Dive Brief:
- Wyndham Hotels & Resorts entered a 10-year development relationship with residential hospitality management company Reside, the hotel company announced Monday. Through the deal, Wyndham expands its upscale extended stay offerings in the U.S. and debuts its residences tier domestically.
- The partnership adds five residence-style hotels that are open or under development in the U.S. to Wyndham’s portfolio. The hotels cater to business and leisure travelers, including those looking for longer-stay accommodations, according to the hotel company.
- With the partnership, Wyndham “builds on [its] current foothold in the extended stay segment,” according to the company, which entered the upscale extended stay market earlier this year through a brand partnership with WaterWalk. Wyndham joins other hotel players adding upscale apartment-style accommodations to reach nontraditional extended stay guests.
Dive Insight:
Wyndham’s partnership with Reside comes as the hotel company looks to diversify its extended stay portfolio.
Wyndham Chief Development Officer Amit Sripathi told Hotel Dive that Wyndham’s goal “is to have a hotel for every owner and every guest, and as we look at the extended-stay segment, we’re committed to growing across segments to deliver on that.”
Wyndham entered the upscale extended segment earlier this year, inking a strategic partnership with WaterWalk that added 11 hotels in the category under its portfolio. The hotel company also has a lower-tier extended stay brand, Echo Suites, which celebrated its first and second openings this summer.
Now, through the Reside partnership, the brand adds apartment-style accommodations to its portfolio, “delivering premium, professionally managed accommodations in locations we know guests want to visit,” Sripathi said in a statement.
The partnership adds two open hotels in Seattle and Houston to Wyndham’s portfolio.
Reside Seattle Downtown offers 55 apartment-style rooms with extended stay-type amenities, including on-site laundry and housekeeping for stays lasting more than five nights. Reside Houston Downtown, meanwhile, offers 79 rooms each with a fully equipped kitchen and in-unit laundry.
Wyndham also added three upscale hotels under development, including a residence-style property in New Orleans with 22 rooms, each with a full kitchen, washer and dryer. The hotel will also have a restaurant, an art gallery and coffee and wine bars, according to Wyndham.
The other two hotels are located in Washington, D.C. One near Barracks Row in the city’s Navy Yard offers 81 rooms with chef-ready kitchens and in-unit laundry. The other hotel, in Washington’s NOMA neighborhood, will have 67 apartment-style rooms, also equipped with chef-ready kitchens.
Future Wyndham Residences hotels through the Reside partnership will be located in some of the country’s “most iconic urban destinations,” Wyndham detailed in a Monday release. Sripathi told Hotel Dive the response for Wyndham Residences in the U.S. has been positive, and there are several more hotels in discussion.
According to Reside’s website, the Woodinville, Washington-based alternative accommodations operator is seeking existing, new and to-be-built Class-A multifamily properties between 100 and 300 apartment units to grow the Wyndham Residences brand portfolio. Reside will manage the properties pursuant to the 10-year agreement with Wyndham.
Marriott International also entered the apartment-style hotel space in August through a long-term licensing agreement with Sonder set to add thousands of rooms to Marriott’s pipeline and portfolio.
The Sonder deal similarly positions Marriott in urban markets, which appeal to “key demographics” like younger travelers, a company spokesperson told Hotel Dive in August.
Wyndham economy competitor Choice Hotels International is also rapidly expanding in extended stay, though in lower-tier segments. The company’s lead for extended stay brands, Matt McElhare, told Hotel Dive last week that while Choice doesn’t have plans yet for an upscale extended stay product, it’s always looking for the opportunity.
