Hotel room rates are expected to rise 20-30 percent, driven by Hong Kong's major events, says Miramar Hotel and Investment's (0071) chairman and chief executive Martin Lee Ka-shing.
In its annual general meeting, Lee said the room rates in the first half of the year remain at the same level as last year, while that of the first quarter dropped a few dozen dollars, which he considers a normal fluctuation.
Lee said the occupancy rate of hotels remained at over 90 percent in the first half of the year, adding that rooms are fully booked during major activities such as concerts.
He also expressed confidence in Hong Kong's tourism, as the completion of Kai Tak Sports Park and the expected implementation of the "Southbound Travel for Guangdong Vehicles" scheme would bring more travelers.
He hopes the multiple-entry individual visit scheme would cover more cities such as Beijing and Shanghai, which would benefit local consumption, as well as boost hotel occupancy.
Due to the trend of Hongkongers heading North, the company said it has reduced the leasing proportion of the catering sector in its shopping malls by several percentage points, while expanding retail stores.
In response to the rejection of purchasing the Champagne Court from Henderson Land Development (0012), Lee, who also serves as co-chairman of Henderson Land, said that the reconstruction will continue, while converting the property into a hotel would also be considered.
HELEN ZHONG
