Opinions Architects can help identify ROI opportunities · Architects can help identify ROI ......

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Opinions  Architects can help identify ROI opportunities 07 DECEMBER 2016 8:25 AM Bring an architect in during the early stages of the renovation process to help identify areas of opportunity. By  Warren Feldman Often times, owners think of an architect only when building a ground-up property or when they need to get drawings signed and sealed. However, an architect can bring a keen eye to the property in the initial planning stages and prior to purchase. When embarking on a renovation, there are always opportunities for an owner to increase efficiency and create return on investment opportunities; one only needs to know where to look. Utilizing an architect at the start of a project can be a valuable resource to uncover these hidden gems. Here are just a few of the places in your hotel where opportunity may be lurking. Business centers Full-service brands are eliminating business centers as separate rooms and incorporating that them into the main area of the hotel near the lobby. The separate business centers are typically between 150 and 250 square feet. The relocation to the main lobby/seating area creates an opportunity to convert the original space into a small coffee shop for additional revenue, possibly a car rental entity to gain lease revenue, or conversion into a key (depending on location). Gift shops Standalone gift shops within a hotel are becoming less commonplace as they tend to generate little to no rent for the property. Repurposing the gift shop into meeting space, coffee shop or marketplace can create more income from guests.

Transcript of Opinions Architects can help identify ROI opportunities · Architects can help identify ROI ......

Page 1: Opinions Architects can help identify ROI opportunities · Architects can help identify ROI ... poorly-insulated windows updating gues roo s with p ogrammable thermostat are two possible

Opinions 

Architects can help identify ROIopportunities07 DECEMBER 2016 8:25 AM

Bring an architect in during the early stages of the renovation process tohelp identify areas of opportunity. 

By  Warren Feldman

Often times, owners think of an architect only when building a ground-up property or when theyneed to get drawings signed and sealed. However, an architect can bring a keen eye to theproperty in the initial planning stages and prior to purchase.

When embarking on a renovation, there are always opportunities foran owner to increase efficiency and create return on investmentopportunities; one only needs to know where to look. Utilizing anarchitect at the start of a project can be a valuable resource touncover these hidden gems.

Here are just a few of the places in your hotel where opportunitymay be lurking.

Business centersFull-service brands are eliminating business centers as separaterooms and incorporating that them into the main area of the hotelnear the lobby. The separate business centers are typically between150 and 250 square feet. The relocation to the main lobby/seatingarea creates an opportunity to convert the original space into asmall coffee shop for additional revenue, possibly a car rental entityto gain lease revenue, or conversion into a key (depending onlocation).

Gift shopsStandalone gift shops within a hotel are becoming lesscommonplace as they tend to generate little to no rent for the property. Repurposing the gift shopinto meeting space, coffee shop or marketplace can create more income from guests.

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Telephone roomsOlder hotels may still have telephone banks or rooms. As these are no longer necessary, they canbe eliminated to create breakout areas for meetings, additional seating, or quiet zones within thelobby.Creating additional dining opportunities within the lounge/bar area can help address slowerdemand periods for the restaurant. This may lead to a new food and beverage or operationalchallenge, but the potential upside is greater.

The Rooftop bar at The Embassy Row Hotel in Washington, D.C., is an example of architect-added value. (Photo: ISHC)

RooftopsRooftop spaces have become an excellent source of additional revenue. Creating a bar/loungearea or meeting space on the roof capitalizes on unused space and attracts guests. It’s importantto keep accessibility and egress in mind when developing these spaces.

Two-bay suites Depending on market demands, the architect can study the possibility of converting two-baysuites into two separate keys. This can increase the key count and lower the property’s overallcost per key.

Fitness centersWith brands increasing the required square footage for fitness centers, it can be difficult atexisting properties to be able to find additional space without impacting revenue-generatingspace. Your architect can work with you to help you find creative ways to incorporate thenecessary square footage while limiting its impact on other spaces as much as possible.

Meeting spaceAnother market driven option is to convert your meeting space to a restaurant or vice versa.Restaurants that are underperforming can become valuable meeting space.

Converting indoor pools into meeting space is another option. Pools are a nice amenity forguests, but they are also an additional expense. Infilling your indoor pool allows the opportunityto expand or develop key meeting space that can generate additional income.

Energy savingsInvestigate whether energy efficiency and sustainability initiatives make sense. Replacingpoorly-insulated windows and updating guestrooms with programmable thermostats are twopossible options for return on investment. These initial costs can be offset by the future energycost savings.

Each hotel is unique and presents different challenges. The architect’s knowledge andhospitality experience can bring creative solutions to incorporate new purposes for the areas youno longer need within the project’s footprint. It’s important to bring the architect in during thedue diligence phase to get these insights at the beginning so you can plan and budgetaccordingly. This vital addition to your team will lead to a more successful project for both youand your guests.

Warren Feldman, AIA, ISHC is Chief Executive Officer of Jonathan Nehmer + Associates, Inc., an international Architecture, InteriorDesign, and Project Management firm that specializes in the hospitality industry. He has expertise in all facets of ProjectManagement, Architecture, Interior Design, Design Management, and Construction Administration. His experience includes work asArchitect and Owner’s Representative in the direction and management of hospitality, commercial, institutional, educational, andresidential projects. Complementing his education in Architecture, Mr. Feldman completed his Juris Doctorate from GeorgetownUniversity in December 1998 and is a member of the Maryland Bar.

The opinions expressed in this column do not necessarily reflect the opinions of Hotel News Now or its parent company, STR and itsaffiliated companies. Columnists published on this site are given the freedom to express views that may be controversial, but our goalis to provoke thought and constructive discussion within our reader community. Please feel free to comment or contact an editorwith any questions or concerns.

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Meeting spaceAnother market driven option is to convert your meeting space to a restaurant or vice versa.Restaurants that are underperforming can become valuable meeting space.

Converting indoor pools into meeting space is another option. Pools are a nice amenity forguests, but they are also an additional expense. Infilling your indoor pool allows the opportunityto expand or develop key meeting space that can generate additional income.

Energy savingsInvestigate whether energy efficiency and sustainability initiatives make sense. Replacingpoorly-insulated windows and updating guestrooms with programmable thermostats are twopossible options for return on investment. These initial costs can be offset by the future energycost savings.

Each hotel is unique and presents different challenges. The architect’s knowledge andhospitality experience can bring creative solutions to incorporate new purposes for the areas youno longer need within the project’s footprint. It’s important to bring the architect in during thedue diligence phase to get these insights at the beginning so you can plan and budgetaccordingly. This vital addition to your team will lead to a more successful project for both youand your guests.

Warren Feldman, AIA, ISHC is Chief Executive Officer of Jonathan Nehmer + Associates, Inc., an international Architecture, InteriorDesign, and Project Management firm that specializes in the hospitality industry. He has expertise in all facets of ProjectManagement, Architecture, Interior Design, Design Management, and Construction Administration. His experience includes work asArchitect and Owner’s Representative in the direction and management of hospitality, commercial, institutional, educational, andresidential projects. Complementing his education in Architecture, Mr. Feldman completed his Juris Doctorate from GeorgetownUniversity in December 1998 and is a member of the Maryland Bar.

The opinions expressed in this column do not necessarily reflect the opinions of Hotel News Now or its parent company, STR and itsaffiliated companies. Columnists published on this site are given the freedom to express views that may be controversial, but our goalis to provoke thought and constructive discussion within our reader community. Please feel free to comment or contact an editorwith any questions or concerns.