Lamington Group, the family-owned creator of hometel brand, room2, has advanced the launch of room2 lite, a new budget hometel product, buoyed by performance levels throughout Covid-19.
The Group has accelerated the launch in response to the opportunity arising out of UK hotel landlords facing an income shortfall as a result of tenants either unable or unwilling to pay rent during the Covid-19 pandemic.
The lite hometel concept aligns with room2’s low-risk and lean hometel product model, designed to be able to remain profitable during an economic downturn and which has proved itself to be resilient since the start of the Covid-19 pandemic.
The company has benefitted from a flexible cost base, enabling it to continue trading throughout the crisis by adjusting the service offering, and focusing on extended stay and essential worker guests.
room2 Southampton, the Group’s flagship offering, has continued trading since the government imposed lockdown on March 23, achieving monthly occupancy rates well above 50%.
room2 lite adapts the room2 hometel model, the brainchild of brothers Robert and Stuart Godwin, former British Olympic Development Sailing Team members.
Robert Godwin, managing director at Lamington Group and room2, commented: “room2 lite was originally borne out of our view that UK budget hotels are underserved by operators in the extended stay and design-led segment, and that there is lot of untapped potential to create truly memorable experiences. The market is dominated by large corporates, unable to pivot quickly in light of a changing economic landscape and changing consumer demands.
“Our hometel model has held up extremely well in recent months and proved its resilience despite the worst of economic cases.”