Shortage of hotel occupation in the country is of 100 thousand rooms

The President of the Venezuelan Hotel Federation affirmed that there are more than 20 stalled projects awaiting permits by the Ministry of Tourism. He states that inns are an alternative that help, but do not resolve the problem.
By Desirèe Lozano

The country needs, at least, 100 thousand rooms to cover an existing, great and current shortage.

According to Ricardo Cusano, president of the Venezuelan Hotel Federation, there is a great need of hotel rooms “because hotels collapse during vacations and holidays".

Cusano explained that normal occupancy in the country has exceeded 80% at all times for the last couple of years.

"For example, last year in Margarita, occupancy reached 79%.” And during high season, there are no rooms to be found", he added.

Cusano further stated that there are many hotel construction projects approved, but have been unable to obtain the technical feasibility granted by the Ministry of Tourism.

"Without that technical feasibility, banks are not able to grant financing. Apparently, there is a delay, but we don’t know the reasons for that delay. We know that banks are willing to finance these projects, but they require the technical feasibilities to grant the credits. This delay results in the accumulation of a number of problems such as inflation, which increases costs, which further complicates the situation".

He mentioned that when there is an event in Venezuela to which one thousand additional persons attend, there is no room to lodge them.
According to Cusano, there are 20 to 30 five, four and three star hotel projects paralyzed for lacking technical feasibility.

The problem is that investors do not file all of the documents. For example, the new law requires that companies assigns 5% of its payroll to handicapped persons; many investors are not paying attention to these requirements and their filings are incomplete. Many times, the investors are poorly advised and do not file all of the required documentation to obtain the technical feasibility".

In this sense, Cusano dismisses the possibility of a campaign to delay or prevent foreign investment in the tourist sector. He stated that institutionally, Fenahoven is giving investors a complete list of the requirements to obtain technical feasibility and that there continue to be investments in the sector.

"From 2004 until today, hotel occupancy has been increasing throughout the country, internal tourism has increased 400% because it is difficult to obtain foreign currency and foreign travel is expensive. This benefits national tourism and of course, makes the hotel and tourist services sector a very good business.

Cusano explained that the increase of national tourism has also led to the diversification of the recreational offer. In this sense, he said that a number of country clubs have been opened to capture this national tourism.

"For example, there were four thousand foreigners in Easter, who filled 30% of hotel capacity".

Cusano adds that internal tourism also improves significantly service capacities.

"Our federation has opened three training centers for people who wish to work in the hotel industry, because it is true that there is also a shortage of hotel personnel".

He said that in 2006, they trained 3.700 persons for this sector and they are expecting to train three thousand more this year.

Cusano believes that Inatur has made a great contribution in this training and that the hotel sector is interested in having trained personnel that speak several languages in order to better serve the tourist. "That is why they give so much importance to training”.

Inns to the rescue.
Cusano affirms that in view of the room shortage, inns have become true champions by offering a viable alternative to lodge tourists and executives.

"Of course, in this situation, inns have become an alternative. And that is because high quality inns offer facilities, even small conference rooms".

He stated that there is an inn federation that has two thousand registered inns nationally. “Defining inns as any infrastructure that offers 5 to 20 rooms for lodging”.

He says that there are several inns in Caracas, many of them having a high level of quality and having agreements with corporations to lodge their executives and high ranking officers.

“Certainly, they do not solve the problem, but they help. The family is integrated in the inn business and management because it is a small business in which the whole family can participate”.

He added that, during their visit, the Carter Foundation officers were lodged in an Altamira inn.

Inns are also an incentive for the development of this sector and offer the tourist the possibility of feeling among relatives and becoming more integrated in the Venezuelan culture and customs.

What will come.
Cusano says that the Hotel Pestana will be opening shortly in Santa Eduvigis. “This is a Portuguese corporation that owns 70 hotels in Portugal and will be opening a 200-room hotel“.

“We will also have soon a hotel in Prados del Este, one in La Castellana and another one in en Plaza Venezuela.

“The Plaza Venezuela hotel will be located in the rental area, where there is another project that includes five, two thousand room, hotels. Most likely, by the end of this year there will be an increase of the hotel capacity in the country”.

Also, there are ongoing hotel constructions in Monagas and Margarita.
When touching the subject of the hotel Alba Caracas, former Caracas Hilton, he said that it is being remodeled since “the change of ownership from the Hilton chain to the hands of the Government has brought certain problems”.

“There were complaints about its deterioration, which was true, but several measures have been adopted to refurbish the hotel and the former manager, who was in charge of the Hilton chain, has been re-hired.

“The recovery of this hotel is important, because the lodging demand in Caracas is very high”.