Kempinski Hotels, Once Near Bankruptcy, to Open Nine Hotels This Year
The Kempinski Al Othman Hotel in Al Khobar and the Kempinski Hotel Burj Rafal in Riyadh are both scheduled to open before the year ends, along with the Kempinski Hotel Royal Maxim Cairo in Egypt. Another hotel, the Kempinski Hotel in Jeddah, is scheduled to open in 2015.
The luxury hospitality group sees the region as a key growth area and an important market for outbound tourism to its properties across the world.
[quote]”The Kempinski Hotel Royal Maxim will predominately cater to corporate and Mice [meetings, incentives, conferencing and exhibitions] business, as well as major social events as it will have the largest pillar-less ballroom in Cairo. It will be our second hotel in Cairo and it is located in New Cairo, which is close to Cairo International Airport and the new American University of Cairo,” Avsar Koc, Kempinski regional sales director for India, Middle East and Africa, said in a statement to .[/quote]
Enhanced by strong growth in the Middle East, Africa, and South-east Asia, Kempinski was able to increase its room revenue by 21 per cent in tandem with a 17 per cent increase in total room nights sold globally. The region contributes almost a third of the revenues for the company, which currently operates a total of 75 five-star hotels in 30 countries. Kempinski returned to Jeddah this week with its seventh annual Middle East Road Show, where they revealed that the group had achieved its best financial results in its history in 2012, with revenues reaching ?1.1 billion.
[quote]”We have turned Kempinski around from an almost-bankrupt business into a rock-solid one with an equity ratio of well over 40 per cent. With a revenue of ?1.1 billion, our hotels passed the billion mark for the first time last year,” said Reto Wittwer, chief executive of Kempinski Hotels.
“As a hotel operator, this makes us a strong and reliable partner for hotel investors and owners. We will continue to plan and work on a long-term basis… Our success proves we are on the right track.”[/quote]
The Middle East remains a key feeder market for Kempinski hotels in Europe and Asia, such as the Hotel Vier Jaherszeiten Kempinski Munich, the Kempinski Grand Hotel des Bains St Moritz, the Ciragan Palace Kempinski Istanbul, and the Siam Kempinski Hotel Bangkok. Likewise, hotels such as Emirates Palace in Abu Dhabi and Kempinski Hotel Mall of the Emirates in Dubai remain popular with Middle East guests.
The Kempinski Al Othman Hotel in Al Khobar will have 141 rooms, 57 suites and 20 serviced apartments. The Kempinski Hotel Burj Rafal will be located in Saudi Arabia’s tallest tower and upon completion will boast 300 luxury guest rooms and suites. The Kempinski Hotel Royal Maxim Cairo in Egypt will feature 248 rooms and suites.