Under construction Mideast hotel projects face no delays

Hotels in the Middle East, which are slated to open in 2009 and 2010 are on schedule, according to hospitality industry sources.

Construction Pipeline Report for the Middle East, Lodging Econometrics (LE), the Global Authority for Hotel Real Estate, said 54 hotels amounting to 15,360 rooms are forecast to come on board in 2009.

The report said: "Dubai contains 31 per cent of all projects and 39 per cent of all rooms in the total Middle East pipeline. If viewed as a 'city state', Dubai would have the largest construction pipeline of any metropolitan area in the world, even larger than Las Vegas, New York, Washington, London, Shanghai, or Beijing."

Raj Bhatt, Director, Hospitality.com, a hospitality recruitment company, told Emirates Business: "At the moment there is a little delay in the projects which are ready and had to open. But not many projects are being shelved due to the current crisis. There are companies still announcing projects in the region."

The Rotana Group, which operates 24 luxury hotels in the Middle East and Africa will open new properties on schedule, over the next three years, a senior company official said.

"Rotana's expansion plan will result in a combined portfolio of more than 65 properties by 2012 across the Middle East and North Africa," said Omer Kaddouri, Rotana Hotels' Senior Vice-President, UAE Operations.

"Although none of our new openings are likely to witness any delays as a result of the credit crunch, and we are hoping that 2009 will be another record year for Rotana in terms of openings. The long-term strategy remains to grow our portfolio and focus on new management contracts," he added.

International brands such Marriott and Hyatt are equally confident that the property owners would be able to deliver the property on time.

Harmit Singh, Chief Financial Officer, Global Hyatt Corporation, said: "Our plan is that we would triple our size in the Middle East over the next couple of years.

"The hotels, which are to open over the next 12 to 18 months, are on time. We think we are able to meet the opening schedule; there are two or three on the back-end of the time frame, probably a little delay there. But most of our owners are well capitalised and are focused on opening them within the time frame."

Samir Daqqaq, Marriott's Vice-President, Global Sales, Middle East and Africa, said that in spite of the credit crunch, "Marriott expansion plans are on course in the region with many of the 98 hotels scheduled to open between 2009 and 2010, to be in the GCC. So far, we have not has any delays," he said.

The Ritz-Carlton is another brand, expanding in the region. According to Pascal Duchauffour, the hotel's Area Vice-President and General Manager, The Ritz-Carlton, DIFC will open in June 2009.


Conrad to open in 2011

Hilton Hotels Corporation said yesterday it has signed a management agreement with Diyar Al Bahrain, to open the first Conrad hotel in Bahrain in 2011.

Conrad Dubai and the Conrad Abu Dhabi are expected to open its doors to guests in the last quarter of 2010 and in the second quarter of 2011 respectively.

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