Flood of new hotels creates insecurities in NYC hospitality industry

NYHTC — April 15, 2014

The hotel market is strong and on the upswing in New York City, with occupancy rates on a steady rise since 2009. The strong market means average room rates in current hotels are predicted to rise in the next year. But, as industry consultants are reminding hoteliers, the market is unpredictable. To ensure demand remains high, hotel owners are focused on keeping the costs down. Sean Hennessey, CEO of hotel consulting firm Lodging Advisers LLC, reminds journalists at the Real Deal that “the addition of all these new hotels is making hoteliers more focused on cutting room rates or keeping them low, to make sure they get their fair share of customers.” 

Click the link below to read the Real Deal article on New York City’s hotel construction boom and its potential consequences for the hospitality industry:

Acitelli, Tom. Hotel Construction Boom Could Tamp Down Rates. The Real Deal. February 4, 2014.