LABARTT PROPERTIES

Results of research made by Labartt Hospitality

Within this short research there were approached Prague hotels from 3* to 5* hotel standard operated by hotel chain (Czech or international) or by individuals. In this research there were involved as small hotels (e. g. 34 rooms), as hotels with greater capacity (more than 400 rooms). A total of twenty hotels from three-star to five-star hotel standard with a capacity of 3 992 rooms with 8278 beds have participated in this research. Most answers we have naturally got from four-star hotels (about 72%), this segment is most common represented on the Prague hotel market.

More than half (57.1%) of respondent hotels expected being on New Year's Eve completely sold out. 28.6% of those surveyed hotels expect to achieve the occupancy 91% in minimum. Hotels envisaging the occupancy between 71 to 90 percent have reported increasing demand of accommodation, than in the same time last year. That is certainly positive.

Specifically, about 60% of four-star hotels are reporting completely sold-out for New Year's Eve. And about 20% of these hotels expect occupancy greater than 91%. Similarly this trend also holds 3* hotels - all of them what we addressed are expecting occupancy more than 91%. However all asked 3* hotels expect the same occupancy as last year on Christmas and New Year´s holidays. 5* hotels expect higher percentage of occupancy during this period (more than 91%) than as last year, mainly due to The end of the year´s celebrations. None of asked hotels (from 3* to 5* standard) expect lower occupancy than 70%, even with higher GOP (gross operating profit). The survey results confirm the increasing interest of accommodation in Prague throughout the year 2013.

High occupancy in Prague hotels around the time of New Year´s Eve were preceded very good results already during Christmas. The hotels that we addressed evaluate it better than in 2012. The occupation between 71% and 90% were evaluated over by 1/3 of hotels in 3* - 5* hotel standard. Conversely, only the fifth of hotels in this category reported the occupancy less than 50%, however, even here there was an annual increase or stagnation. None of all asked hotels in all asked hotel standards mentioned that their total occupancy over Christmas time and New Year's Eve got finally worse than last year. Annual occupancy increased by 2 – 10% for some 4* hotels.

This quick research fulfilled the expectations of Prague hotel operators from the survey carried out in September this year. The higher occupancy compared with 2012 were noticed by 3/4 managers of 5* hotels and an absolute majority of 4* hotels. In the context of GOP, more than half of asked hotel managers assumed that this season will be, with the measurable parameters, more successful than last year's. Most optimism have expressed operators of 5* hotels. At least - perhaps surprisingly considering the achieved results – managers of 4* hotels.

The team of Labartt Hospitality is specializing in real estate investment in hotel industry and tourism since 2000. The range of services, consulting, operators selection, evaluation and transaction ensures complete comfort for the client and his investment in several European countries. For more information about the company, services provided and people are available on www.labartthospitality.com.