Kyiv hotel market declines

At the same time the average daily rate dropped from USD280 inH1 2012 down to USD 212 this year to date. “The Kyiv hotel market, for a number of reasons, is proving to be highly competitive and as expected is showing a decline in performance in 2013 compared with 2012. For the first six months, the ‘branded market’ is down in RevPAR by almost 32 pct compared to the same time period last year – an alarming situation. This is coming through a drop in occupancy for the year of 10 pct and a drop in average rate of over 20 pct,” commented David Jenkins, the head of Jones Lang LaSalle’ Hotels & Hospitality Group, Russia & CIS. He also pointed out that the city had been well recognised as being ‘expensive’ for hotels, especially when there were so few brands on the market. With the opening of hotels such as Ibis, Holiday Inn and Ramada Encore, the city is now able to offer slightly more affordable options.