Positivity Brewing for South Florida Hospitality Industry in 2021 Although Some Pandemic Related Disruptions Persist
June 4, 2021
According to a new survey released today by Florida’s business law firm, Berger Singerman, the hospitality, and tourism industries, both constant and key economic drivers for South Florida counties and the state over the last 2 decades, are expected to recover from the COVID-19 pandemic related interruptions in 2021. The survey, however, which garnered more than 8,000 respondents, also revealed that the recovery of the cruise ship industry remains halted and therefore will continue to interfere with the recovery of hospitality industry.
Known as “The Sunshine State”, Florida is heavily focused on the tourist trade. Its beaches, weather, culinary variety, and top-shelf lodging have been central to the positive industry outlook and are the factor which draw in tourist from all over the country and the world. Results from the firm’s 2021 Hospitality Survey reveal that most respondents (47%) have and plan to take one to three leisure trips during the 2021 calendar year. Yet 24% will not be booking any sort of travel during the year.
“While still staying cautious, people are already gradually resuming travel, seeking to rediscover the places and people they haven’t been able to see,” said Iryna Ivashchuk, a partner at Berger Singerman. “As a result of the pandemic, I think we all have reevaluated the importance of travel in our lives and recognized how central it is to our mental health and well-being.”
50% of respondents are optimistic about the recovery of the hospitality industry in South Florida and 24% of respondents somewhat agree. Only a mere 26% of respondents do not believe the industry will recover this year.
“Even though the hospitality industry will need to adapt to new rules and standards, which will continue to influence our behavior as consumers, it is not surprising that future hospitality trends are overwhelmingly positive,” said Ivashchuk.
Another concern revealed in the survey is the timeline of expected disruption to the hospitality industry. The majority of respondents agree that disruptions are likely to last from 12-24 months to subside. While 39% remain optimistic in expecting disruptions to last only six months to a year.
“Expectations on the timeline of the disruption to the hospitality industry are at times biased, the pandemic has changed the way people live at large for more than a year,” said Marc Shuster a partner at Berger Singerman. “Although disruptions may spill into 2022, these will lessen and lessen through time with vaccine rollouts and loosening of local government mandates in respective to COVID-19 response”
Restaurants and hotels were chosen as the hospitality sector expected to recover the quickest in 2021, followed by air travel, nightlife, and cruise ships respectively
“The positive trends in the restaurant and hotel industries are a testament to the creativity of the industry leaders who continue to adapt in response to the changing customer behavior and demand”, said Ivashchuk. “In the COVID era, the key part of hospitality management is finding innovative new ways to impress customers who are seeking unique experiences while placing safety, convenience, and comfort at the forefront of their minds”. The survey, conducted by Berger Singerman during April-May 2021, polled more than 8,000 professionals in South Florida’s hospitality industry.
Our team has deep industry knowledge and significant experience in the hospitality, resort, restaurant, and entertainment industries. Our attorneys with industry experience are capable of quickly and efficiently identifying issues and opportunities to enhance the business prospects of an industry participant. One of the most important industries for the Florida economy, and hence one of our industry strengths, is the hospitality and leisure industry.
Berger Singerman attorneys have experience representing clients in developing, acquiring, and disposing of, hotel properties, obtaining necessary entitlements and zoning approvals, resolving environmental issues, addressing securities issues in connection with condo-hotel and fractional interest sales, preparing condominium and fractional ownership documents, resolving regulatory requirements, negotiating management and licensing agreements, labor and employment issues, and negotiating project financing. One of the most important industries for the Florida economy, and hence one of the firm’s industry strengths, is the hospitality and leisure industry.
