WICHITA, KS—Value Place just released its second quarter results, and reported that its system-wide revenue increased 10.6% over the same period last year to $55 million. Furthermore, the privately-held company saw an 11.5% same-property RevPAW increase during the second quarter.
Value Place also reported that it had 185 hotels, consisting of 107 franchised- and 78 corporate-owned properties, with a total of 22,108 rooms. The company also had 11 hotels under construction and 10 under development. As reported in GlobeSt.com, Value Place opened a new hotel in Watford City, ND, and signed nine new license agreements that will bring new hotels to Chattanooga, Tampa, Austin, Nashville, Columbus, and other markets.
“The Value Place brand already has hotels open in 32 states, and we are accelerating our national expansion by focusing on development in major metropolitan markets including Pittsburgh, Philadelphia, Miami, Atlanta, Minneapolis, and Denver,” said Kyle Rogg, chief operating officer of Value Place. “In addition to the development of our national corporate hotel portfolio, our network of franchisees, investors, and developers span the country, giving us a high degree of confidence in our growth plans.”
The solid numbers come on the heels of several important personnel changes. Bruce Haase, for example, took the helm as chief executive officer following a 12-year tenure at Choice Hotels International, one of the world’s largest lodging companies.
“Value Place franchisees are attracted to the stability of the brand, the consistency of the product across the portfolio, and the proven financial model that keeps costs low for both guests and franchisees,” said Haase. “In addition, Value Place has identified in excess of 20 markets across the country where we believe a new economy extended-stay hotel could be successful, providing the company with ample growth opportunities into the future. Value Place is poised for aggressive expansion for the remainder of 2014 and we are only getting started.”