From room service to detoxification, struggling workers find a new life
These facilities are ideal for multi-home conversions when they have built-in bathrooms and kitchenettes, which is more common in long-stay hotels, he says.
Retirement home conversions benefit full-service hotels as they have conference spaces that can be turned into multipurpose rooms and industrial kitchens allow residents to prepare meals.
Low-cost conversions help create affordable senior housing in urban markets with high barriers to entry, which is a big need, Skalko says. Fairstead, for example, plans to adapt a $ 60 million adaptive reuse of a historic hotel on Manhattan’s Upper West Side into affordable senior housing.
Conversions to student accommodation are popular for many hotel setups because they are similar and sometimes only require a light renovation, Guichardo explains.
The UK has seen a wave of such conversions. The old historic Hartlepool Hotel, more recently called the Hillcarter Hotel, for example, is being converted into student studios and dormitories.
“It’s not usually a big bowel job and it puts your head in bed, which keeps costs down,” she says.
There will likely not be massive conversions of hotels or other struggling assets, with the economic recovery and vaccine rollout underway. This is a good thing for homeowners who can cope with it.
“High levels of immunization have stabilized occupancy in skilled nursing facilities and we are seeing an increase in occupancy in senior housing,” Skalko said. “While some have brought loved ones home during the height of the pandemic, a return to normal is giving serious headwinds to the asset class. These properties are based on need and we have a growing population. old. “
There is also optimism for hotels, as pent-up demand during the pandemic is released.
“It’s important to keep in mind that while hotels are the first to see demand drop, they are also one of the first areas to see demand come back,” Guichardo said.