HARARE – Listed hotelier, African Sun Limited (ASL), has embarked on a major refurbishment exercise on its hotels in its quest to attract higher occupation rates.
“Exterior painting at Elephant Hills Resort and Conference Centre is now complete, and the hotel now has a fresh look,” ASL said yesterday.
The hospitality concern, which recently awarded a management contract to Legacy Group Hotels to manage some of its properties, said paint works are currently underway at Caribbea Bay Resort, Kariba and other ancillary upgrades, among which are paving the walkways in most public areas.
“After the exterior refurbishment completion at Caribbea Bay we will proceed to do the interior refurbishment which will see the rooms getting a deserved face lift,” the company said.
ASL also said its Harare and Bulawayo Holiday Inn hotels had opened the year on a good note after winning local accolades.
“We are in a continuous upgrade of brand standards at Holiday Inn Harare and Bulawayo in terms of soft furnishings,” the company said.
The company is also planning on rebranding its Amber Hotel in Mutare to Holiday Inn Mutare.
“The process of rebranding has already started, with a launch date of the renewed look to be made soon.
“Great Zimbabwe Hotel in Masvingo has also undergone an upgrade of restaurant, public areas and some of the rooms,” the company said.
Meanwhile, ASL revenue for the year ended to December 2016 was down 31 percent to $43,6 million from $63,2 million reported in the 15-month period ended December 31, 2015.
According to chairperson, Hebert Nkala, the reported revenue represents a 12 percent decrease for the comparable 12-month period last year.
In 2016, there was also a noticeable decline in the average monthly revenues for the period under review reflected by the drop in room occupancy from 48 percent in the prior year to 44 percent.
“…A combination of these factors saw the revenue per available room (“RevPAR”) recede from $45 recorded in the same period for the previous year to $41, mitigated by the average daily rate (“ADR”) which remained unchanged at $93,” Nkala said.
ASL recorded a profit before tax for the year from continuing operations of $4,9 million, from a loss of $6,1 million reported in the 15 months ended December 31, 2015.