 While the Ritz was still under construction , a series of events highlighted the need for another luxury hotel in London . A 3 June 1905 Daily Mail news story reported it was both Derby Week and the height of the tourist season , making hotel accommodation almost impossible to find . The Savoy had to refuse reservations , while Buckingham Palace turned offices into makeshift hotel rooms for visitors . An estimated 2 @,@ 500 more persons needing rooms were expected shortly with the coming visit of the King of Spain . 
