Hotels warn of struggle to stay open

Date Published: 25-Aug-2009

GALWAY hoteliers who splashed out massive amounts to develop luxury spa facilities during the ‘good times’ are struggling with their overheads as consumer ability to spend on spa weekends dries up.

The cost of maintaining the facilities at so-called health and wellness suites, as well steep repayments on loans that most had to take out in order to finance the little oases of calm is crippling the already cash-strapped industry.

Chairman of the Irish Hotels Federation, Paul Gill said that city hotels had responded to what was
desired by customers in the past decade and took up the incentives that were offered to them to invest in what was regarded as a lucrative market.

“In the past ten years, that was the expectation that was there – we had evolved from the swimming pool and leisure centre that came in in the nineties and had responded to what guests wanted, which was luxury living,” he said.

But with hoteliers struggling to even fill their rooms, the maintenance of spa facilities that are no longer in high demand is another burden for the business.

“It is putting a lot of added pressure on many, the local authority rates are much too high, and those are on top of the upkeep of these facilities, with staff to maintain them properly,” Mr Gill admitted.

However…