NEW YORK— With a tattered economy keeping business travelers at their desks, high-end hotels are wheeling and dealing, particularly in major cities such as New York, San Francisco and Chicago. In New York, a flurry of new boutique hotels, coupled with the sagging stock market, has sent shock waves through Manhattans hotel industry, says Mark OBrien of Quikbook, a hotel booking service provider. OBrien says average rates are 15% to 20% less than last summer, and he expects high-end bargains to continue well past Labor Day, the normal start of the citys peak fall season. As to tarnish their images, many luxury hotels are avoiding discounts in favor of such value-added perks as room upgrades, spa treatments and buy one night, get another free deals. However, opaque sites, such as Priceline.com, have seen luxury hotel rates drop significantly to lure more guests. According to USA Today, rates have even dropped down below the $50 level at some city center, high-end hotels. (7/13/01) SOURCE: USA Today
