We are pleased to announce that MasterBUILT® Hotels has been selected as the Canadian Master Territorial Development partner for Wyndham Hotels and Resorts’ newest North American hotel brand: ECHOSM Suites Extended Stay.
By bringing ECHO Suites to Canada, we are helping to fill a void in a market with soaring demand for hotels that offer stays ranging from 7 days to annually.
We’ve had a long and successful partnership with Wyndham as their Canadian licensee for Microtel Inn & Suites. ECHO Suites is a very similar product in many respects. Both share a modular, high-efficiency new construction design and small footprint. These factors have made Microtel a hit with investors seeking a high-quality hotel with a relatively low upfront price tag.
The other thing that attracted us was that ECHO Suites competes in a different market segment than Microtel and will actually be viewed as a complementary property by many of our current investors.
Extended-stay properties are outperforming all other industry segments. This is fueled by project-based business travel and the skyrocketing need for transitional accommodation. Rising housing costs and availability are also contributing to the demand.
For this reason, we believe it will offer a very attractive investment opportunity for those seeking to diversify their hotel portfolio in an emerging market.
Today, rising construction costs are driving the need for ultra-efficiency. Like Microtel, Wyndham’s prototype for ECHO Suites prioritizes owner return on investment with an emphasis on value engineering and streamlined operations, helping optimize operating margins on a recurring basis.
ECHO Suites is a 124-room, 50,000 square-foot hotel that requires two acres of land. It features single and double queen studio suites, each built with a modern kitchen. The hotel will have laundry facilities and a 24/7 fitness centre for guests.
Yet it is this next number that really gets investors talking: 74% of this hotel is rentable! The property will require two acres of land.
Wyndham introduced ECHO Suites to the American hotel market last year, with the first two hotels set to open in Texas by the spring of 2024. Currently, there are over 200 ECHO Suites in the development pipeline.
At MasterBUILT, we have already begun speaking with Canadian investors. Our goal is to establish a coast-to-coast network of 50 ECHO Suites by 2048.
Because guests in extended stay hotels are more self-sufficient, ECHO Suites will have minimal staffing needs and enhanced profit margins. By targeting long-term guests, owners will benefit from predictable, recurring revenue.
If you’d like to learn more about Canadian investment and construction opportunities, we are here to answer any questions and pricing inquiries.
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