from improving yields, rising performance and the availability of debt for new projects, Coggans says. Those conditions are history. “Until banking confidence in the sector returns, new projects will be few and far between,” Coggans says. “More likely activity is the redevelopment and upgrading of existing product, and arguably that is what is needed in any case.” That said, The Rezidor Hotel Group remains downright bullish on Europe’s emerging markets. Rezidor, which already has signed 20 contracts and opened another 20 properties this year, expects more than half of its growth over the next few years to come from Russia, the CIS and the Middle East, says Puneet Chhatwal, Rezidor’s senior vice president and chief development officer. At the same time, Rezidor also is looking to expand in Europe’s traditional gateways, taking advantage of reduced development costs resulting from the downturn. Starwood continues to see activity in Central and Eastern Europe, in markets like Russia and Ukraine, Carnahan says. The same goes for IHG’s Kinsell, who still views Russia as a strong play, particularly in the upscale segments due to undersupply; Moscow and St. Petersburg remain targets for the InterContinental and Hotel Vier Jahreszeiten, Kempinski München, Munich Crowne Plaza brands. The world’s largest Holiday Inn, with 1,000 guestrooms, is under construction in Moscow. Hilton sees potential in Russia for its upscale brands, especially its Doubletree conversion brand, which is opening in Novosibirsk later this year. And ShangriLa Hotels and Resorts has signed a deal to manage a 400-key hotel in Moscow beginning in 2012. Orient-Express Hotels, which is in the midst of a major renovation of trophy asset Hotel Cipriani, Venice, is refocusing on the traditional core markets of Western Europe after several www.hotelsmag.com . August 2009 . HOTELS . 27 SPECIAL REPORT years exploring emerging markets. “Opportunities in Eastern Europe, including Russia, have dried up in the short term,” says Filip Boyen, vice president of operations for OrientExpress. “But, as real estate prices have not yet hit bottom, we might see great opportunities going forward.” Opportunities Abound For the rest of this year and into 2010, there are deals to be had as hoteliers struggle to stay afloat. Kempinski Hotels, for instance, is focusing on adding inventory in high-barrier-to-entry gateway cities in Western Europe during the downturn, says Chief Development Officer Leonard Cohen. “The current environment has really not affected those plans,” he says. “If anything, we are even more active than we would otherwise be because we hope that some assets that might be in trouble will eventually trade, and there could be some management opportunities that arise from that.” Many investors continue to expect a flood of distressed assets to hit the market later this year. Until then, hotel transactions are few, especially above €50 million. “Where we have seen deals done, these tend either to be at the trophy end of the market by majority equity buyers or for the limited number of distress sales we have seen to date,” says Derek Gammage, EMEA managing director for CBRE Hotels. “It seems increasingly likely that banks will look to accelerate their impaired loans over the Kempinski Hybernska Prague opened last fall. Prague and other Eastern European cities are struggling to maintain rates during the downturn. next 12 months, and this, combined with the inability to refinance loans, should drive an increase in disposal activity. We do not believe, generally, we will see hotels coming to market unless the seller is, to some degree, acting with compunction.” A good example: In one of the biggest hotel deals this year, Starwood Capital Group agreed in July to purchase approximately 240 of the 260 hotels owned by Netherlands-based Golden Tulip Hospitality, which went into receivership Turkey Emerges As Luxury Destination he market generating the most buzz lately is Turkey, and with good reason. The country, which famously straddles both Europe and Asia, is fast establishing itself as one of the most luxurious resort locales on either continent. Turkey is one of the few markets in the world that has seen inbound American tourism increase this year—up 2.4% in the first quarter year-over-year. Furthermore, travelers from the UK are choosing Turkey in greater numbers since the recent slide of the sterling against the euro. Turkey’s luxury emergence is led by the opulent Mardan Palace, which opened in June in the Mediterranean resort city of Antalya. Costing US$1.4 billion, the 560key resort is the most expensive hotel in T Europe. Covered by 100,000 sq. ft. (9,290 sq. m) of gold trim and 250,000 sq. ft. (23,226 sq. m) of marble, it is designed to look like a gilded wedding cake. It features a 5-acre (2-ha) swimming pool and an on-site river with gondoliers. International hotel companies are targeting Turkey’s major cities for expansion, namely Istanbul, Ankara, Izmir, Antalya, Bodrum and Cesme. Hilton Hotels Corp. in particular has big plans for Turkey. Hilton, which opened Hilton Dalaman Resort & Spa-Sarigerme in July, has signed 13 management contracts for properties slated to open over the next two years. It has nine properties already open in the country. The Hilton Garden Inn and Hampton by Hilton brands are expected to debut in Turkey over the next two Mardan Palace opened in years. June as the most Mike Collini, Hilton’s vice presexpensive hotel in Europe. ident of development for Northern Europe, says Turkey’s real earlier this year. The transaction, the value of which was undisclosed, is on top of Starwood Capital’s previous acquisition of Golden Tulip’s franchise business, its development and representation businesses, its joint venture interests, and its brands, trademarks and intellectual property. Starwood Capital plans to create a strategic alliance between the Golden Tulip brand and its other major Europe hotel holding, Groupe du Louvre. ⽧ Direct comments to: adam.kirby@reedbusiness.com opportunity lies in the low penetration of international brands in regional cities, as well as limited brand diversity in the midmarket sector. “Quality hotel supply is still incredibly low and not growing at sufficient levels to meet international and domestic demand,” Collini says. IHG sees Istanbul as a major global gateway; the company has several Crowne Plaza and Express by Holiday Inn projects in the works there. Starwood Hotels & Resorts Worldwide selected Istanbul for its first European W Hotels property. The 170-key W Istanbul opened last year, as did another premier luxury property, Four Seasons Hotel at the Bosphorus-Istanbul. Another major project in the Turkey pipeline is what is slated to be the first of the highly anticipated Edition brand. The €100 million, 80-key property from Ian Schrager and Marriott International is targeted for a December opening in Istanbul. Also watch for the 2010 opening of Poseidon Underwater Hotel, a 7-story project from Tanriverdi Holding to be submerged in the Bosphorus Strait. ⽧ DESIGN PLAZA ATHÉNÉE, Paris Decorated by Marie-José Pommereau, co-founder of Architectural Digest in France, this project transformed an old apartment into a new part of the hotel. Hotel Director Mrs. Laurence Bloch says the brief was to give the suites a revisited—classical but with modern touches—luxurious and couture atmosphere. “I really wanted a suite in gray and pink colors,” Bloch says. “So I briefed MarieJosé Pommereau on this idea, and she used highquality rich fabrics with accent or cameo colors to magnify this suite. She put the emphasis on the accessories by choosing silver features and chandeliers.” Perhaps most intriguing of all, the Eiffel Suite’s view of the Eiffel Tower caused Pommereau to replace the curtains with an oversized frame. The new suite also features a grand piano and gaming table. Suite designs run the gamut, with exciting new creations ranging from elegant to extreme. Suite VIEW By Jeff Weinstein, Editor In Chief Suites, by nature, must deliver on an elevated set of guest expectations. Trying to interpret and anticipate the wants and needs of 21st century suite-goers seemingly has designers considering disparate possibilities, ranging from classic interpretations of elegance and timelessness to over-the-top colorful strokes of ultracreativity. Nothing seems to lie in the middle these days. This month, HOTELS looks at the latest in suite design that is sometimes retro chic, but more often modern. In every case—from the glamorous Eiffel Suite designed by Marie-Jose Pommereau at the Plaza Athénée in Paris to the uber-hip Extreme Wow Suite at the new W Doha—the designer is trying to compose a space that is both luxurious and grand, and it doesn’t hurt to offer a sweet view. ` www.hotelsmag.com . August 2009 . HOTELS . 29 DESIGN HOTEL SANTA TERESA, Rio de Janeiro The former colonial ranch located in the heart of the historic district of Rio de Janeiro takes on an ethnic, tropical design by François Delort. Inspiration came from the African indigenous roots of the north and east of Brazil, by the great coffee, sugarcane and cocoa plantations and by the Rio Baroque or Voodoo. Delort created a new look while using materials and styles of Brazilian design and architecture that were abandoned long ago. He gave them a contemporary interpretation by using golden slates, guestroom doors with the seven woods from Amazonia, the Bacaba fibers and diesel-oil-burnt concrete. W Doha Leave it to Starwood and W to invent the Extreme Wow Suite in Doha (290 sq. m/3,121 sq. ft.). The room, one of quiet defined extravagance, includes the signature W bed with 400-thread-count linens and goosedown duvet. There are panoramic sea views through the full-length windows, a living room with a pool table and a 46-in. (117-cm) IP LCD TV with a high-end audiovisual system. The spacious bathroom features a separate, unique hexagonal bathtub for soaking with “aquavision” TV. For more relaxation, there is a comfy armchair with poof, or a hanging swing chair in a uniquely designed area adorned with cool touches such as an “aqua-mazing” aquarium filled with exotic fish and an original Moooi standing lamp. 30 . HOTELS . August 2009 . www.hotelsmag.com DESIGN FAIRMONT LE MONTREUX PALACE, Switzerland Originally built in 1906, designer Fiona Thompson of Richmond International led a hotel renovation (below) that contrasts traditional and contemporary. Color palettes are light and airy set against a series of colorful photographic prints throughout the rooms, representing the reflective qualities of water. Classical architectural details have been restored, and an emphasis has been placed on both space and light afforded by uninterrupted views of Lake Geneva. In the three personalized Panorama Suites (Quincy Jones, Freddie Mercury and Claude Nobs), the decoration has been adapted to their respective personalities. LA MAMOUNIA, Marrakech Designer Jacques Garcia’s tranquil haven in the heart of the imperial city (above) has been recreated by accompanying the luxurious mood of the Oriental palaces with powerful Moorish architecture. Strong use of light and color, combined with beautiful and theatrical perspectives, adds a level of modernity, while marble columns, fine materials, vivid fabrics, soft furnishings and colorful wood add the final touches. “Our desire is to create an ethereal aura for our guests: to experience sensory delights in a luxurious setting where emotion and enchantment go hand in hand,” General Manager Didier Picquot says. THE RITZ-CARLTON CHICAGO, A FOUR SEASONS HOTEL Brayton Hughes Design Studios blended contemporary with traditional large graphic patterns on wall coverings and carpets. Lines are clean and designed to showcase the stunning views captured from guestrooms. “We installed contemporary MechoShades, rather than heavy drapery, to frame the panoramic views and celebrate the natural light that envelopes each suite,” says Managing Director Patrick Ghielmetti. “Even when pulled down over the windows, the shades let through a soft filter of light.” In addition, artwork offers a mix of abstracted Chicago architectural photos taken by celebrated Chicago photographers, and every room is outfitted with compact fluorescent lighting, reflective of the hotel’s green certification. L Direct comments to: jweinstein@reedbusiness.com www.hotelsmag.com . Month 2009 . HOTELS . 31 www.villeroy-boch.com/hotel Villeroy & Boch Salutes The 10 Great Hotel Restaurant Award Win ners 2009 THE LOGGIA RESTAURANT Villa San Michele, Florence, Italy BLUE DUCK TAVERN Park Hyatt, Washington, D.C., USA RIVE GAUCHE Bar au Lac Hotel, Zurich, Switzerland LUNG KING HEEN Four Seasons Hotel, Hong Kong, China FAVENTIA Four Seasons Resort at Terre Blanche, Provence, France MATHIAS DAHLGREN Grand Hôtel, Stockholm, Sweden HÉLÈNE DARROZE The Connaught, London, England FEARING‘S The Ritz-Carlton, Dallas, USA REFLETS PAR PIERRE GAGNAIRE InterContinental, Dubai Festival City, UAE LA BOURGOGNE Alvear Palace, Buenos Aires, Argentina Villeroy & Boch S.à.r.l. Hotel & Restaurant Tel.: +(352) 46 82 11 Fax: +(352) 46 90 22 E-mail: info.hr@villeroy-boch.com HOTEL & RESTAURANT FOOD & BEVERAGE Great Hotel RESTAURANTS Lung King Heen Four Seasons Hotel Hong Kong Meals served: Open seven days a week for breakfast, lunch and dinner Seats: 128; private dining for 14 Average check: US$100 Chef/culinary team: Executive Chef Chan Yan Tak and Lung King Heen Chef Ma Kwai Ming Menu: Authentic, traditional Cantonese cuisine updated with a contemporary approach and local and seasonal ingredients for a fresh and light twist on Chinese classics; emphasis on dim sum and seafood; ninecourse chef’s menu available Sample menu items: Braised goose liver in abalone sauce and fish maw; wok-fried prawns with dried chili and shallots Standout features: Décor incorporates an Italian silver leaf ceiling and silver and glass features to replicate the glitter of the dramatic skyline of Hong Kong; central design feature is a custom, hand-embroidered 7-foot (2.1-m) silk-and-glass screen by a Hong Kong-based artist What makes it great: Lung King Heen incorporates the freshest of local and seasonal produce into its traditional Cantonese foods Other recognition: Recognized for the “Top Food in Hong Kong” in the 2008 Zagat guide; only restaurant in Hong Kong to receive 3-star award in inaugural edition of the Michelin Guide to Hong Kong/Macau 2009 Beautiful rooms, unparalleled views, the freshest ingredients and impeccable service define the best hotel restaurants across the globe. By Derek Gale, Senior Editor E ach year, 10 great hotel restaurants are selected by a distinguished panel of judges made up of well-traveled hospitality professionals from all over the world. Winners receive a porcelain brule parfum from HOTELS magazine and sponsor Villeroy & Boch. ⽧ www.hotelsmag.com . August 2009 . HOTELS . 33 FOOD & BEVERAGE Blue Duck Tavern Park Hyatt Washington D.C. Meals served: Lunch and dinner daily, weekend brunch Seats: 106 inside, 40 outside (seasonal), 10 for semi-private dining and 16 at the chef’s table Average check: Unknown Chef/culinary team: Executive Chef Brian McBride, Chef de Cuisine Michael Santoro Menu: Showcases the best of the season and region through simple, traditional cooking methods Sample menu items: Roasted tavern steak with cherry mustard marmalade from Snake River Farms, Idaho; Muscovy duck breast with braised leg, Fearing’s The Ritz-Carlton, Dallas Meals served: Breakfast, lunch, dinner and Sunday brunch Seats: 379: Dean’s Kitchen (64), Gallery (52), Sendero (54) and Ocaso (50), plus private dining spaces and bars Average check: Unknown Chef/culinary team: Chef/ Partner Dean Fearing, Chef de Cuisine Eric Dreyer Menu: Elevated American cuisine—“Bold Flavors, No Borders,” and a focus on Texas’ local ingredients Sample menu items: Tortilla soup; barbecued shrimp taco; maple-black peppercornsoaked buffalo tenderloin; and pan-roasted BBQ-spiced filet and chicken-fried Maine lobster Standout features: High ceilings, detailed millwork, Jerusalem limestone, giant live oak trees with outdoor fireplace, extensive waterworks and 6,000 bottles of boutique and rare-vintage wines in the wine cellar What makes it great: “Last meal-worthy” cuisine; seven indoor/outdoor dining settings, including Rattlesnake Bar (serving premium tequilas), Live Oak Bar (with outdoor fireplace), The Gallery (formal), The Sendero (glass pavilion with removable walls), Ocaso patio (walled-in garden) the Wine Cellar (private dining), Dean’s Kitchen (dining room built around kitchen) Other recognition: Named America’s “Restaurant of the Year” by Esquire magazine in 2007; Named No. 1 in hotel dining by Zagat’s 2009 U.S. Hotels, Resorts and Spas Survey The Loggia mozzarella, fresh tomato and basil sauce; Tyrrhenian fresh catch of the day in salt crust, perfumed with wild fennel Standout features: The views over Florence What makes it great: “A fabulous space with fabulous views that preceded the restaurant,” says Michael Whiteman, a New Yorkbased restaurant consultant Villa San Michele, Florence Meals served: Lunch and dinner Seats: 80 Average check: Unknown Chef/culinary team: Chef Attilio di Fabrizio Menu: Typical Tuscan cuisine of the region Sample menu items: Potato and spinach gnocchi dumplings served with buffalo 34 . HOTELS . August 2009 . www.hotelsmag.com black olive and licorice from Four Story Hill, Pennsylvania Standout features: Open kitchen and pastry pantry; handmade Windsor benches, one measuring 29 ft. (9 m) and incorporating more than 200 hand-tooled spindles What makes it great: Menu notes farm where every dish is raised before its journey to the table Other recognition: Named one of the “Best 95 New Restaurants in the World” by Condé Nast Traveler in 2007 and one of the “Most Outstanding Restaurants in 40 Cities Around the World” by Food & Wine in the same year ow Register Nia for Spec l & Conferenctees Hotel Ra 15th Annual September 22-25 At The Arizona Biltmore Resort & Spa, Phoenix, Arizona The Hotel Industry’s Premier Deal Making Conference To Register: Call 800-252-3540 or www.lodgingconference.com Lodging Unlimited, Inc. MORRIS LASKY, CEO, CHAIRMAN The Conference Bureau HARRY JAVER, PRESIDENT, PRODUCER TM Associated Ventures, LLC ® FOOD & BEVERAGE Hélène Darroze The Connaught, London Meals served: Lunch and dinner Monday to Friday Seats: 62 Average check: £115 Chef/culinary team: Hélène Darroze Menu: Regularly changing daily set lunch, seven-course tasting and à la carte lunch and dinner menus reflect Darroze’s signature style of cuisine— a combination of traditional produce from her native Landes (in Southwest France), coupled with some of the finest ingredients from the British Isles Sample menu items: Signature dishes such as Gillardeau oyster tartare with caviar d’Aquitaine jelly or black and creamy Acquarello rice with squid, chorizo, confit tomatoes and a Reggiano parmesan foam Standout features: Guests are greeted on arrival by large presentation cubes displaying Darroze’s freshly made breads, cheese selected by master fromager Bernard Anthony, pots of wild herbs and reels of freshly churned butter What makes it great: Darroze’s passion for the finest, simplest ingredients— particularly produce; the Armagnac trolley, a signature feature from Darroze’s restaurant in Paris, with more than 44 vintages from 1904 to 1994 Other recognition: Hélène Darroze has earned two Michelin stars at her Paris restaurant Restaurant Mathias Dahlgren Faventia Four Seasons Terre Blanche, Provence, France Meals served: Open April to October for breakfast daily and dinner Tuesday through Saturday Seats: 60 inside, 60 outside Average check: €165 (including taxes) per person Chef/culinary team: Executive Chef Philippe Jourdin leads an eight-person culinary team Menu: Contemporary Mediterranean cuisine with Provençal influences and a focus on fresh, local ingredients; two tasting menus – Saveur Du Terroir and Balade Provencale 36 . HOTELS . August 2009 . www.hotelsmag.com Sample menu items: Roasted turbot fillet glazed with golden jus, capers and lemon; roasted veal fillet served with girolle mushrooms and zucchini with fresh almonds Standout features: Hilltop vantage point with sweeping views over nearby villages of Callian and Montauroux; modern art from French artists adorns local stonework walls, balanced by dark wooden floor and high ceiling What makes it great: Chef allows ingredients to speak for themselves; elegant yet unintrusive service Other recognition: Awarded two stars this year by Michelin InterContinental Stockholm Meals served: The food bar (Matbaren) is open for lunch and dinner; the dining room (Matsalen) is open for dinner only Seats: 50 in the food bar; 38 in the dining room Average check: SEK 1,000 (US$129) in the food bar; SEK 2,800 (US$363) in the dining room Chef/culinary team: Mathias Dahlgren Menu: Specializes in natural cuisine, based on fresh produce and natural taste, featuring local Swedish ingredients as well as global ingredients and influences; tasting menus available in both food bar and dining room Sample menu items: Tartar of beef & oyster; baked wild chocolate Standout features: Warm, intimate dining room designed with a mix of classic Swedish and contemporary international influences, featuring original chairs rescued from the Grand Hotel What makes it great: Long sittings with time to savor cuisine, wine and company are encouraged Other recognition: Named on the 2009 list of San Pellegrino’s World’s 100 Best Restaurants; Dining room and food bar both received Michelin stars Reflets par Pierre Gagnaire InterContinental Dubai Festival City Meals served: Lunch and dinner Seats: 50, plus a private dining room La Bourgogne Alvear Palace, Buenos Aires Meals served: Lunch (Monday through Friday) and dinner (Monday through Saturday) Seats: 70 Average check: US$70 Chef/culinary team: Executive Chef Jean Paul Bondoux plus a team of 15 cooks Menu: Traditional French incorporating Argentine products; featuring an executive lunch menu, an à la carte dinner menu and tasting menus for up to 10 guests Average check: AED750 (US$204) Chef/culinary team: Head Chef Olivier Biles, Assistant Outlet Chef Anthony Garlando, Pastry Chef Sébastien Vauxion, Head Sommelier Julien Coron Menu: A seasonal reflection of the best ingredients available in the French markets, with dishes changing daily; three-course set lunch menu Sample menu items: Roasted duck aiguillette with sour cherries and green cabbage fondue served with duck confit-stuffed red pepper and Iberico dressing; butter-poached John Dory with espelette pepper, cockles, and virgin sauce, served with grilled shiitake mushrooms, foie gras puree and veloute blanc, plus spinach tart with niora chilies and abalone Standout features: Rich color and sparkle of interior What makes it great: Service is discreet and personable, with little surprises to delight guests; feedback is taken very seriously Other recognition: The only Middle East restaurant on the 2009 list of San Pellegrino’s World’s 100 Best Restaurants for both services, with items changing regularly Sample menu items: Chateaubriand béarnaise; lamb with parsley and garlic sauce Standout features: Private dining in wine cellar for up to 40 What makes it great: Tableside service showcases a range of cutting, carving and flambé of meat, poultry and fish Other recognition: The only Relais & Gourmand establishment in Argentina Rive Gauche Hotel Baur au Lac, Zurich Meals served: Lunch and dinner Monday through Saturday Seats: 60 Average check: CHF122 (US$114) Chef/culinary team: Chef Olivier Rais Menu: A modern Mediterranean-inspired grill with seasonal ingredients and international influences such as exotic spices Sample menu items: Grilled steak of tuna with herbal marinade; monkfish wrapped in Pata Negra with green asparagus; “gentlemen’s” and “ladies’” cuts for tenderloins Standout features: New terrace; martinis at Rive Gauche Bar What makes it great: The idea that an exquisite culinary experience comes from passion not protocol; creative names for menu items Selection Committee: Manos Angelakis, managing editor, LuxuryWeb, Hackensack, New Jersey; Elizabeth Blau, restaurant consultant, Las Vegas; Fred Ferreti, food writer/ restaurant consultant, Montclair, New Jersey; Kurt Fischer, president, International Food & Beverage Forum, Mendocino, California; Mary Gostelow, editor in chief, WOWtravel, London; Eileen Yin-Fei Lo, cookbook author/teacher/consultant, Montclair, New Jersey; Ernesto Marino, founder and president, BSH International, São Paulo; David McMillan, president, Axis Hospitality International, Montreal www.hotelsmag.com . August 2009 . HOTELS . 37 TECHNOLOGY Popular consumer devices could put an end to costly hand-held POS terminals. The Future Of Mobile POS: APPLE’S iPod/iPhone? By Derek Gale, Senior Editor W hile more and more people around the world continue to purchase Apple’s iPod Touch and iPhone products (some 40 million of these devices are in use worldwide, according to Julie Ask, vice president and principal analyst at Cambridge, Massachusetts-based Forrester Research), consumers aren’t the only ones interested in what these mobile devices can do. Scottsdale, Arizona-based Hospitality Solutions International (HSI), a division of Micros Inc., is offering its Profit Series Mobile POS solution for use with Apple’s iPod Touch/iPhone, stressing the affordability and lightweight, low profile design of these touch-screen handheld devices. According to HSI, the iPod Touch can be used with its mobile POS solution for poolside or tableside ordering, manager functions such as voids and discounts, and also works well as a minibar solution in properties with wireless networks throughout. The Phoenician, a Starwood Luxury Collection property in Scottsdale, has been using the HSI system with iPod Touch devices for poolside F&B operations for a few months. “It is phenomenal technology, and the capabilities are endless,” says Mac Gregory, director of food and beverage. “The cost is even low, at an average iPod running around US$125 (a corporate account/ pilot program price).” HSI’s software is simply downloaded onto the devices, “and the screens on the iPods are identical to the POS, which is the big breakthrough and user advantage,” Gregory says. “Looking at an iPod or a permanent terminal, there is no difference. Virtually all other hand-helds have never had this capability.” Thanks to the Apple devices’ multi-touch interface, users can zoom in on any area on the 3.5-inch (9cm) screen and then touch a selection, and any screen may be viewed in portrait or landscape orientation. “[It is] very easy to manipulate and maneuver,” Gregory notes. And because of server and guest familiarity with the devices and the fact that they expedite foodservice in the pool area, “the iPods produce great service scores and stronger revenues,” he adds. The only challenges with the technology came around wireless connections, guest usage of Internet and security with dedicated lines, Gregory notes. But overall, he says, “Nothing compares to the iPod process. I personally implemented 15 or so handheld POS operations at large resorts and hotels, FAST FACTS: Marriott has slowed the rollout of hand-held POS terminals in its hotel lobbies because of the economy. (Marriott International) 38 . HOTELS . August 2009 . www.hotelsmag.com and I have not implemented anything remotely close to as good. The iPod Touch POS solution is one of the best practices I have seen in two decades in the industry.” Gregory says the system would work well for any Starwood resort property or large hotel operation, and notes that he has now implemented the iPod Touch devices for minibar use. “Usually to charge for minibar, you would have to fill out a log and then go find a computer and ring it all in and transfer it to the folio so the guest can be charged. [That involves] lots of wasted time and may not be accurate,” he says. “With the iPod, you can charge the guest folio right there while checking the minibar stock.” So far, feedback on the minibar application has been positive, Gregory says. “The program is a huge cost savings and revenue driver, as we can now capture in real time and charge before the guest even checks out.” Gregory says his next step will be implementation of iPods at the resort’s golf course and clubhouse. L Direct comments to: derek. gale@reedbusiness.com MARRIOTT, STARWOOD TO ADD TELECONFERENCE TECHNOLOGY tarwood Hotels & Resorts Worldwide and Marriott International made separate, almost S identical announcements recently, each rolling out video teleconferencing systems at select hotels worldwide. Both will leverage Cisco’s TelePresence technology, although Starwood is hiring Tata Communications to do the installs while Marriott is using AT&T. Starwood’s Telepresence Suites—videoconferencing boardrooms involving high-definition video screens and high-end audio technology—are slated to open in 10 hotels by the end of the year, including Sheraton New York Hotel & Towers, Sheraton on the Park in Sydney, Sheraton Centre Toronto Hotel, The Westin Los Angeles Airport and W Chicago-City Center. Starwood also plans to expand the offering to business markets including Brussels, Paris, Hong Kong, Singapore and Tokyo. Marriott, meanwhile, is placing TelePresence into 25 hotels, with the first systems going online sometime in the fall. New York, San Francisco, Hong Kong, Shanghai, Frankfurt, London and Washington, D.C., are said to be among the cities Marriott is targeting for install. The Marriott, J.W. Marriott and Renaissance brands will get the bulk of the installs. L Beverage Inventory System Offers RAPID ROI For Bars The F&B department at InterContinental Miami has seen serious savings after installing Capton’s Beverage Tracker solution in late 2008. The system uses RFIDenabled liquor pour spouts to provide a clear picture of how each drink is prepared, how the guest is served and how the transaction is handled in the point-of-sale system. Variance events are highlighted for follow up, and ROI reviews ensure that management understands the opera- tional patterns monitored by the system. “We saw a drop in pouring averages of almost 37% in the first 60 days, which we know will correlate to a significant savings in annualized liquor inventory costs,” says Spiro Frangos, director of food and beverage for InterContinental Miami. FelCor Lodging Trust also recently announced plans to install Capton’s Beverage Tracker solution in its hotels. “Capton made it easy for McLaren International provides Jazz Call Accounting and DuVoice Voice Mail to the new Hilton Garden Inn Riyadh Olaya… IDeaS Revenue Optimization announces integration of IDeaS V5i revenue management solution with Brilliant Hotel Software’s PM PRO front desk solution… Roomlinx Inc. is named winner of the International Technium Challenge, a global business planning competition... EZYield.com launches a custom-developed integration platform for SoftBrands’ global property management systems… The Hard Rock Hotel & Casino Las Vegas selects The Rainmaker Group’s revolution revenue management product suite… Superior Group’s Regal Palms Resort chooses IQware as its technology partner for property management… After a pilot, Gaylord Opryland will proceed with a complete rollout of MTech’s REX Room Expeditor… Intelity installs its ICE and ICE Control System, ICS, at the Hacienda Tres Ríos resort. TECH BRIEFS us by going into one of our smaller-property bar operations and partnering with the local management team to prove the solution,” says Donald Falgoust, vice president of food and beverage for FelCor. “We fully tested the Beverage Tracker solution and found it produces compelling, measurable ROI results. In the future, we will evaluate installing Capton in our new properties, and we will factor Capton into our longrange capital plans for our existing full-service properties.” L VENDORS (This is not a complete list of point-of-sale system providers.) Aldelo Systems aldelo.com Brilliant Hotel Software myhotelsoftware.com HSI web.hsi-solutions.com MICROS micros.com Panasonic panasonic.com/pos ParTech Inc. partech.com Profitek profitek.com SoftTouch softtouchpos.com Squirrel Systems squirrelsystems.com Wavesoft wavesoft.com www.hotelsmag.com . August 2009 . HOTELS . 39 supplyline VENDOR NEWS Meyda Lighting Introduces Coca-Cola Pendants Milan Hosts Floating Chairs Installation YORKVILLE, NEW YORK Meyda Lighting unveils Coca-Colalicensed Bottle Mini Pendants, which feature recycled Coca-Cola glass bottles and the ever-popular Coca-Colalicensed design. Meyda Lighting is a designer and manufacturer of custom and decorative lighting. The Coca-Cola Bottle Mini Pendant integrates nostalgic design and craftsmanship with authentic, recycled Coca-Cola bottles. The pendants are handcrafted of classic green tinted glass featuring the authentic colors and contours of the original Coca-Cola bottle. The hardware features a canopy that replicates a Coca-Cola red bottle cap. The Coca-Cola Bottle Mini Pendant is 7.5 in. (19 cm) tall and 2.5 in. (6.4 cm) wide and can be installed 15 to 62 in. (15 to 157 cm) off the ceiling. The pendant uses T6.5 4o-watt lamping. MILAN The know-how of the Italian Chair District was presented at Salone Internazionale del Mobile in Milan via floating stage at the Naviglio Grande Canal. A 40-m (131-ft.) walkway hosted an installation of seating models representing the Friulian seating sector, a network of small and large companies displaying a combination of craftsmanship, design research and technological innovation, supported by international designers. Some models were designed by 20th century designers like Magistretti and Zanuso, plus more modern and celebrated designs from Jasper Morrison, Konstantin Grcic, Enrico Franzolini, Oscar Tusquet and Patricia Urquiola. Floating Chairs was conceived by Luca Fois and Design Partners. The installation was the work of designer Fabio di Bartolomei. His symbolic creation mapped out the genetic code of the seating sector, revealing its expertise, experience, creativity, passion and dynamism. Di Bartolomei placed numerous wooden frames of well-known seating models from the District alongside equally striking models made of leather, plastic and metal. Colored and computerized LED lighting completed the installation, providing beautiful and varied effects. A formula that spotlighted the wide spectrum of District-made products and emphasized that quality, in all the varieties of form, finish and design, is the common denominator of the Friulian chair and recognized all over the world. COLUMBUS, OHIO Red Roof is entering into a long-term partnership with American Hotel Register. Under terms of the agreement, American Hotel Register will be an integrated supplier for everything Red Roof orders, from housekeeping supplies and linens to beds and air conditioners. It is Red Roof’s goal to have anything a property would order come through American’s Web site. “Through this new partnership, American Hotel Register will make significant contributions to the success of Red Roof’s procurement program,” says John VanDenBerge, senior vice president of design and construction for Red Roof. “We recognize American Hotel Register as a leader in the industry and look forward to working with them.” Kettal To Outfit Punta Cana Iberostar PUNTA CANA, DOMINICAN REPUBLIC Kettal has been selected to furnish Iberostar’s Grand Punta Cana, the Spanish chain’s first Grand Collection hotel in the Dominican Republic. The Grand Collection, a new category of Iberostar hotels, offers clients a luxurious holiday experience in elegant and relaxed surroundings. This new line of adults-only hotels aims to provide an exclusive and unique product for the most exacting clients. The Kettal models selected for this project include Kettal Kore and Kettal Nova. 40 . HOTELS . August 2009 . www.hotelsmag.com Sheila Rietscher is named head of marketing for porcelain manufacturer Kahla/Thüringen Porzellan GmbH, responsible for brand communication of Kahla’s hotel sales division. She succeeds Jutta Burkhart… Stephan Wendler is named managing director for Eloma… Sealy Global Hospitality names Linda Bordner north regional sales Wendler manager, responsible for the growth of business in Canada and the northern tier of the United States. She was previously national accounts manager for MTS Seating… American Hotel Furnishings has appointed Daniel Marone to regional sales manager for the state of Florida... Leo A Daly, an architecture, planning, engineering, interior design and program management firm, names Mark R. Griffith vice president and managing principal of its Los Angeles office. Griffith previously served as managing principal of the firm’s Las Vegas office... Sabre Hospitality Solutions names Felix Laboy president and general manager, while Stephen Fitzgerald is named chief operating officer… iBahn names Matt Mitchell vice president of global accounts, based in Hong Kong. ON THE MOVE Red Roof Partners With American Hotel Register products COFFEE/TEA; KITCHEN PRODUCTS Edited by Mary Lenart, products editor The Perfect Welcome in any Guest Room Blanco The high-performance, compact table-top units of the Blanco cook front cooking system ensure a true cooking experience every day. The mobile fume extraction module features a multistage filter system, which reliably removes grease, moisture and annoying odors from the cooking fumes, completely independently of stationary fume hoods. Blanco CS GmbH + Co KG, Oberderdingen, Germany Internet: www.blanco.de Email: catering.export@blanco.de Alessi The electric version of the “coffee.it” coffee maker has a timer in order to make a good cup of hot coffee at a preset time. A distinctive feature is the unit’s cylindrical design. Alessi S.p.A., Crusinallo di Omegna, Italy Internet: www.alessi.com Email: info@alessi.com Villeroy & Boch Subtly woven, elegant lines that draw attention to the plate’s contents are a significant feature of the Sedona tableware line. It is an extremely contemporary yet classical interpretation for the table. Customers in over 100 Countries Worldwide Internet: www.villeroy-boch.com Email: info@villeroy-boch.com Rist The new contact grill features grooved plates for fast-food and healthy cooking. Infrared preserves the natural values of the grilled meat. The new lever system has a solid handle for easy handling. The cooking area measures 330 x 280 mm (13 x 11 in.). The World’s Leading Supplier of Specialist Products for the International Hotelier Welcome Trays s Haircare s Ironing Centres s Kettles Coathangers s Bedroom Safes s Radio Alarm Clocks Guest Mirrors s Retractable Clothes Line s Bins s Luggage Racks Irons s Bath / Shower Mat s Shower Curtains Tumblers s Hygiene Bag Holder s Tissue Box Holder Theodor R. Rist GmbH, Wien, Austria Internet: www.rist.at Email: marketing@rist.at international@northmace.com www.northmace.com $).385 Villeroy & Boch, Luxemburg PRODUCTS Rational The Self-Cooking Center automatically detects the current level of soiling and general care status of the unit, and then determines the optimum cleaning process. The intelligent cleaning keeps the SelfCooking Center, with CareControl clean, shiny and hygienic. Rational AG, Landsberg, Germany Eloma Modular Solutions combi steamers and bake-off ovens can be combined as desired, whether the station consists of 2 units of the same type or one combi steamer and one bake-off oven. A condensation hood system makes the unit perfect for shop and front areas. Internet: www.rational-ag.com Eloma, Maisach, Germany Email: m.prediger@rational-online.com Internet: www.eloma.com Email: info@eloma.com Ambach Series GNKG is a range of gas kettles with built-in steam generators. Two round shaped kettles (100- and 150-lt capacity) and 3 rectangular ones are now part of the System 900 heavy duty range. This new technology increases efficiency up to 90% and reduces heatup time. The electronic control is easy to use and can be provided with a RS485 interface for HACCP control. AMBACH ALI S.p.A, Caldaro, Italy RAK The Classic Gourmet collection will enhance breakfast set-ups. Stylishly simple, it adds to modern gastronomy presentation—especially coffee and tea services. RAK Porcelain Europe SA, Munzbach, Luxemburg Internet: www.ambach.com Email: ambach@ambach.com Internet: www.rakporcelain.eu Email: info@rakporcelaineurope.com Egro With the iSteam fully automatic steam wand Egro Coffee Systems now offers an interesting option for companies with a low requirement for coffee/milk drinks. Just set the desired froth quality and temperature once and the iSteam steam wand will make cold milk frothy or heat the milk up at the touch of a button. The procedure is finished once a perfect result has been achieved. It is just as easy to clean the steam wand as it is to use it. Egro Coffee Systems AG, Niederrohrdorf, Switzerland Internet: www.egrocoffee.com Email: info@egrocoffee.com Bauscher Pleasure is a new collection for the table. Not only does Pleasure offer shapes such as squares and triangles, they are stretched and varied creatively to bring a completely different feel to the tabletop. Bauscher, Weiden, Germany Internet: www.bauscher.de Email: bauscher@bauscher.de Zwilling The Twin Choice frying pan is available in four sizes, both coated and uncoated. The 3-ply Sigma Clad material with its strong aluminum core distributes heat evenly and quickly along the whole surface, resulting in shorter heat-up times. The pans have ergonomic stainless steel handles and are dishwasher safe. Walkuere The 699 070 coffee machine is made from porcelain. It works without filter paper or metal sieve, allowing the authentic aroma of the coffee to come through. The glazed Karlsbad double filter also may be cleaned easily. Zwilling J.A. Henckels AG, Solingen, Germany Erste Bayreuther Porzellanfabrik Walkuere, Internet: www.zwilling.com Bayreuth, Germany Email: info@zwilling.com Internet: www.walkuere.de Email: info@walkuere.de 42 . HOTELS . August 2009 . www.hotelsmag.com PRODUCTS Northmace & Hendon The Regal Welcome Tray is offered in either bright chrome or brushed stainless steel for the kettle and comes with a 5-year guarantee. The tray has a melamine base, for excellent resistance against heat, stains and scratches. There is a boil-dry safety feature. A lift-off tray prevents spillage and protects furniture. Salvis The Pressure Steamer Vitality Pro has been upgraded to include an additional integrated heat exchanger to increase performance and save energy. The steam generator has been enlarged and a new boiler system reduces water usage and readies the unit faster. Northmace & Hendon Ltd., London Internet: www.salvis.ch Internet: www.northmace.com Email: sales@northmace.com Email: info@salvis.ch Salvis AG, Oftringen, Switzerland Bravilor Bonamat Advant, a thermos container, features stainless steel housing and is equipped with a double walled stainless steel vacuum inner container that optimizes beverage temperature and quality for a longer period of time. Advanta can be placed underneath various filtering machines so coffee can be brewed directly into the unit, thanks to its brew-through lid. Because of its ergonomic shape the coffee dispenser is easy to use and can be cleaned efficiently. Convotherm The OES 6.10 mini unites the attributes of smallest space and greatest capacity. Due to the ACS (Advanced Closed System) by Convotherm there won’t be any flavor transfer of different foods during the cooking process. The OES 6.10 mini with its dimensions of 515 x 777 x 627 mm (20 x 31 x 25 in.) is the perfect solution for small kitchens. Bravilor Bonamat B.V., Heerhugowaard, The Netherlands Convotherm, Eglfing, Germany Internet: www.bravilor.com Email: sales@bravilor.com Internet: www.convotherm.de Email: info@convotherm.de ITV Icemakers A patented Flexible Spray Nozzle in the icemaker reduces the mineral build up and increases reliability, while a strong hinged door increases the solidity of the unit. In addition, ITV implemented the STIF and SILENT RAIN. Hepp The Aura, Profile and Royal Hepp knife ranges are S-shaped providing not only a visual attraction but a tactile experience for the user. The knives are virtually molded into the hand. The models, made of Cromargan 18/10 stainless steel are available in the following finishes: mirror polished, with sandblasted surface or silver-plated. ITV Icemakers, Riba-Roja (Valencia), Spain Internet: www.itv.es Email: pvandenberghe@itv.es Hepp, Birkenfeld, Germany Santos The Lever Juicer 70 “Evolution” was designed to meet market expectations for fresh fruit juices pressed “on demand”. The juicer offers greater juice extraction speed and has a cone, which spins the pulp by centrifugation and a clutch/brake system, which provides an automatic start as soon as fruit is supplied. The unit may be cleaned quickly and easily. Internet: www.hepp.de Email: info@hepp.de Irinox The CP Multi holding cabinet provides a range of temperatures to preserve a variety of products. The ventilation control system, offers delicate ventilation and uniform temperature in the cabinet, without sudden changes along with a humidity control system that has six settings. Santos, Vaulx-en-Velin (Lyon), France Irinox SpA, Corbanese, Italy Internet: www.santos.fr Internet: www.irinox.com Email: santos@santos.fr Email: irinox@irinox.com www.hotelsmag.com . August 2009 . HOTELS . 43 Advertisers Index AUGUST 2009 Alto-Shaam Inc. www.alto-shaam.com Pages 14-15 EXPO cts www.host.fieramilanoexpocts.it Page 23(I) Front Of The House www.frontofthehouse.com / www.roomthreesixty.com Page 9 Hoshizaki America Inc www.hoshizaki.com Page 10(A) Interval International www.vacationownershipinvestment.com Page 8 Joy Group www.joyhotels.com Page 19(I) Keurig Inc www.keurig.com/hotel Page 17(A) LG Electronics www.Lgcommercial.com Page 6(A) The Lodging Conference www.lodgingconference.com Page 35 Ming Fai International www.mingfaigroup.com BC Northmace & Hendon Limited www.northmace.com Page 41(I) Pacific Direct Ltd www.pacificdirect.co.uk Page 4 Post Integrations Inc www.postint.com Page 19(A) RAK Porcelaine LLC www.rakporcelain.eu / www.rakporcelain.com Page 6(I) Richfield Home Products Co www.yeslite.com Page 10(I) Saflok www.saflok.com IFC Villeroy & Boch S A R L www.villeroy-boch.com/hotel Page 32 An (A) after the page number indicates advertisements that appear only in the Americas editions; an (I) indicates advertisements that appear in international editions. 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Chief Executive Officer: Tad Smith Executive Vice President: John Poulin Vice President/Foodservice & Hospitality Group: Steven Rourke classified advertising investment opportunity career opportunity Hotel w/ Shopping Plaza Investment Opportunity Providenciales, Turks and Caicos Islands Director of Sales – Room Amenities 99 room hotel w/adjacent 20,000 sf retail center 100% Leased s Vacant land for hotel and retail expansion s s Majestic International, the leading supplier of high quality Bathrobes is looking for an experienced and well connected Sales Executive to direct our expansion in the North American Hotel / Spa Industry. Phone Kent Kerr/Paul Adan 305.533.7110 or 305.533.7104------ CB Richard Ellis computer software E-mail C.V. to : j.orloff@majesticinternational.com www.ads4reed.com Design it, check it, then upload it! Ads4Reed, the convenient digital advertising portal, saves you the time and expense of shipping our magazine Th is is s a i ad files for publication. is F Th EE R ! a F vice r Se R rvi EE ce ! Se Just log on to www.ads4reed.com and within minutes, your ad is digitally reviewed online for specification compliancy, then it's on its way to the publication of your choice. You receive an instant e-mail confirmation that your file has been received and found to be compliant to our specifications. products/services Intl: +61 7 3287 5991 USA: 1-866-287-5618 (FREE CALLS) UK: 0800 285 654 (FREE CALLS) Canada: 1-866-892-0852 (FREE CALLS) FULLY RE-USABLE Ice Sculpture Molds visit hotelsmag.com TODAY! DISCOVER MORE! visit hotelsmag.com TODAY! www.hotelsmag.com . August 2009 . HOTELS . 45 lagniappe HOTELS Ten Years Of Heaven The Westin Kuala Lumpur recently launched the 10th Heavenly Celebration with an “All White Associates’ Party” to kick-start the 10th anniversary of its Heavenly Bed product. The party focused on recognizing associates who have been there throughout the evolution of the Heavenly brand. “This is the perfect opportunity to acknowledge our room attendants who are consistently ensuring our guests enjoy a good night’s rest in a refreshed room,” said General Manager Kim Powley. Interval Lauds Marriott Great Cause Kalahari Interval International honored Marriott’s Aruba Ocean Club and Aruba Surf Club resorts as top sales producers. (l. to r.): James Kraft, Interval International; Scott Derrickson, Marriott’s Aruba Surf Club; Bettina Gonzalez, Marriott’s Aruba Surf Club and Aruba Ocean Club; Corey Guest, Marriott’s Aruba Ocean Club; and Neil Kolton, Interval International. Resorts Owner Todd Nelson (2nd from r.) is joined at Kalahari Waterpark Resort Convention Center at Wisconsin Dells by ESPN golf commentator Andy North (l.); Green Bay Packers quarterback Aaron Rodgers (r.); and golf legend Tom Watson for the Andy North & Friends benefit for the University of Wisconsin Carbone Cancer Center. Found In Pattaya Suthikiati Chirathivat, chairman of Central Plaza Hotel Public Co., recently hosted 50 members of the travel industry for a preview of Centara Grand Mirage Beach Resort Pattaya. (l. to r.): Kerry Towers, Stella Travel, UK; Kate Dicks, Audley Travel, UK; Suthikiati Chirathivat; Adrian Brown, general manager of Centara Grand Mirage Beach Resort Pattaya; Chris Bailey, senior vice president of sales and marketing for Centara Hotels and Resorts; and Joanna Cooke, Tourism Authority of Thailand, UK. Best In Mideast Shuja Zaidi (second l.), general manager of Makkah Hilton and Towers, Saudi Arabia, received the General Manager of the Year Award at the Kingdom Hotel Expansion & World Investment Summit. Also present, Essam Abouda (l.), vice president of operations for Hilton Hotels, Arabian Peninsula & Indian Ocean, and Jean Paul-Herzog (r.), president of Hilton Hotels, Middle East & Africa. Reality Hotel NYLO’s Sales Apprenticeship Contest took place in early June, with prizes of one sales job and one paid internship at its Providence/Warwick hotel in Rhode Island. Shown here are the competition’s finalists, who were thrown together to live, eat and sleep for six nights at the Warwick property. The winners were announced at a charity event. At the bottom right is NYLO CEO John Russell. 46 . HOTELS . August 2009 . www.hotelsmag.com Good Cause Hilton Inn at Penn, Philadelphia, recently raised US$13,000 during a benefit for the Michael J. Fox Foundation (MJFF) for Parkinson’s Research. (l. to r.) Nick Christie, MJFF; Karen Leies, MJFF; Todd Sherer, MJFF; David Dorsey, director of banquet services; hotel General Manager Greg Stafford; Dr. Andrew Siderowf, University of Pennsylvania; and Dr. John Duda, Philadelphia VA Medical Center. Hotelsmag.com Have you visited us lately? Hotelsmag.com. is a dynamic, high-traffic site that’s the go-to source for all things hotel related: • Daily content updates, including breaking news • Topic-specific pages on design, food and beverage, technology, sales and marketing, green hotelkeeping and more • Powerful hospitality industry search • Talkback forums to discuss articles online • Topical blogs written by hotel industry leaders and HOTELS’ editors • • • • Webcasts and Audio/Podcasts Free eNewsletters RSS feeds Industry calendar Easy navigation makes it simple to find the information you need.