Regional pRofile : AfricA a massive pipeline . East Africa still lags behind West Africa in the numbers . Regional players are making the most of micro opportunities , and international financing remains less prevalent than local funding — despite high-profile deals like Minor Hotel Group ’ s partnership with Sun International and Marriott International ’ s acquisition of Protea Hotels .
That ’ s where the familiar part of this massive continent ’ s development picture ends . The 79 deals signed in 2014 don ’ t just represent a series of bungee jumps for companies safely tethered to high-performing assets in more mature markets elsewhere . Africa is on the map as more than a place to plant a token flag . Gateways like Cape Town , Cairo and Lagos are just that — stepping-off points for operators who are now tracking opportunistic development across the continent .
“ Africa should not be considered as one homogeneous market ,” says Rudi Jagersbacher , president , MEA , Hilton Worldwide . we look forward to offering renowned Hilton hospitality for the first time in Chad and Uganda ,” he says .
Not that Jagersbacher ’ s neglecting the more mature markets in Northern Africa . “ We continue to see growth in Egypt both in terms of occupancy of existing estate and new hotels coming into the market ,” he adds .
Even markets like Ivory Coast and Senegal are no longer the province of regional players . Guego also cites Gabon as a place of interest , while Jagersbacher is looking at Swaziland .
Smaller contenders are going to have to work harder to carve a niche . “ The regional players , particularly those from South Africa , have fallen behind ,” says Trevor Ward , managing director , W
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Hospitality Group , Lagos . “ Tsogo Sun ( Southern Sun ) has expanded very little outside of South Africa , and in Nigeria has failed to capitalize on the huge success of its Lagos hotel . The major flags all have development offices here and are very knowledgeable about Sub- Saharan Africa .”
These young lions may not have the loyalty numbers , but they do have the financials . Cashed-up flags like Rotana , Mangalis , Azalaï Hotels Group and CityBlue Hotels ( backed by Dubai-based Diar Capital ) are thinking one step ahead to secondary and tertiary cities or even underserved countries .
Maximizing Africa ’ s upside Operators on the continent must play
Opening : The Nile Ritz-Carlton , Cairo
Nothing is off the table Hyatt Hotels Corp .’ s latest development office in Nairobi speaks volumes for how far afield the players are casting their eyes . Ask Antoine Guego , COO , Accor HotelServices Africa and Indian Ocean , what ’ s on his wish list , and the breadth and depth of his answer looks more like China 2.0 than Africa 1.0 . Minor Hotel Group CEO Dillip Rajakarier has no trouble calling Africa the next Asia .
For Jagersbacher , the appeal is strong in East and Central Africa as well . “ We expect new projects such as Hilton N ’ Djamena and Hilton Kampala to open in early 2016 , where
Junior suite at The Ritz-Carlton , Cairo
Africa means more than just chic business hotels and escapist safari experiences . The renovation of the iconic The Nile Ritz-Carlton , Cairo serves as a case study in what ’ s next for the continent ’ s urban luxury in the 21st century . From uniforms designed by Cairo ’ s fashion elite to Art Deco-style tiling in the bathrooms , the restored 331-key property balances local and international flair .
www . hotelsmag . com September 2015 HOTELS 41