Seeking a briefing on the sidelines of the upcoming African Hotel Investment Forum (AHIF) taking place in Addis Ababa, Ethiopia, from the 22nd of September, The Ethiopian Herald has succeeded to contact Tejas Shah, Regional Vice-President – Acquisitions and Development, Sub- Saharan Africa, Hyatt International.
The following interview serves as a prelude to the status and outlook for Africa’s hospitality industry and Hyatt’s new lifestyle division.
When the forum kicks off , expectedly, Tejas will give a detail explanation about Hyatt’s plans to double their African footprint by 2020 and what is driving this growth. Africa, and particularly East Africa, remains a focus for Hyatt with an increasingly favorable business climate and heightened tourism spend, encouraged by relaxed visa rules, travel incentives, and a growing middle class.
As a senior member of Hyatt’s team, Tejas can further insights and context on Africa’s hotel sector which may be useful for any stories media outlets have planned around the AHIF or the sector generally.
The Ethiopian Herald: What are the challenges and prospects of Hotel industry in Africa, especially in East Africa?
Tejas Shah: At Hyatt we continue to see incredible potential in this region. The hospitality sector in Africa is booming and countries including Kenya, Tanzania and Ethiopia are prioritizing tourism as a key area for growth.
As a result, Meetings, Incentives, Conferences and Exhibitions (MICE) and business tourism opportunities continue to expand and the rapidly growing African middle-class are leading a new resurgence of domestic tourism in the region.
Hospitality businesses are responding to this positive environment – investing in leadership and resources, creating a predicated 3.8 million jobs in the next ten years (Africa Growth Imitative Brookings, 2018).
Despite this, there are local issues as well as global concerns in every market that can impact businesses at any given time. This is particularly the case with regions as politically, economically and culturally diverse as ours.
At Hyatt, we are building strategic long-term relationships, focusing on localization and we will continue to grow across the continent. By taking a flexible approach to creating deals and prioritizing the right opportunity, we have been able to deliver on our ambitious growth plan in East Africa.
Herald :What is AHIF about? What are the expected sidelines of the platform?
Tejas Shah: The Africa Hotel Investment Forum (AHIF) is a key hotel investment conference that brings together business leaders from local and international markets to drive investment into tourism projects, infrastructure and hotel development across the continent.
At Hyatt we build our business on long-term relationships with investors, owners and franchises and AHIF offers a brilliant platform to meet old and new partners interested in working with us as we continue to look for innovative ways to drive growth.
With predictions for both business and leisure travelers arriving on the continent continue to grow by an impressive 4.4. Percent through 2035[Africa Growth initiative Brookings, 2018], there is a lot to discuss!
Herald :Brief us about yourself and Hyatt International?
Tejas Shah: I am Regional Vice-President – Acquisitions and Development, Sub- Saharan Africa, Hyatt International. I oversee Hyatt’s growth strategy in the continent and has been instrumental in Hyatt increasing its presence, particularly in East Africa with its entry into Kenya.
Hyatt International is a global hospitality company with a portfolio of 19 premier brands. As of June 30, 2019, the Company’s portfolio included more than 875 properties in over 60 countries across six continents. Recently, Hyatt announced a new dedicated lifestyle division, which brings together the Andaz, Alila, Hyatt Centric, Joie de Vivre Hotels and Thompson Hotels , which will provide unique experiences for travellers seeking a more personalized service.
Hyatt’s purpose to care for people so they can be their best informs its business decisions and growth strategy, and is intended to attract and retain top colleagues, build relationships with guests and create value for shareholders.
Herald : What is driving this growth in Africa, and particularly East Africa? Could you throw light on this?
Tejas Shah: It’s an exciting time for tourism across the continent particularly in East Africa. A business-friendly economic climate and strong investment in infrastructure across the continent are opening up a wealth of opportunities. There has been a major step change in improved travel and regional connectivity, with the launch of initiatives such as the Africa Union’s Single African Air Transport Market.
This openness and improved travel connectivity continues to support growth in the region. Whilst we are focused on this same growth, it’s not at any price. We think carefully before we expand, and we have been taking a dedicated approach to build long-term value in the region to our owners on projects ranging from mixed-use developments and adaptive re-use project.
Last year we announced nine new hotels to open by 2020, and we continue to strengthen our pipeline. We recently opened our first ever property in Ethiopia, the Hyatt Regency Addis Ababa and Algiers, the Hyatt Regency Algiers Airport.
Herald :Do explain to us about Hyatt hotel in Addis.
Tejas Shah: Hyatt Regency Addis Ababa opened in January 2019 and represented a market entry for Hyatt as its first hotel in Ethiopia, and was the seventh in Africa at the time (there are now eight hotels operating in Africa). The 188-room property is centrally located on Meskel Square, near shopping centers, restaurants, bars, and tourist attractions, including the National Museum.
The hotel is carefully designed to provide guests with everything they need. The hotel boasts six unique dining outlets, 8,300 square feet of flexible meeting space, an outdoor pool and spa, and 188 rooms, including 12 luxury Regency suites, two Executive suites, one Presidential suite and one Royal Presidential suite with four bedrooms.
Hyatt hotels are designed with the local community in mind, whether that be employing local people or implementing locally-inspired design and menus. We make sure every Hyatt hotel reflects its location, an approach which meets the expectations of the international modern traveler but also ensure we cater to the growing market for domestic travel.
The Ehtiopian Herald Sunday Edition 22 September 2019
BY ALEM HAILU
