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How to Sell Hyattas
The hotel is on billions
The construction of two "Hyatt" - on Cape Burny and on Vladivostok's Korabelnaya embankment - began during preparations for the APEC-2012 summit, but has not yet been completed. It seems that they will not be completed in time for another big event for Primorye - the Eastern Forum, which will be held in Vladivostok in August 2015. The representative of the Administration of the Primorsky Territory in the comments to EastRussia said that the regional authorities do not connect the holding of the forum and the completion of the Hyatt - they are planned to be commissioned only at the end of 2015.
Design errors have been reported and hotel prices have increased steadily. Last year, the Primorye Chamber of Control and Accounts announced that the contractor, the construction company IC Primorye, had not reported for an advance of 4,8 billion rubles. After this, the contractor was suspended for his work. The new general contractor is the Unified Directorate for the Construction of Facilities in the Primorsky Territory.
As for the second hotel at Cape Burny, the question of its construction in parliament is not raised. According to the regional authorities, it is ready for about 80%, although in the construction schedule on the contractor’s site, commissioning and commissioning are planned for another 2013 year.
Deputy of the Legislative Assembly of Primorye, Deputy Chairman of the Committee on Fiscal Policy and Financial Resources Vladimir Bespalov told EastRussia a short history of financing "Hyatt" on Korabelnaya Embankment.
“Last year, it was decided to give a state guarantee for 1,4 billion rubles for completion, so that in 2014 the facility could be put into operation. But we were faced with the fact that guarantees turned into real money and the region paid off the loan in order to finish building at least one hotel. With an estimated cost of 7,5 billion rubles, 14,5 billion have already been spent, and another 1,4 billion rubles have been allocated for the completion of one hotel, ”says Bespalov.
The question of returning the money spent to the budget for the interlocutor is also controversial. “I do not see the scheme yet, when the money will be returned and how much will be returned. No guarantees and documents are shown. In the light of the events taking place in the Far East, it is time for the Investigative Committee of Russia to sort out this situation. Now there is not enough money to maintain the level of pensions, but here billions are leaving, ”says Bespalov.
Who will buy the Hyatt?
Opinions differ as to whether someone will buy the hotel. As the parliamentarian Galust Hakhoyan stated, when the object is commissioned, it will have a market price. “There will certainly be people who want to buy a hotel. The opening of the free port of Vladivostok is coming, and the five-star hotel may become the city's hallmark. Both businessmen and tourists will be able to stay there. This will play an important role in the development of the city and the region, ”said the deputy.
As Director of the Far Eastern Center for Economic Development and Integration of Russia into the Asia-Pacific Region of FEFU Alexander Abramov told EastRussia, due to the fact that the ruble has devalued and the balance in this matter has been found, it is time to buy.
The director of the Institute of International Business and Economics of VSUES, Professor Alexander Latkin is of a different opinion. He believes that the situation with the Hyatt has developed into a stalemate: “We have brought matters to such a state where it is impossible to do otherwise - we need to constantly pour in money from the regional budget, we need to finish building. And no one has found real buyers for the hotel yet ”.
According to the professor, now there is a huge risk of losing funds invested from the budget.
“If there was now a specific agreement, an agreement that such and such a company buys a hotel, then all of us would be calmer. But there is no such agreement, and it turns out that the money seems to have flown away somewhere. In general, even before the summit, it was necessary to plan and think about whether this construction was needed. Now the governor needs to figure it out, because the money spent is our taxes, and it's not a fact that even if Hyatt is sold, it will return to the budget, ”Latkin says.
The professor believes that the city does not need hotels of this level, especially since now the occupancy rate of the existing ones is not very high. “In addition, the opening AZIMUT and the current Hyundai can compete with Hyatt. And in general, there are a lot of hotels in the city. All this had to be taken into account even when working out the business plan, before the start of construction, ”the interlocutor is sure.
Why Primorye five-star hotels?
Meanwhile, in Vladivostok, the first in the Far East smart-hotel "AZIMUT Hotel Vladivostok" is being prepared for opening. It is planned that it will receive its first guests in May. Despite the challenging economic environment and high competition in the market, management is looking forward to high occupancy rates.
The hotel is a 4-star hotel, however the management is going to apply for XNUMX stars. After the renovation, prices are expected to rise and approach Hyundai's.
“Our halls are designed for holding press conferences, forums, summits. We hope to host the guests of the Pacific Meridian festival in September and work closely with the Primorye administration. The tourism and business market in the region is developing, and many foreign guests come here. Taking into account that the opening of the hotel falls on the beginning of the season, we expect 70% occupancy, ”notes Taraskova.
According to her, the hotel rooms are already being booked, and applications from guests from South Korea, Indonesia and China are being received. At the same time, the upcoming opening of "Hyatt" and the need for this kind of hotels in the region raises doubts in the interlocutor.