GLOBAL UPDATE
ISRAEL PERSEVERES
“ The Ridge Complex ” in Jerusalem is zoned for six or seven hotels .
Israel is filled with tourism riches , but for political reasons it remains underdeveloped . Even the strongest local players such as Fattal and Dan are focusing more on Europe and India , respectively .
“ We are just in the wrong neighborhood ,” says Ron Yariv , CEO of Crowne Plaza Israel Hotels , which is spending 60 million shekels ( almost US $ 17 million ) upgrading its portfolio of seven hotels in Israel .
“ But the future could be great .”
Peace talks between Israel and the Palestinians were on again in August , and the hotel development community remains hopeful . Meanwhile , hoteliers say business is good , especially in Tel Aviv . Bureaucracy remains a big obstacle , with some developers saying it can take as long as 10 years to complete a project . “ It causes Israeli developers to go abroad ,”
Yariv says . “ Land is very expensive , as well . In Tel Aviv , developers always feel the need to go 5-star to get the required rate .”
Reuven Elkes , general manager for the country ’ s biggest developer and operator , Fattal Hotels Israel , says opportunities do exist . But other than a Ritz-Carlton in Herzliya and a Waldorf Astoria in Jerusalem , development news from global players is sporadic .
The biggest news now comes out of Jerusalem , where within the next five years about 5,000 rooms could be added with boutique projects and the two major programs : the modern city entrance project ( 2,000 rooms ) and the soon-to-publish tender for the Ridge project ( 1,350 rooms ) overlooking the Old City .
But today there are less than 50,000 rooms in Israel — similar to five years ago , according to Yariv . “ If we can reach peace , we can easily jump from 3.5 to 10 million tourists , but we also don ’ t have the infrastructure for that ,” he says . “ Hopefully , bureaucrats will shorten the process and make tourism more of a priority .”
CELEBRATING
When The Breakers Palm Beach
COCKTAIL CULTURE opened HMF late last year , the goal was to offer a new take on the area ’ s classic cocktail culture as well as a unique haven for social drinking and eating . Adam Tihany , acting as a design consultant to Peacock + Lewis Architects , reimagined the resort ’ s historic Florentine Room by adding distinctive details such as mahogany bars with bronze accents as well as modern furniture in rich tones of cognac and cypress green . On the menu are innovative sharing plates and handcrafted cocktails .
So far , the concept has worked , generating revenues 400 % higher than the space ’ s previous incarnation . “ Balance was the key — to deliver a contemporary drinking and dining experience while celebrating our heritage ,” says The Breakers President Paul Leone . “ We ’ ve been able to attract a younger , sophisticated clientele , establishing HMF as a glamorous scene .”
14 HOTELS September 2013 www . hotelsmag . com