Radisson Blu Shuts Its Biggest Outlet In Kenya

International Hotel franchise, Raddison Blu now joins the long list of big brands in the hospitality industry to shut down its doors as Covid-19 pandemic consequences of low bookings continues.

Radisson has now been forced to close its Upper Hill outlet which was the largest in Kenya with others; Radisson Blu Hotel & Residence Nairobi Arboretum and Park Inn by Radisson Nairobi Westlands remaining in operation.

The 271-room hotel has consequently sent home its employees though on their website says the move is temporary and operations are expected to resume in March 2021.

The Central Bank of Kenya (CBK) conducted a survey between November 10 and 12, 2020 to assess the extent of recovery in the hotels, particularly with the reopening of the economy and continued implementation of the Government measures to mitigate the measures of COVID-19. The survey was a follow up to one conducted in September, with coverage expanded to cover hotels in Naivasha.

The study found that 96 percent of hotels that were sampled across the country are now operating compared to 89 percent in September and 35 percent in May, mainly reflecting the continued easing of COVID-19 restrictions and compliance with the health protocols.

Employment in the sector continues to recover towards the pre-COVID levels, averaging 53 percent in November compared with 45 percent in September and 37 percent in May, all relative to the pre-COVID-19 levels.

The average bed occupancy, has also continued to recover gradually, averaging 23 percent in November and October, compared to 24 percent in September and 10 percent in May. The utilization of restaurants and conference services has also improved gradually since May.

Local guests continue to support activity in the sector during the COVID-19 period, accounting for over 80 percent of the total clientele for accommodation and restaurant services.

On average, under the prevailing conditions, 58 percent of hotels expect to attain normal (pre COVID) levels of operations between late 2020 and 2021. Despite the recent resurgence in COVID-19 infections, there’s optimism  about a strong recovery of the sector once the pandemic is contained.