Staying at a Brand-New Hotel: Pros and Cons 

After the COVID-19 pandemic, hotel chains are opening new properties (or converting existing hotels) daily. They’ve ranged from the budget-friendly to the ultraluxe and span the globe. For instance, in the fourth quarter of 2023 alone, Hilton Honors opened more than 130 hotels and added 24,000 rooms to its portfolio worldwide.

As a budget traveler, I’m always looking for ways to save money on potentially pricey hotel stays. I’ve balanced my need for comfort (and luxury) while remaining budget-friendly by staying at new hotels. 

I stayed at the JW Marriott St. Maarten Beach Resort & Spa in May, which had been converted from a Westin the month before. While my experience was mixed, it didn’t discourage me from my practice. In fact, I chose this hotel because it was new — despite the reviews — and because of its low price.

Here are 2 pros and 2 cons of staying at a brand-new hotel (whether it’s new construction or a conversion) and how to maximize your stay.

The Pros of Staying at a New Hotel

As with many things, booking a stay at a brand-new hotel has many pros. Let’s take a look at a few.

Cheaper Rates and Perks

The best perk of staying at a new hotel is, ostensibly, very cheap rates. I experienced this during my JW Marriott St. Maarten Beach Resort & Spa stay, where I paid under $300 nightly. In contrast, the only other points hotel on the island of St. Martin offered rates starting at $600 per night.

Many new hotels run generous promotions during the first months after opening to drum up interest and support for the property. Higher-end hotels, like the Four Seasons, Kimpton, and Six Senses brands — none of which regularly offer particularly low prices — are well-known for this. 

For instance, the recently opened Kimpton Virgilio in Mexico City ran a 15% off nightly rates promotion. With standard rates starting around $300, a 15% savings dropped nightly prices to around $250. The hotel also offered double points for IHG One Rewards members. IHG fans can also save 15% on reward nights at new properties.

Six Senses La Sagesse in Grenada, which opened earlier this year to much fanfare, is running a similar promotion. The resort is offering 20% off the best flexible rate. (The promotion is ongoing as of August 20, 2024). It’s a great deal for a resort where the average nightly price can top $600. The resort also offers a slew of credits and other benefits, including complimentary daily breakfast, airport transfers, and credit that can be used for spa treatments, the wellness program, or dining. As with any hotel in the Caribbean, these services aren’t cheap. For instance, spa services like massages can cost around $200 alone. The generous credits and benefits can save you hundreds of dollars on your reservation.

Bottom Line:

Other hotels offer smaller but no less important benefits, such as free parking, a welcome drink, or bonus points. If you want to keep costs low, staying at a new hotel over a more established one may make sense.

Upgrade Possibilities

I have midtier elite status with most major hotel chains, including Hilton Honors Gold, Marriott Bonvoy Gold Elite, World of Hyatt Explorist, and IHG One Rewards Platinum Elite. That means upgrades are sporadic, especially at established hotels or resorts. 

I enjoy brand-new resorts because I’ve typically had no issues getting an upgrade cleared. I suspect it’s due to a lack of other higher-tier elites. Many elite members seem to avoid new hotels and prefer staying at more established hotels. Thus, midtier elites like myself receive benefits usually reserved for top-tier status holders.

Even when a hotel opens to much fanfare, it can still take a long time to fill its rooms. A 2019 study by the hotel industry data analysis group Smith Travel Research found that it takes new hotels nearly a year and a half to achieve 100% RevPAR (revenue per available room).

The period between a hotel’s opening and achieving 100% RevPAR is an excellent time to score upgrades, especially at luxury hotels. 

This has been my experience at several hotels worldwide, from the JW Marriott St. Maarten Beach Resort & Spa (where my standard room was upgraded to one with a view) to the Thompson Washington D.C. (where I frequently stayed when it opened in 2020). In some cases, I’ve had upgrades clear shortly after booking or, in one case, while in transit.

The Cons of Staying at a New Hotel

While there are plenty of pros to consider when staying at a new hotel, there are several downsides. Before hitting the “book” button on that brand-new hotel, here are a few things to consider.

Delays and Construction

One major downside of staying at new or converted hotels is the likelihood of construction issues. I’ve stayed at numerous hotels and resorts where the power intermittently went out, the hot water ran cold, or the air conditioner simply didn’t work. These are factors to keep in mind before booking, especially if you plan to spend a significant amount of time in the room or around the property.

Delays are another problem, and that’s true for budget and luxury hotels alike, especially after the pandemic. Supply-chain issues, construction delays, financing issues, and more can lead to delays. For instance, the Park Hyatt Johannesburg — the brand’s debut in South Africa — is finally opening this fall after a 2-year delay. The NoMad in London — another much-awaited hotel — finally opened in 2021 after being delayed because of the pandemic.

Service

Opening a new hotel will involve plenty of growing pains, and that’s true at both midtier and luxury hotels. In some cases, the service isn’t what you’d expect, even if you’re at a 5-star resort.

This was a notable downside to my stay at the JW Marriott St. Maarten Beach Resort & Spa. Even at a hotel with the JW Marriott brand recognition, the service wasn’t what it should have been. This was evident in relatively simple tasks, like towel service or drinks, taking longer than they would at an established hotel.

Many properties have a soft opening, during which the staff acclimates to the busy pace of hotel operation. This can last anywhere from 1 to 3 months, and oftentimes, the hotel won’t inform guests that it is in the midst of a soft opening. If you’re planning a stay at a new hotel, you should expect to encounter kinks for the first few months after opening.

Tips for Staying at a New Hotel

Now that I’ve outlined the pros and cons of staying at a new hotel, you’re probably wondering how to maximize your stay. Here are some of my tips — many of which I’ve used during my travels — for staying at a brand-new hotel.

Always Book With a Credit Card

This should go without saying, but you should always book travel with a credit rather than a debit card.

You’re likely familiar with many benefits of using a travel card for hotels, like welcome bonuses, bonus points, elite status, and free night certificates. Booking with a credit card offers some measure of assurance that booking with a debit card or paying cash won’t offer. Whether you’re booking a stay at a brand-new hotel or a hotel with a storied history, make sure to reserve your room with one of the best credit cards for hotels.

Book Refundable Rooms

Should your travel plans change — or the hotel’s — make sure to book a fully refundable rate. This ensures that you get your money back in a timely manner.

Pay close attention to the exact room rate you select during the booking process. Keep in mind that the cheapest rates usually come with the most draconian change and cancellation policies. Even if it means spending a few dollars extra per night, booking that refundable rate will save you more headaches should your trip not go as planned.

Don’t Use Travel Credits

Now, hear me out. I’m a big fan of travel credits — many major credit cards, such as the Capital One Venture X Rewards Credit Card, offer sizable credits that can decrease or entirely wipe out the cost of a hotel room. (For instance, I recently used my $300 Capital One Travel credit in St. Barts, which lowered the overall room rate.)

But given how iffy brand-new hotels can be, I wouldn’t use a travel credit. Instead, I’d use a travel credit on a hotel (or flight) with an existing reputation where you can be assured you’re getting your money’s worth.

That isn’t to say you shouldn’t take advantage of an Amex Offer or Chase Offer should you find one, but I’d keep the high-value hotel statement credits for actual luxe stays.

Book Direct

I’m a big fan of online travel agencies (OTAs), like Expedia, Hotels.com, and Priceline. They can offer great value on hotels, especially at the last minute.

But the problem with booking through an OTA is that you have few protections should your trip go awry. Generally, when you book directly with a hotel chain, you can reach out to that chain’s customer service to change or cancel your trip or request a refund or bonus points if needed. When booking with an OTA, you must go through them for a refund, which can be a nightmare.

Additionally, If you’re loyal to a particular hotel group or have elite status from a hotel credit card, I recommend booking directly with the hotel to earn hotel rewards points and boost your elite status. Travel booked through OTAs generally doesn’t earn bonus points or night credits.

Take Reviews With a Grain of Salt

As I mentioned earlier, I read the reviews of the JW Marriott St. Maarten Beach Resort & Spa extensively before my trip. I pored over the good, the bad, and the ugly — and the truth was somewhere down the middle. In my experience, some of the issues noted in the reviews had already been resolved before my arrival, while some of the problems I encountered hadn’t even made it into a review.

Reviews are subjective; 1 bad review doesn’t mean the entire property should be written off. Instead, I would pay attention to specific themes in the reviews. One bad review about the service may be an anomaly, but several (especially over an extended period) may demonstrate a pattern.

I like to use Google Reviews’ highlight feature to search for similarities in reviews. For instance, in the example below, you’ll see that the most favorable reviews of this particular resort mention the pool, bar, and wellness amenities.

You can use the tool to search for negative trends as well. But ultimately, you should use reviews as a helpful guide. They shouldn’t be the only factor in your decision to stay or not to stay at a new hotel.

Pack Your Patience

This phrase is often used when dealing with airline delays, but I think it applies here. As with any opening, whether a new hotel or restaurant, things are bound to go wrong.

Some of your complaints (as I found with the JW Marriott St. Maarten Beach Resort & Spa) are issues only management — and not low-level staffers — can resolve. Even if you feel frustrated, remember that employees (particularly forward-facing employees) are doing their best to ensure you have a good stay and that any issues you have are taken care of professionally.

Final Thoughts

New hotels certainly have pros and cons, and frequent travelers either love or avoid them altogether. While any new hotel will have some kinks to iron out, the low costs, perks, and upgrade possibilities of booking a new hotel can’t be overlooked.

I hope this guide was helpful as you book your next stay at a new hotel!