Elegant Survilvors

Abstract

An examination of hotels in and around Portland, Oregon, demonstrates the advantages and challenges of rehabilitating historic properties. Advantages include the fact that the building is already standing and many community people support the idea of restoring existing properties. Modern-day building codes and operating standards make restoration a challenge, however, since rooms are usually smaller than standard size and bathrooms are scarce and small. Many historic buildings lack the flexibility necessary to allow structural changes as guests' needs change. Solutions include buying or leasing existing adjacent buildings, constructing additions, or combining small rooms to create guest suites and other facilities. Many travelers have grown tired of predictably anonymous hotel accommodations and a limited number of guests will put up with the inefficiencies of old buildings in their quest for the serendipity of historic hotels. Another concern is the possibility that tax incentives will evaporate (they have already been reduced). The economics of much historic renovation depends at least in part on protecting the property from escalating property taxes. Nevertheless, a developer who reclaims a historic property will probably benefit from operating in a unique market niche.