New York—Life House, a tech-enabled hotel brand and management company, has launched Life Hospitality, a management company focused on maximizing hotel profitability for independent hotels through tech-powered cost reductions and revenue enhancements—without a renovation or rebranding. To support owners in particular need of support due to the COVID-19 impact, the company is offering no transition fees and no management fees until 2021.
“We’re in a new environment today, post COVID-19,” Bryan Dunn, head of growth, Life House, told Hotel Business. “Growing Life House the brand was really predicated on adding value not only through a renovation and rebranding, but also through the implementation of our tech-enabled management platform. We’ve seen a lot of owners of independent hotels reach out with interest in the management side but in today’s environment, not as much desire to come out of pocket to capitalize a renovation and less availability of debt to fund a CapEx project. This is a representation of us responding to the market demands.”
Life House was founded by luxury boutique hotel veterans in 2017 and has rebuilt the complex hotel technology stack from the ground up to create a new operational model that allows for a robust, lean operation to hotel owners and a great hospitality service to travelers, according to the company. It has already taken over seven hotels to date and to ensure quality control will initially be selecting only 30 more hotels to partner with this year.
Life Hospitality leverages a proprietary technology stack that enables its teams to efficiently drive incremental revenue and risk-free cost savings to the bottom line, supporting owners in a tepid demand environment post COVID-19.
Life Hospitality has fully automated and centralized functions like financial accounting & reporting, pricing & revenue management, and digital marketing (especially through metasearch channels), allowing for advanced operations and minimized costs without diluting guest experience, according to the company. In addition to these operational advantages, because of its clean technology infrastructure, Life Hospitality is able to take over existing hotels in as little as one week and train staff on its intuitive software in a single day, materially decreasing transition costs and pre-opening costs for owners, according to Dunn.
“We are helping through our tech-enabled management platform,” he said. “We are able to drive higher net revenue and cut costs using technology, and you are not going to pay for that until the market starts meaningfully to recover next year.”