Greg Juceam has done it all in the hotel industry—from sales and marketing to asset management and operations. He helped G6 Hospitality get through the worst of the pandemic as president/COO, and, in February, was elevated to president/CEO of Extended Stay America (ESA) after serving four months as COO. Hotel Business caught up with Juceam to discuss his career and what’s going on at ESA.
—Adam Perkowsky
What did you want to be when you grew up?
I always assumed I would grow up to be a lawyer. My grandfather was one. My father and brother, too. Deep down, my passion was in the business world, and I always loved hotels. When considering colleges, I applied “early” to Cornell hotel school, which obligated me to enroll there if I was accepted. I honestly didn’t think I was going to get in, but I did. From day one, I loved everything about Cornell and I knew hospitality was the right industry for me.
When did you become interested in the hotel industry? What was your first job?
As a child, my siblings and I used to travel with my parents on their business trips. I was fortunate to see a lot of different hotels in many great U.S. cities. At some point, I got the idea that hotels were not just a place to stay, but also a place to work. Of course, I thought working in hospitality would entail ordering room service from the comfort of a hotel bed, but I learned quickly that it wasn’t that easy. My first job was bussing tables at a small lakeside resort in Maine. I also worked one summer as an activities coordinator at a timeshare in Myrtle Beach. It was not long before I realized that sales might be more up my alley, so that’s where I focused my efforts following college.
How did your previous experience help you to be the executive you are today?
I’m the type of person who is constantly learning by watching and listening to others. I have been very intentional about rounding out my experience as my career progressed. At every stop along the way, I’ve focused on acquiring new skills that would serve me well down the road.
For example, my initial years in sales and marketing helped me understand how to focus messaging and overcome objections. In more than 12 years at Interstate Hotels & Resorts, I had opportunities to franchise from dozens of brands and manage for a variety of owners, ranging from entrepreneurs to private equity to public REITs. My time with BRE Hotels & Resorts taught me how to be an effective owner’s representative and allowed me to build an asset management platform and culture from the ground up. More recently, with G6 Hospitality and now Extended Stay America, I have been focused on building and enhancing brands, while creating stakeholder value through mutually beneficial franchising relationships. With the diverse background I’ve gained through years working in hotel management, real estate asset management and brand leadership, there aren’t too many situations that I haven’t encountered before.
You joined Extended Stay America (ESA) late last year. What attracted you to the company?
Extended Stay America is a brand that everyone knows and understands. It was a pioneer in the extended-stay space and remains the clear leader in the midpriced extended-stay segment. I like the simplicity and focus of ESA. I joined [the company]because of the opportunities I see for the brand. We own and manage more than 650 hotels in the U.S. (following our acquisition of 111 properties this past February). No other hotel brand has the scale of ownership and management, which gives us the direct ability to improve performance and service levels like no one else. There is also an opportunity to grow the brand through franchising. The U.S. extended-stay hotel segment remains less than 10% of the industry room supply, despite high demand and traditionally solid occupancies relative to the rest of the industry. Demand is incredibly high from hotel investors who saw ESA outperform during the worst period in the history of the hotel industry, and they now want to be a part of the brand and grow with us.
ESA recently launched the Extended Stay America Select Suites. Why was it time to introduce another brand?
During the first 25 years of ESA’s existence, we accelerated our growth through acquisitions but often merged the acquired brands into our core Extended Stay America Suites brand. With our most recent acquisition, it was important to create a new brand to distinguish it from Extended Stay America Suites because the products and services represent a more simplified offering. We wanted to ensure that our guests are clear about what each brand provides so they can make the best decision for their needs.
Establishing a new brand also made sense due to emerging market dynamics. We’re all familiar with the corporate traveler who is on a long-term project or the individual that is relocating who does not yet have a permanent residence; these travelers have been the bread and butter of ESA for decades. But, the pandemic highlighted other stay occasions that are becoming more prevalent these days. This includes digital nomads, who have the freedom to work from anywhere and have the flexibility to explore a market for a couple months now that they’re untethered to an office location. And, at a time when inflation is rising and low-cost housing is less available in the U.S., Extended Stay America Select Suites provides a reasonably priced alternative for people who are between homes or who aren’t able to commit long-term.
Can you tell us what the new brand has to offer for franchisees and for guests?
Extended Stay America Select Suites focuses on the longest-staying, most price-sensitive guest in the extended-stay segment. The brand targets people who generally want to stay for weeks or months, not days. Guests will get the basics they need to comfortably feel like they’re at home. This includes spacious, apartment-style suites with full kitchens, including full-size refrigerators, on-site guest laundry and free WiFi. We will also provide housekeeping services on a biweekly basis. Extra amenities are available for a charge. However, we are not going to offer breakfast or fitness rooms that typically elevate pricing for everyone and may only be used by some. Guests who want those types of services can find them at other brands within the ESA family.
For franchisees, this basic model simplifies the development and operations processes and keeps costs more manageable—something we feel is a major opportunity given the current market conditions.
What’s the pipeline at ESA?
Currently, ESA has roughly 100 franchised hotels in its system. Between projects already being constructed, under contract or soon-to-be under contract, we are on pace to double our franchised operation by 2024. This excludes the heavy amount of interest that we have received for the ESA Select Suites brand since we launched it at the Lodging Conference.
What’s the growth plan moving forward?
The immediate plan is to integrate the 111 hotels we just rebranded into the ESA family and to accelerate our development pipeline with three franchise offerings. But, as always, we will remain opportunistic as we navigate these dynamic capital markets over the next year or two.
