A PAIR OF long-time hoteliers are forming a new brand, the Urban Park Hotel Collection, aimed at providing a more affordable option for owners. Jay Patel and John Parkin expect to attract hoteliers away from larger franchises with simplified standards and lower fees using membership over franchising.
Patel and Parkin said in a press release they already have six hotels going through the on boarding process to join the new brand. The Urban Park Hotel Collection contain two flags, “Urban Park Hotel & Suites” and “Urban Park Hotel Express.” New brand members pay an initial startup fee of $2,000 and an on-going monthly fee of $10 per room.
The fees are not based on a property’s revenue and there is not a long-term commitment. The new flag targets hotels of 30 to 80 rooms with owners looking to convert but which have been passed over by larger franchises.
“A lot of hotel owners are reflagging their properties and looking for an alternative due to the unsettling one-way nature of the hotel franchise relationship,” the company said in a press release. “The focus will be on independent properties across the country located in markets where they are surrounded by franchised properties and area-of-protection issues have left them as independents.”
Parkin and Patel, both of New Jersey, are the co-owners of the new brand. Patel has owned several franchise and independent properties along the East Coast for more than 35 years. Parkin previously worked for Hospitality Franchise Systems, now known as Wyndham Hotels, and has developed boutique hotel casinos in Europe and South America.
Last month, Advantage Hotels of Austin, Texas, launched its Build A Brand program also meant to appeal to hotel owners who are disenchanted with larger franchisers. It allows owners joining Advantage flexibility in setting agreement length, to lower monthly costs by foregoing exit windows and to select elements of the company’s marketing program.