(PROJECT) Hotel Indigo at Santa Fe Square

[SXSW]

Mmm, so let's find a developer we can give lots of incentives to build a hotel which will sit at 80% occupancy or less the rest of the year.

Downtown Tulsa will have 2,500 rooms after the hotels currently U/C are finished.  I think the era of building smaller hotels is pretty much over for awhile and the only real need at that point would be one larger full-service hotel next to the convention center.

[Conan71]

80% of 93 rooms is still a good economic driver to the area.   74 people (assuming single occupancy) eating, parking, working and entertaining.

80% occupancy will get 100% of the marketing directors fired in 90% of all hotels and resorts, or at least transferred to properties less challenging.  Don't ask me how I know.

[cannon_fodder]

80% occupancy will get 100% of the marketing directors fired in 90% of all hotels and resorts, or at least transferred to properties less challenging.  Don't ask me how I know.

I am unfamiliar with such things, so I looked it up.  The average occupancy rate for the nation is almost always below 66%.  
https://www.statista.com/statistics/200161/us-annual-accomodation-and-lodging-occupancy-rate/

Only a "handful" of the top 25 US hotel markets post occupancy over 80%:

At the same time, the industry is reporting some of its highest absolute occupancy levels ever reported, Keen said, reaching more than 80% in a handful of top 25 markets.

Room demand is still positive in 20 of the top 25 U.S. markets, and absolute year-to-date occupancy through July 2016 was 74.7%. Norfolk, Virginia Beach, Virginia, reported the lowest year-to-date occupancy at 60.3%, but Garner said most of the top 25 markets are above the national average in the metric.

“Things are slowing down, we know that, we’ve talked about compression that exists within the Top 25 markets, but on a year-to-date basis, look at how many markets are over the national average,” he said. “U.S. right at about 65%. Only 23 of the top 25 markets are in excess of industry average around 65%, and some are way up into the 80s and high 70s, so it’s pretty astounding in terms of just absolute occupancy percentage.”

http://www.hotelnewsnow.com/Articles/71596/Top-25-A-performance-overview-of-major-US-markets

https://www.ccim.com/cire-magazine/articles/2016/05/u-s--hotel-market--an-overview/?gmSsoPc=1

This isn't my area, like I said, I was unfamiliar so I looked it up... cure my ignorance if I'm reading all this wrong.

[erfalf]

I would be intersted to see the number when you weed out every Holiday Inn along the interstate and hotels in...uh...less than desirable areas. I would think expectations would be much higher if you were building a hotel in the Blue Dome district. But like cannon, I ain't in the business.

[Conan71]

I would be intersted to see the number when you weed out every Holiday Inn along the interstate and hotels in...uh...less than desirable areas. I would think expectations would be much higher if you were building a hotel in the Blue Dome district. But like cannon, I ain't in the business.

Aside from being somewhat snarky in my comment I was referencing full service resort and convention type hotels and not considering Motel 6, or the chains which offer free breakfast in their lobby.

In a previous life, I was considering two job offers, one with a chemical company I eventually hired on with or one with the Adam's Mark.  That was pretty much the scenario they played out for me on the occupancy percentages during the interview process.