Hotel & Motel Management - December 27, 2007 - (Page 65) open by mid-2010. He said Marriott and Nickelodeon already have begun targeting other leisure destinations, such as Hawaii, the Caribbean and even Dubai. Steve Belmonte, c.e.o. and president of The Lexington Collection, Vantage Hospitality’s newest line of upper-midscale to upscale proper- Nau ties, had a busy 2007. MARRIOTT After the brand launched in late 2006, Belmonte saw seven properties break ground and signed contracts on 14 others. “In the first year out, it’s tough to have any meaningful numbers,” he said. “Just by development of 21 in the first year, it looks pretty solid. It’s evident people are embracing the model.” Belmonte kept a close eye on new brand launches in recent years, and although he saw many introduced, he doesn’t see an oversaturation of the market. “I think that’s boloney,” he said. “These brands that are being launched aren’t brands, they’re PR releases. They’re phony.” Belmonte balks at companies that launch new brands with no infrastructure simply to sell franchises. “If you take away the illusions, if you lop off the brands with no marketing department, no people, you don’t have an oversaturation,” he said. Instead, Belmonte said Lexington is a brand that can provide all the support to a franchisee through revenue generators, such as advertising and public relations. “The real difference is this: We promote an independent entrepreneurial approach; we like properties that are unique in core offerings, such as spas, wellness centers and Vijay Singh signature golf courses,” he said. “We don’t want cookie cutters.” Belmonte said he’s not concerned with some forecasters predicting a downturn in the cyclical lodging industry. “People say the economy is healthy, and it’s true, I’ve never seen it like this,” he said. “New construction has been controlled by cost, lenders are only lending on solid deals and many hotels are being rehabbed.” But regarding The Lexington Collection, Belmonte said he is not concerned with trends in the economy. “It doesn’t matter to me,” he said. “I have extraordinary value. When the business is good, I’m going to do well. When business gets tough, property owners look for ways to increase profits and lower costs, and we’re a great alternative to the typical franchise company.” Belmonte said 2008 will be an even bigger year for the brand, forecasting no fewer than 30 deals domestically and 15 deals internationally. “That’s called a brand that’s growing, not a PR release,” he said. jfreed@questex.com http://LexingtonCollection.com http://LexingtonCollection.com
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