Hotel Online  Special Report


Hilton Garden Inn San Leandro Achieved 20-Percent
Increase in RevPAR Since Management
Takeover by Richfield

 
Management company’s unique Revenue Management and e-Commerce
Division generates quick upturn in RevPAR and profits for this California
Hilton Garden Hotel brand 

DENVER — November 30, 2004 — If you want to be a leader in revenue per available room within your competitive set, then perhaps it’s time to enlist the services of Richfield Hospitality and its dedicated Revenue Management and e-Commerce Division. In the first four months after taking over management of the property, the San Leandro (Calif.) Hilton Garden Inn achieved a 138.8 percent RevPAR index, placing it in the No. 3 position among Hilton Garden Inn hotels in the Pacific Northwest Region. 
 
“Ever since we brought Richfield on board and turned over the hotel management effort to their expert team, our full-service Hilton Garden Inn has continued to outpace the competition and exceeded our expectations,” said Mike Amin, managing partner of the Amin Group which owns the property. “Our goal for the month of July was to hit a RevPAR index of 119.5 percent, which would have ranked us approximately No. 8 among Hilton Garden Inn hotels for the region. You can imagine our delight with a RevPAR increase by nearly 20 percentage points – and it steadily continues to improve.”
 
Amin said Richfield Hospitality was selected to manage the Hilton Garden Inn in San Leandro because of its reputation for success, its track record for increasing revenues among client hotels and its overall corporate culture – from the president down to each and every management team member.  Since the management change in April 2004, revenue at the 119-room hotel is ahead of 2003 YTD revenue by $801,052, and ahead of 2003 GOP YTD by $367,941.
  
Between March 2004 and September 2004, Amin said the Hilton Garden Inn in San Leandro has increased its RevPAR by $9.28 to $78.60.  Year-Over-Year, RevPAR increased by $14.37 compared to September 2003 when its RevPAR was at $64.23.

Secret to success

One way that Richfield immediately began to build awareness, occupancy and average daily rate for the property among the San Leandro and Oakland business market, and build top-line revenue for its owner, was with customized cross-selling techniques and specialized marketing initiatives.

“For more than 30 years, Richfield has worked side-by-side with franchisors and hand-in-hand with hotel owners to deliver heightened profits and increased asset value,” said Aik Hong Tan, Richfield president.  “Our understanding of the various franchise systems has lead to our success in maximizing our clients’ return on investment through the various brand programs and initiatives.

“Likewise the expertise held by our dedicated Revenue Management and e-Commerce Division helps to make an immediate impact on revenues for our client hotels,” Tan said. “This group streamlines the distribution management and rate optimization of existing channels, such as the global-distribution systems, proprietary Web sites, and third-party Internet providers for both our branded and independent hotels. They also use Richfield’s existing on-line intelligences, integrate and coordinate property-level yield, franchise and Internet strategies.”
 
Market Mix

The San Leandro Hilton Garden Inn caters to a diverse mix of week-day business travelers seeking upscale, business-class accommodations, and weekend leisure travelers seeking affordable, quality lodging within close driving distance to San Francisco’s dining and entertainment mecca. Amin said he partnered with Richfield because it has a proven track record of assisting owners and operators in repositioning their asset in its competitive market, as well as improving profitability flow through.  

“Our philosophy of renewed commitment to quality and excellence in service mirrors that of Richfield, and it clearly has made a difference,” Amin said.  “We are confident that Richfield will continue to strengthen our market share and surpass all performance expectations for the hotel.”
 
Richfield’s Tan concurred.
 
”We will continue to make the Hilton Garden Inn in San Leandro the preferred hotel in its market place,” Tan said. “In addition, we will work to continually improve RevPAR, with the ultimate goal of achieving the No. 1 ranking in RevPAR among the Hilton Garden Inn brand in the Pacific Northwest Region.”

The Hilton Garden Inn San Leandro features 119 guest rooms. Amenities include a spacious work desk with free T-1 internet access, two telephones per room with conference call capability, voicemail system, free local calls, Computer data ports, and On-Demand first-run movies. A hospitality center in every room includes a microwave, refrigerator and coffee maker. Iron/ironing board and hair dryers are standard in all rooms. The hotel provides a 24-hour Business Center that is complimentary to guests. There is a lobby bar and a restaurant that serves breakfast, lunch and dinner. Room service is also available for our guests. The Pavilion Pantry is open 24 hours to satisfy late night cravings or to provide personal items. The hotel offers an indoor pool with a whirlpool spa and a fitness center. There is also complimentary shuttle transportation to and from the Oakland International Airport as well as the local business parks.

About Richfield Hospitality, Inc.

Richfield Hospitality, Inc., a SWAN solution, provides a full complement of successful management services to a broad range of limited-service, full-service and resort hotels.  The company achieves superior operating results through intense focus of its strong commitment to guests, employees and owners. Richfield Hospitality, Inc., is the hotel management division and one of the key business units of SWAN Inc. Through Richfield’s Operations Division, hotels can achieve significant buying power through Source, a procurement entity offering operating supplies and FF&E at discounted rates.

Through Richfield’s Risk Management Division, hotels have access to insurance and on-line risk management services. In addition, Richfield’s sister company, Sceptre, provides global reservations distribution, channel management and e-distribution advisory services. For more information on the recent growth of Richfield Hospitality, Inc., and a look at its impressive portfolio of hotels, please visit www.Richfield.com.
 
Richfield Hospitality, Inc., is headquartered in Denver with approximately 1,000 employees. The company's shareholders include City e-Solutions Limited (CES) listed on the Hong Kong Stock Exchange, and Millennium & Copthorne Hotels plc, a U.K.-based company listed on the London Stock Exchange, operating 91 hotels worldwide.

Contact


Terri X. Radcliffe
 Richfield VP, Sales & Marketing
5775 DTC Boulevard, Suite 300
Greenwood Village, CO 80111
Phone: (303) 220-2309 
tradcliffe@richfield.com
 www.Richfield.com

 
Also See: Four Points by Sheraton® Pittsburgh Retains Richfield to Reposition, Manage Property / November 2004
Revenue-Management Efforts Propel Top Line at Richfield-Managed Hotels / July 2004
Richfield Assumes Management of San Leandro Hilton Garden Inn / April 2004
Staybridge Suites Cherry Creek Signs Richfield Hospitality Inc./ March 2004
Richfield Readies Nashville Quality Inn & Suites for Repositioning and Grand Opening / March 2004
Richfield Releases Impressive Results for Diverse Portfolio of Managed Hotels / June 2003
Richfield Pursues Equity Investments / October 2003


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