Hotel Development Company - What Does it Take to be a Leader?

The difference between a hotel investment and a luxury hotel is amenities and services. Pivotal has dominated the hotel restoration. Pivotal has renovated and repositioned some of the most pristine hotels in the western United States, and has a reputation as a successful hotel development group. Many hotels just need some changes to make them successful, and Pivotal's experience in the real estate market allows them to spot problems and make hotels profitable. The Ritz-Carlton in Phoenix, Arizona succeeds now after Pivotal redesigned the asset management system. By improving the finances of this hotel, Pivotal was able to renovate the building's physical plant. The Ritz-Carlton is located in the metropolitan area of ​​downtown Phoenix, and now offers customers five-star experience.

Hotel investment requires research and planning to restore a luxury hotel. Innovation is the key to capturing the attractiveness that makes visitors want to stay in a specific hotel. In 1999, Pivotal acquired Century Plaza and Tower. Instead of simply restoring the buildings, Pivotal decided to convert this complex into two luxury hotels. This allowed Pivotal to take advantage of two different brand opportunities, and allowed them to take two different approaches in the restoration process. This innovation led to the development of Century Plaza Hotel and Spa and St. Regis Los Angeles. Pivotal decided to completely renovate Century Plaza and restored the rooms. To rise from the competition, Pivotal added a luxurious spa inside the hotel. These renovations allow the hotel to maintain its legendary status in Beverly Hills. Pivotal took a different direction when they redesigned the portion of the tower in a contemporary luxury hotel. Pivotal repositioned the hotel under the prestigious name of St. Regis. Pivotal redesigned the location of the room that altered the building and added a spa and ballrooms. The addition of a first class restaurant and the legendary St. Regis Bar enhanced the hotel's amenities and allowed guests to enjoy the first class experience in Los Angeles without leaving the hotel. Located next to the Century Plaza Hotel and Spa, these two hotels offer visitors two different experiences with the same luxury. This type of innovation allows development companies the opportunity to attract two different target markets, which allows the investment group to have a high return on their investment solutions.

Finding successful resorts is a difficult task for any investment company. Restoring and redesigning entire installations is an important expense in the hotel industry. Adding amenities adds to the total value of the hotel at a fractional cost. Pivotal acquired Red Mountain Resort in St. George, Utah in 1998. The Red Mountain Spa was already a successful resort and Pivotal added a luxurious spa and gym facilities. These changes only add to the success of Red Mountain Resort. This type of investment is capitalizing on marginal returns. Pivotal is trying to generate marginal returns on its additional expenses. This type of investment requires experience in hotel investment because balancing the expected returns with expenses and trying to obtain fractional benefits requires knowledge and market research.