While both supply and demand are up, Baltimore’s hospitality industry is still feeling the financial hit from 2015’s protests and violent unrest. The only way to come back is to change the perception of the city. Visit Baltimore, the city’s CVB, has a campaign out to convince the city and state to build a new convention center, which would drive business dollars back into the economy. Baltimore’s City Council is also working toward attracting meetings and conferences currently scheduled in North Carolina looking to move due to the recent passing of House Bill 2.
The Baltimore Opportunity
There are currently 274 hotels with 33,667 rooms in the Baltimore market, with 25 new hotels in the pipeline. Healthcare is driving the development opportunity, with a Hampton Inn by Hilton to open near the Johns Hopkins Bayview Medical Center in 2018, and plans for a new hotel on the campus of West Baltimore’s University of Maryland BioPark. The hotel is expected to be built near the $270-million Maryland Proton Treatment Center that opened in 2016.
Current projects taking place:
- A new office building and an 8-story, 119-room Courtyard by Marriott hotel are planned for McHenry Row in Baltimore from 28 Walker Development
- Hilton Garden Inn in downtown Baltimore will open in June 2018
- The 150-room Delta Hotels Baltimore Inner Harbor from Marriott opened in January
Past valuations and transactions that speak to the current opportunity include:
- Transactions have been slow over the past few years, with just six hotels that sold at an average per-room price of $160,000 since 2014.
- Fairfield Inn & Suites by Marriott Inner Harbor sold for $18.4 million.
- Baltimore hotel valuation is expected to grow 3 percent this year and 14 percent over the next four years
You will be armed with ideas, solutions and actionable insights that will make an immediate impact on your property. Whether you focus on infrastructure investment opportunities or strategies that force you to “think and act locally” in targeting specific growth sectors, you can take steps that positively influence your ROI.
"Baltimore hoteliers have an unprecedented opportunity to play a part in the revitalization of the city's tourism industry following the civil unrest of 2015. The Hotel ROI Conference will show those hoteliers how to best capitalize on that opportunity and on Baltimore's current healthcare-industry surge." - Jagruti Panwala, AAHOA Secretary