Roxbury Group and Means Group Open Element Hotel in Restored Neo-Gothic Metropolitan Building Located in Detroit’s Entertainment District

USA, Detroit, Michigan. February 07, 2019

Element Hotels, part of Marriott International, along with Detroit-based Roxbury Group and Means Group, announce today the opening of Element Detroit at the Metropolitan, marking the debut of the stylish and eco-focused hotel brand in Michigan. The hotel, which has been incorporated into a renovated 92-year-old neo-Gothic building in the heart of Detroit's entertainment district, aims to fuel a balanced life for travelers on the road. Designed for today's healthy, active traveler, Element Hotels has redefined the longer stay experience with a nature-inspired design philosophy that is clean, modern and bright.

“We are thrilled to be bringing Element Hotels to Michigan for the first time with the opening of this property that is steeped in so much history,” said Toni Stoeckl, Vice President, Distinctive Select Service Brands, Marriott International. “The Metropolitan has sat vacant for nearly 40 years and was destined for demolition, making the opening particularly special for us - we're so excited to have played a role in bringing this iconic building back to life for the city of Detroit.”

The Metropolitan Building, was originally opened in 1925 and previously was a destination for jewelers and shoppers alike. The Element Detroit at the Metropolitan boasts 110 studio and one-bedroom guest rooms. The hotel will also be home to a rooftop bar and patio, The Monarch Club at The Metropolitan, with private event space and unparalleled views of downtown Detroit and Comerica Park, the home of the Detroit Tigers. The Monarch Club will be the first of three food and beverage venues to open in the building, and is slated to debut in the first quarter of this year. The property is being managed by Azul Hospitality of San Diego, Calif.

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Revenue Management: Focus On Profit

Revenue Management is still a relatively new profession within hotel operations and as such, it continues to evolve. One significant trend in this area is a shift away from using revenue as the foundation to generate key performance indicators (KPIs) and to instead place the emphasis on profit. Traditionally, revenue managers have relied on total revenue per available room (TrevPAR) and revenue per available room (RevPAR) as the basis of their KPIs. Now, some revenue managers are using gross operating profit per available room (GOPPAR) as their primary KPI. This puts profit at the center of revenue management strategy, and managers are increasingly searching for new ways to increase the profitability of their hotels. Return on Investment is the objective of any hotel investment, so it is only logical that profitability and ROI will be emphasized going forward. Another trend is an expanded focus on direct hotel bookings. Revenue managers know that one way to increase profitability is to steer guests away from online travel agencies (OTAs) and book directly with the hotel. This tactic also reinforces brand identity and loyalty, and encourages repeat business. In addition, it provides a valuable platform to market the hotel directly to the customer, and to upsell room upgrades or other services to them. Another trend for revenue managers involves automation in their software programs. Revenue management systems with automation are far more desirable than those without it. Automating data entry and logistics increases efficiency, allowing managers to spend more time on formulating strategy. As a bonus, an automated system helps with aggregating and interpreting data. The October issue of the Hotel Business Review will address these developments and document how some leading hotels are executing their revenue management strategies.