Micro-hotels gaining popularity in US

Global Business

Micro-hotels gaining popularity in US

They’ve been around in Europe for a while, but the trend of micro-hotels is now spreading to the United States. In recent years, a pack of them have opened up in New York City with plans for more in other top tier U.S. cities.

CCTV America’s Karina Huber visited one of these hotels to find out about their growing appeal. 

Micro-hotels gaining popularity in US

Micro-hotels gaining popularity in US

They've been around in Europe for a while, but the trend of micro-hotels is now spreading to the United States. In recent years, a pack of them have opened up in New York City with plans for more in other top tier U.S. cities. CCTV America's Karina Huber visited one of these hotels to find out about their growing appeal.

Scott Yo is the general manager at Pod 39, a micro-hotel in the heart of Manhattan. Rooms there average 10 square meters, or around 107 square feet. 

“Once you get over the shock of it, people really enjoy our rooms. They realize we’ve thought about how our guests will use the rooms and designed them according to that,” Yo said.

The rooms rely on smart storage solutions and are equipped with plenty of outlets near the bed for smart phones and laptops.

One of the key selling points of The Pod, and other micro-hotels like it, are public areas where guests can socialize with one another, drink, eat and even play games.

Yo says most of the hotel’s guests prefer to spend time outside their rooms and are above-all adventurous.

“We like to say young at heart. You’ll see blue haired people wandering around our lobby and in our elevators and on our floors as well as suits and ties. It’s people who are comfortable trying something new,” Yo said.

It’s also for people looking for a good deal in one of the world’s most expensive cities. Rooms here average $180 a night, which is still below New York’s average.

The average occupancy rate at the Pod 39 is above 90 percent, which tops the city’s average. This growing demand for micro-hotels has caught the attention of major brands.

“You’re now offering a leaner and meaner operation that still gets a good topline revenue,” said Mark Van Stekelenburg, Managing Director of CBRE Hotels said.

Hilton has recently announced a new micro-hotel brand called Tru that will open at the end of this year. Marriott has already opened its first micro-hotel called Moxy, in Milan, with plans for more in the U.S.