New hotel planned in former Saks building site downtown (Pittsburgh: 2014, how much)

[Enough_Already]

Originally Posted by Mtl-Cns

Which market are you claiming to be oversaturated? Parking, residential, hotel, retail?

Pittsburgh region's hotels struggle to fill rooms amid saturated market | TribLIVE

http://triblive.com/local/allegheny/...rcent-november

[eschaton]

Originally Posted by Enough_Already

Pittsburgh region's hotels struggle to fill rooms amid saturated market | TribLIVE

Health of hotel industry in Pittsburgh region lags | TribLIVE

The problem with these articles is they are for the metro as a whole. Indeed, one of the articles even notes the problem is worst in Washington County - where the hotel crash is due to the fracking industry cratering. Though the same article does note that hotel rates are falling Downtown due to competition, it doesn't mention the vacancy issue being particularly bad. Regardless, the new brand going in is sort of a "discount" boutique hotel brand, which means it is probably cost competitive.

[Mtl-Cns]

Originally Posted by Enough_Already

Pittsburgh region's hotels struggle to fill rooms amid saturated market | TribLIVE

Health of hotel industry in Pittsburgh region lags | TribLIVE

The hotels have access to google as well to read these articles. I would assume that they have spent much more thought, time, and money researching whether or not they feel they can make money. They are not being lured here with subsidies so I would assume they would be making the smartest business decisions for them regardless as to whether or not you personally think that downtown hotels are not doing well or that downtown needs more parking.

[Enough_Already]

Originally Posted by Mtl-Cns

The hotels have access to google as well to read these articles. I would assume that they have spent much more thought, time, and money researching whether or not they feel they can make money. They are not being lured here with subsidies so I would assume they would be making the smartest business decisions for them regardless as to whether or not you personally think that downtown hotels are not doing well or that downtown needs more parking.

Businesses make bad business decisions all the time. Hotels close all the time. Companies go out of business all the time. Business decisions are based on assumptions. You know what they say when you assume.

[Enough_Already]

Originally Posted by eschaton

The problem with these articles is they are for the metro as a whole. Indeed, one of the articles even notes the problem is worst in Washington County - where the hotel crash is due to the fracking industry cratering. Though the same article does note that hotel rates are falling Downtown due to competition, it doesn't mention the vacancy issue being particularly bad. Regardless, the new brand going in is sort of a "discount" boutique hotel brand, which means it is probably cost competitive.

I have heard the Embassy Suites is not doing well. Only time will tell if more rooms than can be supported financially are being built.

[WhoIsStanwix?]

Originally Posted by Enough_Already

Businesses make bad business decisions all the time. Hotels close all the time. Companies go out of business all the time. Business decisions are based on assumptions. You know what they say when you assume.

I suppose you are an economic advisor consulting major hotel chains on local and national trends in hotel room supply and demand? I guess I shouldn't assume you are not, as you purport to know more than the companies opening new hotels.

The parking comment, though, makes me think you really are just enjoying the reaction of others and may not actually believe what you say.

[xdv8]

Originally Posted by WhoIsStanwix?

I suppose you are an economic advisor consulting major hotel chains on local and national trends in hotel room supply and demand? I guess I shouldn't assume you are not, as you purport to know more than the companies opening new hotels.

The parking comment, though, makes me think you really are just enjoying the reaction of others and may not actually believe what you say.

THEY want parking, THEY don't need hotels. Verdict is still out on what's actually best for the city, though. Likely just another batch of non-city resident noise to filter out, as usual.

[WhoIsStanwix?]

Originally Posted by xdv8

THEY want parking, THEY don't need hotels. Verdict is still out on what's actually best for the city, though. Likely just another batch of non-city resident noise to filter out, as usual.

I wouldn't go that far. There are definitely areas of the city that could stand to add parking - namely, garages in Lawrenceville, South Side west of 21st St, and potentially garage parking in the strip as more is built.

As far as hotel saturation, I actually do wonder how many more rooms downtown itself needs, though it sounds like this particular project is somewhat flexible in terms of what it will offer. The city likely needs to continue to add more rooms in close proximity to the convention center if they want to host major conventions, though.

[erieguy]

Originally Posted by xdv8

THEY want parking, THEY don't need hotels. Verdict is still out on what's actually best for the city, though. Likely just another batch of non-city resident noise to filter out, as usual.

Actually, it's they "need" parking. All of the vehicles you see being driven around do need a place to park.

The hotels are TBD.

[Enough_Already]

Originally Posted by WhoIsStanwix?

I suppose you are an economic advisor consulting major hotel chains on local and national trends in hotel room supply and demand? I guess I shouldn't assume you are not, as you purport to know more than the companies opening new hotels.

The parking comment, though, makes me think you really are just enjoying the reaction of others and may not actually believe what you say.

Companies make mistakes and fail all the time. Companies pursue projects and then abandon them all the time. At times it is very obvious to people on the outside looking in. The whole subprime mortgage mess was the result of a bunch of very smart people making a basic mistake anyone would learn in the first day of an investment course and then a bunch of other smart people just assumed they knew what they were doing. The number of hotel rooms in Pittsburgh has grown dramatically. Would you like to post some numbers of hotel occupancy?

As far as parking goes, Pittsburgh parking rates speak for themselves. The rates here are out of line compared to similar cities. That suggests demand exceeds supply.