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SFO Approves Wait N’ Rest Private Bedrooms, Showers and Speakeasy Lounges

The 12‑year lease lets an affiliate of Cool Airport Company build two hour‑bookable bedroom facilities inside secure concourses to sell hotel‑style services and raise non‑aeronautical revenue.

An artist’s concept of the speakeasy lounge approved at SFO.
An artist’s concept of the speakeasy lounge approved at SFO.
An artist’s concept of Wait N’ Rest lobby for private bedrooms, which are approved at SFO.
An artist’s concept of Wait N’ Rest private bedrooms, which could come to SFO in 2027.

Overview

  • San Francisco’s Board of Supervisors approved a 12‑year lease late in July that awards Hotelzo LLC the right to operate two post‑security Wait N’ Rest sites near Gate B6 in Terminal 1 and Gate E3 in Terminal 3.
  • The lease sets a first‑year minimum rent of $350,000, a 12‑year revenue expectation of at least $4.2 million for the airport, and a revenue‑share formula that ties payments to room, shower, lounge and retail income.
  • Airport rules require private rooms to be bookable by the hour or for an eight‑hour overnight period, include showers and mobile reservations, and keep each facility open at least 16 consecutive hours per day.
  • The Terminal 1 location will include a small speakeasy called The Lost Gate but the lease caps the lounge at 40 percent of the space and makes it primarily available to room customers, and the two sites together total only about 4,354 square feet.
  • Hotelzo is targeting a September 2027 opening but must get SFO design approvals and complete a 210–240 day buildout after space delivery, and the company’s aggressive first‑year and five‑year revenue projections raise questions about pricing, utilization and timing.