Consulting firm Jones Lang LaSalle Hotels is forecasting an 18 percent drop in revenue this year for the Renaissance Hotel in downtown St. Louis, but it still thinks the hotel can turn an operating profit of about $500,000. The consultants’ report was posted last week on a website created for the bondholders, who now own the hotel as a result of a foreclosure action.

The latest projection is for revenue of $40.2 million, down from $49.3 million last year. The hotel’s original budget this year called for revenue of $44.3 million. The report states:

Since the budget was finalized, the Hotels and Convention Center have experienced decreased pace and increased attrition due to the deteriorating economic environment.

The hotel is expected to fill just 53.9 percent of its available rooms this year, down from 63.0 percent this year.

Besides the cold hard numbers, the report presents a downbeat assessment of the business climate in St. Louis:

Despite recent marketing efforts highlighting the culture, attractions and value proposition, St. Louis remains a “hard sell” for both group and transient visitors.

It goes on to say that downtown lacks “demand drivers” other than the Gateway Arch and Cardinals baseball, and asserts that

As a second tier convention city, St. Louis’ main competitors are Atlanta, Denver, Indianapolis and Minneapolis. When booking meetings and conventions, meeting planners may find the amenities offered in these cities more attractive than those offered in St. Louis.

Ouch.