Hawaii Hospitality - September/October 2013 - (Page 8)

R ENOVATIONS: Penthouse suites at the Moana Surfrider recently were renovated. Hawaii’s Visitor Sector Renews, Adds and Expands Big Time! BY LEE SCHALLER There is no doubt that the recent upbeat performance of Hawaii’s hospitality sector has had a major positive impact on the state’s economy. But how do we keep those smiles on our visitors’ faces? By providing, from accommodations and dining to shopping and entertainment, a quality experience. And that is where renovations and enhancements come into play. It All Starts Here “We’re seeing a huge flurry of hotel transactions, with a strong push on renovations,” says Joe Toy, president of Hospitality Advisors LLC. At a recent mid-year review and forecast hosted by NAIOP Commercial Real Estate Development Association, Hawaii chapter, Toy emphasized, “We have to keep our value up, invest in the product and keep it up to par.” Those involved in the many current hotel transactions realize Joe Toy this. So do those responsible for the actual renovations— designers and builders, for example. “Renovation work has always been important to the hospitality sector, because it keeps the hotel properties fresh and not dated,” says Eric Tessem, senior vice president and general manager of dck pacific, one of Hawaii’s largest general contractors. “Tourists expect their destination ‘temporary home’ to be worth the hard-working dollars they spend. Hawaii is unique in that land is premium and building new is not always feasible and cost-efficient. Therefore, renovation will always be an important sector in dck pacific’s business market.” Currently, dck pacific is working on the Hilton Grand Vacations Club’s Kings’ Land Building 6 conversion, adding 16 units to the large timeshare property in Waikoloa. 8 Hawaii Hospitality ■ Another recent dck pacific renovation project was the transformation of the 22-story former Continental Surf Hotel at 2426 Kuhio Ave. into the boutique Vive Hotel Waikiki. “Since it is arguably the most important driver of Hawaii’s economy, we all have benefitted from the strength that tourism has exhibited most recently,” says Lance Wilhelm, senior vice president and Hawaii area manager for Kiewit Building Corp. Inc., another major player in visitorsector renovations. “Hotel owners The new wedding chapel at the Sheraton Waikiki Hotel September/October 2013 and operators often are faced with making the difficult choice between investing in their properties through new construction or renovating while business is brisk and the improved cash flow makes financing easier, or waiting until a slower period where the inevitable impacts of construction, including the potential reduction in available room inventory, is greatly reduced. To the extent that our clients have chosen the former, we, too, have greatly benefitted from the improved climate in the hospitality sector.” Recent

Table of Contents for the Digital Edition of Hawaii Hospitality - September/October 2013

Garden Isle's Ohana
Social Media
Visitor Sector Renovations
Featured Department: Housekeeping
New Restaurants
HLHF Expo Recap
Clean Talk with Rose
Talk Story with George Szigeti
Association News/News Brief
MarketPlace

Hawaii Hospitality - September/October 2013