CorpHousing Group Inc. Announces Planned Openings of The Lafayette Hotel Powered by LuxUrban™ in New Orleans and The Washington Powered by LuxUrban™ in New York City
October 24, 2022 at 16:20 PM EDT
CorpHousing Group Inc. (“CorpHousing,” “CHG”, or the “Company”) (Nasdaq: CHG), which utilizes a long-term lease, asset-light business model to acquire and manage a growing portfolio of short-term rental properties in major metropolitan cities, announced today that it plans to open the Lafayette Hotel powered by LuxUrbanTM in New Orleans, LA on November 1 and The Washington powered by LuxUrban in downtown New York City on November 19.
As previously announced, CHG acquired the Lafayette Hotel and The Washington via separate 15-year Master Lease Agreements (“MLA”). The Company will operate these properties under its customer-facing hospitality brand, LuxUrban. The opening of the Lafayette Hotel powered by LuxUrban and The Washington powered by LuxUrban will bring to 12 the total number of active hotel properties in CHG’s portfolio.
The Lafayette, an historic 60-unit boutique hotel and CHG’s first property in New Orleans, is located on the fashionable St. Charles Avenue Streetcar Line, within the heart of the Historical Arts and Warehouse Districts in the Central Business District. The Lafayette is a short stroll from some of the city’s most popular attractions, including the French Quarter, Bourbon Street, and the Superdome.
The Washington is a premier, 217-unit luxury hotel located in downtown Manhattan and is CHG’s fourth property in New York City. The hotel includes beautifully appointed rooms, a state-of-the-art fitness center, outdoor terrace, and rooftop that offers panoramic vistas of the New York City skyline.
“These newest properties reflect our commitment to scaling the business by entering new markets and building density in existing markets,” said Brian Ferdinand, Chairman and Chief Executive Officer of CorpHousing Group. “The Lafayette and the Washington, each powered by LuxUrban, will contribute meaningful revenue beginning in the current fourth quarter of 2022, with the added scale provided by these properties also supporting our long-term revenue and margin objectives. We look forward to welcoming our Guests and providing them with the high quality service that is the hallmark of our brand.”
CorpHousing Group Inc.
CorpHousing Group (CHG) utilizes a long-term lease, asset-light business model to acquire and manage a growing portfolio of short-term rental properties in major metropolitan cities. The Company’s future growth focuses primarily on seeking to create “win-win” opportunities for owners of dislocated hotels, including those impacted by COVID-19 travel restrictions, while providing CHG favorable operating margins. CHG operates these properties in a cost-effective manner by leveraging technology to identify, acquire, manage, and market them globally to business and vacation travelers through dozens of third-party sales and distribution channels, and the Company’s own online portal. Guests at the Company’s properties are provided high quality service under CHG’s consumer brand, LuxUrban.
Forward Looking Statements
This press release contains forward-looking statements, including with respect to the expected closing of noted lease transactions and continued closing on additional leases for properties in the Company’s pipeline, as well the Company’s anticipated ability to commercialize efficiently and profitably the properties it leases and will lease in the future. These forward-looking statements are subject to a number of risks, uncertainties and assumptions, including those set forth under the caption “Risk Factors” in the prospectus forming part of the Company’s effective Registration Statement on Form S-1 (File No. 333-262114). Generally, such forward-looking information or forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or may contain statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "will continue", "will occur" or "will be achieved". Forward-looking information may relate to anticipated events or results including, but not limited to business strategy, leasing terms, high-level occupancy rates, and sales and growth plans. The financial projection provided herein are based on certain assumptions and existing and anticipated market, travel and public health conditions, all of which may change. The forward-looking information and forward-looking statements contained in this press release are made as of the date of this press release, and the Company does not undertake to update any forward-looking information and/or forward-looking statements that are contained or referenced herein, except in accordance with applicable securities laws.