REPORT FROM NEW YORK—Trump Soho represents the next generation of Trump Hotels, according to Jim Petrus, COO of the Trump Hotel Collection.
The 46-story skyscraper looming over New York’s downtown Soho neighborhood is scheduled to open this Friday.
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| A model room from the Trump Soho. |
“Soho is a bit of a leap for us,” said Petrus. “It’s a different customer base, a little more chic. The bar will be trendier, the pool more active at cocktail hour. This hotel shows the influence of the Trump children (Donald, Jr., Ivanka and Eric) in having a balance of energy along with a high level of comfort.” The 391-room hotel will feature floor-to-ceiling windows; dining at Quattro Gastronomia Italiana, a spinoff of a successful Miami restaurant; The Spa at Trump; and all the usual Trump programs. There will be a 6,000 square-foot pool deck, a bar; The Library; and 12,000 square feet of meeting space.
According to David Chase, Trump Soho’s GM, the hotel may be downtown, but it’s still a luxury product.
“We don’t mind guests relaxing in the lobby with a glass of wine, but we don’t want a crazy lobby scene,” he said. “This is not a W. We like the phrase ‘appropriately intimate.’”
The theme of the Soho hotel is “raw and rich,” Chase said, describing the use of expensive but natural materials like wood and leather (even the elevator interiors are covered with hand-stitched leather).
Chase said bookings have been strong, even for groups, partly because of the new-hotel novelty.
“There is nothing equivalent in this neighborhood,” he added. “In the past, a group could meet at a luxury hotel all the way downtown, but not where we are. For business travelers, it’s ideal.”
Chase also expects heavy social event business, noting again there is nothing like this in the neighborhood for weddings.
The sales effort has been heavily local, according to Chase. He boasted of the many years of New York relationships represented by the sales team.
The mix should include 25 percent to 30 percent group business and the hotel will be competing with fine midtown hotels.
Chase said 350 associates have been hired—many from competing hotels, others from outside industries.
“We pick people based on their heart,” he said. “We want customers to go home and say, ‘I love that hotel—the people are fantastic.’ And we want associates to say the same thing when they get home.”
The original Trump hotel
Meanwhile, what passes for a vintage Trump Hotel—the 13-year-old Trump International, located uptown in Manhattan, is undergoing its first major redo.
Summing up his mandate, Chase said, “We’re born out of Trump International.”
As for that Trump International overhaul, it will cost US$30 million to redo all 167 rooms and suites, with the project ending in September. The hotel will get an entirely different feel with a new color palette, but similar lavishness in materials, fixtures and furniture.
With its oldest hotel being redone and its newest about to open, where does Trump go from here?
According to Petrus, hotels in Panama and Toronto are scheduled to open early 2011, followed by Scotland, the Dominican Republic and New Orleans.
One recent hiccup involved a Trump-licensed condo hotel in Fort Lauderdale that was hit by the south Florida real estate crunch. According to a Trump statement, “The pending foreclosure in Fort Lauderdale is unrelated to Trump as neither The Trump Organization, nor its affiliates, are the owners, developers or sellers of the property.
As has been previously reported, Trump Marks Fort Lauderdale LLC licensed the Trump name to the developer. Because of the downturn in the economy, the developer was unable to complete the project. Had it been completed, Trump Hotel Collection would have assumed its role as hotel operator and managed the property to the highest standards.”
Petrus said there has been a robust flurry of activity recently, indicating that people recognize Trump as a hotel brand.
“There is interest in our managing for them,” he said.
Trump has equity in its Chicago and Las Vegas properties; it is the licensor or management company for the others.
While all existing and planned hotels have been newly built, Petrus said, “With the climate for building so difficult we will look to iconic properties that might do better with the Trump brand.”
Petrus said Trump could distinguish itself from other luxury brands by its level of flexibility.
“We don’t do reward programs or other fee-heavy elements,” he said. “We also bring a name that has global recognition as an aspirational lifestyle brand.
He said that clients occasionally ask about Trump Entertainment Resorts and are told the Trump Hotel brand is a totally separate entity.
Is there a new normal?
“Luxury has taken a hit and it’s a word people are trying to avoid. But there will always be a demand by travelers for an experience that is meaningful and offers value.
“There was a period,” said Petrus, “when luxury brands went through a one-upmanship period and four bathroom fixtures went to five and then six. And the thread count on sheets went crazy—up to 1,000 even though few customers would be able to tell the difference between 300 and 1,000 thread count. The question with all these things is: Does it need to be there?”
“Maybe the downturn has redefined luxury, but our market will appreciate those extra elements in a stay that correlates to their own lifestyle,” Petrus said. “We have to do a better job of finding out what people really want and are willing to pay for. “
And the Trump name remains a potent weapon, according to Petrus.
“The power of ‘The Apprentice’ (the reality TV show) is unparalleled,” he said. “The show is seen in 87 countries. When you talk about a brand message, there is nothing like that power.”