Skift Take
All over the world, once-derelict areas in cities are still drawing hotels because the price is right. How long will that last?
Destinations around the world are discovering that gritty urban neighborhoods that once housed factories or warehouses show no signs of cooling off as hot spots for development.
While the trend started in the late 1990s in forward-thinking coastal cities like New York and San Francisco, the widespread phenomenon of warehouse/industrial district conversion has grown even further in the past decade. It's gotten to the point now where more and more conversions seem to be happening everywhere, from smaller burgs like Portland, Maine, and Buellton, California, to Midwest hubs like the Twin Cities and Chicago.
As areas that were in the past considered off-limits are being reimagined as fashionable, tech-forward hubs designed to draw chefs, artists, entrepreneurs, residents, and tourists, lifestyle hotel brands are flocking to be part of the scene.
“Old industrial areas within cities often provide a vibrant mix of architecture and culture. This gives these areas an alternative image, which attracts younger market segments," said Ralph Hollister, travel and tourism associate analyst at GlobalData.
“Hotels opening in once-industrial areas within large cities will be a continuing trend," he added. "Luxury consumers are moving away from standardization as the millennial market grows in si
