BlOG SURF: Bet
What do you do when lenders take over two of your hotels, as you are coping with the worst recession in seven decades? Well, if you’re Starwood Hotels you make a $350 million bet with a single property from your W line. The hotel opened on January and it’s banking on the reputation of Los Angeles as the the center of the entertainment world. Located on Hollywood Boulevard, the new W Hotel hopes to attract star-struck tourists who want to get up close and personal with the movie industry.
The only problem is that fewer and fewer people are heading out to Los Angeles, which is putting a bit of a squeeze on the new property. There’s an opportunity hidden in the situation, however. Carlos Becil, W’s American vice president, says, “When we come out of this down cycle we’ll own the upswing with all these newer hotels,” Becil said to Bloomberg News. — gadling.com