 DALLAS,
July 23, 2001 - According to Small Luxury Hotels of the World (SLH) Joint
Managing Director, Brian Mills, upscale hotels have little to fear by the
current economic downturn. Speaking recently at an SLH-sponsored
journalist lunch in Milan, he stated that the luxury hotel market is virtually
recession resistant. Mills believes this market will not face the
highs and lows Wall Street is dealing with these days for several reasons:
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A greater segment of luxury travelers are retired and financially secure.
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The luxury sector is driven by a strong "celebration factor" such as honeymoons
and anniversaries, which take place regardless of the economy.
-
Stays at status hotels continue to appeal strongly to the corporate jet
setter.
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Latin America, the Far East and Eastern Europe are new sources of wealthy
travelers. These regions counterbalance falling demand in traditional
markets.
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Female high rollers looking for privacy and security are more likely to
seek out boutique-style luxury properties.
-
Europeans in countries converting to the Euro are spending money now because
it is rumored that the Euro will be worth less than the national currencies.
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Keeping up appearances in business circles is even more important during
an economic downturn.
Mills added that, "The key reason SLH's properties around the globe will
not be affected by a recession is that each individually-owned hotel guarantees
that the most demanding standards will be met, ensuring that high end travelers
need never compromise when seeking the finest in accommodations."
Small Luxury Hotels of the World is a consortium of 284 quality hotels
in more than 50 countries. Member hotels are selected for level of
service provided and attention to personal detail.
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