Nightlife Options Awaken Amid Hotel Boom

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The New York Sun

When developer Benjamin Soleimani builds his seven-story boutique hotel on the corner of Bond and Lafayette streets, he plans to pack it with a restaurant, a spa, a lounge, and a swimming pool on the roof with its own bar. On top of the 86 hotel rooms — which will go for between $450 and $1,500 a night — he is including a 5,000-square-foot area to rent out for parties.

“The hotel will be very cool, like the Gansevoort Hotel in the meatpacking district,” Mr. Soleimani, who is also the owner of Hotel 41 in Times Square, said.

Hotels have long been home to destination bars and restaurants that draw crowds, but as land prices increase in the city, and liquor licenses are ever harder to come by, more hotel developers are filling their buildings from the ground floor to the roof with nightlife options. This is especially true now, with the city in the midst of a hotel building boom in which as many as 33 hotels are under construction and 63 more are in the planning stages, according to the Real Estate Board of New York.

“Before, it was basically an amenity,” nightlife impresario Steven Kamali said. “Now it’s becoming like London. The social scene is gravitating toward hotel restaurants, bars, and lounges.”

Take the Gramercy Park Hotel, which is host to the highly sought-after Rose and Jade bars, and Wakiya, a restaurant managed by Nobu.

“It is playing a bigger role as part of the revenues for everybody,” Mr. Kamali said.

This makes sense in a city where land is selling for between $400 and $600 a square foot. “It becomes hard to justify opening a mid-scale hotel,” the principal and head of Cushman & Wakefield’s U.S. Hotel Group, Mark Gordon, said. “Developers need to be creative. … It’s the natural evolution of the boutique hotel business.”

Another hotel perk is that it usually has a better shot at getting a liquor license, experts said. This is particularly important with increasing numbers of community boards limiting the issuance of these licenses.

On Bond Street, the community board has made it clear that it is unwilling to grant additional liquor licenses. A two-floor restaurant, Superior, had its liquor license application rejected last month. It remains to be seen whether Mr. Soleimani will be able to get a license for his new hotel, the Bond NoHo Hotel.

“It’s a new trend among the nightlife industry, where hotels are becoming the entertainment palaces,” the president of the NoHo Neighborhood Association, Zella Jones, said. “There is less emphasis on staying overnight.” This worries some community activists. “If it becomes a night party palace, we’re going to be angry,” Ms. Jones said about the Bond NoHo.

A lawyer for the New York Nightlife Association, Robert Bookman, said getting a liquor license for a hotel is just as difficult as for any other property, but with dozens popping up across town, the prevalence of hotel nightlife is unavoidable.

Still, he said he is often the bearer of bad news to developers.

“A lot of times they plan things without sitting down with their liquor attorneys,” Mr. Bookman said.

Hoteliers are downplaying the impact of nightlife amenities, claiming their projects would be geared toward overnight customers and would not have as dramatic an impact on noise and disruptive behavior as a street-level bar. Developer Michael Pomeranc, who is nearing completion of his Thompson LES, a 17-story hotel rising on Allen Street on the Lower East Side, said the project, which will include a bar and restaurant in the lobby, a hospitality suite, and event space on multiple floors, will not interrupt the community.

“Since this will predominantly cater to people staying in the hotel, it will keep a serene atmosphere in the neighborhood,” he said. The project, with which Mr. Pomeranc is aiming to draw “Hollywood types, celebrities, and VIPs,” will also have 142 guest rooms and a swimming pool.

Mr. Pomeranc’s Thompson Hotels Group opened one of the first boutique hotels to include several nightlife amenities. The hotel, 60 Thompson Street, opened in 2001 with a restaurant, a second-floor bar, and a rooftop lounge.

“Even Schrager didn’t think that it was feasible to have all these different venues under one roof,” Mr. Pomeranc said, referring to hotelier Ian Schrager. “It has had a big impact on our buildings.”

Whereas in previous years hotel developers were less apt to take the risk of opening a new restaurant in a less desirable neighborhood, they are now considering any part of the city a potential nightlife destination.

“There is no longer a bad location at all in New York,” Mr. Gordon said. “More travelers and residents are getting comfortable in sort of nontraditional locations.”


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