WICHITA, KS—Value Place has had a busy year. The extended-stay hotel brand just released its fourth quarter and full-year results and the data show that the company brought in $108.8 million during 2014, an increase of 50.9% when compared to 2013. Revenue in the fourth quarter was $28.4 million, a 23.9% increase over the previous fourth quarter. Furthermore, the Wichita, KS-based firm kept up a brisk pace of new construction, finishing 8 new hotels across the US and ending the year with another 11 under construction.
“We saw significant consumer and developer demand for our brand in 2014,” says Bruce Haase, the brand's chief executive officer. “We believe we are well positioned for sustained growth into 2015. Value Place delivered impressive growth on three fronts last year – above industry RevPAR growth at our company-owned and -franchised properties, the addition of new corporate properties, and the rapid expansion of our franchise network.”
Haase, like many of Value Place's top executives, was hired just this year as the company bolstered its management team.
“Same-store system-wide hotel room revenue per available room rose 14.3% as compared to fourth quarter of 2013,” the company reported. The boost was “the result of a 10.7% average daily rate increase and a 3.2% increase in occupancy.” For the full-year, RevPAR rose 10.9% over 2013.
As of December 31, 2014, the Value Place network had 190 hotels, including 108 franchised and 82 corporate-owned properties, totaling 22,278 rooms. In addition to the 11 hotels under construction, Value Place has 42 other hotels, including six corporate properties, under development.
“Our investment in the Value Place 'growth engine' is paying off,” says Kyle Rogg, chief operating officer of Value Place. “The quality of our people, processes, and tools continue to improve, and 2015 will see significant growth in franchise development, corporate development, same-store RevPAR, and human and financial capital.”
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
