Skift Take
With robust development even through the pandemic, Accor’s domestic offerings across brand names like Raffles, Fairmont, Sofitel, SLS, and much more have a bright future ahead– and an edge over rivals in the market.
Accor Group
While many sectors of the travel and tourist industry have actually had a difficult two years through the pandemic, top quality residences have not just showed resilience, but have actually grown in appeal. According to Jeff Tisdall, Accor’s senior vice president development, domestic and extended stay, “Residential markets, and branded homes in particular, rebounded fairly early in the crisis. And they have actually sped up ever since.”
Used under licensing and management arrangements with leading hospitality groups, branded houses are intended to be primary houses and 2nd houses for those who acquire them– and consist of the best-in-class service and offerings which the managing brand names are known for. There is frequently the choice to take advantage of the brand’s rental services when the house is not being used by the residence owner, although they are ultimately created as unique personal houses, with all the conveniences of living in an extensively serviced residential or commercial property.
The market for branded houses is quickly expanding. Highly prepared for launches are originating from a series of hotel companies, providing full-service homes throughout distinguished brand names in the high-end, premium, and midscale sections. An increasing number are likewise being established in the way of life sector– another category seeing rising need.
A Powerful Position
With more than 20 years of gotten experience in the space, Accor has benefited from the strong growth which has moved the more comprehensive top quality residence category. The group’s continued concentrate on the way of life sector and unmatched set of solutions available to advancement partners likewise provides Accor’s branded house service an edge over its competitors.
“At Accor, we’re developing branded houses throughout the high-end, premium, and midscale sectors … and we’re taking advantage of our unparalleled position in lifestyle,” stated Tisdall. With 35 branded houses globally throughout brand names such as Raffles, Fairmont, Sofitel, SLS, and another 80+ under development throughout the world, the growth of Accor’s top quality house offering aligns with the growth of the market more normally.
High-end and Way Of Life Lead the Charge
The OWO home terrace. Image credit: Grain London As Skift reported this previous spring, luxury is among the sectors leading travel’s recovery, which parallels the strong need for classic, ultra-luxury brand name houses.” The OWO Residences by Raffles in London is a quintessential example,”stated Tisdall, of the business’s latest offering being established in the UK which is producing worldwide interest and setting new benchmarks in the locations of product or services. “The services available to homeowners of The OWO set a brand-new requirement for high-end living, yet every effort has actually been taken to emphasize privacy through thoughtful style and substantial private facilities.”
The OWO Residences by Raffles is being established alongside the much expected Raffles London at The OWO, using up a prime position in main London. Located near Buckingham Palace and Trafalgar Square, this transformation of the storied Old War Office constructing offers homeowners a prestigious setting for a house.
The upcoming OWO Residences join other flagship properties such as the Fairmont Residences Century Plaza in Los Angeles, the soon-to-be launched Raffles Residences Boston Back Bay, Raffles Residences Jeddah, and Fairmont Residences Royal Palm Marrakech in offering Accor’s high requirement of services to homeowners.
But it’s not just classic high-end that’s driving growth– the lifestyle classification is taking off as well. And within the way of life hospitality classification, Accor’s position is represented by Ennismore. Residence such as the Mondrian Residences on Australia’s Gold Coast have actually been incredibly well gotten, with all homes selling out in less than 6 months. And the pandemic has not dented the upward trajectory of this category– undoubtedly, the opposite appears to be the case.
“During the pandemic, the focus has moved back to the house and to enriching the areas in which we live our lives.” Tisdall said. “That, combined with a surge in remote working and the reality that it’s ended up being a lot easier to spend time outside of significant cities– as well as the heightened significance of living in a neighborhood that is handled by a relied on operator– has spurred this demand further.”
Where Tradition and Development Meet
Fairmont Heritage Place, Ghirardelli Square Accor sticks out in the top quality house space in no small part due to the company’s experience in the sector– brand names like Fairmont and Raffles helped to leader the concept, supplying Accor with years of expertise. Certainly, Savills’ “Spotlight: Branded Residences 2021 “report called Accor as the number two service provider of such homes on the planet in its future ranking classification, measured by existing network and upcoming pipeline.
“We’re deeply dedicated to the tasks we develop, the residential communities that we serve, and the thorough set of options we provide our advancement partners,” said Tisdall. “This includes compelling branding choices, a complete spectrum of residential management solutions, influenced hospitality services, and turnkey personal rental choices.”
That investment and commitment to the sector and its residents is shown in the recent addition of two crucial new sites to the Accor portfolio. One is the Accor Branded House portal, which gathers all of the top quality homes offerings from the group’s brands under one banner for simple surfing and reference, be it Accor brand names like Fairmont, Swissôtel, or MGallery, or Ennismore brands like SLS and SO/, amongst many others. The other is a real benefit for both owners of top quality homes and those looking for short-term rentals: the Accor Apartments and Villas website, which allows for the seamless rental of much of these branded home properties when they’re not in usage by the owner, along with private rentals and Accor’s extended stay hotel offerings.
The pandemic has actually also brought a series of innovations to the sector, with a particular emphasis on wellness offerings like air quality and purification, in addition to a concentrate on community spaces like outside kitchens or private courtyards, roofs, and leisure features. Other Accor residential or commercial properties have actually increased focus on coworking areas. Raffles Boston Back Bay Hotel & Residences, another crucial high-end hotel and top quality residence to be opened by Accor as soon as building and construction completes in 2022, will even provide a tasting kitchen area and white wine lounge.
“A trusted operator is vital if you’re purchasing into projects with extensive facilities and services,” said Tisdall. “This trust is integral to the appeal of top quality homes. Brands like Raffles or Fairmont, for example, have rich histories that can be traced back well over a century and a track record for safeguarding a few of the most renowned hotels on the planet. The trust that features those brands provides purchasers with a remarkable amount of comfort, which is particularly essential in the minute we discover ourselves.”
A Bright Future Ahead
< img width="918"height ="612"src =" https://skift.com/wp-content/uploads/2021/11/Fairmont-Century-Plaza-Residences.jpg "alt =""/ > Fairmont Century Plaza Residences The branded house space will only broaden in the future. “The last ten years have actually seen the number of top quality residences increase by 230 percent, adding more than 50,000 systems across 356 plans,” as Riyan Itani states in Savills “Spotlight: Branded Residences 2021” report. With the lingering impacts of the pandemic continuing, including the persisting emphasis on the home and working remotely, it’s likely this development will just magnify.
“We definitely see this development continuing, and in truth we expect it to accelerate,” stated Tisdall. “2020 was a record year for us in terms of branded domestic brand-new development signings, and clearly this momentum has carried into 2021. That’s in part because of the market conditions that we see today, which will likely continue over the near term. However it’s likewise because, when you take a look at the depth and the breadth of Accor’s brand portfolio, we’re really simply scratching the surface in terms of the special market requires we can resolve and the domestic living ideas that we can deliver.”
This material was developed collaboratively by Accor and Skift’s branded material studio, SkiftX.