Run-of-the-house rate

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Understanding the Run-of-the-house Rate

The Run-of-the-house rate is a type of flat rate agreed upon by lodging properties to accommodate groups by offering any of its available rooms. The final selection and assignment of the rooms is left to the discretion of the management of the lodging property.

The Run-of-the-house rate has become a popular option for groups who require a specific number of rooms but do not require any particular room type or location. This flat rate also saves them time and effort in selecting and reserving different types of rooms. This type of rate is beneficial for both the lodging property and the group, as it ensures full occupancy and revenue for the lodging property, while providing convenience and flexibility for the group.

However, it is important to note that the rooms provided under the Run-of-the-house rate may not necessarily meet the specific preferences or needs of the group. In some cases, rooms may differ in size, view, or location. The group may also be separated into different floors or buildings, depending on the availability and management’s discretion.

Therefore, it is crucial for the group to communicate their expectations and requirements with the lodging property prior to agreeing on the Run-of-the-house rate. Detailed communication and understanding between both parties can prevent any inconvenience or dissatisfaction on the part of the group during their stay.

In conclusion, the Run-of-the-house rate is a flat rate that offers convenience and flexibility to groups, while ensuring full occupancy and revenue for the lodging property. However, clear communication and understanding between both parties are essential to avoid any disappointments or misunderstandings.

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