Showing posts with label Hotels in Kenya. Show all posts
Showing posts with label Hotels in Kenya. Show all posts

Wednesday, 21 June 2017

KENYA: Sarovar Wants Sh57 Million Compensation From Ole Sereni Hotel For Terminating Management Contract

Hospitality company Sarovar from India has asked the High Court to allow it to recover Sh57 million from Ole Sereni as compensation for being unfairly booted from management of the four-star Kenyan hotel.

Sarovar claims in suit papers that Ole Sereni has failed to honour demands for settlement of the Sh57 million it was awarded by an arbitration panel in December last year.

Ole Sereni is yet to respond to the suit. Justice Rachael Ng’etich has ordered the Kenyan hotel to respond before July 19 when the case comes up before her again.

Ole Sereni on opening its doors in 2009 hired Sarovar to manage the Mombasa Road facility. The hotel however parted ways with Sarovar in 2013 following allegations of negligent management.

The two parties opted to settle their dispute through arbitration, and in December last year the panel of Njoroge Regeru, Njeri Kariuki and Wilfred Nderitu ruled that Ole Sereni had not followed due process and awarded the Indian firm Sh57 million.

Sarovar has sued Ole Sereni through its parent firm, Placid View Properties Limited.

Sarovar argued that Ole Sereni did not give a 30 day notice before terminating its management deal with the four star hotel.

The final award has not been modified, set aside, or varied by any competent court. I am not aware of any proceedings in this honourable court seeking to set aside or vary the final award. Placid View Properties Limited is yet to settle the final award despite my company making a request through our advocate.

I request this honourable court to adopt and enter judgment against Placid View as per the final award of the arbitration tribunal to enable my company enforce the resultant decree. I also pray that my company be awarded the costs of these proceedings, Sarovar executive director Ajay Bakaya says.

But Ole Sereni insisted that there was no need to issue a notice, as Sarovar had breached the management contract by failing to ensure that the hotel was up to standards expected of a four star facility.

Tuesday, 13 June 2017

KENYA: Eritrean Investors To Construct Luxury Hotel In Kilimani, Nairobi

Eritrean investors are injecting Sh450 million into the construction of a 15-floor four-star hotel in Kilimani, Nairobi.

Hearan Enterprises, which is represented by directors Isaya Desale Berhe and Winta Mengisteab, said it plans to develop the high-end facility on a 2.2-acre parcel of land bought two years ago at Sh390 million.

The planned luxury hotel is located opposite the Nigerian High Commission and is sandwiched between White Oak and Luxury Image apartments.

Plans prepared by Architect Getachew Bekele show a three-level underground section is reserved for a car park for 160 vehicles, with the first three floors set aside for an all-day and night restaurants.

Its accommodation rooms on the fourth to 13th floors will include three executive suites, 97 dubbed king, twin (22), club king (32) club twin (9) and 17 junior suites.

The development also has a ballroom and business centre as well as offices, a gymnasium, a 25-metre pool, meeting and events room. A bar is located at its topmost floor together with a specialty restaurant giving guests a panoramic view of Nairobi.

According to an environmental impact assessment study, residents have welcomed the development saying it will boost business in the upmarket area and create jobs for hospitality industry professionals.

The area has attracted foreign investors led by the Chinese who are quickly turning it into a commercial suburb. Several hotels and premium apartment blocks have sprouted in the once purely residential area.

Wednesday, 10 May 2017

KENYA: Brief Case Or Unlicensed Tour Operators To Be Stamped Out, Kenya Tourism Board

The government will reign in on unscrupulous and unlicensed tour operators who were giving undue competition to genuine businessmen in the tourism sector.

Kenya Tourism Board (KTB) Acting Chief Executive Officer Jacinta Nzioka said the board will engage with other relevant government agencies and regulatory bodies in the sector to stamp out the menace.

She made the remarks in a statement read on her behalf by KTB Domestic Assistant Regional Marketing Manager Alphose Munguti during a one-day training workshop of domestic tourism sales agents in Diani over the weekend.

KTB has launched a one-month long training for domestic tourism sales agents across the country with over 500 operators benefiting in Kilifi, Mombasa and Kwale counties.

Other government agencies including Kenya Wildlife Service (KWS), Kenya Utalii College, Tourism Fund, Tourism Regulatory Authority and National Museums of Kenya are supporting the training.

The training aimed at sensitizing the agents on the potential the domestic market had in the growth of the tourism is set for Kisumu, Nakuru and Meru before the launch of phase two in other regions that have not been covered.

Over 1.2 million Kenyans afford air transport

According Ipsos Synovate in a research commissioned by KTB, over 10 million Kenyans are in middle-class status with their spending power ranging from shillings 24,000 to 120,000 shillings per month.

Further, over 1.2 million Kenyans are potential air travelers, adding to the potential of domestic travelling across the country.

Nzioka noted that domestic tourism has grown remarkably in the recent past contributing 56% of total bed nights occupancy.

“This market is resilient and reliable in cushioning the sector during hard times and that is why we have began sensitizing those who are selling domestic tours to take up this opportunity,” said Nzioka.

During the training in the coastal region, the sales agents lamented that ‘brief case’ tourism operators we operating without licenses, giving cheap tour packages to travelers since they were not paying government taxes.

A trainer took through participants during a one-day training in Mombasa

Led by Susanne Ndoli of Monika Tours and Safaris, the operators pointed out that cases of tourists being conned out of their money by rogue operators have been reported in the past.

“Besides giving us undue competition by evading taxes, the reputation of our destination is at risk, if the unlicensed operators continue to operate unchecked,” added Ndoli.

Domestic Tourism Association chairperson Stacy Wakesho called on the sales agents to register with relevant associations as a platform to champion their interest in the sector.

The agents mostly beach operators, curio operators and safari sellers also appealed for more hospitality refresher courses by Kenya Utalii College to improve their service delivery.

Saturday, 16 January 2016

KENYA: Minimal Charges Good For Tourism

Tourism is one of the country's top foreign exchange earners. The sector earned Kenya Sh93.9 billion in 2013 from some 1.09 million visitors. It is for this reason that the Government, through the Ministry of Tourism, its embassies abroad and Brand Kenya, go out of their way to encourage more tourists to visit the country.

Among the reasons given for the dismal number of visitors to the country are the visa fees levied and exorbitant entry charges at game parks. But while visa fees affect only foreigners, high entry fees to national parks has remained a hindrance to the nascent domestic tourism. This is despite the fact that domestic tourism could easily be exploited to bring in the much-needed extra revenue.

It is encouraging that in addition to other efforts to market Kenya abroad and boost tourism, President Uhuru Kenyatta has directed that entry fees to national parks be reduced from $90 to $60. Additionally, he directed that visa fees for children under the age of 16 years be reviewed downwards to encourage parents to bring along their children on visits to our beautiful country.

It is in the best interest of the country for the relevant authorities to actualise this directive immediately and also embark on popularising domestic tourism. Lastly, but not least, the perception that tourism is a preserve of foreigners should be discouraged because an expanding middle class is finding the means to sample Magical Kenya.