BERRYVILLE – Efforts to develop a small hotel in Berryville have stalled.
Local officials mainly blame the COVID-19 pandemic that has hit tourist accommodation as people have chosen not to travel, or at least postpone travel.
In 2014, a consultant determined that downtown Berryville could support a “boutique hotel” – one that has up to 50 rooms and is a bit more upscale. A 2019 study by Newmark Knight Frank, a statewide real estate consultancy firm, confirmed the results. The study was commissioned by Berryville Main Street, a private organization that promotes downtown, and is funded by the Clarke County Industrial Development Authority.
Berryville, a city of approximately 4,000 people, is the seat of government and the commercial center of Clarke County. But there is no hotel or motel within the city limits. Community leaders think this would encourage those visiting tourist attractions or relatives in the area to stay overnight and spend money in shops and restaurants.
Over the past decade, Berryville officials have met with various people who appeared interested in starting a hotel, but nothing ever piqued their interest, town manager Keith Dalton said.
This also includes a hotel chain. Dalton said the chain appeared interested in a Berryville hotel, but a local group of investors needed to be found to own and operate it.
“I haven’t heard an interesting beep lately,” said Christy Dunkle, the city’s community development director.
“At this point there is no interest,” said Felicia Hart, director of economic development and tourism for the district.
However, that doesn’t necessarily mean someone hasn’t created a proposal and announced it yet, Dunkle said.
“In all honesty,” said Dalton, “(the pandemic during) last year has slowed interest.”
Hart said she was in contact with representatives from hotel chains, some of whom she worked with elsewhere in the past. When they’re not interested, they often pass Berryville’s interest on to smaller facility operators, she said.
“We’ll talk to anyone,” who is interested in the idea, she said of city and district officials.
She mentioned that a chain, to her knowledge, has postponed plans to build a hotel elsewhere because of the pandemic. Elsewhere, two “hesitate” on development plans, she said.
Many hotels have had trouble finding people for frontline jobs, Hart continued. Former employees were laid off due to low workloads during the pandemic and few people have shown interest in replacing them, she said.
Another contributing factor to hotels’ current lack of interest in Berryville, she said, could be the growing popularity of short-term rentals of cabins or rooms on the homes – or even vacant homes – through sites like Airbnb.
“The culture has changed,” said Hart. “People are more willing to stay at someone’s home. It’s a more personal experience than a hotel can often offer.
Still, she and Dunkle remain optimistic that Berryville will eventually attract a small hotel. Not only could it accommodate tourists and people visiting local families, but executives visiting local businesses as well, she argued.
“It would be a great tool,” said Dunkle, “to support existing companies and attract new ones.”
