America's Patel Motels

working in “Patel Bhi motel” is something that alot of Paki students have done. i actually never did that but how many people here have done it.?

Drop by at a highway motel in the US and in most cases, behind the reception you will find a distinctly Indian presence.

The “Patel motel” phenomenon, as it is popularly known, has made a major impact on the American hospitality industry.

As many as 60% of mid-sized motels and hotel properties, all over the US, are owned by the people of Indian origin.

Of this nearly one-third have the surname Patel - a popular one among Indian Guajaratis.

Rajiv Bhatia, President of Knights Franchise System, owned by Cendant Hotel Corporation, traces the path of Indians in the hospitality industry.

“The trend started in the early 1940’s, though the real growth took place in the 1960’s and 1970’s.”

“Indians came not only from India but a sizeable chunk of [them] arrived from East Africa during the late 60’s and early 70’s, where political unrest drove out the Indian business class, which started looking for new lands and new business opportunities.”

Roots and riches

At the time, the motel industry in US was going through a lull.

The new arrivals immediately took to it, and it soon proved to be a relatively stable business, which had the added benefit of providing accommodation and jobs for the entire family.

The immigrant sector bought obsolete, undervalued properties and converted these into decent motels by investing money and by employing family members so that labour costs remained minimal.

Entire families were often brought over from India to help out

Having started off owning small properties, the forward-minded group soon looked towards expansion.

This was done by careful reinvestments, and by calling forth family members and friends from back home, who provided a ready supply of loyal workers.

Dinu Patel, a Connecticut based hotelier describes how he started off: “I bought my first motel in 1981 as a side business, and in four years completely switched to this business.”

“Then I called my three brothers from India, first came the youngest and then the other two and now we own a total of 22 properties spread out all over the country.”

Problems after 9/11

However, the path of success has not been a smooth one.

For a long time, Indians have faced flagrant discrimination.

Mike Patel, a founder and former chairman of the Asian American Hotel Owners Association (AAHOA), says the community used to face racial bias from the locals, especially in far-flung towns.

Incidents of bias were typically minor but irritating and time-consuming. Indians experienced difficulty with inspections, getting permits and daily help.

Check-out time: Business has boomed for the motel-owners

CZ Patel, owner of 12 properties, bought his first property in 1980 as a sideline, but the decision to become a full time hotelier was not an easy one because of the day-to-day difficulties of running a motel.

Patel explains, “Myself and my wife had a tough time getting local help and had to do everything on our own, from daily maintenance to menial jobs.”

Sometimes the racial bias also came from the motel’s customers. Some would leave as soon as they saw a brown face behind the counter, drumming up weak excuses.

CZ Patel said, “It was obvious that they had come in seeking accommodation but were put off by our accents and our skin color.”

After 9/11, there was a certain increase in racial bias as some American motel owners began to display signs of “American-owned motel” in their windows.

Moreover, some motel owners also complained that their children were taunted at school.

Currying favour

Another hurdle that the new hoteliers had to overcome was a perceived lack of professionalism.

Mike Patel says that this, coupled with the ignorance of both Indians and Americans to each other’s culture, proved a major drawback.

Another day, another dollar: CZ Patel outside his motel

Americans were used to a professionally-run business, and in their view, many Indians failed to fulfill that requirement.

Cooking curry behind the counter or letting their children play in the reception struck the Americans as most unusual, and certainly did not fit in with their definition of professionalism, says Mike Patel.

The AAHOA has tried to instill fresh values and basic hotel management skills in its members.

The organization has flourished, as its members have gone from operating a lone, low-budget motel, to owning and managing multiple properties, franchise operations, real estate brokerages and hotel-construction firms.

The growth is expected to continue, with the number of Indian hotel-owners also set to rise.

They put their success in the hospitality industry down to having kept up a tradition of family and community support.

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Yeah right! If an irish family runs the place and lets their kids play in the reception, it'd be "bringing a homely wholesome familial atmosphere to this wonderful experience".

its these accounts of ppl putting "american owened motel" in theri signs that piss me off, the patel guy is an american too, and as american as the other guy.

As far as kids taunting the patel motel owners kids at school, that is quite alright. because that kid will one day take his car for an oil change where these other kids will be working.

This sort of bias pisses me off, after 9/11 it happened to gas station owners too. The most extreme example that I have seen is a gentleman who I know getting in trouble because this shift manager thought up a grand scheme. he bumped the prices up real high, and told ppl that mr. so and so had asked him to do that, ppl got real mad started threatening the owner on voicemail, he was goingt o let it go, btu after talkign to some oof, he went and confronted this manager and fired his ass. Their were 2 employees in on it too. their goal was that since it was a leased store if they createenough discord, BP may kick the guy out and they would volunteer their services to run the place.

Interestingly, just three days back I spent a night at one of those Patel Motels off highway I-15 at Barstow, about 150 miles from Las Vegas. When I first saw a deshi face behind the counter, I was pleasantly surprised as I did not expect to see a deshi establishment in such a far flung town. In the morning, I could see the whole family (along with the kids) going from room-to-room to do house keeping. Barstow is not the kind of place where a typical deshi family would like to settle down, so it speaks volumes of the entrepreneural spirit of the Patels.

THese Patels have an asset base of over $40 Billion.

[QUOTE]
*Originally posted by Some1: *
I did not expect to see a deshi establishment in such a far flung town.
[/QUOTE]

Well, They are every where, 3 years ago we went to the florida keys and were looking for a place to stay, There I saw a patel couple running 'El Rancho' Motel, first I thought they were mexicans but after talking to them I found out they were patels :)

How come all of them are patels?

patels, Khans, Alis, Singhs ...same difference. A few families start out and it spreads within the community. Like the jews in diamond trade, scicilians in mafiosi...

Looks like TOI articles are somehow cued by GS threads!

Global Gujarati knows no limits

A few years ago, we were on a road trip to Seattle from Southern Cali in the middle of December. We got snowed in and I-5 was closed near one of California's largest peaks (Mt. Shasta Elevation: 14,162').
We were stuck and faced with the decision of either going back or staying put somewhere and face the snowstorm and decide in the morning. And what you know, in the middle of this Northern California wilderness, there was a Patel motel. The only motel that had a vacancy at that at night. I was surprised to see the Patel bhai here as well :D. It snowed about 2 feet overnight and in the morning we put fresh chains on the wheels of our van and headed to Seattle after the I-5 reopened. If it wasnt for the Patel bhai and his motel, we would have returend back :D

[QUOTE]
Originally posted by 5Abi: *
A few years ago, we were on a road trip to Seattle from Southern Cali in the middle of December. We got snowed in and I-5 was closed near one of California's largest peaks (Mt. Shasta Elevation: 14,162').
We were stuck and faced with the decision of either going back or staying put somewhere and face the snowstorm and decide in the morning. And what you know, in the middle of this Northern California wilderness, there was a *Patel motel
. The only motel that had a vacancy at that at night. I was surprised to see the Patel bhai here as well :D. It snowed about 2 feet overnight and in the morning we put fresh chains on the wheels of our van and headed to Seattle after the I-5 reopened. If it wasnt for the Patel bhai and his motel, we would have returend back :D
[/QUOTE]

Patel bhai ke jaye!

While I was going to school in South Jersey I used to work at one of these motels in Atlantic City. The biggest benefit was that the owner had shares in some 40+ other motels so wherever I went the accomodation was free for me. I really made use of that in the 3-4 yrs that i was working there. By the time I left I was managing 3 of them in that general area.