Wyndham Hotels & Resorts recently announced the launch of its 25th brand, WaterWalk Extended Stay by Wyndham. This new brand allows owners to sell a mix of rooms, with 60% marketed as extended-stay hotel rooms and 40% marketed as short-term rentals. WaterWalk was originally created in 2014 as a hybrid hotel and apartment brand in Wichita, offering one-, two-, and three-bedroom units that can be furnished or unfurnished upon rental. The brand has partnerships with various development groups and recently received a significant investment stake from a global investment management firm.
For Wyndham, the WaterWalk deal represents a strategic expansion beyond its existing extended-stay offerings. The company also launched ECHO Suites in 2022, with 265 new-construction hotels in the development pipeline, and has seen growth in its Hawthorn brand, which is considered a midscale brand. WaterWalk, being an upscale brand in the extended-stay space, offers amenities such as washers and dryers, full-sized appliances, granite countertops, and fully equipped gyms in each complex. The brand may have an opportunity to convert older properties into new WaterWalk locations or focus on new construction.
WaterWalk’s latest template includes shared common spaces with espresso-making machines, wall-mounted games, and outdoor areas with gas grills, fire pits, and sometimes enclosed swimming pools. Guests staying 90 days or more have the option to rent an unfurnished room, providing flexibility for long-term stays. The brand’s focus on extended-stay offerings sets it apart from traditional hotel brands and short-term rental options. Overall, the brand aims to provide a unique and upscale experience for guests looking for extended-stay accommodations.
The Accommodations Sector Stock Index tracks the performance of hotels and short-term rental sector stocks within the ST200. The index includes publicly traded companies across global markets, such as international and regional hotel brands, hotel REITs, hotel management companies, alternative accommodations, and timeshares. The ST200 combines the financial performance of nearly 200 travel companies worth more than a trillion dollars into a single number, providing insight into the overall health and performance of the accommodations sector. Investors and industry analysts can use this index to track trends and make informed decisions about investments in the sector.
Overall, the introduction of WaterWalk Extended Stay by Wyndham represents a new direction for the company in the extended-stay space. With its focus on upscale amenities and unique offerings, the brand aims to provide a high-quality experience for guests seeking long-term accommodations. The strategic expansion beyond existing brands showcases Wyndham’s commitment to diversifying its portfolio and meeting the evolving needs of travelers. As the brand continues to grow and develop, it will be interesting to see how it competes in the extended-stay market and attracts guests looking for a distinctive and comfortable stay experience.
