Red Roof Launches Extended-Stay HomeTowne Studios
As the good times keep rolling in the hospitality world, after nearly a decade of rising sales, occupancy and new property construction, Red Roof is launching its new HomeTowne Studios, an extended-stay brand designed to provide travelers with comfortable, cost-effective longer-term accommodations.
Citing growth in extended-stay lodging in general, with such properties making up more than a quarter of all U.S. hotel development projects in the pipeline, Red Roof said such statistics were one of the many reasons that it is entering the market with its newest sub-brand. The brand will undergo a phased launch of 30-plus properties across more than 20 markets with nearly 4,000 rooms. The brand also has a pipeline of more than a dozen properties scheduled to open over the next 12 months.
“The extended stay category continues to grow as consumer preferences continue to evolve,” says Andrew Alexander, president of Red Roof. “The launch of HomeTowne Studios by Red Roof is a natural progression, and key milestone, as we extend our portfolio for a range of guests, leveraging our solid industry reputation for knowing what guests want and fulfilling those needs with a full fleet of offerings, now including extended stay.”
Red Roof expects rapid growth based on guest demand for its new sub-brand through its franchisee partnerships. Phil Hugh, the brand’s chief development officer, said “HomeTowne Studios … offers franchisees opportunities to invest in one of the most rapidly growing segments of the hospitality industry. This new sub-brand will create additional brand awareness, giving our franchisees access to a new customer base while still benefiting from the strong brand equity, attributes, benefits and proven support system of Red Roof.”
Following $50 million in renovations, HomeTowne Studios by Red Roof will provide inviting accommodations, free high-speed Wi-Fi, flat screen HDTVs featuring premium cable with HBO, on-site laundry and free U.S. phone service. As local residents comprise 60 percent of extended-stay occupancy, extended stay is an all-inclusive alternative to hefty upfront rental and security deposits, expensive monthly rents, gas bills, water bills, cable bills, electric bills and often, parking fees.
Extended stays are also attractive to those in project-based job industries—such as construction and healthcare—and those who are part of the gig economy, which sees more Americans than ever moving frequently from job to job. Businessmen and women who are frequently on the road, families with patients in nearby hospitals and professionals who are relocating are also frequent guests in this sector.