Quote:
Originally Posted by Coldrsx
Rumours have a W and le Germain coming to town...if so WOW
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My friend...not to sound pessimistic but before you jump on a rumour do some simple analysis.
Based on the types of hotel you are talking about it is only reasonable to assume that downtown Edmonton is the destination (i.e. Le Germain and W don't just pop up in Leduc or Ellerslie for all the rig workers to stay at). Based on that I ask the following questions:
1. Is the high end hotel market in downtown currently saturated?
2. If not, what kind of growth are you expecting in order to justify a business case? If you are referring to the Arena development then that's fine, but is that alone enough to justify both said hotels? Also would this development (in the short term so please assume just the Arena gets built in this staged build out) create substantial new market for high end hoteliers? Or would it simply displace the existing hotel stays by sports teams, media, music teams, etc. from one location to the next?
3. Outside of the Arena project, do you see any real movement in other potential consumer markets which would justify the presence of said hotels? When I say this I a mostly referring to the corporate base since that is the most prominent market for mid-high ranking hotel brands.
Based on my wishes alone I'd love to see this go ahead! But that means nothing in the long run. Projects that we know are not going to go ahead like Manu2 and the Edmontonian are a reminder to us that at the end of the day the cold, hard facts are all that matter. There's a reason why the only rumor for Jasper and 96th street was a Hilton Garden Inn...Because that's actually plausible.