Hotel & Motel Management - March 17, 2008 - (Page 35) www.HotelMotel.com/digital_edition HotelMotel.com | H&MM March 17, 2008 Special Report 35 Hotel Equities pins growth hopes on people By Jeff Higley CONTRIBUTING EDITOR H otel Equities is finding its niche. After two name changes since 1999, Fred Cerrone is settling in for growth for the Atlantabased management and ownership company. Going from Day Hospitality Group to Sivica Hospitality to Hotel Equities has given the company many monikers, but it hasn’t changed its overall philosophy. The company is up to 23 hotels in the Southeast after starting 2007 with 16 properties. It has 10 in the pipeline that will open during the next 16 months. Included in that is a Hotel Indigo (InterContinental Hotels Group) that opens in July, which Hotel Equities will third-party manage. “We won’t partner with just anyone,” said Cerrone, the company’s president and c.e.o., during a break at the Americas Lodging Investment Summit in January. “We want to make sure people don’t mind us taking care of our employees. It’s a simple philosophy, but some people don’t get it.” Mary Beth Cutshall, director of development, said Cerrone’s insistence on treating associates well pays off in operations because turnover stays under control. “We’re not an overnight success,” she said. “Our [general managers] have been with us for eight or 10 years. Fred has made it clear that he wants it to be a company that people want to work for.” The company’s turnover rate for managers is less than 5 percent per year, and it offers a corporate chaplain and a prayer line. Cerrone said one thing that makes him especially proud is that the company has won general manager of the year for the TownePlace Suites brand (Marriott International) a total of seven times. “We work hard at it, but we have fun,” Cerrone said. “We hire for attitude and teach them the business. Culture is very important to us.” The company develops, owns and operates hotels. It can do all three together, or take any of the three components separately, according to Cerrone. Cerrone, who founded the company in 1989, said he wants to have 50 hotels in the portfolio by the end of 2010. Of the 23 properties it has, 15 fly Marriott flags and four are branded under Hilton. The company has focused on limited-service properties in the past, but in 2007 it added its first full-service property, the Simpsonwood Retreat & Conference Center in the Atlanta area. “Expanding our strategy be- yond what we have traditionally done gives us more room for growth,” Cerrone said. “We have a good track record with good people in our company. We can take what we’ve done a step further.” hmm@questex.com A WHOLE NEW DIRECTION In style, color, quality CIRCLE NO. 122 HatchettHospitality.com Showrooms in Atlanta & Memphis (877) 783-5980 Design Purchasing chasing Manufacturing Delivery Installation http://www.HotelMotel.com/digital_edition http://HotelMotel.com http://hatchetthospitality.com http://hatchetthospitality.com
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