Midwest city gets Rust Belt renaissance

Cleveland’s hotel scene

WHAT'S THERECleveland’s hotel scene

Cleveland’s hotel scene has for years reflected its economic drivers: Upper-upscale and luxury properties like the InterContinental Cleveland and the Tudor Arms Hotel Cleveland [a DoubleTree by Hilton] thrive in the neighborhood around the world-renowned Cleveland Clinic, while city center hotels struggled as people and businesses migrated to the suburbs. But thanks to the city’s recent investment in downtown business, hotels are springing up. Downtown Cleveland’s notable recent openings include the new-build, 150-room Aloft Cleveland Downtown and the fully renovated 484-room Westin Cleveland Downtown, converted from a Crowne Plaza. Both are positioned to take advantage of nearby event business from the renovated Cleveland Convention Center and brand-new Global Center for Health Innovation. The supply-demand ratio has been favorable since the recession; for example, in 2012 the city saw supply decline 1.8 percent year over year while demand grew 4.6 percent, according to STR. But that gap is closing: year-to-date June supply is up 1.8 percent year over year, with demand up .1 percent.

WHAT'S IN THE PIPELINE

The $272-million Hilton Cleveland Downtown, shown here in a rendering, is financed through a city and county partnership, and Hilton Worldwide will manage the 600-room hotel. The hotel will connect to the Cleveland Convention Center and the Global Center for Health Innovation. 

The city’s investment in downtown growth may be paying off for tourism and hotel business: Earlier this summer Cleveland was awarded the 2016 Republican National Convention, and continues to bring in smaller events like the 2014 Gay Games and the 2013 National Senior Games. The most notable hotel under development in the downtown core is the Hilton Cleveland Downtown, which broke ground earlier this year. The $272-million, 600-room hotel will have underground connectivity to the convention center and health center complex and is slated for a 2016 opening. Also under development downtown is the 156-room boutique Metropolitan at the 9, which will be part of Marriott International’s Autograph Collection, and a 122-room Kimpton-branded hotel. Also in the mix are a 206-room Le Meridien and a Drury Plaza, all set for openings in 2015 or 2016.

EXTERNAL DRIVERS

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* Events like the 2016 Republican National Convention

* Healthcare (The Cleveland Clinic and the Global Center for Health Innovation)

* Leisure tourism

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