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Le Meridien looks set to double rooms in UAE


With the announcement of three new projects for the United Arab Emirates - as well as a new management contract - Le Meridien has underlined its confidence in the in-bound business and leisure sectors in the Arabian Gulf country. The luxury hotel group is expecting a 30 per cent growth in revenue - up to Dhs183 million - next year.

According to Le Meridien's managing director, Middle East & West Asia, Sami Zoghbi, the expansion and refurbishment plan - amounting to more than 
Dhs85 million - is running through each of the company's four existing hotels 
in the UAE (three in Dubai, one in Abu Dhabi). 

Further investment has been made in a new property in Abu Dhabi and to the tune of Dhs100 million in Le Meridien Al Aqah Beach Resort in Fujairah. Thanks to new projects in the pipeline, this will mean an additional 920 rooms in the UAE in 2003 - a 70 per cent increase on the current room stock of 1320 - reaching a 100 per cent increase in the near future.

"Le Meridien is geared to keep abreast of Dubai's own accelerated development, which includes initiatives in areas such as banking, technology, commodities and manufacturing, while the staging of the IMF/World Bank convention next year will launch the emirate as a leading international conference venue," he said.

"We see our expansion plans and the move into new areas as widening the Le Meridien product offering, in tandem with demand from business and leisure segments. In addition, we are looking at developing the deluxe Le Royal tier in the UAE, while remaining equally committed to our core Meridien brand.

"Key to all of this development is the relationship with our owners," said Zoghbi. "Their support and vision is paramount to the success of the brand, the properties and the development of tourism and hospitality in the region."

He indicated the group was looking to introduce two new brands within the next 12 months, giving Le Meridien one of the widest product tier portfolios in the industry.

Looking at recent in-bound figures in support of Le Meridien's initiatives - Dubai was up 6 per cent last year - this trend has been confirmed by the group's first quarter results. Occupancies in the 90s were achieved during March at the group's existing four UAE hotels, pointing to bullish activity in both the commerce and leisure sectors.

Turning to specific properties, Le Royal Meridien Beach Resort & Spa is in the third and final phase of a Dhs200 million expansion project. The first phase saw the opening of the Tower, including the Caracalla spa and health club, two new restaurants and the tea lounge. The second phase resulted in the creation of two new restaurants and the enhancement of the gardens and the pool bar.

The last stage of the renovation involves the refurbishment of all the bedrooms in the main building, and will bring the rest of the hotel in line with Le Royal branding. Scheduled for May to August, the work is not expected to have any impact on the hotel's summer targets. 

Le Meridien's flagship property in the UAE now offers 500 rooms, 14 restaurants and bars, two pools, a luxurious spa and extensive recreation facilities.

A new look is also being considered for the group's second beachfront hotel in Dubai, Le Meridien Mina Seyahi Beach Resort & Marina, on a project to enhance its already extensive resort facilities.

In the mean time, the hotel's popular Retro restaurant is undergoing a complete upgrade and expansion, set to add more seating and an evolved image to the hip evening dining spot with a South American flavour. The restaurant has long captured the interest and loyalty of Dubai's dining connoisseurs and the refurbishment project is set to take Retro to greater heights.

Meanwhile, Le Meridien Dubai looks set to undergo refurbishment of all of its existing rooms - as well as adding another 200 rooms, courtesy of a Dhs50 million expansion project on the drawing board for completion in 2003.

Once approved, the existing ballroom is to undergo extensive renovation and expansion, doubling capacity to 1,000 at an investment of Dhs12 million, while three more restaurants will open by early next year, showcasing Spanish, Lebanese and Indian cuisine and taking the hotel's dining outlets to a grand total of 17.

A key element of the refurbishment will be the region's first glimpse of Le Meridien's new Art + Tech concept, a lifestyle design that is available in the group's Grosvenor House hotel in London. It is currently being introduced at select properties in Europe with the USA to come on stream at the end of this year.

Central to the Art + Tech design are hallmark 42-inch plasma screen TVs, NASA-designed beds, multi-jet showers and glass-etched headboards. With more discerning business travellers moving to 'boutique hotels', Le Meridien is the first international hotel brand to take on these hotels head-to-head by combining cutting-edge style and individual service with a global portfolio of luxury properties.

In Abu Dhabi, in the existing core brand hotel, Le Meridien Abu Dhabi, a new Sports Café is being developed at a cost of Dhs2.5 million, and the gym has been upgraded at a cost of Dhs600,000, while the spa area is scheduled for imminent upgrading. Feasibility studies are also underway that could encompass a whole room, outlet and landscaping renovation: a decision on the project is expected next month.

The latest addition to the company's portfolio in the UAE capital is the Abu Dhabi Grand. Le Meridien has just signed an agreement to resume management of the property, which will be upgraded and rebranded as a Royal Meridien.

Zoghbi said: "This will be Le Meridien's flagship Le Royal property in the capital, and reveals the extent of our commitment to the Le Royal brand. Central to the refurbishment will be new F&B concepts and superior butler-centric service standards that are core elements of a Le Royal Meridien."

Russel Sharpe, regional senior vice president, sales and marketing, stressed that the upscale hotel operator is constantly looking at the market to identify new opportunities for expansion. He said: "We feel very positive about our new beach property in Fujairah, Le Meridien Al Aqah Beach Resort, which opens in December and represents a new destination for us."

Located on a two-kilometre beach fronting the Indian Ocean, the hotel is a joint venture between Emirates airline and the government of Fujairah. 

Sharpe explained: "For most overseas travellers, Fujairah is a virgin territory and this will be part of its appeal - in addition to facilities available at Le Meridien Al Aqah Beach Resort where a resort ambience will be combined with value-added luxury."

The 219-room Le Meridien Al Aqah Beach Resort will offer a range of facilities for both the tourist and incentive travel markets including two pools, children's club, health club, speciality restaurants, Royal Club executive floor, business centre and conference rooms.

Extensive landscaped grounds include a amphitheatre and stage, vast free-form pool with waterfall feature plus a dedicated children's pool, three tennis courts, a watersports centre and a professional dive centre, facilities for beach volleyball and an al fresco bar and restaurant.

The mix of facilities is expected to enable the hotel to establish a reputation catering for both leisure and corporate guests, said Sharpe. "The success of our resort properties in Dubai is a good indication of the potential for Fujairah, where the combination of sun/sea/sand and a good quality hotel operation has already been well received by European tour operators."

Zoghbi said that the company's growth in the UAE is a response to the country's untapped potential, combined with the government's ongoing tourism drive. He said: "While last year's events caused a hiccup in growth, our own hotels' performance demonstrated that business is back to last year's levels.

"Le Meridien is the leading hotel brand in the UAE and we intend to keep it that way. Potentially, we have the facilities to expand in more cities in the UAE with products that give us the edge over the competition. For example, our new Art + Tech concept rooms have already been recognised in Europe has being on the cutting edge of new hotel room design. 

"In the past six months, we have welcomed more than 150,000 guests who stayed for nearly 400,000 nights. We should get it right by knowing who our customer is, and what they want," he concluded.

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