Next-Stop.ru | 24 March 2008 | Ways of Increase Hotel Income

“Hotel business of Russia has high investment attractiveness”, said the head of Rostourism Vladimir Strazhlovskij.

“Analysis of the modern tourism market illustrates that the market has been rapidly developing in the last years. There are a lot more investment offers for hotel construction both from foreign and Russian investors”, - said Mr. Strazhlovskij in the visiting meeting of Rostourism in Kazan.  Construction sites in Moscow and Saint-Petersburg are the main interest for the investors. However there are not so many market opportunities in these regions as there are offers.

“Maybe the investors will be interested in the regions. But it involves a great amount of work: special sites should be prepared to attract investment”, said Mr. Strazhlovskij. According to him at the moment more than a half of hotels do not have any star rating and need to be reconstructed. At the same time a lot of new hotels are being built. 400 properties able to accommodate 41 thousand people were added in 2007.

There is a big interest for the construction of small hotels in resort zones: Krasnodar, Stavropol and Rostov regions. In the last years a lot of hotels appeared as a part of international and Russian chains. It enhanced standard of service and responsibility.   

According to Rostourism there are more than 6 ths hotels in Russia today, in 2004 there were approximately 4 ths. If to take into account wellness centers (sanatoriums), full board guest houses (“pansionaty”) and guest houses the whole amount of accommodation means totals to 11 ths. The amount of Russian citizens who stayed in sanatorium-resort organizations amounted to 26,6 mln people last year, in hotels – 16,4 mln people. The annual growth of domestic tourism amounted to 10%. 25 mln domestic tourists were registered in 2006, 27-28 mln in 2007.

These investment programs will help to considerably renew hotel base. This will let considerably improve tourism attractiveness of Russia taking into account the constant increase of inbound tourism into central and northwest regions of the country.

Print version: Investment to hotel construction

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