Starwood Capital launching five-star, green hotels

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Starwood Capital Group, the real estate investment firm led by Barry Sternlicht, is developing a new collection of ecofriendly, five-star hotels with the intention of taking the hotel industry to a new level of environmental awareness.

The new brand will be called 1.

The hotels will be designed and operated from the ground up with an eye toward minimizing their impact on the environment, with the latest "green building" technologies and materials, Starwood said.

The first, the 1 Hotel and Residences Seattle, is expected to open in late 2008. Others are planned for Scottsdale, Ariz.; Fort Lauderdale; and the Mammoth Lakes ski area in California, with urban locations to follow in New York, Los Angeles, Washington and other cities. The first overseas venture, a conversion of an existing building, is planned for Paris.

Starwood Capital said it intends to have 15 hotels signed or under construction within 24 months.

The properties will be developed with environmental advice from the Natural Resources Defense Council, a 36-year-old, nonprofit organization comprising scientists, lawyers and environmental specialists.

 

Further, each property will donate 1% of its revenue to environmental causes.

Newbuilds will conform to the design standards of the U.S. Green Building Council.

According to Starwood Capital, this will involve performance criteria for "five key areas of human and environmental health: sustainable site development, water savings, energy efficiency, materials selection and indoor environmental quality."

The company said it expected to set "a new standard for environmental excellence and, over time, to transform the entire hotel industry."

"While some hotel brands pay lip service to the environment by asking guests to reuse towels and adding plants to a lobby, 1 is not using ecofriendly jargon simply as a marketing tool," Sternlicht said in a statement. "Our intention with 1 is to build hotels and residences that are truly green and minimize their impact on their environment."

Unique operating model

Starwood Capital, which is not affiliated with Starwood Hotels, said the new properties would follow a "unique operating model," under which various departments of the hotel might be operated by recognized "industry leaders." For example, BR Guest, a premier restaurant operator, will "provide an innovative restaurant, banqueting and room-service program," according to a Starwood Capital statement.

The development of 1 is the latest move by Starwood Capital Group to become a significant player in the luxury end of the lodging industry.

Last year, the group acquired Louvre Hotels, a collection of 14 luxury properties that included the Hotel Crillon in Paris as well as the Lutetia in Paris and the Hotel Martinez in Cannes, France.

The acquisition was followed by an announcement in January that it intended to create a luxury, European style chain of hotels based on the Crillon. 

It's also the latest, and boldest, move in the hotel industry's increasing level of environmental sensitivity.

Hotels such as the Orchid at Mauna Lani in Hawaii, the Venetian in Las Vegas, the Sheraton Seattle and the Fairmont in Washington all have ecofriendly programs in place that range from using solar energy to recycling programs.

Kimpton Hotels, meanwhile, regularly uses ecofriendly products and services at its hotels through a program called Kimpton EarthCare.

The growing interest in reducing the environmental impact of hotels has spurred the American Hotel & Lodging Association, in cooperation with Environmental Protection Agency, to launch a case study program to gauge the impact of ecofriendly practices on hotels.

"They are three months into it, and all of us are very eager to see the results," said Brad Aldrich, the AHLA's vice president of business development, who spearheads the association's green hotel effort.

Kudos for Starwood

"I was very happy to see what Starwood did. That is really exciting. That could generate an awful lot of interest," he added.

Michael Roberts, head of the Roberts Hotel Group, which owns several properties including the Mayfair Hotel in St. Louis, believes going green "is the way to go, and it is the right thing to do from a future standpoint."

His company is currently developing a residential/lodging tower adjacent to the Mayfair that will be "a green building."

Roberts' company also owns hotels in Atlanta and Houston, among other cities, and intends to "begin to converting them, wherever possible, into green buildings. It is the wave of the future."

Green hotels take extra steps to "use sustainable product," Roberts said.   "For example, you use carpets made from recycled materials. You also might use flooring from recycled materials. You would use bamboo as opposed to hardwood. Almost 40% of the world's consumption [of hard wood] into commercial and residential development is right in the United States, even though we are a fraction of the world's population."

Green properties also take steps to minimize water consumption, Roberts said.

"If we have landscaping and areas like that, we try to capture rainwater or non-toxic water and reuse it for gardening," he said. Lighting elements throughout the properties, meanwhile, are designed to use more solar energy and less fossil fuels.

"It is better for the environment, which is our driving force," Roberts said. "But the way it works, it is actually [cost effective] because you are recycling."

A report, "Sustainable Hotel Business Practices: A Surface Examination," published this year by HVS International, a hotel consulting firm, contended that with an ever-increasing number of people traveling, hotels will have to take on "the responsibility to minimize the impact [that large numbers of travelers] have on the environment," adding that failure to do so could lead to the "destruction of the [hotel's] surroundings and therefore their business."

The green hotel trend also dovetails with growing efforts by major brands to create healthier environments for their guests.

For instance, Westin banned smoking at its North American properties earlier this year, and Marriott soon followed, prohibiting smoking at all of its hotel brands.

America's Best effort

In May 2000, America's Best Inns and Suites introduced Evergreen rooms.

At least 10% of the rooms at all America's Best Inns and Suites' 110 properties across the U.S. are designated "Evergreen."

The rooms are specially designed with special water- and air-purification systems to eliminate virtually all allergens, along with "allergen barrier bedding" and bathroom showers enhanced to provide softer water.

To contact reporter Michael Milligan, send e-mail to [email protected].

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