Although still facing staffing challenges, purchasing companies fared rather well in 2023. For the year ahead, leaders expect PIP renovation projects to increase. Hotel Business spoke with Patti Tritschler, president/CEO, Interior Image Group; Pamela Villafane, director, project development, Carver & Associates; and Elisa Whaler, president, Bray Whaler, for more.
—Abby Elysssa
What were some highlights for you in 2023?
Tritschler: Our biggest highlight in 2023 was clients seeing the value in having our design and procurement team work together during the design phase of the project to ensure their budget requirements are being achieved. This process also assists when there is pressure on the projects timeline by allowing the VE process to occur collaboratively between design and procurement teams. As well as internal collaboration improvements, we paid particular attention to the streamlining of processes for efficiency, collaboration and accessibility across the entire project team.
Villafane: 2023 was a great year for Carver & Associates, beginning with the yearlong celebration of our 40th anniversary. This year, we created two new international entities: Dubai and India. As for our Atlanta headquarters, our staff has nearly doubled in the last year; so has our Canada staff. Our entire team has strategically thought of ways to save owners time and money as schedules accelerate, and brands push for completions when it comes for PIPs and renovations. Our procurement department upgraded technology with a new web-based procurement system tailored specifically towards FF&E and OS&E projects.
Whaler: During the proliferation of people movement, we were able to hire some incredible talent. And to maintain cohesiveness, we reorganized our leadership to include an exclusive director position for remote workers. We also took the time to implement Bray Whaler University for onboarding new coordinators, with continuing education for PMs, and we moved our corporate office to a bright new space.
Patti Tritschler Interior Image Group
What does the purchasing landscape look like for 2024? What challenges do you foresee?
Tritschler: I feel we will continue to see a good amount of PIP renovation projects in full-service, extended-stay and select-service. New-builds are looking for FF&E budgets much earlier in the design process, which requires an experienced procurement team to review the design development documents and put an estimate together to ensure hotel owners are including a realistic budget with their funding. Interest rates will still be challenging, and hoteliers will be looking to procurement firms to assist in project cost savings. We’ve also noticed a trend where hotel owners were increasing their spend in the public areas and reducing that in the guestrooms.
Villafane: We foresee many PIP renovations coming down the pipeline, as brands are persistent on completion timelines and are limiting extensions to franchisees. We will continue to work on new prototypes for new and existing brands with our partners and have several new-builds on the schedule for next year. We foresee many renovations and new-builds with longstanding partners. Staffing is one of the main challenges we are currently experiencing. Experienced PMs are hard to come by, but we are constantly looking for new talent to join our growing team.
Whaler: The pipeline is not as robust as post-pandemic “catch-up” levels. Yet, there is still plenty of work to be had. Perhaps we can even catch our breath. Now that wages (the hiring market) have stabilized, we must continue to maximize efficiencies while maintaining the project touchpoints we are known for.
Elisa Whaler Bray Whaler
What should we expect for projects in 2024?
Tritschler: Continued growth in renovation projects that will require our firm to widen our sourcing options to meet our clients’ budgets, timelines and quality expectations. We expect to see a further increase in the demand from hotel owners to maximize the impact of the available budget while reducing the overall costs. In a world that is becoming increasingly automated, a purchasing team that understands all the elements from design through to the guest experience and how to work those to favor the bottom line, will be the differentiating factor hotel owners will need on every hospitality project.
Villafane: For 2024, our Atlanta teams will be working on several wonderful new-builds and renovations. We will be wrapping up the La Bellasera Hotel & Resort in Paso Roble, CA, with Peachtree Group, as this hotel is being repositioned to a Tapestry Collection, and we will be finishing the Moxy Hotel in Ashville, NC, with McKibbon Hospitality. We are looking to start the renovation of the Embassy Suites Charlotte Concord Golf Resort & Spa with our friends at Atrium Hospitality. For new-builds, we will be working on an AC/Moxy dual-branded property in Dallas, as well as the Embassy Suites Gulf Shores in Alabama and one in Dallas. We are also looking to pick up several five-star hotels as we partner with Hilton in London as one of their approved partners for the Middle East and Europe.
Whaler: We are trending more renovation projects in the pipeline than new construction. The brands are implementing their PIPs and eager to uphold their standards.
