Boutique hotel operator Firmdale sees revenue reach record high

Firmdale Holdings, a privately owned operator of boutique hotels in London and New York, saw revenue jump to a record high in the year to the end of January 2012.

The company has reported a 7.1 per cent increase in group revenues to a total of £74.4 million in the 12 months to January 31st, more than in any other year in the group's history.

Firmdale operates seven hotels in London, including the recently opened 38-bedroom Dorset Square Hotel.

It also operates one hotel in New York – the Crosby Street Hotel in the city's vibrant SoHo area.

Firmdale reported that the average room rate at its London hotels, excluding the Dorset Square Hotel, increased four per cent to £312 during the year, with an occupancy rate of 89 per cent.

As the Daily Telegraph reports, this means the company has significantly outperformed the market, with data from consultancy firm TRI Hospitality recently revealing that in the year to the end of January 2012 average occupancy in hotels across London stood at  81.7 per cent, with a room rate of £131.44 per night.

The company puts its success during a time of economic instability down to a strategy of targeting high net-worth clientele.

"It has been a strong top end of the market that has resulted in high rates and occupancy levels. We have been selling from the top down," said Firmdale's finance director Malcolm Soden.

Firmdale is owned and run by husband and wife team, Tim and Kit Kemp, with Ms Kemp personally designing the interiors of each property operated by the firm.

The group could also soon be looking to boost its hotel recruitment in London with plans to open new establishments both in the UK capital and New York.

It recently sold its hotel in Knightsbridge with the proceeds going towards building a new 92-room hotel in Piccadilly Circus, which is due to open in late 2013.

Berkeley Scott is a leading London hotel recruitment agency