Goodwin & Associates Blog

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Archive for Hotels

Best in Bed

The “ Heavenly Bed, ” fi rst launched by the Westin brand of Starwood
Hotels & Resorts, has transformed the bed, a basic feature of any hotel
room, into a luxurious object of desire, enhancing the revenues of the
chain and leaving many hotel operators to follow suit with copycat linens and
custom bedding of their own.
The strategic process at Starwood began with consumer analysis and product testing. First,
Westin commissioned a study involving 600 business executives who travel frequently. The
results showed that 84 percent said a luxurious bed would make a hotel room more attractive to
them. What is more, 63 percent said a good night ’ s sleep is the most important service a hotel
can provide. Half of those surveyed said they sleep worse in hotels than at home. After testing
50 beds from 35 lodging chains, Westin developed its prototype all – white Heavenly Bed with
a custom – designed pillow – top mattress, goose down comforters, fi ve pillows, and three crisp
sheets ranging in thread count from 180 to 250.
Once the product was designed and tested, the fi rm introduced the bed with a carefully planned
marketing strategy. USA Today ran a story on the front page of its business section. The same day,
20 pristine white Heavenly Beds lined Wall Street up to the New York Stock Exchange in New
York City. Inside the Stock Exchange, Barry Sternlicht, the then Chairman and CEO of Starwood
Hotels & Resorts rang the opening bell and threw out hats proclaiming, “ Work like the devil.
Sleep like an angel. ” Meanwhile, at New York ’ s Grand Central Station, 20 more beds graced one
of the rotundas there, and commuters disembarking the trains were invited to try them out.
Similar events were staged the same day at 38 locations across the United States, tailored to each
city. Savannah ’ s event featured a bed fl oating on a barge down the river with a landing skydiver.
Seattle ’ s event took place atop the Space Needle. And to reinforce the message, a concurrent
advertising campaign asked, “ Who ’ s the best in bed? ”

Fine Hotels Sold

O’Connell Hospitality Group sells
$100 Million Hotel Portfolio
for Fine Hotel Corp.
November 30, 2007
Boston, MA: O’Connell Hospitality Group, LLC (“OHG”) represented the owner, Fine Hotel
Corp. of Wellesley, MA, in the sale of their portfolio of five hotels. Jim O’Connell, Principal and
Tom Foley, Sr. Managing Director of OHG, managed the marketing campaign of the assets and
procured the buyer, Linchris Hotel Corp., of Hanover, MA.
The 855-room portfolio includes hotels in Massachusetts and Maine. They are the 227-room
Hampton Inn Boston Logan Airport, the 225-room Holiday Inn Brookline, the 202-room Holiday
Inn Mansfield, MA, and the 102-room Holiday Inn and 99-room Comfort Inn, Augusta, ME.
“Fine Hotels Corp took advantage of a strong hotel investment market. OHG received 18 offers
on single assets and various package combinations. In the end, Chris Gistis, C.E.O, Glenn Gistis,
C.F.O. and Mike Sullivan, President of Linchris Hotel Corp. stepped up and negotiated the
purchase of all five hotels. It was a very competitive bidding situation.” said Jim O’Connell of
OHG.
The portfolio is a mix of strong cash flow performers and strategic real estate investments. The
Hampton Inn Logan Airport is operating in excess of 80% annual occupancy. The 2-story
Holiday Inn Brookline is located in Boston’s hospital district at 1200 Beacon Street and occupies
almost a full city block.