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Define Dual-Branded Hotel

dual-branded hotel. A lodging concept in which two separate hotel brands, often owned by the same parent company, are combined in a single building, as opposed to two separate buildings. This arrangement typically involves brands offering different levels of service, but sharing amenities.

In context . . .

"While the concept of dual-branded hotels is not new by any means, the pipeline for these projects has exploded in recent years. Originally, developers maximized the return to a site by developing two hotels, in two separate buildings. While this method allows for some management efficiencies and enables the property as a whole to capture a wider range of demand, it fails to achieve significant development cost efficiency. The model prevalent today is the development of two brands within a single building, thereby allowing the developer to build a denser product that maximizes the return to the land. This pairing of multiple brands within one building allows management to capture a greater range of demand, improving revenue potential while capitalizing on development and management cost efficiencies."


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