Stand at any of Nashville’s rooftop bars at sunset and you’ll find a gorgeous new skyline made up of great hotels.
There’s a 25-story Grand Hyatt anchoring a new mega-development called Nashville Yards; A 21-story luxury collection property called Joseph; JW Marriott with 810,000 square feet and 533 rooms on 33 floors; And Thompson, who casts a shadow over the low-lying Gulch neighborhood. All are new constructions, mostly from 2020. And they don’t include small-sized openings with outdoor-sized personalities like the MW Soho House or the Graduate Hotel, right by the famous hot-chicken joint Hatty Beed and filled with southern charm.
Indicating how fast things are moving, 346 hotel rooms in a 26,000-square-foot retail complex cost $ 191 million to develop W in a partially cantilevered mirrored tower. Five months after it opened in October 2021, it sold into new ownership – $ 328.7 million, or $ 950,000 per room.
Practically every luxury brand is within: over the next three years, Nashville expects the arrival of five-star hotel brands including 1Hotel, Edition, Conrad, and Ritz-Carlton, as well as a complete renovation of the city’s grand dam, The Hermitage. , Which was first opened in 1910. Probably the most luxurious Four Seasons, which plans to open this summer in a 40-storey tower with 235 hotel rooms and 144 accommodations, has access to all panoramic floor-to-ceiling windows and a seventh. -Floor pool deck that can be transplanted from Beverly Hills.
Dean Stratauly, co-developer of Four Seasons as chairman and chief executive officer of hospitality-investment firm Congress Group, called Nashville a good version of Austin in terms of its economic outlook. “We first looked at Nashville around 2016, and I was amazed, pointing to the city’s welcome tax-base structure, aggressive state government to attract businesses, and rapidly growing infrastructure. Large offices and headquarters have opened here, partly boosting the wave of migration among urban white-collar workers from both coasts.
But for hospitality investors, apart from all those, there are very rare draw cards. Notably, Nashville is within a four-hour flight range of almost all major US cities, including Los Angeles and New York. Hotel industry analysts STR’s data show that Nashville has become one of the top five performing urban markets during the epidemic, consistently posting gains in both occupancy rates and average daily prices that have helped nationwide boy numbers.
And while bachelor parties occupy a large part of the city’s tourism reputation, they account for only 1% of tourism revenue. Corporate travel, which provides stable business in normal times, represents 40%, which gives the city the power to stay with a diverse audience. Add to the record number of people driving through Tennessee to reach the Great Smoky Mountains, and Nashville expects to see more visitors in 2022 than in 2019, despite the uncertainty surrounding meetings and conferences.
Of Nashville [Davidson County] Annual hotel revenue is projected to be 187% higher in 2022 than 10 years ago, ”said Butch Spiridon, president and CEO of Nesville Convention and Visitors Corporation, who believes there are no signs of slowing down.
Spiridon says the rise of Nashville can be traced back to 2004, when the city moved from Music City USA to the nickname Music City and began to create a story for itself that was not entirely dependent on country music and America.
But the campaign wasn’t just about well-organized monikers. It has set aside $ 623 million for the construction of the Music City Center, a 2.1 million-square-foot conference center opened in 2013, and where Nashville hosts events ranging from the NHL All-Star Game to the 2019 NFL Draft.
Those events, in turn, have brought a steady stream of visitors to fill the city’s rapidly growing number of hotel rooms. “We opened 4,200 new hotel rooms during the epidemic, and another 3,100 are under construction to further strengthen our market,” says Spiridon. In early June, the return of the Country Music Awards saw almost every hotel at full capacity. “We are on a 12-year roll of positive momentum.”
Of course, not all metrics tell the same story; As the number of rooms increased in the midst of the epidemic, the city saw a decline in 2020, as in other destinations. Still, the figures for Nashville and Tennessee were not as alarming as in other parts of the country.
And unlike many markets, where the arrival of new inventory can sink rates, Nashville has seen the opposite. “In the first four months of 2022, Nashville’s hotel revenue grew 10.5% compared to the same time in 2019,” Spiridon continued. The business trip is not yet fully back, but he says estimates for the 2022 calendar year show that “Nashville will sell 900,000 more rooms than in 2019, which will increase the hotel’s revenue by 20%.”
Expanding the city limits
Until recently, most of Nashville’s tallest development was housed within a nearly one-mile extension of downtown. Among those pushing the boundaries late is Soho House, which opened in February in the Wadwood Houston neighborhood of the former warehouse, five minutes south of downtown on the other side of the I-40. Although the area still has an industrial form, it is embraced by a huge live nation base bringing local businesses – chic coffee shops, art galleries, vintage stores – and a full-time, professional workforce.
Ben Vaprin, who owns more than 3 1.3 billion in Nashville real estate – his own fast-growing brand, including the aforementioned location – Graduate Hotels – was among those who saw the potential of Wedgewood before it cooled down. He bought the May Hosiery Soak Factory building in May 2015 and immediately gave the flag to his friend and Soho House CEO Nick Jones. In 2014, Jones thought there was potential in Nashville, but it was too early to pull the trigger for him in the city’s development. Lately, it has been an easy sale.
The 97,000-square-foot four-story Soho House now has 47 hotel rooms, including a Seconi restaurant, two stages for live performances and a 74-foot-long outdoor pool. The vibe is low-key but stylish: even in the middle of the week, it’s busy with people having lunch and lounges with laptops, all looking fresh from the brand’s West Hollywood or Brooklyn locations.
This fall in Franklin, 25 minutes south of town, another property called Southall will open on a farm with 62 rooms and 16 cottages working – a closer, more affordable, but still attractive competitor to book-up BlackBerry Farm forever, that is. Three hours ago
Paul Miskin, a former securities trader who owns Southall, says, “As Nassville grew nearby, I saw an opportunity. “We initially played with the idea of B&B, but as we talked to more and more people living in the area over the years, we were strongly encouraged to grow up – and we did that!” He said.
As in Southall, most of Nashville’s latest luxury hotels are playing into a new reputation as the city’s fancy food hub – not its country’s musical heritage. Jean-Georges Vongerichten owns a pair of stunning restaurants in the Hermitage, the James Beard Award-winning San Brock has a place in the Grand Hyatt, and Tony Montuano (Chicago’s famous Spiagia) moved to the ambitious, full-time music city to run pasta. -Yolan focused on Joseph.
Where Boldface chefs thrive, luxury brands follow: Kering also said it is looking at Nashville for expansion, especially for its Gucci and Balenciaga stores.
This makes Nashville more than a music city – and raises the question of how much luxury the capital of Tennessee will be able to support before its identity fades. Already, the incredible population boom sustained in 2020 has slowed, with the city recording a decline in population in recent months; According to the U.S. Census Bureau, Nassville lost 11,000 inhabitants in 2021 after a decade of steady growth.
But the city is looking at American work बाट out of nowhere प्रकार of sorts. In early June, it announced a six-year, 1.4 billion airport growth plan, focusing on infrastructure that would be needed to attract more transatlantic and long-haul flights. In other words, Music City is already charting its next task – on the international stage.
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