One of Portland’s most storied hotels is closing its doors for the winter.
The Benson Hotel in downtown Portland announced Tuesday that it will shut down through the rest of December and all of January, due to a severe drop in reservations caused by the coronavirus pandemic.
George Schweitzer, managing director of the Benson, said occupancy levels have dropped below 10% in December, after hovering below 20% for much of the year.
“It makes more sense to close than to try to stay open under occupancy at that level,” Schweitzer said. “You’re losing either way, but you’re losing less money if you close than if you stay open.”
The Benson will be closed as of Wednesday, Dec. 16, and aims to reopen Feb. 1. The hotel will open for three nights around New Year’s Eve, on Dec. 30 and 31, as well as Jan. 1. Reservations are still open for those nights, Schweitzer said.
Most of the hotel’s staff, which had already fallen from 165 to fewer than 30, will be laid off during the closure and rehired when the hotel reopens, Schweitzer said. The hotel plans on hiring back the full staff if business turns around in 2021.
The winter closure caps off a difficult year for the local hospitality industry. After the pandemic cut off the flow of tourists, downtown Portland was suddenly thrust into an international spotlight as racial justice protests flooded the city, often eliciting a violent response from local and federal police.
In a national survey conducted this fall by consumer research company Engine Insights, only 32% of respondents said they now considered Portland an appealing vacation destination. That compares to 54% who said the city was appealing in a survey conducted at the beginning of 2020.
The pandemic had already closed several downtown Portland hotels by the time the protests began, some of which slowly began to reopen over the summer. The Benson, however, has stayed open through all of it. This winter closure will be the first time in its 107-year history that it’s closed its doors, according to the hotel.
“It’s been horrific financially, beyond my wildest imaginations,” Schweitzer said of the events of 2020. “Our industry has not seen yet the full effect.”
Through the pandemic, the Benson has attempted to adapt to the changing needs of its guests. Hotel staff have been cleaning rooms with hospital grade disinfectant, using electrostatic sprayers after each stay. One of the hotel’s signature events, an annual gingerbread “masterpiece” unveiled during the holiday season, went virtual this year.
And as hotel guests have had fewer places to visit around the city, the Benson has been promoting its own “mini museum,” which shows off the history of the hotel with photos and artifacts, built into a 12-floor marble staircase.
But with COVID-19 cases on the rise in Oregon, and Gov. Kate Brown’s “freeze” on public gatherings and restaurants expected to extend into winter, the hotel made the difficult decision to shutter its doors through the worst of it.
“This hotel has never closed,” Schweitzer said. “I’m not happy about it, but it’s the right decision.”
--Jamie Hale; jhale@oregonian.com; 503-294-4077; @HaleJamesB
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