NAIROBI COUNTY: Kenya is set to host five new medium-size hotels offering additional 704 hotel rooms to cater for growing demand for travel and accommodation in the country. This comes on the back of increasing interest by international hotel brands seeking to set base in Nairobi.
A report by W Hospitality Group, a member of Hotel Partners Africa shows the hotels will be put up in various parts of the city in the course of this year at an estimated cost of Sh7 billion. “Once complete the hotels will increase the rooms in the hotel industry by 704 rooms,” adds the group’s 2014 Hotel Pipeline Report released early this week.
According to the report, Radisson Hotel group is putting up a new hotel in Upper Hill area, a new Tribe hotel is coming up in Village Market and Ole Sereni is putting up a new hotel near Jomo Kenyatta International Airport ( JKIA). This is in addition to a new hotel by Dusit International Company while the Popat family is also establishing a new hotel in Westlands.
Kenya Association of Hotelkeepers and Caterers (KAHC) Chief Executive Officer Mike Macharia said the Kenyan investment environment is still conducive despite growing insecurity witnessed in the past one year. “We expect to continue witnessing more investments in the country as there is still goodwill from various players around the world. The current hotels coming up are funded from local investments,” he added.
Mr Macharia said a medium-size hotel costs between Sh1.2 billion and Sh1.4 billion. He said the new hotels will increase rooms in Nairobi from about 4,000 rooms rated recently as good quality hotels. See Also: KQ to open Sh120m executive lounges at JKIA next month “We are still facing a shortage of quality rooms to accommodate visitors, both local and international,” he added.
The new report ranks Nigeria as leading in Africa with the highest number of hotels under construction. “Nigeria has the most hotel rooms in the pipeline, with 6,614 rooms in 40 hotels followed by 4,828 rooms in 29 hotels in Morocco,” the report says. Other high-ranking Sub-Saharan Africa countries in terms of hotels include South Africa, Ghana, Ethiopia and Senegal.
However, the data for Egypt shows a sharp drop in its pipeline hotels partly due to the opening of two Hilton projects (730 rooms) in 2013, plus a 703-room Steigenberger and a 418-room MÃƒÂ¶venpick. Global hotels investing in Africa include Hilton, AzalaÃƒÂ¯, InterContinental Hotels, Mangalis, Marriott International, Rotana, Starwood Hotels and Resorts, Carlson Rezidor and Louvre Hotels Group.