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Tue 10 Jul 2018 03:35 PM

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Marriott will no longer run Al Habtoor City hotels

The St Regis Dubai, W Dubai Habtoor City and The Westin Dubai Al Habtoor City will be transferred to Al Habtoor from July 31 - statement

Marriott will no longer run Al Habtoor City hotels

Marriott International will no longer manage or be associated with The St Regis Dubai, W Dubai Habtoor City and The Westin Dubai Al Habtoor City, from the end of July, it was announced on Tuesday.

Marriott International and Al Habtoor Group said they have agreed these hotels will no longer be part of the St Regis, W Hotels and Westin Hotels global brand portfolios.

This is a mutual decision reached amicably between the parties, a statement said, adding that the management of these hotels will be transferred to the owning company.

"The parties are working closely together to ensure a smooth and seamless transition for associates, clients and partners," the statement said.

Khalaf Al Habtoor, chairman of Al Habtoor Group, said: “We maintain a strong and friendly relationship with Marriott International. This decision marks the start of a new era for Habtoor Hospitality as we focus more on strengthening our own brands and expanding our hotel-management portfolio."

“Al Habtoor Group continues to be an important partner of Marriott International. We value the relationship and thank them for their partnership, wishing them all the very best in their future endeavors,” said Alex Kyriakidis, President and Managing Director Middle East and Africa, Marriott International.

"The UAE continues to be a key growth market for us and our momentum of growth in this market demonstrates the trust owners have in our compelling brands and their interest to tap into Marriott International’s distribution, network and globally recognized loyalty program. As a company we continue to explore and discuss opportunities that are in line with our overall growth strategy.”

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AN Smith 1 years ago

I think this will begin a trend in Dubai- too often owners purchase/ construct extravagant hotels that require insanely high ADR/ Occupancies to justify the cost of the building. Big brands want to increase their footprint of keys around the world and thus they sign on to "big, glitzy" Dubai projects because it's globally renowned as a tier one luxury destination. Then, because owners want a quick ROI on their build, and because hotel groups want access to new projects, unrealistic budgets are set that would be impossible to reach due to the current economic climate in tourism and hospitality (along with the costs associated in running these properties). And it is often the executive team/ staff who is responsible for delivering on this "agreed to" budget, and when they can't, the brands become responsible. It is a never-ending cycle that will continue unless A) owners agree to more realistic expectations based off the current economic climate B) don't build as extravagant buildings/ take out high loans that require immense and imminent ROI and C) look at building the 3*/4* category up as that is what travelers currently require. This is not a difficult concept to understand.