By: Enas Bahgat

Dubai – Mubasher: Dubai-based Time Hotels has invested AED 614,090 ($167,210) in its TIME Nozha Aqua Park Hotel & Resort in Egypt, in partnership with Cairo-based Nozha Group, CEO of Mohamed Awadalla said on Tuesday.

The new hotel and resort in Ras Sedr include a unique sandy beach on the Red Sea spanning 945 metres, and will include the biggest water park in the city, with many water slides and artificial wave pools, Awadalla told Mubasher in an interview.

It also features 52 rooms, four suites and 14 chalets – with an additional 33 units to be added to the resort in 2019, he added.

When asked about the Egyptian market, Awadallah said that the North African nation’s tourism sector has recently recovered; stressing that Egypt has various growth factors, away from traditional recreational tourism.

The outlook for Egypt’s tourism sector is positive, especially with the resumption of Russian flights, he said, adding that Time Hotels focusses on Egyptian expatriates who spend their vacations in their homeland, mainly targeting Cairo and Marsa Alam.

Regarding the expansion strategy, he noted that Time Hotels gives a priority to the Middle East and North Africa (MENA) markets, along with its focus on certain European markets.

The hotel operator aims at increasing its portfolio to include 20 hotels, 99 furnished apartments, 61 villas, and more than 600 hotel rooms by 2020, Awadallah explained.

Time Hotels currently has three projects in the UAE, two projects in Saudi Arabia, and other two projects in Egypt, the CEO revealed.

The group’s total annual revenues amounted to $13 million, and it is targeting $50 million in revenues by 2020, he added.

In Sharjah, the Emirati hotel operator launches “TIME Express” brand, concurrently with the opening of a three-stars hotel, which includes 45 standard rooms, five suits, and five special-needs suits, along with another real-estate project under the brand “TIME Hotel Apartments”, containing 33 studio apartments, 53 single-bedroom units, 11 double-bedroom units, and two special-needs units, Awadallah said.

Moreover, the UAE-based firm will open two new hotels in Dubai in 2020, including the first five-star Time Hotel, which comprises 277 rooms, and another four-star hotel in Dubai's residential community Al Barsha, with 232 rooms, he added.

 Hospitality sector’s challenges

As for the challenges facing the company, Awadallah said that the increasing supply and declining demand is the main defiance, as the number of available rooms is exceeding the number of visitors, which in return weighs on revenues.

On the positive side, the demand for mid-level hotels is growing, amid a 10%-hike in supply, he added.

The lack of competent and experienced managers, officials and employees poses another challenge, which limits growth in the sector, he noted, adding that training employees is the best method for improving services provided to guests and enhancing the brand image.

When asked about whether the company is mulling over acquiring or merging with other firms, Awadallah said that there are no merger or takeover plans in the meantime.

Translated by: Mohammad Shokhba