Big Apple-Area Airports Experiencing Increase In Mtgs. - 2001-01-29

<B>Big Apple-Area Airports Experiencing Increase In Mtgs.</B>

By Robert Selwitz

Airport hotels have become increasingly popular in the New York metropolitan area, due to their generally greater room availability and lower charges. Of course, their downside is that they are outside the heart of the city, offering significantly fewer options for after-hours diversions.

At Newark International Airport, a popular option is the 375-room Hilton, directly across from Newark's terminals and linked by continual complimentary shuttles.

Dan Madden, Hilton director of sales and marketing, said, "We cater to many people who are here to do business in this area, and don't need to or choose not to be right in the middle of New York. Also, though we're not cheap, we are definitely less expensive than midtown properties."

Also at Newark Airport is the 591-room Marriott, which offers a business center, rooms with dual-phone dataports and high-speed Internet access.

According to Steve Cook, director of market strategies, "In addition to being an important overflow property for guests that can't book into Manhattan, we also host numerous small meetings. In particular, many companies use this property for gatherings of personnel who can fly or drive in, do their work and depart. We're definitely cheaper and easier to access for many companies--particularly those in the pharmaceutical, retail and automotive trades--than staging something similar in Manhattan.

Danny Lin, senior associate at HVS international, said there has been very little recent new hotel development at or near Newark Airport, but that may be changing. Lin expects the Hilton to announce a major expansion scheme soon, and several properties are likely to arise at Jersey Gardens, a nearby outlet/mall just south of the airport. One reason Lin cited for increased airport property occupancy: "Newark has become notorious for its delays and cancellations. Distressed passengers, unable to make their scheduled flights, often help fill up rooms."

At New York JFK, Michael Link, general manager of the Sheraton JFK Airport Hotel, said that increasing numbers of guests arrive for business functions that use JFK as a gathering site for corporate exchanges, not just from the United States but around the world. Among recent examples was a three-day gathering hosted by Finland-based Nokia.

Link also pointed to another of his property's appeals--a Park & Fly program, in which guests staying at least one night can stash their cars in his secured, valet-access-only parking lot and leave their vehicles there until they return. "Sometimes," Link noted, "it's cheaper to stay here and leave a vehicle than to drive to the airport and park it in less secure, public long-term parking." Link's property, at the airport's entrance, also offers free shuttle buses to all of JFK's nine terminals.

Victor Young, general manager of the 360-room Holiday Inn JFK Airport, touts its close proximity to the airport, which is critical for business travelers with long layovers, or those wanting to avoid the morning commute in unpredictable traffic, he said. Furthermore, the Holiday Inn offers a 7 a.m. to 7 p.m. day rate that's roughly 40 percent cheaper than normal room rates, and a Park & Fly program for guests who stay at least one night. These guests can park their car without charge at the hotel for 10 days. The Holiday Inn also features a 24-hour shuttle to the airport every half hour; a multilingual staff with languages spoken onsite, including Chinese, French, Japanese, Spanish and Thai; eight meeting rooms that can host up to 350 attendees; and a business center offering high-speed Internet access, copy machines and fax machines.

Meanwhile, Maureen McDonald, director of market strategies for the 438-room LaGuardia Marriott, said, "We offer business travelers a quality, less expensive alternative to Manhattan hotels. And with yellow cabs and limousine services readily available at $25 to $35 for the eight-mile transit, we're very well positioned for Manhattan-focused travelers, as well as numerous meetings."

The LaGuardia Marriott's meetings, McDonald noted, include get-togethers by insurance, publishing, pharmaceutical and other industries needing to gather their people together in one easily accessible, moderately priced site. Her property also offers free shuttle service to LaGuardia's terminals every 15 minutes.

But, according to Wendy Pong, senior associate at HVS International, there's much more to the LaGuardia hotel scene than just adjacent or nearby properties. Consider Flushing, she said, pointing to the 173-room Sheraton LaGuardia East, less than 10 minutes from the terminals and enjoying more than 90 percent occupancy during the past several years. "It's the first full-service hotel outside the immediate LaGuardia area," Pong said. "It caters not only to airport activities, but also to many of those with family or business in the bustling Main Street section of Queens. And there is free airport shuttle service, plenty of nearby restaurants and easy access to the number 7 subway line that takes a half hour to reach Manhattan's Grand Central or Times Square stations." Key reasons for the success of this property, and factors drawing competitors, include "much lower barriers to entry. In particular, land and building costs are so much cheaper than in Manhattan." Pong also expects to see a number of other limited-services lodging sites in and around Main Street to open within the near future.