Hoteliers see independents as ‘long-standing’ trend

With growing demand from investors wanting to build unique properties, independent hotels aren't going away anytime soon, according to sources.

Speaking on a panel titled "Independents: No flag, no problem" at the recent Hotel Data Conference, Tim Franzen, president of Graduate Hotels, said he sees independents as a long-standing trend and it's proven by the fact that major brands are co-opting the independent space.

Franzen said he isn't worried about soft brands encroaching on independents, either.

Raj Contractor, SVP of investments at Host Hotels & Resorts, said from an institutional perspective "everybody is in the (independent) space and looking at assets that have unique attributes and personalities. Frankly, from a private equity standpoint, it's a lot easier to exit because there's a lot of people out there that … they think they can buy the hotel and do a better job running it," he said.