Super 8 Family Looks to Strike Gold Again With My Place Hotels
Jeff Natalie-Lees | American News, Aberdeen, S.D. | July 14, 2013 1:00am
July 14--My Place Hotels open:
--Dickinson, N.D., February 2012
--Minot, N.D., August 2012
--Cheyenne, Wyo., September 2012
--Bismarck, N.D., March
--Bozeman, Mont., March
My Place Hotels planned openings:
--Sioux Falls, November
--Grand Forks, N.D., December
--Billings, Mont., February
--Sweetwater, Texas, March
--Colorado City, Texas, May
--Brighton, Colo., May
Ron Rivett was half the team that launched the wildly successful Super 8 chain in the 1970s, and now he and his grandson, Ryan Rivett, plan to work hotel magic again.
The Rivetts have started My Place Hotels, an economy extended-stay hotel, which they plan to spread throughout much of the United States. Five My Place Hotels are already open, and another six will open later this year and in 2014.
Aberdeen is not expected to get a My Place Hotel soon, but will likely get one eventually, said Ryan Rivett, president and chief operating officer. The chain's headquarters are in Aberdeen.
My Place is following the trend of offering a living space as well as kitchenettes in its units so that guests can have a place more like home. What makes My Place different than the other extended-stay hotels is that it doesn't offer amenities, such as a swimming pool, exercise room or attached restaurant and bar.
"Instead of unnecessary extras, you'll get a great room at a reasonable price," states the company website.
Patrons may stay one night or an extended period. Rates are:
--Nightly: $82 to $96.
--Weekly: $68 to $76.
--Monthly: $62 to $67.
Prices may vary depending on time of year and location.
The rates are lower than the typical extended-stay hotel, Rivett said.
While starting a new hotel chain is an enormous challenge, the Rivett family has the experience. Ron Rivett, CEO and chairman of the board at My Place, launched Super 8 with his partner Dennis Brown in 1974. They grew the business from one motel in Aberdeen to 1,100 motels nationwide when they sold it in 1993 to Hospitality Franchise Systems.
After the sale, the Rivett family continued to own hotel franchises from major chains such as Super 8, Holiday Inn and Staybridge Suites. Members of the Rivett family own the three Super 8 motels in Aberdeen as well as other hotels in other cities.
The Rivett Group owns its own development and construction company, Legacy Builders, and hotel furnishing procurement companies, Quest Hospitality Suppliers. Legacy and Quest are headquartered in Aberdeen.
"We have a lot of experience," Ryan Rivett said. "I have a lot of respect and appreciation for what my grandfather and his associates accomplished."
The footprint for My Place franchises will extend as far south as Texas, as far east as Illinois and as far west as Utah. Plans call for multiple hotels per state, with many of the franchises in towns along interstates. The goal is to have 100 hotels opened by 2015, Ryan Rivett said.
Area developers will be in charge of selling franchises in particular states. My Place has an area developer for Colorado and Texas. The goal in the next 10 years is to have 20 franchises in Colorado and 14 franchises in Texas, Ryan Rivett said.
Customers will be both leisure and business travelers.
Currently, all the My Place franchises open or under construction are owned by the Rivett Group and affiliated entities.
"We have been testing our concept and our operating structure with the first five hotels," Ryan Rivett said. "We are doing some things differently than Super 8 did and what mid-scale hotels, such as Holiday Inn, are doing today. We wanted to prove our concept and we feel we have done that. This is a product the market needs."
Part of why Aberdeen will not get a My Place soon is that Rivett family members own the Super 8 motels here.
"We don't really want to compete against ourselves," Ryan Rivett said. "Also right now, Aberdeen has a lot of hotel rooms for a town its size not on the interstate."
Ryan Rivett said the the timing is right to launch My Place.
"Everything goes in cycles," Ryan Rivett said.
There was a big build up of economy motels in the 1970s and 1980s, which took away business from mid-priced motel chains such as Holiday Inn and Ramada Inn. Many mid-priced hotel companies responded with a round of new construction and remodeling. Holiday Inn, for example, began building its Holiday Inn Express hotels in 1991.
Now is the time for another cycle of motels to be built, Ryan Rivett said.
"Our plan is to build a My Place Hotel next to an economy hotel and a higher priced mid-scale hotel," Ryan Rivett said. "The economy hotel customers will say, 'I am willing to spend $10 or $15 more a night to stay in a new hotel.' The mid-scale hotel customer will say, 'I will save $20 or $30 a night because I don't need a swimming pool or a bar. Plus, it's a new hotel.' We are confident this is a business model that works."
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