- May 22, 2008
- Reaction score
The room is not sold until the reservation is set. That could be next week or 2 years from now during peak rate season. By then the rates could have increased 2 times plus it being peak vis off peak rates.JBJ stated: "If the rates go up, does it matter? He bought the room at the current rate."
Sorry I disagree with this statement...They purchased a GC for X price which WAS the current 'off peak' price of the "Red Room". The room is not sold until the reservation is set. That could be next week or 2 years from now during peak rate season. By then the rates could have increased 2 times plus it being peak vis off peak rates.
Another reason I disagree is if the property is sold prior to the GC use. If the GC is for 'the Red Room", then the current value of that room (ave. price) would be subtracted from the property sale. If I had a good number of outstanding GC's when I sold, I sure would not want to fork over any more money than what I had received for them in the first place.
JBJ - on another note: You mentioned service problems. I could not agree more!!! This is another area which B&B's surpass our many competitors in the hotel industry! SERVICE - A #1 (can't remember what company used that as a slogan?).
Very true. Case in point. I sold a GC as a wedding gift from the bride's co-workers when we were 3 w/shared and the rate was $75 + tax. When it was finally used the room had a private bath and the rate was $125 + tax. (I was happy to get it off the books, had met the couple at another function and URGED them to come use it (it had been lost in a fire but I knew it was there)) and they did come off-season.