WITH a portfolio of 50 hotels and another 25 under development, Starwood Hotels & Resorts has definitely established itself as a market leader among luxury hotel operators in the region.
This year alone, the company will open more than 80 hotels globally, which will add 12,000 new jobs to the global economy.
And with nine world-class brands including Sheraton, Le Meridien, Westin, Four Points, The Luxury Collection, Aloft, Element, St Regis and W, 2010 was a strong year for the group in which occupancies averaged at 65 to 70 per cent and revpar increased by 11.3 per cent.
Matthew Avril, president, hotel group for Starwood Worldwide, says the Middle East region has been at the global crossroads for years and as the region continues to grow, Starwood is dedicated to continued expansion in the region.
“Our first property dates back to 1966 with the debut of the Sheraton Kuwait Hotel & Towers. Today, eight out of nine Starwood brands operate in the Middle East and by 2015, all nine Starwood brands will have a presence in the region,” he said.
“Today we can offer our guests a number of distinct brands from the luxury St Regis to the trendy Aloft but one thing that will remain consistent is our commitment to our guests. As a global brand, that is key for us.”
The company kick-started the year with several announcements including the opening of the new Sheraton Sharjah, due in 2013, which will mark Starwood’s debut in the emirate.
The group will also add to its portfolio in Muscat three hotels under its W, Westin and Element brands, while the Sheraton Oman is scheduled to reopen later this year following a renovation.
2011 will see Starwood debut its ultra-luxury brand, St Regis, in the Middle East with the opening of three properties, one in Doha and two in Abu Dhabi and in 2012 the brand will launch in Jordan with the St Regis Amman and The Residences at St Regis Amman.
Avril is extremely bullish about the St Regis despite cautious travellers. “The Middle East has continued to sustain growth, emerging stronger and better, which is reflected in the expansion plans in the region,” he said. “The St Regis brand is all about great location and offers a bespoke experience. The St Regis portfolio has grown from 11 to 23 properties globally and we are looking forward to opening doors in the region.”
And he points out that emerging and fast-growing markets such as China, India and Russia will also boost travel into the region. China is expected to be one of the world’s largest outbound tourism markets by 2020, with a predicted 100 million outbound trips a year. “As the Chinese travel, they will look out for brands they are familiar with and, with 65 hotels in China and another 83 under construction, this will have a meaningful effect on our business globally, ” said Avril.
The Al Maha Desert Resort & Spa in Dubai was recently added to Starwood‘s Luxury Collection portfolio. The resort, now called the ‘Al Maha, a Luxury Collection Desert Resort & Spa, Dubai’, strengthens the group’s luxury portfolio in the Middle East. Avril added: “We do see great scope for more environmentally sustainable development projects in the region and it would be the next step for the company. We’ve already seen great interest from our Starwood Preferred Guest members for Al Maha, which is very encouraging. “The Luxury Collection plans to open two additional hotels in Aqaba, Jordan and Ajman, UAE.
The company’s newest brand, Element, will make its debut in Muscat, Oman, as part of a trio of Starwood hotels opening in the city. Element is Starwood’s eco-chic hotel brand which blends nature-inspired smart design, inspiring public spaces and comfortable modern touches.
“After a strong contraction in the US, we are finally beginning to see recovery. While emerging markets like China and India will boost this change. Besides these geographical markets, the middle-class income group and generation Y category of travellers will drive this demand,” concluded Avril.