ROCKVILLE, Md.—Choice Hotels International, Inc., franchisor of Cambria Hotels, recently began a new effort centered on multi-unit development to help grow the brand further. On the heels of opening its 10th property in 10 months earlier this year, the expanded approach will use part of the $475 million in capital support the company has earmarked for the Cambria brand to target developers that will build multiple properties.
“The Cambria brand is coming off a record year of growth in 2017 and progress continues. While we will continue to invest in individual projects, we are experiencing strong demand from the development community as well as institutional capital partners who want to develop and invest in multiple projects with us,” says Mark Shalala, vice president, development, upscale brands, Choice Hotels. As a part of the investment strategy, Choice will be teaming up with several developers to expand the Cambria brand, including Four Raines Development and Fillmore Capital Partners.
“Taking a more programmatic investment approach with multi-unit developers is a winning strategy,” Shalala continues. “It can dramatically help accelerate growth while driving product and operational consistency across the chain. This helps increase brand equity for our owners and, most importantly, it improves the overall guest experience from market to market. For our developers, this approach establishes a consistent investment platform and level of capital participation from Choice. It helps improve return on investment and can make it easier to raise equity and secure debt for their projects, a critical factor at this point in the cycle.”
Cambria currently has nearly 120 hotels open or in the pipeline, located in 75 percent of the top 50 U.S. RevPAR markets. The brand delivered a strong performance in 2017 with a high LTR and results outpacing the industry in RevPAR, OCC, and ADR.
The latest Cambria openings include a mix of new construction and adaptive reuse projects.
- Cambria Hotel Phoenix Chandler—Fashion Center opened at the end of January in Arizona. The 136-room property is part of the Chandler Viridian, a 25-acre mixed-use development project that includes office space, luxury apartments, retail offerings, and a pedestrian promenade to the Chandler Fashion Center.
- Cambria Hotel Nashville also opened in January. The 255-room hotel is located in the city’s South of Broadway neighborhood and is a short distance from top attractions such as the Music City Center, Bridgestone Arena, Nissan Stadium, and Historic Broad Street.
- Cambria Hotel Dallas opened at the end of 2017. The 177-room property is an adaptive reuse project, formally known as the historic Tower Petroleum building, located near businesses and leisure attractions in the heart of downtown Dallas.
- Cambria Hotel North Scottsdale Desert Ridge opened in December 2017 in Arizona just minutes from downtown Phoenix. The 130-room hotel is situated in Desert Ridge, which offers shopping and dining options.
- Cambria Hotel Westfield opened in December 2017 in Indiana as part of the Westfield Grand Park Village. The 152-room property is directly across from Westfield’s Grand Park Sports Campus and a short drive from downtown Indianapolis.
- Cambria Hotel Downtown Asheville, N.C. opened in December 2017. The 136-room hotel offers guests rooftop views of Asheville’s Blue Ridge Mountains and is located near the city’s craft breweries, restaurants, art galleries, and music venues.
- Cambria Hotel New Orleans Downtown Warehouse District opened last October in the heart of the Arts and Warehouse District. The 162-room property is walking distance from the French Quarter and minutes from the New Orleans Convention Center.
- Cambria Hotel Newport opened last June in Rhode Island. The 143-room hotel has waterfront views and is a short distance from Easton’s Beach, the Naval Station, and the Newport mansions.
- Cambria Hotel Chicago Loop–Theatre District opened last May above the historic Ford Center for the Performing Arts Oriental Theatre. The 199-room hotel was the brand’s first adaptive reuse project and features décor that pays tribute to the building’s colorful past and unique design features.
- Cambria Hotel Los Angeles–LAX is just minutes from Los Angeles International Airport and opened last May. The 152-room property is the brand’s first hotel on the west coast.
“The Cambria brand is experiencing explosive growth,” Janis Cannon, senior vice president of Choice’s upscale brands, says. “Progress of this scale and speed is the result of our tremendous development collaborators as well as the demands of modern travelers who love the stylish, yet approachable Cambria brand. We’re starting off strong in 2018 with openings in Nashville and Philadelphia, and we look forward to bringing our great product to more guests’ favorite cities, including Boston before the end of the year.”
Future openings are planned in Austin, Texas; Burbank, Calif.; Baltimore; Calabasas, Calif.; Charleston, S.C.; Houston; Miami; Milwaukee; Minneapolis; Napa, Calif.; Orlando, Fla.; San Francisco; Tampa, Fla.; and Washington, D.C.
Photo:Â Cambria Hotel Downtown NashvilleÂ
