What if the right brand partner could take some of the hassle out of your hotel conversion project? Choosing the right brand is crucial for both first-time and experienced hoteliers. Conversions may offer a shorter path to profit than construction, but brand support plays a critical role in success.
Neha Jadhav, CEO and co-founder of Luminous Hotel Management, and James Fair, co-founder and COO of the company, discuss why they chose a Wingate by Wyndham conversion, explore how Wyndham has helped them navigate the process, and speak to what they’ve learned from the experience.
Making the Move
“Part of the reason we decided on a hotel conversion to Wingate by Wyndham for our new property is that we already own the property right next to it,” says Jadhav. The existing property is a Hawthorn Extended Stay by Wyndham, and Jadhav notes that the two properties share a central courtyard. By purchasing both hotels, Jadhav and Fair have the opportunity to convert the entire property into a dual-brand offering with an upgraded outdoor space.
According to Jadhav, the newly acquired hotel wasn’t performing. “We choose a Wyndham flag since we’ve seen success with the brand,” she says. “We own five hotels that are Wyndham.” Ultimately, they opted for a Wingate conversion — the select-service brand offers a 126% RevPAR index that outperforms its midscale competition, $114 ADR to help maximize owner revenue, and sees 49% of total stays delivered by Wyndham Rewards members, making Wingate by Wyndham properties a great choice for reliable revenue.1 By working with Wyndham for both properties, Jadhav and Fair reduced the complexity that can come with managing dual brands on a single property.
The combination of select-service and extended-stay brands has been gaining ground as leisure travel numbers return to pre-pandemic values and the volume of extended-stay guests increases, thanks in part to new federal infrastructure projects. A mix of both types makes it possible for owners to meet the long-stay needs of blue-collar workers and provide short-term stay options for traditional travelers. Properties offering both limited and extended-stay rooms can also help encourage return guests; if short-term vacationers enjoy the property but want to spend more time in the area, they may return as extended-stay guests.
Navigating the Conversion Process
While the structure of Jadhav and Fair’s newest acquisition was sound, the interior needed work. “It was a non-performing asset,” says Fair, “but the box itself was in pretty good condition. There were significant upgrades required in the guestrooms, and some of the exterior areas.”
The biggest task was bringing the guestrooms up to brand specifications. Fair notes that while the hotel opened in 2007 and the rooms had undergone a minor upgrade in 2019, “under our review of the product, it wasn’t what we wanted.” To meet expectations, the rooms needed new seating, painting, carpet, and a host of smaller furniture, fixtures, and equipment (FF&E).
“It’s a moderate conversion project,” says Fair, “but Wyndham does a lot of the heavy lifting for us and takes out a lot of the guesswork.” For example, Wyndham has a list of preferred materials vendors and can get materials at a lower cost than owners could purchase them on their own. In addition, Wyndham works with experienced contractors who understand the unique needs of the hotel market.
In a guestroom conversion, consistency is key. From furniture to art to flooring, rooms must adhere to a specific set of standards. Owners can streamline the construction process by leveraging known and trusted contractors from Wyndham. This consistency is a critical part of the guest experience since it ensures that guests familiar with Wingate enjoy the same type of furnishings and amenities they’ve come to expect. Consistency also makes it easier for owners to repair or replace items as necessary since they have access to approved Wyndham contractors and materials sourcing.
Working with Wyndham also helps owners navigate potential setbacks. Put simply, even the best-laid hotel plans can go awry when hoteliers least expect it. Depending on the nature and extent of hotel conversion, owners may require new city permits or additional inspections. If completed work doesn’t meet municipal expectations, this could prove a significant setback for hotel reopening timelines. With decades of experience building and converting hotels nationwide, Wyndham’s owner support teams can identify potential issues and suggest remediations before inspectors are brought in to conduct their assessments.
Owners also get the advantage of easier estimation of potential project costs. Depending on the extent of the conversion, along with the fluctuating costs of materials and labor, it can be difficult for first-time owners to accurately predict expenditures. While experienced owners such as Fair and Jadhav are more familiar with the complete costs of conversion, it’s always helpful to have a second opinion.
“We were very lucky to have a great support team,” he says. “They were instrumental during the period we were de-branded. You need information ASAP, and you need to get everything up and running so you’re ready to start selling rooms.”
Getting the Right Support at the Right Time
While Luminous Hotel Management has worked with other brands in the past, Jadhav notes that “at the end of the day, we keep coming back to Wyndham. They’re an easy-to-work-with, practical brand. In fact, the majority of our portfolio is Wyndham.”
She points to the work underway on the shared courtyard. Rather than specify a layout and mandate the features required for the area, Wyndham offers flexibility for Jadhav to get creative. “Wyndham said, ‘you design it, and we’ll go through it together.’ This flexibility will help make our Wingate hotel a unique property with the potential to grow RevPAR.” Rather than being told what the courtyard should look like and what design they were required to use, Jadhav and Fair enjoy the autonomy they need as owners to decide what makes sense for their hotel, their location, and their shared vision.
With Wingate by Wyndham, owners can take advantage of heavily negotiated rates for suppliers, with an average savings of 20% of OTAs. 2 For Jadhav and Fair, this makes their conversion more cost-effective and offers the confidence that comes with knowing the work was completed using approved suppliers and high-quality materials.
Fair, meanwhile, highlights the role of Wyndham support in managing the transition period when hotels undergoing conversion are de-branded. Wyndham ensures that owners know exactly what’s happening, what’s next, and when they can expect conversion processes to be complete. During de-branding, Wyndham also works with hotel owners to install, initialize, and test technology systems such as property management tools and guest booking portals. For example, the new guest engagement platform Wyndham Connect can help owners enhance the guest experience and increase overall revenue.
With smart mobile check-in and check-out, guest information can be verified in advance to speed up the check-in process and protect hotels from chargebacks. A contactless check-out process is easier for guests and can alert housekeeping staff when rooms have been vacated. Mobile tipping, meanwhile, makes it easy to show appreciation for housekeeping staff. Based on data from hotels that have adopted the solution, the average tip is over $10.3
Using Wyndham Connect, owners can easily offer upsell options to guests. These include early check-ins, late check-outs, and personalized upgrades based on previous stays and guest feedback. And with AI-generated messaging, staff can quickly respond if guests have questions or concerns. If AI can’t help guests resolve the issue, the tool can alert staff and let them take over.
Accessing Additional Benefits
Jadhav is also a member of Women Own the Room by Wyndham, which helps women overcome common barriers they face in hotel ownership and helps them effectively open and run their hotels.
“In early discussions about the conversion, Wyndham helped ensure that we were not financially hit hard,” she says. “We worked with their teams to find solutions that would benefit both us and the brand. And when we opened, they offered 12 months of complementary sales support. This gives us a little bit of breathing room and lets us focus on operations and staffing.”
This is part of Wyndham’s owner-first approach. When owners have what they need, when they need it, they’re better equipped to keep guests happy, keep them coming back, and find new opportunities to grow their market share.
From Consideration to Action
Fair has simple advice for owners considering a conversion. “Wingate is a great brand, and Wyndham offers the support owners need.” Consider that for the last six of eight years, Wingate has been ranked #1 in guest satisfaction in the midscale segment.4 Combined with 110 million enrolled Wyndham Rewards members, taking action on a Wingate conversation offers both new and experienced owners a reliable path to RevPAR growth.
“From our standpoint,” says Jadhav, “our previous efforts with Wyndham felt like a team effort and gave us confidence that we could do another conversion.”
1FDD dated March 30, 2024. RPI, ADR and Contribution numbers presented are based on averages for certain franchisees in the U.S. and Canada during 2023. 33 (41.3%) and 28 (35.0%) of the Qualified Franchisees whose data was disclosed in the FDD met or exceeded the RPI and ADR presented, respectively. 126 (64.0%) and 109 (55.3%) of franchisees whose data was disclosed in the FDD met or exceeded the CR Contribution and WR member Contribution presented, respectively. Your results may differ.
2Versus independent or unbranded hotels.
3Across participating Wyndham and by Wyndham hotels.
4A leading consumer research organization.