Investing in New York City Hotels

[Robert Carpenter]

Just wondering if anybody has had experience investing in hotels in the Big Apple. 

[Robert Carpenter]

 Schematically AirBnB seems to be exerting downward pressure on hotel rates - as are micro-hotels - the pod style tiny hotel rooms many of which are on a common  bath. At the same time co-living and co-working seem to be merging into something like the resuscitation of the old private club with elements of the old company town reappearing as well.   And one mustn't forget that serviced apartments and  individual hotel rooms now tend toward the same endpoint. 

At any rate I worked up a design which seems to me to be the smallest possible footprint which can sill offer  private bath [a non-negotiable amenity in my book], micro kitchen, office, and king size bed.  [ In my younger days I stayed at a hotel in London with a shared bath - but at this stage of the game I think I'd sooner stay home. ]  In this way the place can work as either a serviced apartment or a hotel room. I tried hawking my ideas to a number of  boutique hotel developers and micro hotel operators  but  no takers so far :)  

Of particular interest to me is a company call Industrious in the co-working space.  If I understand correctly their business model is based on a partnership / profit sharing arrangement as distinct from leasing and then subleasing as is the case with WeWork. I find this very appealing.  It sidesteps the conventional risks of both a purchase or a lease, saves time and energy, and puts all of  the focus on   offering the consumer better price, better design, or both.