Current Hotel Supply
Our research has identified a total of 79 hotels and guesthouses in 1066 Country with a total of 1,145 letting bedrooms.
Supply has reduced significantly in Hastings and Bexhill over many years, with further guesthouses in the process of closing down or wanting to exit the market in both locations.
Quality appears to be low generally in Hastings, with many hotels and guesthouses having received little or no investment for some considerable time and few owners currently contemplating upgrading and refurbishment. There have, however, been some signs of new investment recently with the opening of the Zanzibar and the investment that is being made in the White Rock Hotel. The resort has also seen recent budget hotel development with the conversion of the Cinque Ports Hotel to a Travelodge.
The supply is very limited in Bexhill and continues to reduce here, with the impending closure of at least two guesthouses. There has been some recent investment, however, most notably in the Cooden Beach Hotel.
The stock of accommodation in the Battle area comprises mainly rurally located hotels. There are few hotels and guesthouses in Battle itself. Standards are not particularly high, although there are some signs of investment beginning to take place in hotels here.
Quality appears to be good in Rye, with investment happening in existing hotels here, most notably the refurbishment of the George.
A number of hotel projects have been mooted in Hastings, Bexhill and Rye. Some are at a fairly advanced stage in terms of planning permission and feasibility studies. Others are longer term, and in some cases more aspirational, proposals for new hotels.
Hastings, Bexhill and 1066 Country - Hotel and Guesthouse Supply - by standard - February 2007
pdf of Hotel Supply for Hastings, Bexhill and 1066 Country
pdf of Guesthouse Supply for Hastings, Bexhill and 1066 Country
Current Hotel Demand
On the basis of our research we estimate the average annual room occupancy for 3 star hotels across 1066 Country to be around 55% in 2006. This is substantially below the national average for provincial 3/4 star chain hotels of 71.4%, and well below the average for 3 star hotels in Brighton (71% in 2006).
Average annual room occupancies for 2 star hotels vary significantly. They are very low in Bexhill. One 2 star hotel in Hastings is achieving very high occupancy levels through business from contractors and workmen working in the area.
Budget hotels in Hastings are achieving very high levels of occupancy as they attract a good mix of business, contractor, leisure and visiting friends and relative demand.
Average annual room occupancies vary significantly for guesthouses in Hastings, ranging from 21% to 60% in 2006, although most typically around 40%.
Occupancies also vary significantly for guesthouses in Bexhill. Again location and quality appear to be key factors. The two guesthouses on and immediately off the seafront are achieving very high levels of occupancy. Those located in side streets appear to be achieving much lower levels of occupancy. A number indicated that they are planning to close due to their lack of trade.
Hotel Development Opportunities
Current hotel performance and potential future market growth suggest potential for the following types of new hotel development in Hastings, Bexhill and 1066 Country:
- There is potential for existing hotels and guesthouses in the Hastings area to upgrade. Guesthouses that have upgraded are also generally achieving better occupancies and rates.
- In terms of new hotels and guest accommodation development opportunities the strongest potential appears to be in terms of small and medium-sized boutique hotels and guest accommodation offers that are capable of creating their own leisure break demand through the quality of their accommodation, service and food.
- Our research shows no clear potential for a new hotel in Bexhill. If a new hotel were to be secured for Bexhill it would need to be a destination hotel capable of creating its own market. This suggests possibly a boutique hotel with a good food offer, and prime seafront location and possibly spa and leisure facilities.
- Our research suggests that the hotels and inns in Battle and the surrounding area can command higher prices if they upgrade.
- There could be potential for the development of small boutique hotels and good quality pub accommodation in Rye, together with scope to upgrade some of the existing hotels and guesthouses here.
Links:
East Sussex County Council
Rother District Council
Hastings Borough Council