{"id":23261,"date":"2013-09-24T15:56:39","date_gmt":"2013-09-24T15:56:39","guid":{"rendered":"https:\/\/www.xotels.com\/uncategorized\/hotel-site-selection-tips-location-location-location"},"modified":"2025-06-19T15:54:56","modified_gmt":"2025-06-19T15:54:56","slug":"hotel-site-selection","status":"publish","type":"post","link":"https:\/\/www.xotels.com\/en\/hotel-management\/hotel-site-selection","title":{"rendered":"Hotel Site Selection Tips: Location Location Location"},"content":{"rendered":"

\"location<\/span><\/p>\n

As a hotel revenue management consulting<\/a> company, we always say to our clients that location is one of the top selection criteria for travelers when choosing a hotel. And yes, location has a big impact on the demand your hotel will generate, and therefore will influence the price you can ask in the market for your rooms. Hence when starting a new hotel, the site selection process is a key step that should not be taken too lightly.<\/strong><\/p>\n

It is very important to stay objective in the site selection process. It is very tempting to get carried away and look at everything trough pink sunglasses, dreaming of your cool new hotel concept to become reality. Because if the location doesn’t work out the way you thought, you won\u2019t be able to meet your financial projections. And that will bring your newly launched hotel business in all sorts of trouble. Your hotel literally stands or falls based on its location.<\/span><\/p>\n

Upcoming Neighborhoods<\/h3>\n

Trust me, it happens all the time. Even experienced hotel chains that are convinced their hotel will clean up the area and be the catalyst for improving an underdeveloped or neglected neighborhood. This sometimes works of course, but many times it doesn’t as well.<\/span><\/p>\n

A perfect example of success would be Williamsburg in Brooklyn in New York which is a neighborhood that is booming with businesses and popular residential areas, including many new hotels, as Manhattan was getting overcrowded. Mind you it is not the hotels that moved in first, it was the drive by residents that initiated this areas popularity and development thereafter.<\/span><\/p>\n

In London the same goes for Shoreditch and other East London areas situated between the City of London and Canary Warf. These are bustling and rapidly upcoming areas that people are drawn too to escape the busy center of town. We are actually working right now on the opening of a very exciting new hotel concept in this part of town.<\/span><\/p>\n

A classic disastrous example in my book would be the 5 star Hesperia Tower in the Belvitge area of Barcelona. I am still wondering what the thoughts were to build such a costly \u2018luxury\u2019 hotel in a low income, housing project style neighborhood. Perhaps they hoped the new fairgrounds would have been closer to their hotel location. Because revitalizing the neighborhood would really mean taking down blocks and blocks of residential apartment buildings. And that won\u2019t be happening in our life time I can tell you.<\/span><\/p>\n

\"Hotel<\/span><\/p>\n

Your Clients Needs<\/h3>\n

So before we wonder of into la-la land, we have to ask ourselves what the end user, the guest in this case, really wants. What will drive him\/her to book a hotel?<\/span><\/p>\n