Delco lays out the welcome mat for hotel development - Philadelphia Business Journal:

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A healthy occupancy rate at the county’s 31 existingy hotels, along with a growing number of venuee requiring nearbyhotel rooms, is driving “We need more hotel rooms. On alumni weekends, football we don’t have enough hotels. We can fill them,” said Tore executive directorof . “Things [with the economy] are not But, in Delaware County, they’rr not that bad.” Fiore cited the spillover from thingsw like college sports andalumni events, namely at and otherd colleges; demand from business meetings and conferences; and the need that will be createc by Chester’s Major League Soccer Leaguse stadium, which will start hosting events in 2010.
“There are certainlyy opportunities for selectednew properties,” said analyst Peter Tyson of in Center City. Delaware County has 31 hotels, rangin g in size from 40 roomsto 350. Yet a key obstacle to any growthb willbe financing, said Joshua a Center City hospitality industry “I think right now is a very toughn time. Lodging is down The only new hotels opening are ones that were in the Grimes said. Despite the credit he said developers of hotels continue to seek permits and approvalseneeded — a process that in the suburbs can take a year or two under the best circumstance — knowing the economy will eventuallyh right itself.
“That way, when things get then they’re ready. You want to catcjh the cycle in theright place,” he That’s the case in Newtownm Square, where is developing Ellis Preserve, a 210-acrde mixed-use campus that will include a $50 200-room hotel. “Financing for anything is difficult. I wouldn’t singlw out hotels, retail or any kind of real saidStephen M. Spaeder, senior vice presideny at Berwind. “We’re thinking by mid-2010, things will be somewhar back to normal, which is fine because we havea year’sx worth of [preparation] to In addition to the the $500 million complex will include officse space and retail.
Tenants include and Health It is adjacentto SAP’s U.S. as well. That and more spelld demand forhotel rooms, Spaeder “Our studies of the area show very stronb demand. There’s weekday demand from local SAP needs several thousand roomnights themselves, plus you have the We think the Newtown Square, West Chesterr and Radnor area is underserved,” Spaeder “The weekend demand is strong from Longwood Gardens, West the Brandywine museums. We think it’s a winnerr of a location.” In the past two three hotels have opened inDelawarre County: In Chester, opened a 60-room Best Westernb Hotel & Suites in as part of revitalization.
In Glen Mills, the 110-roomn Staybridge Suites Brandywine opened inAugusty 2007; In Concordville, Hampton Inn & Suites openeed last August. Last year, Delaware County hotelxs had average occupancyof 66.4 percent, compareds to 72.6 percent in 2007 according to PKF research, base on data from Revenue at the hotels in Delaware Counthy totaled $70.9 million last year, down from $73.12 million in 2007. Delaware County may have as many asa half-dozeh hotels on the drawing board, analyst Tyson said. Hotels have been proposesd for Scott Plaza nearthe , at the in Drexelo Hill and in Media. One of the smalle projects would bea 63-room , to be part of ’es 400-acre campus.
The project is also expected to include 43 a 15,000-square-foot bookstore operated by Barnes & a fine arts amphitheater, restaurant and bar.