With the hotel industry finally seeing signs of recovery, the focus is now turning toward renovations and conversions. Many businesses are working to increase the value of their hotels, and those looking to do so have increasingly been keeping close watch on their bottom lines. Making your money work harder is a trend we can embrace and something we work hard to make sure doesn’t go unnoticed.
According to Bruce Ford, SVP of Lodging Econometrics, a new build cycle of hotels won’t be taking place for at least another 3 years, so the renovation procedure is even more relevant now – especially for lower tiered hotel chains. But the benefit of renovation is twofold.
First, by renovating you can put a new face on your rooms without the cost associated with a complete rebuild. Second, if done properly the cost savings of an efficient renovation with sustainability and green practices in mind adds energy savings on top of the potential increase in value of the room itself.
On the Eco Green Hotel blog they throw some numbers out that show how an energy efficient renovation can positively impact your bottom line:
- The hospitality industry spends $3.7 billion a year on energy
- Electricity use accounts for 60-70% of the utility costs of a typical hotel
- Energy-efficient lighting can reduce electricity use up to 75%
The potential for cost savings is huge – not to mention the new and improved look of the rooms.