Small Hotels, Big Margins - Ryan Diggins - Defining Hospitality
"If we can't answer what is this here for or why are we doing this, well now you're just a Pinterest board."
Audio Links:
Spotify: https://open.spotify.com/show/0A2XOJvb6mGqEPYJ5bilPX
Apple Podcasts: https://podcasts.apple.com/us/podcast/defining-hospitality-podcast/id157359638
Dan Ryan sits down with hotelier Ryan Diggins to talk about building boutique hotels that lead with food and beverage instead of treating it as an afterthought. They dig into why the smallest design details can make or break a property’s identity, how Ryan thinks about revenue differently than most developers, and what it takes to keep a project’s soul intact as it scales. They also touch on what the future of hotel discovery looks like as AI starts to reshape how travelers decide where to stay.
Takeaways:
Treat food and beverage as its own business, not an amenity. Ryan pitches investors by assessing the F&B program as a standalone concept first, then layering in the hotel. When both perform well independently and even better together, it makes a much stronger case than leaning on room revenue alone.
Look at revenue per square foot, not just RevPAR. RevPAR can undersell a property that’s optimizing every inch of its footprint for guest experience. Shifting the conversation to total revenue production tells a fuller story of how a property actually performs.
Small, unconventional buildings can hide big opportunities. Municipal Grand started as a vacant city building that didn’t fit neatly into any traditional real estate category. Being willing to look past a classic hotel site or a classic multifamily building is often where the best deals are found.
Build the vision before you build the team. Ryan and his partners write an internal concept document before ever reaching out to architects, designers, or branding agencies, so every consultant they bring on is executing a clear point of view rather than shaping one from scratch.
Keep your circle of decision makers small. The more lenders, investors, and stakeholders touch a project, the more diluted the original vision becomes. Protecting a tight, aligned group of decision makers is what keeps a project’s fingerprint intact as it grows.
"If we can't answer what is this here for or why are we doing this, well now you're just a Pinterest board." - Ryan Diggins
Reach out to Dan on LinkedIn or hit reply on the Substack to share what you’re working on.
Impact estimates vary by project. For the most up-to-date figures, please refer to the transcript
Connect with Ryan:
Company Website: https://www.theramblehotel.com/
🏨✨ Defining Hospitality is Sponsored by BERMANFALK
Check out their impact page! 🌍🌱 https://www.bermanfalk.com/impact/