New investments, the potential implementation of which is expected to further upgrade the tourism product of the island's mountain resorts and reposition the wider Troodos region on the map of the country's tourism industry, appear to be - if not yet in the works - at least at the stage that will create the conditions for their launch.
These actions concern hotels in the mountain resorts in the Troodos region and, at the present stage, Kakopetria in particular, where current owners appear ready to sell to foreign investors if and when they are found and agreements leaving both sides satisfied are reached. This is a development that, if it goes ahead, is anticipated to give a dynamic boost to tourism in the region.
It is recalled that, especially in recent years, a lively investment interest has been recorded and transformed into action for hotel units in the wider Troodos region, with the most recent being the acquisition of Rodon Mount Hotel & Resort in Agros by the foreign investor, Balram Chainrai.
A new era began, moreover, with the investment made about a year and a half ago by the well-known businessman Costas Kleanthous in the Forest Park, in Platres, while just last July, the Pendeli Resort (formerly Pendeli Hotel), also in Platres, was inaugurated under the ownership of Property Gallery.
Property Gallery generally puts its own stamp on its series of projects, since it is recalled that, among others, it acquired and renovated the Petit Palais Platres Boutique Hotel. Moreover, as part of its continuous investment in the Platres area, Property Gallery also undertook the reconstruction of the historic Splendid Hotel.
At the same time, work is progressing intensively on DTA Group’s ambitious project called “Guru”, which aims to become the largest private community in Cyprus, a mountain resort with a total area of 109,600 sq m.
And all this, while a few kilometres further on, specifically in Prodromos, the historic Berengaria hotel is in the process of being revived and expected to be fully operational in the coming years.
The hotel, the revival of which is being implemented by BBF, will reopen under the name Berengaria Luxury Boutique Hotel and will bear the seal of Thanos Hotels & Resorts, which will assume its management within the framework of a strategic partnership it has entered into with BBF.
Seeking and entering discussions with potential investors.
Against the backdrop of the new scenario that the entry of new major players into the hotel industry of the wider Troodos region and in Platres in particular has created, the hoteliers of Kakopetria are also looking for investors for their own units.
In fact, in this context, contacts have been made and are being made with potential buyers, to whom hoteliers are presenting and promoting their units, through a coordinated effort developed by the Kakopetria Community Council in collaboration with the President of the Troodos Network, Panayiotis Papadopoulos.
Among the hotels interested in sale, as stated by the Chairman of Pasyxe’s Mountain Resorts Committee and co-owner of the Ekali Hotel, Andreas Mandalas, speaking to InBusinessNews, are Ekali Hotel, Crystal Boutique Hotel, Makris Hotel Kakopetria and Rialto Hotel.
"That is, there are hotels that, as entrepreneurs, we are ready to hand over to new owners," Mandalas pointed out, adding that he himself has already been in contact with three foreign investors.
"I believe there is interest and we will soon hear that investors are coming who will submit proposals for the acquisition of hotels in the mountain resorts," was his relevant statement.
Why are hotels being sold?
Asked about the reasons why Cypriot businessmen are selling their hotels in the mountains, Andreas Mandalas was clear, "The hotels are being sold because most of them are family-run and there are no successors. Who will take on the task of introducing new ideas, of investing?" he asked.
"It's difficult to keep them, and fortunately, there are the de minimis programmes of the Deputy Ministry of Tourism, which give us a breather for changes in our hotels," he added.
The gain for investors and the message to the state
Mandalas appeared convinced that the investors who will acquire the hotels will recoup the money they will spend, through the upgrading of the units and the new services and amenities for customers.
"Of course, this will be done against some other price. We will not talk about the existing prices. And it must be a serious investor, since there are two to three categories of Cypriot customers that they must take into account. If the cost of overnight stays rises from €70–100 to €200, you understand that this may act as a deterrent for some," Andreas Mandalas suggested.
He sent a message to the state expressing the expectation that, seeing these investments, it will proceed with the implementation of projects that will promote mountain tourism with greater intensity.
"The issue is for the state to listen to us and create a mini casino in the mountain resorts, serving all communities, so that there are no injustices," he emphasised, adding that this is a long-standing request, which can also be satisfied with a mini casino, if the implementation of a larger casino is impossible.
The fullness of summer
Meanwhile, when asked by InBusinessNews to provide the picture that prevailed in mountain resorts this summer, the Chairman of Pasyxe’s Mountain Resorts Committee noted that "occupancies in mountain resorts from 10 August to 24 August ranged from 80%-100%. July was somewhat down, if it weren't for the government schemes, we would have had major losses."
Guest traffic, as he pointed out, was the same as last year and every year on such days in August, specifically, it is up to 100%. The issue, he added, is that until 2014 the hotels of the mountain resorts were full from July until the beginning of September.
Regarding the autumn and winter months, Mandalas expects occupancy rates close to 85%, due to the momentum provided by state schemes for low-income pensioners.
(Source: InBusinessNews)
