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FEATURE PROFILE: Feature from the FALL 2024 ISSUE of STAY Magazine
News
Choice launches ‘Lobby in a Box’ to fast‑track extended stay conversions, boost owner profitability
In a move aimed at streamlining extended stay hotel conversions and elevating guest experiences, Choice Hotels International, Inc. has unveiled its newest innovation: the "Lobby in a Box" design package.
This modular, ready-to-assemble solution, exclusive to Choice, allows franchisees to efficiently transform lobby spaces in Suburban Studios and MainStay Suites into “versatile, revenue-generating areas” within a timeline of 120 days.
Delivered in a ready-to-assemble format, Lobby in a Box aims to empower property owners to customize their lobby areas to better serve the needs of long-stay guests. With fully equipped kitchens already present in guest rooms—a hallmark of extended stay properties—the reimagined lobby space aims to provide additional income opportunities rather than duplicating in-room offerings. By incorporating marketplace-style spaces with grab-and-go food and essential items, hotel owners can not only improve the guest experience but also enhance profitability.
Building on the success of the previously introduced "Kitchen in a Box," a similarly modular and proprietary package that allowed franchisees to add fully functional kitchens to rooms in as little as three to four months, Lobby in a Box extends Choice Hotels' commitment to flexible, scalable growth in the extended stay segment.
“As demand for extended stay accommodations continues to exceed supply, we’re working to provide franchisees with the tools they need to capitalize on this opportunity,” says Matt McElhare, vice president of extended stay brands at Choice Hotels. “Lobby in a Box and Kitchen in a Box make conversions efficient and help our owners provide tailor-made experiences for long-staying guests while maximizing return on investment.”
Choice Hotels sees conversions as a strategic advantage, especially in markets with high barriers to entry where new builds may be less feasible. The ability to convert existing properties efficiently has become a crucial differentiator, allowing franchisees to tap into the burgeoning extended stay demand at lower risk compared to new construction projects.
The extended stay segment remains a hotbed of opportunity as both leisure and business travellers seek more accommodating, home-like amenities. According to industry trends, supply still lags significantly behind demand, and Choice Hotels is positioning its franchisees to seize this gap through turnkey solutions.
"Choice is renowned for its best-in-class conversion capabilities, and with Lobby and Kitchen in a Box, we’re taking those capabilities to the next level," says Ron Burgett, senior vice president of extended stay development at Choice Hotels. "Together with our team of over 70 extended stay experts, these initiatives are about making conversions as quick and beneficial as possible for our franchisees."
Since its launch in 2022, Kitchen in a Box has been implemented across 30 operating properties in the U.S., with six more projects currently in progress—three of which are also incorporating the new Lobby in a Box. The dual offerings are helping Choice Hotels secure rapid growth in the extended stay market, putting the company on track to open its 500th extended stay property by year-end.
Franchisees adopting these turnkey solutions are already reaping the benefits. Rushi Vaidya, an owner who transitioned his transient property into a Suburban Studios using Kitchen in a Box, reported a 43 per cent increase in year-over-year RevPAR (revenue per available room) and a 10.2 per cent improvement in guest satisfaction scores. “Choice Hotels made the process smooth, and the revenue gains speak for themselves,” said Vaidya, emphasizing both the effectiveness of the modular design and the support received throughout the conversion.
Nick Patel and Supan Shah, co-owners of a MainStay Suites in Columbus, Ohio, similarly praised the recent introduction of Lobby in a Box. “The design brings a modern touch, meets the specific needs of extended stay guests, and has created new revenue opportunities for our property,” they say. “Choice’s commitment to innovative, franchisee-centric solutions has been key to our continued success.”
Choice Hotels’ two established conversion-focused brands—Suburban Studios and MainStay Suites—provide franchisees with a clear path to capitalize on the high-growth extended stay market. Suburban Studios, with its economy-focused offerings, and the midscale MainStay Suites brand, are both positioned to grow through a combination of new builds and conversions. The addition of modular, easily installable solutions like Kitchen in a Box and Lobby in a Box further strengthens Choice’s leadership in this segment.
The extended stay market continues to be an area of significant potential for hotel owners, and Choice Hotels is at the forefront of providing tools that facilitate faster market entry. By removing the complexities of extended stay conversions, Choice not only enables its franchisees to respond swiftly to evolving guest needs but also creates a competitive advantage in a rapidly expanding hospitality segment.
For hoteliers navigating the challenges of today’s market, innovations like Lobby in a Box underscore how Choice Hotels is helping its franchise community adapt and thrive—simplifying conversions, improving guest experience, and ultimately driving revenue in a dynamic industry landscape.
