Hilton Enters Convention Center Management Biz

After being involved with 2,300 hotels around the world over the last 86 years, Hilton Hotels is ready to try its hand at convention center management — starting in Branson, Mo.

The hotel chain in recent months has agreed to manage three adjacent properties under construction on a lakefront in southwestern Missouri: the Branson Convention Center, Branson Hilton Convention Center Hotel and Hilton Promenade at Branson Landing. The agreement marks the first convention center for Branson and Hilton's first venture into the market.

The three properties will be a part of a $420 million Branson Landing mixed-use project, which spans 1 1/2 miles of waterfront on Lake Taneycomo near downtown Branson.

Hilton signed a contract with the city of Branson and HCW Development, owners of the convention center and hotels, respectively, to manage the venues for at least the next 10 years.

Jerry Adams, public information director for the city of Branson, said he was interested in hiring a reputable management firm to provide convention and meeting planners with "a seamless reservation point" through its operation of the three properties. "They could talk to one person and get their hotel rooms and meeting space. It will be very advantageous."

He added, "We are very pleased to have Hilton, because of their international reputation."

Tim Benolken, vice president for the Midwest region of Chicago-based Hilton, said the hotel chain was eager to test the "one-stop shop" model. The city of Branson, he said, is "the right size" for it.

Benolken said the convention center management aspect wasn't tough to sell to Hilton's top executives. However, he added, "It was fairly consistently reminded to me that this is something that we don't normally do. Senior management was appropriately concerned."

Ken Smith, Dallas-based senior vice president for Hilton operations in the central United States, called Hilton's efforts in Branson "an amazing project." He added, "They are really transforming Branson as a destination."

As to whether Hilton will duplicate the model in other cities, Benolken said the company would wait and see how its Branson efforts fare.

Groundbreaking for the convention center and headquarters hotel took place Oct. 25.

The center is designed to occupy 220,000 square feet, including a 50,000 sq. ft. exhibit hall, a 25,000 sq. ft. ballroom and 15,000 sq. ft. of meeting space. The 12-story Hilton Convention Center Hotel will feature 290 rooms (191 rooms and suites, and 99 condominiums that qualify for nightly rental use). The plans also include five boardroom-style meeting rooms. The Hilton Promenade will feature 242 rooms and 2,000 sq. ft. of meeting space.

The Branson Landing development is scheduled to open in May, the Hilton Promenade in July. Both the convention center and convention center hotel are expected to open in the summer of 2007.

Mark Hartman was hired as general manager of the Hiltons of Branson, the three-property management firm.

"(We'll) try to drive income that will influence the community, as opposed to just creating revenue," he said. "Our goal is to hopefully impact not only the community, but the hotel community as well."

Branson currently has more than 225 hotels with 17,000 rooms. The city annually attracts 7.5 million visitors. Benolken said he expects the Branson Landing development alone to drive an additional 2.5 million to 3 million visitors to the city each year.

The Hiltons of Branson is focused on booking regional shows for the convention center, Hartman noted. So far, it has confirmed four contracts for the venue, including the Branson Collector Car Auction (which features a consumer show) in October 2007, April 2008 and October 2008.

An existing Branson property, Chateau on the Lake Resort Spa & Convention Center, offers 71,010 sq. ft. of meeting space in one ballroom and 15 meeting rooms.