|
|
kVc Development, Inc. & STERLING HOSPITALITY
MANAGEMENT, LLC
An Overview
kVc Development, Inc. and Sterling Hospitality
Management combine to offer comprehensive hotel development and management
services in the limited service sector of the lodging industry. The principals of kVc and Sterling collectively
possess 35 years of experience in development, management and ownership of
budget and limited service lodging properties. The Companies focus exclusively on the lodging industry in the
western United States. Given that the
principals hold a number of properties in their own portfolio, the
development and management philosophy is shaped from an owner’s perspective,
which is critical in achieving the balance in revenue maximization, cost
control, and guest satisfaction. History
kVc Development was formed prior to the death
of Vern Clausen, the father of Kent, Cal, and Clay. The Big “V” in kVc represents Vern, while the k and c represent
Kent, Cal, and Clay. Vern Clausen started
in the motel business in 1977 when he constructed a Super 8 Motel in
Missoula, Montana. Not only was it
Vern’s first motel venture, it was also the first Super 8 in Montana. Over the next twelve years, Vern and two
other individuals developed and operated motels in Kalispell, Wenatchee, Spokane, Salt Lake City,
Albuquerque, Las Vegas and Nogales, Arizona.
In total, they built ten motels, all but one being Super 8’s. Four of these Super 8’s, (three in
Albuquerque and one in Las Vegas) are still owned by the group; the others have been sold. The Las Vegas Super 8 is 300 rooms, making
it the largest Super 8 in the chain of 1,300 motels. In 1991, kVc obtained an option to purchase the
property in Spokane that is commonly referred to as the “Rock”. The property was to be the first
development by kVc. Several factors
contributed to a long and difficult development process on the property: 1) financing for motels was almost
non-existent in the early 1990’s; 2)
the geologic makeup of the site posed unique development circumstances, and
3) last but not least, Vern Clausen was battling what turned out to be fatal
lung cancer. Even though Vern was
suggesting the option agreement on the property be terminated, no less than
33 lenders had turned down our financing request, and certain prominent
businessmen in Spokane were opposing our development, we were able to
persevere and complete the project in 1994. In 1996, kVc completed construction on Holiday Inn
Express Hotels in Layton, Spokane, and Wenatchee. In 1998 construction was completed on the Scottsdale Quality
Suites and the Layton Hampton Inn.
Also in 1998, the Spokane Quality Inn was purchased. Presently the seven properties operated by
Sterling Hospitality comprise 810 guest rooms, 250 employees, and have annual
revenues of approximately $16,000,000.
Two additional hotels – one a Holiday Inn Express Hotel & Suites
and one a Hampton Inn & Suites were completed in 2001 in Henderson, Nevada,
adding 200 guest rooms and approximately 60 employees to the Sterling
portfolio. Much of kVc’s and Sterling’s business philosophy
stems from its roots in the budget Motel industry as well as Kent’s, Cal’s,
and Clay’s involvement with their father.
A “hands on” approach was patterned by Vern and is carried forward
today. Vern, while not overly
sophisticated in his business dealings, was very people oriented, exhibiting
sincere compassion for his employees and customers. kVc and Sterling emulate this style, as it has been and
continues to be, a very successful and “fun” operational style. The hands on style is exhibited by the
fact that Clay, Cal and Kent personally design all buildings, select all
furniture and fixtures, perform construction supervision, oversee and
participate in FF&E installation, hire good managers, head housekeepers,
sales directors, and otherwise spend significant amounts of time at the
properties. kVc and Sterling have intentionally paced
their growth so as to allow time to
instill this hands on approach to their key employees. Additional growth shall not compromise the
operations of existing facilities. MANAGEMENT AND DEVELOPMENT EXPERIENCE Previous
Developments: Over the past 19 years the members of kVc Development have been involved in the development, ownership, and management of the following limited service lodging properties |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
Montana |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
New Mexico |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
Utah |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
Arizona |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
Nevada |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
The above noted properties have been extremely successful, outperforming both competing motels and industry standards. (1) Original
property was 122 rooms, a 68 room addition was completed in 1984 (2)
Original property was 62 rooms1 a 40 room addition was completed
in 1979. (3)
Original property was 120 rooms, a 78 room addition was completed in 1988. (4) A 48
room addition was completed in 1994. Sterling Hospitality
Management Property Awards BEST HOLIDAY INN EXPRESS WORLDWIDE Presented by Bass Hotels,
Holiday Inn Worldwide The
most prestigious award presented by Bass Hotels, Sterling Hospitality was very proud when this award was
presented to our Holiday Inn Express,
Spokane Valley, for the Year 2000. Torchbearer – Presented by Bass Hotels;
Holiday Inn Worldwide
Must obtain top scores in inspections,
market penetration and guest service
surveys. The Area Field Manager must nominate
the property. Only one property is chosen in each
Region. §
1999 – Holiday Inn Express –
Spokane Valley, WA §
1998 - Holiday Inn Express – Spokane Valley, WA §
1996 - Holiday Inn Express – Downtown Spokane, WA §
1995 - Holiday Inn Express – Downtown Spokane, WA QUALITY EXCELLENCE
Awarded by Bass Hotels; based on inspections and guest service
scores. Must obtain at least 945
points out
of a possible 1000 in order to qualify. q 1999 – Holiday Inn Express – Layton, UT q 1999 – Holiday Inn Express – Wenatchee, WA q 1998 – Holiday Inn Express – Spokane Valley, wA q 1998 – Holiday Inn Express – Wenatchee, WA q 1997 – Holiday Inn Express – Downtown Spokane, WA GOLD
AWARD – Awarded To only 2% of all
Choice Properties Worldwide Based
on inspection of property and a rigorous series of test calls in which the
hotel must receive a 100% score. v 2000 - Quality Suites
- Scottsdale, AZ v 1999 – Quality Suites – Scottsdale, AZ NEWCOMER OF THE YEAR
Awarded
by Bass Hotels to only one hotel in each region. This award is given for superior design and interior finish, combined with excellent inspection scores and guest
satisfaction ratings. §
1997 – Holiday Inn Express – Spokane
Valley, WA §
1994 – Holiday Inn Express – Downtown
Spokane, WA Breakfast Bar
Employee of the Year – Presented by Bass Hotels to only one property in the
chain; this award is given for the most attractive, consistently appealing
breakfast bar.
v 1998 – Holiday Inn Express – Spokane Valley, WA
|
||||||||||||||||||
|
|
|
||||||||||||||||||
|
|
|
