Marshall Management, Inc., a leading mid-sized management company, today announced that it has signed an agreement to manage the 195-room Mount Vernon Hotel in Baltimore, Md. The property is owned by Baltimore International College (BIC), a private college specializing in culinary arts and hospitality business and management.
“Our immediate goal is to fully reposition the Mount Vernon,” said Michael Marshall, president of Marshall Management. “We had success in turning around a sister property in Baltimore, the Hopkins Inn Hotel, a facility with 26 boutique units that will be featured in an upcoming issue of Time magazine as part of a special insert for the mature traveler. The Mount Vernon currently achieves far less than its peer group in revenue per available room (RevPAR). Through aggressive marketing, especially e-marketing, we expect to add 15 to 20 occupancy points within the next few months. Since we arrived, room revenue for the first month increased nearly $60,000 over last year.”
The property is the second BIC-owned hotel operated by Marshall Management and the management company`s third new contract in 2003. Marshall noted that he expects to add three to five additional management contracts by year end.
“After two-and-a-half years of an economic downtrend, owners realize they need more from their operators,” he noted. “We are seeing two types of owners seeking our services—those who are losing money, and those who are making less and less money every year. Neither group is happy, and both are doing something about it.”
Marshall cited a property his company took over in February 2003. “Room revenues are up 12 percent, we`ve doubled their beverage sales and improved their margins through better controls by more than 66 percent. The property has transformed from a cash drain to profitability.”
The Mount Vernon Hotel enjoys a unique relationship with Baltimore International College. Approximately one-third of all guest rooms serve as student dormitories. And, the hotel feeds students two meals a day. “No two hotels are alike, but this is one of the more unusual assignments we`ve ever had.”
In addition to operating the Mount Vernon Hotel, Marshall has agreed to help BIC establish an accredited student intern program. Marshall will work with college officials to develop a curriculum and hands-on training using the company`s cutting-edge, proprietary operating systems. “For more than 20 years, we`ve educated sophisticated owners and investors on hotel operations, but this is the first time we`ve worked in a formal setting with college students. We look forward to the challenge.”
Located at 24 West Franklin Street, the Mount Vernon Hotel is within walking distance of Baltimore`s Inner Harbor, Mechanic Theatre, Peabody Conservatory and numerous restaurants. Originally built as a YMCA in 1908, the landmark hotel today offers 21st century amenities, including a complimentary breakfast, a state-of-the-art fitness center, full-service business center and banquet/meeting space able to accommodate up to 100 people. All guest rooms provide phones with voice mail and data ports, hair dryer, iron and ironing board. Additionally, the hotel offers Bi-Level Loft Suites and Deluxe Junior Suites, which feature a Jacuzzi and king-sized bed.
Founded in 1972, Baltimore International College is a regionally accredited, independent college offering specialized baccalaureate and associate degrees and certificate programs through its School of Culinary Arts and the Carl T. and Edward Julio Center for the Study of Business and Management, as well as the Division of Evening Studies. The College has an urban campus in Baltimore, Md., and a historic, 100-acre campus 50 miles northwest of Dublin in Virginia, County Cavan, Ireland.
Marshall Management, founded in 1980, has special expertise in operating three- and four-star branded hotels and resorts, averaging 100 to 400 rooms, in urban and central business districts, suburban/drive-to and resort locations. In addition, the company has a proven track record managing independent resort properties. Located in Salisbury, Md., the company has managed a wide array of leading hotel brands, including Hilton, Sheraton, InterContinental Hotel Group, Choice and Cendant. Despite forecasts for a continued difficult operating environment in 2003, the company`s management portfolio currently is on track to post improved RevPAR for its managed portfolio in 2003. Additional information about Marshall Management may be found at the company`s Web site: www.marshallhotels.com.