INTERVIEW-Starwood Resorts expands in Middle Eastern and also Africa-CEO

By Matt Jones

DUBAI, Mar 12 (Reuters) — Starwood Resorts & Resorts

Globally Inc will open fifty new hotels in the centre Eastern

and also Africa (MEA) on the next five several years as the company wagers upon

growing markets to boost revenue.

The actual U. Ersus. -based company operates nine hotel brands including

Sheraton and also Le Meridien, along with MEA accounting for less than a

10th of its one, 134 properties worldwide, however the region’s

family member importance is set to boost.

“The development in hotel footprint more than anything else

tracks economic growth, ” Chief Executive Frits vehicle Paasschen

told Reuters within Dubai.

Starwood is the owner of less than 5 percent of the accommodations it operates,

controlling the remainder on behalf of their proprietors.

The actual United Arab Emirates will certainly account for nearly a quarter

of its new hotels within MEA, raising the portfolio to 33 from twenty one.

Van Paasschen was unconcerned regarding possible over-supply

in spite of a glut of luxury hotels opening over the past decade and also

programs for another 100 accommodations in Dubai as part of a

government-led growth task.

“This market is very strong — demand for high-end take a trip

globally is growing, there are brand new travel patterns and also Dubai

sits at the epicentre of this, ” he mentioned.

Starwood’s Dubai resort occupancy in percentage conditions is in

advantages 80s to lower 90s, up from 82 percent in 2009, whilst

passenger flows through the city’s main airport terminal rose 15 %

to 5. 56 million in January from the year back, making it the particular

planet’s third busiest airport terminal.

Starwood’s revenue will likely boost 5-7 percent within 2013.

“Because occupancies already are so high — we’re at kunne

pre-crisis levels – the majority of the “same-store” development can come

from higher rates, ” said Van Paasschen. “We would like a

area as dynamic as right here to outperform those worldwide quantities,

in new hotels getting added and same-store sales. ”

Van Paasschen said Starwood’s 10 hotels in Egypt experienced a

“dramatic drop” within occupancy after former leader Hosni

Mubarak was ousted from power in 2011, using the country nevertheless

mired in unrest more than two years later.

“We’ve seen a return in demand in our holiday resort locations more

compared with Cairo, ” said vehicle Paasschen.

Rival Marriott International has joined along with

IKEA’s real estate arm to make a European spending budget

resort chain, however Starwood will not stick to suit.

“You would have to open an extraordinary number of accommodations in order to

get anywhere near the profitability of just a couple top end

accommodations, ” said vehicle Paasschen.

Starwood offers about 160 hotels within Europe and plans to open a

additional 50 on the continent over the next five years, along with

tourists from other regions creating for a deficiency in demand

from Europeans.

“Demand for gateway city locations within Europe is as high since

it has ever been, ” said vehicle Paasschen. “High-end amusement is

nevertheless an important part of need. Europe general might be

having difficulties, but for accommodations business is very good. ”

(Reporting through Matt Jones, editing through Paul Casciato)


-+011000110+-

By Matt Jones

DUBAI, Mar 12 (Reuters) — Starwood Resorts & Resorts

Globally Inc will open fifty new hotels in the centre Eastern

and also Africa (MEA) on the next five several years as the company wagers upon

growing markets to boost revenue.

The actual U. Ersus. -based company operates nine hotel brands including

Sheraton and also Le Meridien, along with MEA accounting for less than a

10th of its one, 134 properties worldwide, however the region’s

family member importance is set to boost.

“The development in hotel footprint more than anything else

tracks economic growth, ” Chief Executive Frits vehicle Paasschen

told Reuters within Dubai.

Starwood is the owner of less than 5 percent of the accommodations it operates,

controlling the remainder on behalf of their proprietors.

The actual United Arab Emirates will certainly account for nearly a quarter

of its new hotels within MEA, raising the portfolio to 33 from twenty one.

Van Paasschen was unconcerned regarding possible over-supply

in spite of a glut of luxury hotels opening over the past decade and also

programs for another 100 accommodations in Dubai as part of a

government-led growth task.

“This market is very strong — demand for high-end take a trip

globally is growing, there are brand new travel patterns and also Dubai

sits at the epicentre of this, ” he mentioned.

Starwood’s Dubai resort occupancy in percentage conditions is in

advantages 80s to lower 90s, up from 82 percent in 2009, whilst

passenger flows through the city’s main airport terminal rose 15 %

to 5. 56 million in January from the year back, making it the particular

planet’s third busiest airport terminal.

Starwood’s revenue will likely boost 5-7 percent within 2013.

“Because occupancies already are so high — we’re at kunne

pre-crisis levels – the majority of the “same-store” development can come

from higher rates, ” said Van Paasschen. “We would like a

area as dynamic as right here to outperform those worldwide quantities,

in new hotels getting added and same-store sales. ”

Van Paasschen said Starwood’s 10 hotels in Egypt experienced a

“dramatic drop” within occupancy after former leader Hosni

Mubarak was ousted from power in 2011, using the country nevertheless

mired in unrest more than two years later.

“We’ve seen a return in demand in our holiday resort locations more

compared with Cairo, ” said vehicle Paasschen.

Rival Marriott International has joined along with

IKEA’s real estate arm to make a European spending budget

resort chain, however Starwood will not stick to suit.

“You would have to open an extraordinary number of accommodations in order to

get anywhere near the profitability of just a couple top end

accommodations, ” said vehicle Paasschen.

Starwood offers about 160 hotels within Europe and plans to open a

additional 50 on the continent over the next five years, along with

tourists from other regions creating for a deficiency in demand

from Europeans.

“Demand for gateway city locations within Europe is as high since

it has ever been, ” said vehicle Paasschen. “High-end amusement is

nevertheless an important part of need. Europe general might be

having difficulties, but for accommodations business is very good. ”

(Reporting through Matt Jones, editing through Paul Casciato)

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