WhyHotel, a hospitality platform and operator that offers both short-term and extended stays, plans to debut its first New York location in lower Manhattan at what was formerly WeWork’s WeLive communal living concept.
Located at 110 Wall St. at the corner of Front and Wall streets in the Financial District, WhyHotel, opening Nov. 1, will house both long-term residents and nightly stay guests in fully furnished units, the company said in a statement with its partner, building owner the Rudin family.
WhyHotel also has locations in cities including Washington, D.C., and Tysons Corner, Virginia, according to its website.
“New York City is a market that we’ve had our eyes on for a long time now,” Jason Fudin, CEO and co-founder of WhyHotel, said in the statement. “Our partnership with the Rudin family is an exciting opportunity to reinvigorate a building that is incredibly well designed to bring together hospitality and home in a way we expect to become commonplace in the U.S. over time.”
The Rudin family, which owns and manages more than 4 million square feet of residences in New York on top of its office properties, converted a majority of the former office building to more than 200 apartments in 2015 with amenities including a seventh-floor terrace, fitness center, laundry room and community kitchens.
WhyHotel said its platform offers flexibility and allows real estate owners to blur the line between hospitality and home in single buildings. Its model ranges from nightly hotel stays to spaces that can be leased for a couple of months or a couple of years.
The company said it plans to expand its footprint in the New York area in the future especially as the coronavirus pandemic has changed living and travel patterns.
“We are constantly striving to enhance the tenant experience and evaluate new ways to provide our residents with best-in-class services and amenities in the city’s top neighborhoods,” Ray Houseknecht, senior vice president and head of multifamily at Rudin Management Company, the operating arm of the Rudin family, said in the statement.
Under CEO Sandeep Mathrani, WeWork, which recently went public, has cut costs, exited noncore businesses and divested WeLive as the money-losing global flexible space provider seeks to turn a profit.
Its growth strategy involves introducing on-demand and all-access membership models and partnering with others including luxury retailer Saks Fifth Avenue and brokerage firm Cushman & Wakefield to help landlords and businesses introduce their own flexible workspace concepts using WeWork’s management software and community staff.
WeWork, which continues to run its flexible office space at 110 Wall, had reached a “mutual agreement” with Rudin regarding WeLive as WeWork is “streamlining [its] portfolio towards profitable growth,” a WeWork spokesperson told CoStar News in an email, without specifying.
WeWork still has its flexible office space operations in the 27-story building, according to its website.