A Quebec City-based boutique hotel chain announced Tuesday plans to enter the Ottawa market and add to the number of downtown guest rooms.
Artist's rendering of the ALT Hotel at 199 Slater Street.
Groupe Germain Hospitalité will operate the 148-room hotel inside Broccolini’s condominium project at 199 Slater St., construction of which is scheduled to start next spring, the company said in a press release.
Germain believes the new hotel will help meet demand that it sees for lower-priced hotel rooms in the downtown core, said Jean-Yves Germain, the company’s co-president.
It will open under Germain’s three-star ALT Hotels brand, which provides rooms at lower rates but without amenities such as baggage handlers and free newspapers. He estimated the rooms, which typically consist of one bed, will cost around $145 a night when it opens in the fall of 2014.
“It’s not a market where you can have a five-star product there charging $400-$500,” said Mr. Germain. “It’s more people in that market are ready to pay anything between $100 and $200.”
The new hotel’s system for setting its rates will also be different than many others in the city.
Most hotels change how much they charge depending on demand. That means rooms rented during big events like last year’s Juno Awards typically cost more.
The Ottawa ALT Hotel will have the same rates all the time, said Mr. Germain.
The site will also be home to 164 luxury condominiums as part of construction company Broccolini’s The Slater project. However Mr. Germain said the two projects will be separate entities with different entrances.
That makes it part of a growing trend as many developers are choosing to combine hotels with condominiums in cities because costs for land continue to go up while supply continues to go down.
Mr. Germain said the company has been trying to get into the market for the past decade but the right opportunity didn’t come along until the Slater Street land became available.
Groupe Germain operates similar hotels in Montreal, Toronto and Quebec City. It is also plans to expand into Halifax and Winnipeg before the end of 2016.