Hilton has announced a new extended stay hotel brand that’s supposed to resemble an apartment for guests planning visits of at least 20 days. They’re announcing it even before they have a name. For now, it’s Project H3.
There are plenty of traditional extended stay suite properties, offering things like full kitchens (with dishwashers and cooktops) in the market already. Hilton, though, say they will allow travelers “to maintain their routines while delivering simplicity, consistency and convenience.”
I’ve read the release and have no idea how their concept is different, other than a lobby that “allows sight lines from the front desk to fitness, laundry, and a simple retail market” and communal grills and fire pit. They do, however, have words.
This product will reimagine core design elements from the ground up and deliver all the essential amenities in a warm, comfortable, yet delightfully modern way. Guests are welcomed by the hotel’s inviting exterior, designed to include warm wood tones, and a modern farmhouse-inspired palette with light industrial touches. Outdoor patios are outfitted with grills, a communal fire pit and comfortable seating to make our guests feel like they are truly coming home.
…Designed to be inviting for guests and operationally friendly for team members, [the brand’s] nontraditional lobby creates a perfect balance of friendly smiles and self-sufficiency during every guest’s stay.
This as-yet-named brand promises to “disrupt the category” because reasons. What they promise owners, though, is that there won’t be much space on property other than guest rooms (“the new brand prototype dedicates the majority of space to revenue-generating guest rooms, thus reducing overhead costs for prospective owners”).
Here’s what they’re telling current Hilton hotel owners about the concep:
The brand’s cost of operations and efficient staffing model provide a unique, high-margin opportunity for those looking to expand into a long-stay brand. The brand model is 100% new-build only, and while details are still being finalized, the Hilton Supply Management team has sourced two design packages to offer flexibility as well as time and cost efficiencies.
Project H3 represents a major opportunity for Hilton to tap into a new customer base while enhancing our network effect — we are in discussions on more than 100 active development opportunities, with many owners expressing interest in multiple locations. I’m confident that together, we can break into this untapped group of travelers and firmly plant Hilton’s flag in this key segment.
Hilton says they’re “engaged in more than 100 active development conversations.” These are all for new builds, not conversions, though of course ‘active development conversations’ means very little in terms of guessing how many properties for a brand without a name will come to fruition. It’s very curious that they announced this now without a single property signed on.