THE JOURNAL & TOPICS NEWSPAPERS | WEDNESDAY, MAY 14, 2008
Hotel Outlook Brightens
While many of Chicagoland's hotels have seen a significant drop in business, Rosemont's hotels are doing well and growing with new development.
Mayor Brad Stephens said that Rosemont saw an impressive 78% occupancy rate for 2007 and said the total number of hotels could increase by as many as eight in the next few years.
If everything falls into place, Rosemont's total number of hotels could rise from 14 to as many as 21 or 22.
Village spokesman Gary Mack said a very preliminary meeting was held between the mayor and parties interested in developing a lot north of the Holiday Inn Express on the village's west side.
As reported in the Journal, Duke Realty held preliminary discussions to develop two hotels on property it owns on the west side of the Tri-State Tollway (I-294) near the InterContinental Hotel currently under construction off Balmoral Avenue.
An agreement was signed with the village last month to allow a Marriott Courtyard Hotel west of the InterContinental Hotel.
The village approved a plan last week by Raymond Management to build a development at River and Higgins roads, including a luxury four-star hotel, a Hampton Inn and Suites, 15,000 square feet of restaurant space for one or two outlets, and a large garage.
The current Raymond management plan would create about 500 hotel rooms at the two hotels.
Currently under construction are the 555-room InterContinental Hotel and the 225-room aLoft Hotel.
Stephens said Rosemont's occupancy is running at 78%. Mack clarified that 78% as hotels that report their information to Smith Travel Research Company, an industry leader that tracks the hotel industry.
Mack said the majority of Rosemont's hotels report to Smith.
Industry insiders familiar with the Chicago hotel market say Smith shows the occupancy rate in downtown Chicago to be at 74.5% for the same period and at 67.7% for the greater Chicago area.
A downtown Chicago hotel general manager, who did not want to be identified, said leisure travel has declined sharply affecting the greater Chicago and downtown Chicago markets.
Mack said Rosemont has not felt the same downturn, as the majority of the village's hotel guests are business travelers.