San Diego Vacation Rental Market 2010 Expectations

GaslampVacations.com Anticipates Increased Success for Upcoming 2010 San Diego Travel Season August 2009 – Despite the growing challenges facing the San Diego travel and tourism market, Gaslamp Vacations expects solid results for the 2010 season. With projected increases in convention traffic for 2010, the downtown travel industry should notice the increase from 2009 more so than beach properties which usually attract pleasure vacationers.

Although an increase in traffic is expected, the industry is still recovering from low numbers in 2009 and relatively low demand that allowed guests to book accommodations at drastically reduced prices through special rate offers. These low tourist numbers have led even major operators in the travel industry to close their doors or sacrifice quality of service. Sunstone Hotel Investors, Inc. which operates upper-scale nationally recognized brands recently announced it will default on the mortgage for its “W Hotel in San Diego” property. Similarly, in response to low tourist traffic, 4 star hotels in the San Diego are offering a standard $219-per-night rate on a sliding scale of deprivation – lowering charges with each amenity that is stripped from the room. For example, the most basic version consists of a room for $19 per-night with no bed, no toilet paper, no towels, no air conditioning or “honor bar”, containing only a single light bulb in the bathroom for safety. This is all primarily due to the 10% decrease in occupancy rates seen in the San Diego area.

While Gaslamp Vacations has felt the decrease in demand as well, it still offers its guests value-based accommodations without sacrificing quality and comfort. Both GaslampVacations.com and GaslampRenter.com specialize in real-time reservations and bookings for the San Diego area; guests can search and book only available units. GaslampVactions.com currently serves a growing inventory of vacation rental units with the downtown San Diego area as well as the coastal regions of San Diego County. Vacation rentals still offer a value-based option, without sacrificing quality. Private vacation rental homes can still be outfitted with all of the frills (pools, spas, and fitness rooms) while still allowing for an in-expe nsive getaway and convenient booking online.

Matt Doerner-Miller, principle of Vacation-Renter, Inc. comments on the effects the tourist industry downturn has had on its San Diego market partners, GaslampVacations.com and GaslampRenter.com : “The last year and a half has presented some very real challenges with regards to our San Diego vacation rental market. The hotel managers and private vacation rental owners we conduct business with were falling severely short of their average year over year earning projections. Consequently, like nearly every other business in the United States, year-end profit speculation was thrown out the window. One major reason for this drastic reduction in vacation rental and hotel bookings was predicated on the fact that convention traffic slowed to a virtual standstill. And, while weekend tourism was relatively strong, room price points were set so low that profits were less than previous years. That said, we have seen that reservations have picked up tremendously for the approaching 2010 convention season, a good sign of the vacation rental industry beginning to stabilize. Gaslamp Vacations expected results for the 2010 season are further increased as it is continuing to offer discounts on its vacation rentals to entice the pleasure traveler.

The combination of increased convention traffic as well as leisure travelers numbers make for improved projections in 2010 for our clients”. While the San Diego travel market still continues to struggle, positive signs are beginning to emerge for both the downtown and beach vacation rental markets. Many are hoping that these are indications that San Diego is beginning to re-assert itself as a premier destination within the United States.