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September 2022, Virtual
September 29 2022, Virtual
Rezidor Hotel Group has recorded an increase in occupancy of 5% for the second quarter of 2010, compared to Q2 2009.
The revenue per available room (RevPAR) also saw a rise, from €62.8 to €67.1.
Kurt Ritter, Rezidor's CEO, said the rise in RevPAR had been driven by higher occupancy.
"Room rates, too, have seen a gradual recovery in recent months," he said.
"All of Rezidor's operating regions reported RevPAR growth."
Ritter warned that although the market is improving, "the absolute RevPAR is still at a historically low level and will need continued improvement to yield a satisfying profitability".
The hotel group sacrificed room rate for occupancy, reporting a fall of 1.2% in average house rate, which reflects the price of the average room, but a rise in occupancy of 8%.
The area which recorded the strongest growth in occupancy was eastern Europe (17%), with Russia alone seeing a rise of nearly 25%.
During the second quarter of 2010, Rezidor opened 4,000 new rooms, 90% of which were under a management or franchise agreement.
As part of a management agreement with Reval Hotels in the Baltics, the group signed a further 2,400 rooms, which were rebranded under the brands Park Inn and Radisson Blu.
Rezidor also sold its part of Regent hotels, which meant a cash inflow of €10.6 million. The hotel group plans to reinvest the capital in growing the Park Inn and Radisson Blu brands, as well as the new lifestyle brand Hotel Missoni.