Despite that, the investment group is in the midst of spending $15-million, 30% expansion that will give the southwest Washington resort a total of 254 guest rooms and 35,000 sf of event space. Ken Daugherty, general manager of the Southwest Washington resort, tells GlobeSt.com the nature of the property as a drive-to destination is coming in handy in the current market.

Andy Olson, president of the Chambers Group, a Seattle-based consultancy specializing in the hotel industry, agrees with him. "The larger, upscale hotels in the major markets like Seattle have experienced more difficulty than the smaller drive-to markets," Olson tells GlobeSt.com.

Ken Daughtery, Skamania's general manager, says the slowdown in the industry began in March of last year and was merely exacerbated by Sept. 11. But, now, at least for this operation, business appears to be picking up.

"Most of our business seems to be bouncing back; our booking pace is much more solid than this time last year," says Daugherty. "We have seen some of that business coming from companies that were planning to fly off somewhere else and then decided to stay local and come to us."

The expansion will keep the facility competitive with other meeting venues in the Northwest, but it will result in higher rates. Per person daily rates will rise to between $250 and $275 for companies purchasing meeting packages that include lodging, meals and meeting space.

The meeting space expansion will be a two-story extension of the conference wing on the north side of the lodge. It will include a business-technology center accessible 24 hours a day. The guest room expansion will be in a new wing that will extend westward from near the current guest entrance.

Dolce International is a lodging management company. DLJ Real Estate Capital Partners is the real estate merchant banking affiliate of Donaldson, Lufkin & Jenrette Inc. Lend Lease Real Estate Investments is one of the largest real estate investment managers in the world and a leading U.S. real estate advisor to pension funds.

Instant Insights /

Skamania Lodge Expansion Aims for July Opening

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