Crowne Plaza opens at Aberdeen airport as city suffers from drop in oil price

08 September 2015 by
Crowne Plaza opens at Aberdeen airport as city suffers from drop in oil price

The 165-bedroom Crowne Plaza at Aberdeen International Airport has opened, following a £25m investment by Dominvs Hospitality, during a time of economic uncertainty for the city.

Following several boom years for the hospitality industry in Aberdeen - fuelled by the expanding oil industry - the city has taken a hit from the recent drop in the global oil price, which has fallen from $110 per barrel at its 2014 peak to less than $50 today.

According to the Hotel Bulletin: Q2 2015, jointly produced by AlixPartners, AM:PM and HVS, occupancy fell by 13% during the second quarter with hoteliers' attempts to bolster occupancy by cutting rates having little success.

Meanwhile professional services firm BDO recorded an occupancy drop of 17.5%, alongside a 30% fall in revenue per available room to £52.45.

Sean Brookes, chief operating officer, Dominvs Hospitality, told The Caterer that he remained confident in the future of Aberdeen.

"The city has experienced downturns before and bounced back," he said. "We expect to see a recovery in the energy market although this may take some time, perhaps 12-18 months. There are also great opportunities for businesses to diversify. Aberdeen remains an important centre, not just for the energy market but other sectors too.

"Opening the Crowne Plaza at the airport fits in with Dominvs' strategy of acquiring and developing hotels in key destinations. Our objective was to create a high quality, affordable, full serviced hotel for business and leisure travellers. There was plenty of prestigious accommodation in the city centre but not at the airport. We have now filled that gap as well as providing an impressive conference centre harnessing state-of-the art technology."

The Crowne Plaza is the second hotel to be launched by Dominvs under a franchise agreement with InterContinental Hotels Group in the city following the opening of the neighbouring 193-bedroom Holiday Inn Express Aberdeen Airport in May. Andrew Mcloughlin is the general manager of both hotels.

The hotel, which has created 80 jobs, features the Offshore Bar & Grill, Starbucks Café, 10 meeting rooms, gym and departure and arrivals displays.

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