Hotels Expected To Add 10,000 Rooms

[george]

Hotels expected to add 10,000 rooms

After being hard hit by a string of economic and health crises, many hotel and resort owners are expanding again, a trend which is expected to see 10,000 new rooms built this year, according to the Thai Hotels Association.

Thailand currently has about 300,000 rooms for tourists, including those at hotels, resorts, serviced apartments and guesthouses.

Association secretary-general Prakit Chinamourphong said the industry is slowly recovering after the 1997 financial crisis.

The industry's growth will create great business opportunities for hotel developers to invest more. Popular tourist destinations Bangkok, Chiang Mai, Phuket, Krabi and Samui Island are the main areas of interest for developers.

The total number of rooms includes The number of rooms is predicted to increase by at least 10,000 this year, said the association.In Bangkok, there are currently 8,000 rooms and that will increase by 5,000 rooms in the next few years. International hotel operators such as US-based Conrad and Metropolitan of Britain are focused on expanding business in the capital rather than upcountry.

Many new hotels are under construction such as The Ritz Carlton on Sukhumvit Road, the Crown Plaza also on Sukhumvit, The Kempinski at Siam Paragon, another Sofitel on Sukhumvit, The Central World Plaza Hotel and the Scandic Hotel at the Pratunam Complex.

"The tourism situation this year is better than last year because the Sars and bird-flu epidemics are almost certainly finished." said Prakit.

James Wilson, managing director of the Pathumwan Princes Hotel, said that The Dusit Thani Hotels and Resorts Group, one of the country's largest hoteliers, is planning to open more hotels, both in Thailand and overseas.

The group will manage two hotels under the Princes management chain -- one in Ayutthaya province and another in Khao Yai. The company is also negotiating with a hotel in Chiang Mai. Outside of the country, Dusit Group will open two hotels in Fiji and one on Seychelles Island in the Indian Ocean.

Prakit said Chiang Mai, which has become a gateway to neighbouring countries, is scheduled to see world-class hotel chains Hilton, Shangri-la, Conrad, Banyantree, Sheraton, Amanpuri and Oriental setting up operations soon.

Phuket and Krabi are the most attractive provinces in the southern region. Several hotels have started operating such as Tab Kaek Krabi Resort, Krabi MerriTime and Princes under the Princes Group.

For Phuket, real estate consultants CB Richard Ellis have reported that 35 development projects would be added to the island. The Mariott Group is planning to open new resorts in Phuket and Samui due to high demand for rooms from tourists.

The Central Group of Hotels and Resorts, another big industry operator, is also planning to invest Bt8 billion over the next three to five years. The money will be spent on new projects and renovations.

"Central's new hotels will be in Phuket , Krabi and Bangkok (Central World Plaza) and in Vietnam, while there will be a renovation in Pattaya," said company executive vice resident, Gerd Steeb.

Accor Asia Pacific, a regional hotel group which runs hotels under the Sofitel, Novotel and Mercure brands in Thailand, has also injected big money to take over properties as well as step into managerial roles in most parts of the country.

Other developments are planned in Nong Khai province in the Northeast and Pattaya in the East.

--The Nation 2004-03-16