The Rush for Hotel Suites and Connecting Rooms Is On
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The Rush for Hotel Suites and Connecting Rooms Is On

Families more used to renting homes on vacation now want a more communal experience during hotel stays

By ALLISON POHLE
Fri, Jun 16, 2023 8:23amGrey Clock 4 min

The most in-demand hotel room for travelLers right now is the room right next to theirs.

Hotel and resort managers say requests for connecting rooms and suites have increased recently as multigenerational families and large groups of friends gather. Continued flexibility from hybrid work and travelLers bringing family members along on business trips have also contributed, hotel managers say.

Some hotels have reported a more than 20% increase in demand for these types of rooms.

The jump means more competition for connecting rooms, which families already struggle to book due to outdated room-assignment technology and limited supply. Some hotels are adding the ability to connect more rooms. Others are adding suites or upselling larger rooms with living space to groups.

“It amazes me every time I book a hotel that we can send people to space but can’t figure out connecting rooms,” says Lindsay Bowling, a full-time mom from Danville, Calif., who has traveled internationally with her husband, mom and kids, ages 8, 6 and 1.

Bowling, 40, says the family used to stay in Airbnbs, but says she needs more predictable lodging these days. She has run into booking issues where hotel rooms are adjoining, meaning next to each other, but not connecting.

Now, she watches travelLers’ YouTube videos to see what rooms look like. She also started using a travel agent who has helped book guaranteed connecting rooms. Sometimes she ponies up for a villa or a suite.

“You end up paying at least three times the amount to get something that works for families,” she says.

Family-style hotels

Vacation rentals and timeshares have long been popular options for families. These options got a boost earlier in the pandemic as people looked to spend more time in a destination. Families also booked more short-term rental stays to allow grandparents, parents and kids to stay under one roof. Short-term rentals remain popular this summer, too.

Some traveLlers are bringing those preferences to hotels, and asking for more than the so-called suite that’s an open space between a bedroom and a foldout couch.

At most hotels, connecting rooms aren’t a guarantee. Hotels have a limited number, and room-booking technology doesn’t always present connecting rooms to guests who search for them. Last-minute issues with rooms, such as broken toilets, can also jettison plans for connecting rooms.

Guests are staying longer at resort properties, which means connecting rooms might not open up simultaneously, says Cate Farmer, senior vice president of hotels and resorts at the hospitality company Margaritaville. Options are more scarce on weekends, she says.

In the two years since launching its confirmed connecting rooms program, Hilton says the average monthly booking rates for connecting rooms increased by about 10% year-over-year. Hyatt says it is beta testing a feature that lets people book guaranteed connecting rooms.

“Before two years ago, connecting room doors were mostly about having an annoying neighbour that you don’t know that’s too loud,” says Kyle Killion, founder of Suiteness, a travel company that helps people book suites and connecting hotel rooms. “What’s nice about booking the connectors is that the person on the other side can be annoying, but they’re probably your family.”

At the five-star Alila Napa Valley in California, children under 18 aren’t permitted. But requests for connecting rooms have increased by 23% since last year as parents travel with adult family members and loved ones, general manager Heidi Miersemann says.

The 68-room hotel plans to add at least one more set of connecting rooms to meet demand, she says.

Connecting rooms in a renovation isn’t as easy as it sounds, says Warren Feldman, chief executive officer of Nehmer, a hospitality design and architecture firm. Hotels must consider factors like rewiring before knocking a new space in a wall.

Pair of king rooms

Nicole Rathsam is a 40-year-old executive for an insurance company from San Diego. She recently booked connecting rooms at the Wynn Encore in Las Vegas. She was in town for an event, and her husband and three kids tagged along.

Rathsam says the only option was for two connecting king rooms—less than ideal for her, but better than having five people crammed into one room.

A Wynn spokeswoman says that, if asked, the hotel could have accommodated connecting rooms with different bed sizes.

To get a suite at some of the other high-end properties would cost more than $2,000 a night—more than four times the rate for connecting rooms. If hotels can figure out a better apartment-style experience for families, “they’re going to have a big edge,” Rathsam says.

Hotel prices have remained high this summer, especially in Europe. In Paris, prices are 50% above 2019 levels, Sébastien Bazin, chairman and chief executive officer of the hospitality company Accor, said at a recent lodging conference.

But a certain subset of travellers aren’t looking at the price. “They are saying ‘Give me your best suite,’” he said, adding that the company doesn’t have enough suites to meet demand.

Suite bookings at Marriott properties have risen 10% from 2022 to 2023, a spokeswoman says. About 31% of Marriott hotels in development are all-suite properties, says Eric Jacobs, senior vice president for select brands.

Designers are putting more of an emphasis on creating separate workspaces in rooms, including through junior suites, which Feldman of Nehmer says can be used for both business and leisure travellers.

During the holidays, travellers requested more connecting suites than the newly opened Tower hotel at the Boca Raton resort could accommodate. Rates start at $799 for a one-bedroom suite with a living room this summer. The top six floors offer the option to connect one-, two- and three-bedroom suites, which President Daniel Hostettler says he thought would suffice.

This summer, the hotel is renovating 15 other floors so that the entire building can accommodate connecting suites.



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SpaceX and Tesla Are Joined at the Hip. A Merger Would Make It Formal.

Elon Musk is exploring a potential merger between Tesla and SpaceX, a deal that could reshape the future of AI, robotics, autonomous vehicles and space technology. With a combined valuation potentially reaching $3.5 trillion, the move could bring Musk’s vision of an interconnected technology ecosystem closer to reality, although a deal remains uncertain.

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Elon Musk has engineered ties between Tesla TSLA 3.41%increase; up pointing triangle and SpaceX SPCX 7.79%increase; up pointing triangle that are hard to break, and now he wants to fuse them together permanently.

Musk has run both Tesla and SpaceX concurrently over the past two decades, using a schedule that dictated which days he spent focused on each business.

The companies have often shared resources and personnel, signaling their close ties. Last year, SpaceX looked into creating a spacesuit for Tesla’s humanoid robot Optimus, a person familiar with the matter said. Tesla last week showed off its new Roadster, a vehicle featuring SpaceX rocket thrusters that it hopes to soon bring to market.

And in recent months, Musk has repositioned both companies by expanding beyond their core operations toward a shared mission centered on artificial intelligence.

The world’s richest man on Tuesday signaled his interest in tying up SpaceX and Tesla, marking what would be the biggest corporate merger of all time. Because he serves as chief executive of SpaceX and Tesla, Musk said committees of independent directors at both companies are evaluating a possible deal, adding that a transaction might not come to fruition.

The committees will likely evaluate, with lawyers and bankers, how each company would fare in a potential deal and how a deal might best be structured. They then present their conclusions to their respective boards, who typically vote on whether to proceed.

“It’s an odd Kabuki dance where two groups of people are talking and I can’t be in the conversation,” Musk told SpaceX investors on Tuesday in response to an analyst’s question about a potential deal.

For Musk, the merger supports his vision of a world full of autonomous cars, humanoid robots and weekly rocket launches, as well as the data centers and satellites required to keep the whole thing running.

Some investors and analysts said they expect a transaction would be structured as an all-stock deal, with SpaceX potentially paying a modest premium for Tesla shares.

SpaceX, which has a market value of about $2 trillion, said it is seeing sharp growth in revenue across its businesses, which include operating data centers, launching rockets and operating satellite networks such as the internet service Starlink. Tesla is valued at about $1.5 trillion and is expanding its operations beyond its automotive and energy business. Shares in both companies traded higher following the news Tuesday.

The SpaceX Starship and Super Heavy v3 Booster lift off from the launch complex in Starbase, Texas, framed by silhouetted plants in the foreground.
A test flight from the SpaceX launch complex in Starbase, Texas. Steve Nesius/Reuters

Musk’s substantial ownership stakes in both companies, along with voting control at SpaceX, has enabled him to set the deal in motion. Analysts and investors said the deal will probably face regulatory scrutiny internationally, though some see Musk’s close relationship with the Trump administration as an asset to getting approval.

Blurred lines

The companies haven’t said which directors are on the special committees evaluating a potential deal. Several SpaceX and Tesla board members have either personal or business ties to Musk. And like Musk, venture capitalist Ira Ehrenpreis sits on both boards.

In a filing this week, Tesla outlined millions of dollars in business agreements with SpaceX and its subsidiaries last year, including $143 million in car sales to SpaceX, $3.3 million in advertising that it bought on the social-media platform X and $430 million in revenue from the sale of Megapack batteries for SpaceX’s data centers.

The companies also split the cost of resources including the use of Musk’s SpaceX jet and the bill for his personal security, which he runs through a private company.

Employees at both companies routinely move between companies to work on special projects, and some executives have dual roles, including Charles Kuehmann, vice president of materials engineering at both SpaceX and Tesla, and Ashok Elluswamy, the vice president of AI software at Tesla who runs a joint venture with SpaceX called Digital Optimus.

Over the years, Musk has launched new startups within his empire, including brain-implant company Neuralink, underground-tunnel developer the Boring Company and xAI, the AI startup that merged with SpaceX in February.

It is that AI business that Musk thinks can serve a market worth tens of trillions of dollars, justifying the need for a merger.

The business case goes like this: Tesla is developing robotaxis and robots, which it calls “physical AI.” SpaceX is working on the back end of physical AI: the data-center capacity and internet connection required for those robotaxis and robots to operate continuously.

Tesla Optimus humanoid robots and a Cybercab autonomous vehicle on display.
A Tesla Cybercab autonomous driverless vehicle and Optimus humanoid robots. Benjamin Girette/Bloomberg News

“I don’t see what the value of Tesla is if it’s not merged with SpaceX,” said investment adviser Ross Gerber, a former Tesla bull turned critic invested in both companies. “If they don’t merge, the brains of everything that runs Tesla is owned by another company.”

On top of it all, both companies face constraints on the supply chains they need to make this world a reality, particularly when it comes to chips. To address this, Musk earlier this year announced a joint venture between Tesla, SpaceX and Intel to design and manufacture chips in Texas. “The most epic chip-building exercise by far,” he has said.

Musk at the wheel

For Musk, a merger would also solve two problems: demands on his attention and his lack of control at Tesla.

Tesla for years was Musk’s only public company, a status that came with greater scrutiny. There, Musk reports to a public board, as well as individual investors who make up around 30% of Tesla’s voting power, according to FactSet.

The question of Musk’s attention became a particular focus for investors and the board in recent years after he acquired Twitter in 2022 and launched xAI in 2023, and again in 2025 as he spent time in Washington, D.C., running the Department of Government Efficiency in the early months of President Trump’s second term.

As Tesla’s car business suffered in 2025, Musk threatened to take his AI ambitions outside the company if he wasn’t granted 25% voting control. Last November, Tesla shareholders approved a new pay package for Musk, which created a path for him to vastly expand his stake.

As of Sept. 30, Musk owned a roughly 20% stake in Tesla, according to the company’s proxy filing.

The SpaceX IPO gave Musk a different path. When SpaceX went public in June, the deal’s structure enabled him to have more than 80% voting power at the company—so much that he can’t be fired and decisions can’t be made without his support.

If SpaceX acquires Tesla, he will likely stay in control.

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