Worldwide briefing

Cornerstone laid at Prague Crowne Plaza
InterContinental Hotels Group (IHG) has laid the cornerstone of its new Crowne Plaza Castle Prague hotel. The 138-room hotel, which is set to open at the end of this year, will be operated by Key Hotels Group of Prague, a franchisee of IHG. Key Hotels has been operating the Express by Holiday Inn brand in Prague since June 2005. Robin Wicks, chief operating officer for Europe said that he was delighted to have a second Crowne Plaza property in Prague.

Meritus aims high
Luxury Asian hotel group Meritus Hotels and Resorts is to undergo an overhaul, which will reposition the brand further upmarket. A series of renovations and project developments are under way to upgrade the group's hotels to five-star status. According to the company, high-end business and leisure travellers have proved to be a lucrative market, which intends to capitalise on.

Macau grows thanks to casinos The former Portuguese colony of Macau, dubbed the "Las Vegas of the East", drew 18.7 million tourists last year. Following the liberalisation of the casino sector in 2001, US gaming giants are continuing to boost Macau's tourism industry, with the £57m MGM Grand Macau set to open in 2007. Hotel room are to number 60,000 over the next 10 years, by which time Macau hopes to be attracting around 35 million tourists annually.

Mandarin Oriental opens luxury resort in China Luxury hotel operator Mandarin Oriental has announced that it is to manage its first resort in mainland China. The 292-room hotel in the Hainan Island province will open its doors in the second half of 2006. Mandarin Oriental Sanya, is located on a 12-hectare seafront site in the so-called "Hawaii of China". Eduoard Ettedgui, group chief executive of Mandarin Oriental, said: "Mandarin Oriental, Sanya, with its ideal setting on one of the most secluded beaches in the province, is positioned to become the most sophisticated beach resort in mainland China." The company is also reviewing a number of other opportunities in China.

Celadon takes over in Vietnam
Celadon International Hotels, Vietnam's first international hotel management group, has signed an agreement to manage a new luxury hotel in Hue, Vietnam. The new 238-room Celadon Hotel Hue, the first hotel to open under the new branding, will be a five-star property. The hotel's Premium Floors will target business and up-market leisure travellers, which will be of a six-star quality standard. "The prestigiously branded Celadon Hue Hotel aims to set a new hospitality benchmark for both Hue and the management group's premium brand," said CEO Paul Stoll. "The hotel will attract new business segments to this beautiful city with its abundance of history and culture."

Great Southern Hotel to be sold
Leaked documents have revealed that Great Southern Hotels (GSH) will be sold as a going concern, a decision which has been backed by the Dublin Aiport Authority. Directors have decided to sell the loss-making Irish hotel chain "to protect the board from accusations of reckless trading and in the best interests of the stakeholders". It comes as the company plans to roll out a voluntary severance package among its staff, seen as a key step in selling the GSH. High staffing levels have been named as one of the major loss-making factors. It contributes significantly to the accumulated losses of just over £27m, which are expected to increase by another £5m before the end of 2006. Staff costs at GSH amounted to almost 50% of overheads last year against an industry average of around 34%.

Mandarin Oriental sells New York propertyMandarin Oriental International Limited has announced that its wholly owned entity, Madison Avenue Hotel Partners Limited Partnership has completed the sale of its 100% leasehold interest in The Mark, New York for the sum of £86m in cash to Mark Hotel LLC. After transaction costs and tax, the post-tax gain from the disposal is expected to be around £20m.

International hotel consultancy group is launched Vietnam has launched its own industry specific consulting group in order to serve the tourism boom in Indochina. The TCK group combines the skills of an hotelier, construction expert, project manager, mechanical engineer, accountant, risk analysis expert, architect, management consultant, trainer, human resources specialist and business facilitator, combining international experience with local knowledge and connections. "By providing realistic, factually-based services, performing strategic planning and due diligence for the Vietnam market, the skills and experience of the TCK Group enables clients to make informed decisions about investing in the hospitality and tourism sectors of Vietnam," said Karl Derek John, CEO of the TCK Group.

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