Beach is back
Meeting business at oceanside properties, in common with upscale resorts sometimes associated with lavish spending in tough times, are getting out of the deep freeze for a gradual warming up.
“The coastal market is slowly beginning to recover,” said Bruce Baltin, senior vp for PKF Consulting. He told Meetings West:
“The data is just beginning to show movement, and there’s anecdotal evidence as far as what we are hearing from general managers. Occupancy is going up and rates are going down.”
One outcome of the improved market is that coastal properties are again investing in facilities for groups.
Incentives are also being added for groups.
“Hotels are offering the group market a variety of incentives like credits on food and beverage, special spa services and packaging deals,” Baltin said.
Some resorts are seeing more association and SMERF business since lowering their rates and positioning themselves as bargains compared to other destinations.
The outlook for coastal resorts looks good but it’s going to take a while for the market to absorb supply, perhaps as long as 18 months, Baltin said.
By David Wilkening
David
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