“We re-flagged what had been Holiday Inn Harrogate, England, to Crowne Plaza Harrogate on March 14, 2017, and since occupancy has risen 4% and our average rate is up 10%,” said Nicolas Craninx, general manager of the 214-room hotel.
In 2014, New York-based Marathon Asset Management bought the 1982-vintage franchised hotel, which had been owned and operated by Westmont Hospitality. Marathon’s Managing Director Europe Jon Braidley called in Atlanta-based Valor Hospitality Partners, which has a steady record of turning around distressed properties. Valor’s founding CEO Euan McGlashan has an established relationship with IHG, and from the start Braidley and McGlashan saw potential in upgrading the property.
“Harrogate regularly tops polls of happiest place to live in England. It has a high-income population, a steady stream of tourists and the 2,000-person Convention Centre connected to the hotel has a continual calendar of big events,” explained Craninx, adding that there are no other upscale international chain hotels in this town of 80,000.
Upgrading started May 2016, without closing. Valor provided on-the-spot support and design help. Bedrooms had minibars and safes added, and bathtubs, which had showers over, were replaced by walk-in showers. The second-floor all-day restaurant could not be relocated to the first floor because of the kitchen location (and a first-floor facility was not likely to attract any more walk-in business). The lobby, and its connected bar, were taken from 1980s retro style to modern, free flow.
Craninx has a 120-strong team, 60% of whom are from the UK – and all, like him, are employed by Marathon. Apart from outsourced laundry, everything is done in-house and the entire team has been meticulously trained with continual testing on security and safety. Turnover is 28%, largely because of internal promotion within the Valor Hospitality system.
“For me, upgrading to Crowne Plaza meant I needed to study that brand more closely, and I opened my eyes more generally,” Craninx added. “For my colleagues, immersion in Crowne Plaza’s One Step Ahead program, led by IHG trainers, has been inspirational in attention to detail and anticipation. Because of all this, and helped by the fact that we now have air-conditioning, our problem rate has dropped from 40% of guests to 15%. We are also fourth in guest satisfaction for all 37 Crowne Plazas in UK.”
A Belgian-born South African, Craninx awaits arrival of a new operations manager and executive chef and, when both are in place, social media, assisted by both IHG and Valor, will swing into action to encourage more local business. Next month sees Harrogate’s annual three-week international Gilbert & Sullivan music festival, and Craninx will also be working closely with VisitHarrogate. “It really helps that everyone talks to each other regularly, we know it is win-win for all,” he said.