VALUE CREATION THROUGH CAPITAL INVESTMENT, RENOVATION, AND REFURBISHMENT
Premium brands have a national reputation for value and quality. To maintain guest expectations and deliver strong RevPAR and NOI margins, brand mandated property improvements (“PIP’s”) are required.
PIPs may include:
- Guestrooms: New furniture, new décor, new softgoods and updated bathrooms
- Public Areas: Redesign of the lobby, breakfast dining area, and meeting space to create open communal spaces that can be flexible and can accommodate changing needs throughout the day.
- Exterior: New roofline and facades, new paint schemes, addition of exterior lighting, and other minor site and structure updates
During 2018, AHIP expects to invest approximately $20.0 million for brand-mandated property improvement renovations which are designed to enhance the overall guest experience at recently acquired properties. This capital investment program will transform the grand lobby space at three of our Embassy Suites hotels and will also include guestroom and common area renovations at other hotels. In some cases, the renovations may impact hotel operations including some guest displacement which may affect our quarterly results. We are actively working with the Hotel Manager to minimize the disruptions.
The following hotel properties are scheduled to undergo PIP projects estimated to be more than US$500,000 in 2018:
|Scheduled Renovation Dates|
|Hotel Name and Guestrooms||Q1 2018||Q2 2018||Q3 2018||Q4 2018|
|Embassy Suites Cincinnati (227 guestrooms)||X||X|
|Embassy Suites DFW South (305 guestrooms)||X||X|
|Hilton Garden Inn White Marsh (155 guestrooms)||X|
|Staybridge Suites Tampa East/Brandon (100 guestrooms)||X|
|Residence Inn Baltimore White Marsh (131 guestrooms)||X|
|Embassy Suites Columbus (284 guestrooms)||X||X|
|Fairfield Inn & Suites Jacksonville (89 guestrooms)||X|
|Residence Inn Chattanooga (109 guestrooms)||X|
|Homewood Suites Dover Rockaway (108 guestrooms)||X|
|Homewood Suites Allentown (108 guestrooms)||X|
|Homewood Suites Bethlehem (113 guestrooms)||X|