Sheraton Hotel Redding At Sundial Bridge - Redding Record ...

FIGURE 6-5 NEW SUPPLY
DEMAND
Proposed Property
Number
of Rooms
Total
Competitive
Level
Estimated
Opening Date
Sheraton Redding At Sundial Bridge 130 100 % June 1, 2012
Propos ed Comfort Sui tes 64 0 January 1, 2014
Propos ed TownePla ce Suites #1 76 0 January 0, 1900
Propos ed TownePla ce Suites #2 102 0 January 0, 1900
Totals/Averages 372
The Fairfield Inn opened in May 2010 on a site off Caterpillar Road. On a site
adjacent to the Fairfield Inn, also off Caterpillar Road, a 64-room Comfort Suites is
under review for approval by the Planning Commission. There are two proposed
TownePlace Suites properties in Redding. The first one is on the same block as the
aforementioned proposed Comfort Suites. The permit has not been issued for this
hotel. The second TownePlace Suites is proposed on a site off the intersection of
Executive Way and Larkspur Road. The building permit for this hotel has been
issued, but the developer is still seeking financing. The permit will expire on June
23, 2011, if work has not commenced by that date. Also, a site off New Market
Street was approved for the development of a 110-room hotel with a spa and a
restaurant as part of a larger mixed-use development. The planning department
was recently contacted about extending the approval for the hotel (reportedly, the
property has reverted to the lender). These proposed projects have not been
considered competitive with the subject property due to the early stage or
uncertainty of the project.
While we have taken reasonable steps to investigate proposed hotel projects and
their status, due to the nature of real estate development, it is impossible to
determine with certainty every hotel that will be opened in the future, or what
their marketing strategies and effect in the market will be. Depending on the
outcome of current and future projects, the future operating potential of the
proposed subject property may be positively or negatively affected. Future
improvement in market conditions will raise the risk of increased competition. Our
forthcoming forecast of stabilized occupancy and average rate is intended to
reflect such risk.
The following table presents the most recent trends for the subject hotel market as
tracked by HVS. These data pertain to the competitors discussed previously in this
section; performance results are estimated, rounded for the competition, and in
some cases weighted if there are secondary competitors present. In this respect,
February-2011 Supply and Demand Analysis
Sheraton Hotel Redding At Sundial Bridge – Redding, California 53