Business | Tourism
Hilton remains positive despite economic slump
Hotel management chain Hilton remains "positive" about new contracts in the region despite the global economic crisis affecting the hospitality sector in the region, a senior official said on Tuesday.
- By Shakir Husain, Staff Reporter
- Published: 23:42 December 23, 2008
Dubai: Hotel management chain Hilton remains "positive" about new contracts in the region despite the global economic crisis affecting the hospitality sector in the region, a senior official said on Tuesday.
Ivor McBurney, Hilton Hotels Middle East vice-president for developments, told Gulf News the company has not seen "any impact on our business in the Middle East and Africa, but it is impossible to insulate ourselves entirely" from what is happening globally.
He said Hilton continues to pursue new developments in the region and "that is positive".
Several Dubai hotels that had been planned for completion in 2007 and this year were delayed due to a shortage of contractors because the construction market was overheated and because of financing problems.
McBurney declined to say if Hilton projects were also affected by delays this year.
But he said work is unaffected on projects under development.
"In terms of projects, we are not aware any of our developers have difficulty in accessing funds. Financing for many of these projects was already in place," McBurney said.
The company plans to open the Hilton Dubai Jumeirah Beach Residence, a property comprising 371 rooms and apartments, in October next year. The Hilton Ras Al Khaimah Resort & Spa will open its 320 rooms in two phases in 2009. Hilton has 17 projects under development in the UAE, Kuwait, Qatar, Leb-anon, Jordan and Africa.
Additionally, it plans to open the first of 13 mid-range Hilton Garden brand hotels in Saudi Arabia next year.
The rest will be developed over the next five years, McBurney said.
Hilton expects more demand for mid-range properties in the Gulf.
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