BABTA PRESENTATION CASSANDRA COSTELLO - MAY 2018
WHAT IS SAN FRANCISCO TRAVEL?
MOSCONE EXPANSION EXPANSION QUICK FACTS On budget and on time-completion 2018 Increasing the largest contiguous exhibition space to 504,000 sq. ft. Adding a 50,000 sq. ft. column free ballroom. 25,000 sq. ft. of outdoor terraces. New onsite Visitor Information Center.
CURRENT PACE
CURRENT PACE MOSCONE PACE AS OF MARCH 31, 2018 ROOM NIGHTS 2018 2019 2020 2021 Definite RNs 700,617 1,162,540 947,179 811,591 Pace Targets 848,232 959,638 955,553 903,813 Variance (147,615) 202,902 (8,374) (92,222) Room Night Goal 855,000 1,000,000 1,050,000 1,100,000 Pace % 83% 121% 99% 90% EVENTS 2018 2019 2020 2021 Events 42 38 30 26 Pace Targets 46 40 37 34 Variance (4) (2) (7) (8) Annual Event Goal 47 50 52 54 Pace % 91% 95% 81% 76% Source: TAP Report March 2018
NEW SUPPLY
SUPPLY AND DEMAND SUPPLY SUMMARY (SAN FRANCISCO/MARIN COUNTY/SAN MATEO CURRENTLY 52,428 ROOMS) Hotel Scale/ # of Rooms In Construction Final Planning Planning Unconfirmed Luxury 1 350 rooms 1 170 rooms 1 223 rooms Upper Upscale 1 250 rooms 1 250 rooms Upscale 3 527 rooms 7 931 rooms 4 908 rooms Upper Midscale 3 356 rooms 1 155 rooms 5 485 rooms Midscale 1 86 rooms Economy Independent 3 301 rooms 7 926 rooms Total: 39 hotels, 5,981 rooms (+11.4%) 11 1,784 rooms 10 1,506 rooms 18 2,628 rooms
SUPPLY AND DEMAND SUPPLY SUMMARY SF ONLY (CURRENTLY 34,002 ROOMS) Hotels In Construction (2018 open date) Grand Hyatt SFO (Jul. 2019) 350 Hyatt Place (Oct. 2019) 228 Yotel (September. 2018) 200 Virgin Hotel (Aug. 2018) 196 Presidio Building 105 (Dec. 2018) 40 Final Planning (2019 open date) Waldorf Astoria (Nov. 2021) 170 A/C Hotels by Marriott (Sep. 2019) 77 Planning (2020-2021) open date) Hilton Garden Inn (Oct. 2021) 475 Marriott Mission Bay (2020) 250 Independent 950-974 Market (Jun. 2019) 250 Langham Place (Jun. 2021) 223 Teatro Zinzanni Hotel (Feb. 2020) 200 citizenm (n/a) 186 Moxy (Jun. 2022) 65 Total: 2,910 rooms (8.6% of existing) 1,014 rooms (3.0% of existing) 497 rooms (1.5% of existing) 1,399 rooms (4.1% of existing)
LODGING STATISTICS
LODGING STATISTICS 2017 OCCUPANCY % Transient Group Crew Total San Francisco City & County 60.7 18.2 4.4 83.3 San Mateo-Redwood City 50.3 17.5 9.8 77.6 San Francisco Airport 60.4 11.6 12.6 84.6 Oakland-Berkeley-Hayward 59.6 13.3 5.0 77.9 2017 OCCUPANCY % CHANGE Marin County 59.0 21.5 0.3 80.8 Transient Group Crew Total San Francisco City & County 0.3-12.8 10.5-2.4 San Mateo-Redwood City -4.8 12.6-14.4-2.8 San Francisco Airport 0.2-7.0 11.0 0.6 Oakland-Berkeley-Hayward -0.7 0.0 21.4 0.6 Marin County -3.1 17.9-81.0 0.3 Source: SFTA & STR, December 2017 Report
LODGING STATISTICS 2017 ADR (AVERAGE DAILY RATE) Transient Group Crew Total San Francisco City & County 247.11 271.55 191.33 249.49 San Mateo-Redwood City 220.57 206.75 143.62 207.70 San Francisco Airport 176.54 174.73 176.86 176.34 Oakland-Berkeley-Hayward 153.30 152.61 116.18 150.82 2017 ADR % CHANGE Marin County 194.75 220.63 155.01 201.52 Transient Group Crew Total San Francisco City & County -1.3 0.0-0.7-1.4 San Mateo-Redwood City 3.1-1.3 13.8 3.6 San Francisco Airport 1.3-1.4 2.3 1.1 Oakland-Berkeley-Hayward 1.4 0.1 7.4 1.1 Marin County 2.7-5.1 37.7 1.8 Source: SFTA & STR, December 2017 Report
PUBLIC POLICY
PUBLIC POLICY UPDATE PUBLIC POLICY PRIORITIES Promoting San Francisco and the Bay Area as a visitor destination Facilitating travel to and within San Francisco, the Bay Area, and California Promote and advocate for long term development projects that positively impacts the visitor experience Quality of life issues (safety, crime, houseless neighbors)
PUBLIC POLICY ROLE Partner with stakeholder organizations on a local, state and federal level - US Travel - Cal Travel - SF Chamber - Golden Gate Restaurant Association - Visit California - Hotel Council
PUBLIC POLICY UPDATE SAFETY AND CRIME Priority issues for hospitality/tourism industry: 1. Vehicle break-ins ParkSmart Campaign Regular meetings with public safety Visitor education SB 916 2. Property crimes 3. Increased Police Officers 1. 250 officers announced 2. SF Travel 10 B program
PUBLIC POLICY UPDATE HOMELESSNESS Priority policies and programs: $30 million new investment Unified Command/Healthy Streets Operation Center-DPH, DPW, SFPD, DHSH Creation of the Encampment Resolution Team Homeless Outreach Team (HOT) Homeward Bound Program Rapid Rehousing Project Homeless Connect Expanded Shelter Systems (Navigation Centers) Increase in Permanent Supportive Housing Increased eviction prevention programs
PUBLIC POLICY UPDATE STREET CLEANLINESS Priority policies and programs: Working with existing BID and CBD and the creation of the Downtown BID Petition gathering phase 2019 establish $3.9 million in new revenues Increased cleaning services (concentrated in areas of highest need)-$13 million investment proposed in City s budget PitStop Program
RECENT PRESS ON STREET CONDITIONS We can t be quiet anymore, D Alessandro said. We ve got such a glorious history, such a beautiful setting, and the fact is, we re letting it all slip away into this quality of life now that is not good for anybody. We ve become complacent, and I think we ve taken this as a kind of new normal, and it s not. It s wrong, and we have to do something about it. San Francisco Chronicle, April 2017
WHY IT MATTERS
TOURISM: SAN FRANCISCO S MAJOR INDUSTRY 29 1 visitors outnumber residents $9.1B in visitor spending $10,677 spent per San Franciscan $714M in local taxes 81,747 SF jobs 25.2M visitors annually
HOW VISITORS SPEND OVER $9 BILLION Lodging 20% Dining: 23.1% Shopping 15.9% Transportation Related 21.7% Sightseeing & Entertainment 11.1% Exhibitor Services 8.2%
TOURISM: THE CITY S MAJOR INDUSTRY $714 million in taxes & fees 4,328 police officers 4,527 firefighters 917,721 patient days at Laguna Honda Hospital
TOURISM: THE CITY S MAJOR INDUSTRY Tourism Employs Your Neighbors
TOURISM SUPPORTS OVER 80,000 JOBS IN SAN FRANCISCO Hotels 22,339 Restaurants 19,727 Retail 9,509 Ent/Sightseeing 9,201 Local Transportation 8,876 Exhibition Services 9,673 SFO Jobs 7,750
THANK YOU Cassandra Costello Vice President, Public Policy San Francisco Travel Association Cassandra@sftravel.com www.sftravel.com