Blog: From Bedrooms to Experiences: The Future of Hotels from AHC 2027
Following his visit to the Annual Hospitality Conference (AHC 2027) earlier this week, Colin Briggs-Campbell, director at Bowman Riley reflects on the learnings from the conference in his latest blog.
The hotel sector is changing. Guests are no longer simply looking for somewhere to sleep – they’re looking for experiences, flexibility and something memorable.
That was one of the key themes I took away from this year’s AHC 2027 conference. From the way hotels use their spaces to the brands they partner with, the industry is rethinking what a hotel can and should offer.
There is also a growing focus on making better use of existing buildings. With around 90% of planned new hotel bedrooms expected to come through the conversion of existing building stock, rather than new-build hotels, there is a significant opportunity to bring under-utilised spaces back to life as part of the next generation of hotel accommodation.
For operators, this isn’t simply about adding more bedrooms. It’s about creating destinations that give people a reason to stay, return and recommend them – whether that’s through design, food and drink, wellness, community or simply a more distinctive guest experience.
Why offices make attractive hotels
It’s not difficult to see the appeal.
Large, open-plan floorplates can provide a strong starting point for hotel layouts, while existing buildings in established city-centre locations give operators access to the places where their customers already want to be.
There can also be significant savings compared with starting from scratch.
At the same time, the shift towards hybrid and flexible working means many organisations are reassessing how much office space they actually need. For large councils, institutions and businesses, parts of their estates can be significantly under-utilised, while the cost of heating, maintaining and managing those buildings continues.
That creates an interesting opportunity for owners and hotel operators to work together to give buildings a new lease of life.
And we’re already seeing conversations between building owners and both international and boutique hotel brands about exactly this.
Think beyond the bedroom
One of the other interesting discussions at AHC 2027 was about how hotels can make better use of the space they already have.
The traditional hotel model is changing. It’s no longer simply about bedrooms, a reception desk and a restaurant downstairs.
Take the hotel lobby.
One operator talked about transforming an underwhelming reception area by bringing in an independent coffee shop to occupy part of the space. Instead of giving away coffee as an additional hotel service, the operator created a new revenue stream, while the customer gets a better experience.
It’s a simple idea, but it demonstrates a wider point: hotel spaces need to work harder.
We’re also seeing operators looking beyond the main building, with shepherd huts, treehouses and other forms of accommodation being introduced within hotel grounds to expand the offer without necessarily expanding the main building.
The hotel is becoming more flexible
Food and beverage is another area where the traditional model is being challenged.
There appears to be decreasing appetite for hotels to operate large, dedicated F&B spaces purely for their own guests. The trend towards separating food and beverage from the core hotel brand is already evident, with operators exploring more flexible approaches.
A breakfast room, for example, doesn’t need to sit empty for the rest of the day.
Could it become a workspace? A community venue? Somewhere for local groups or events?
In destination locations, there is also an opportunity for independent restaurants, wellness operators and lifestyle brands to work alongside hotels, creating a broader experience that benefits both businesses.
That feels particularly relevant as customers increasingly look for experiences rather than simply somewhere to sleep.
The staycation opportunity
There was certainly some challenging data discussed at the conference, including concerns around UK consumer confidence and wellbeing.
But I came away feeling there is still a significant opportunity for the UK hotel market.
Staycations remain an important part of the travel landscape and are arguably less exposed to some of the international uncertainties affecting overseas travel.
The opportunity is to raise the bar in terms of the quality, character and range of accommodation available in the UK.
Customers are taking longer to choose where they stay, with third-party booking platforms playing an increasingly important role in influencing those decisions.
That means hotels need to offer something memorable.
Good design, location and the experience of the building itself all have a role to play.
So, what does this mean for office owners?
For landlords sitting on under-utilised office buildings, this is a market worth watching.
Not every office will make a good hotel. Planning, building regulations, servicing, daylight, fire safety, structure and the practicalities of creating viable bedroom layouts all need careful consideration.
But where the fundamentals stack up, hotel conversion could provide a compelling alternative to residential conversion or continued office use.
Location will remain critical.
London continues to dominate, with cities such as Edinburgh, Oxford and Cambridge also attracting strong interest. Elsewhere, tighter margins and slower planning processes mean the market can be more challenging, but there is still appetite – particularly from smaller and emerging hotel brands looking to expand their portfolios.
For me, the biggest takeaway from AHC 2027 was that the hotel sector isn’t simply looking for more buildings.
It’s looking for opportunities to make better use of the buildings we already have
And with so much commercial space facing an uncertain future, that could create some very interesting opportunities for landlords, developers and hotel operators alike.