Interstate Partners With SCG American for Development of New Le Méridien Hotel in Orange County, California

USA, Arlington, Virginia. February 06, 2019

Following a signing ceremony that took place yesterday, Interstate Hotels & Resorts today announced its executed management agreement with New York City-based SCG America (SCGA) - the company leading the development of a new Le Meridien hotel in Orange County, California. Construction is anticipated to commence Q3 of 2019 with the hotel slated to open in 2021. This latest management contract is part of the company's strategy to grow its high-end hotel portfolio and follows news of Interstate's two Westin hotel additions (Alexandria and Portland, Maine) and the historic Hill Top House Hotel luxury destination retreat project in Harpers Ferry, West Virginia.

“Our goal from day one, upon selecting the global lifestyle Le Meridien brand, was to ensure that we chose the most respected, quality service and product-oriented operator that can deliver on our promise,” said Winfred Zhang, president and CEO of SCG America.

“We are honored to be working with SCG America to open a Le Meridien hotel, a project that will inject vibrancy into the California hospitality scene,” said Michael J. Deitemeyer, president and CEO of Interstate Hotels & Resorts. “Partnering with incredible brands like Le Meridien and quality developers like SCGA furthers the momentum of where Interstate is headed.”

Inspired by the brand's French heritage - born in 1960s Paris during an era of glamorous travel, the new Le Meridien hotel will feature approximately 400 mid-century modern designed guestrooms and suites as well as the brand's innovative signature lobby concept that transforms the traditional lobby into a communal coffee house atmosphere by day and sophisticated cocktail lounge by night. Echoing the brand's distinctly European spirit of savouring the good life, the hotel also feature a signature restaurant and rooftop bar, well-equipped fitness centre, swimming pool, on-site spa, and 39,000 sq. ft. of meeting and event space ideal for convention business, leisure and group travel.

In addition to Le Meridien, Interstate Hotels & Resorts is accelerating with a global outlook and a robust mix of projects in the pipeline. Interstate's depth of experience across all lodging segments and asset classes drives results in each of its managed hotels worldwide.

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Eco-Friendly Practices: Corporate Social Responsibility

The hotel industry has undertaken a long-term effort to build more responsible and socially conscious businesses. What began with small efforts to reduce waste - such as paperless checkouts and refillable soap dispensers - has evolved into an international movement toward implementing sustainable development practices. In addition to establishing themselves as good corporate citizens, adopting eco-friendly practices is sound business for hotels. According to a recent report from Deloitte, 95% of business travelers believe the hotel industry should be undertaking “green” initiatives, and Millennials are twice as likely to support brands with strong management of environmental and social issues. Given these conclusions, hotels are continuing to innovate in the areas of environmental sustainability. For example, one leading hotel chain has designed special elevators that collect kinetic energy from the moving lift and in the process, they have reduced their energy consumption by 50%  over conventional elevators. Also, they installed an advanced air conditioning system which employs a magnetic mechanical system that makes them more energy efficient. Other hotels are installing Intelligent Building Systems which monitor and control temperatures in rooms, common areas and swimming pools, as well as ventilation and cold water systems. Some hotels are installing Electric Vehicle charging stations, planting rooftop gardens, implementing stringent recycling programs, and insisting on the use of biodegradable materials. Another trend is the creation of Green Teams within a hotel's operation that are tasked to implement earth-friendly practices and manage budgets for green projects. Some hotels have even gone so far as to curtail or eliminate room service, believing that keeping the kitchen open 24/7 isn't terribly sustainable. The May issue of the Hotel Business Review will document what some hotels are doing to integrate sustainable practices into their operations and how they are benefiting from them.