Saujana to open RM60m five-star hotel in Subang

By BUSINESS TIMES

SAUJANA Consolidated Bhd will open a new 105-room five-star boutique hotel at an estimated value of RM60 million called The Club at The Saujana within the Saujana Resort in Subang.

The Club, to ready by mid-2008, together with existing five-star hotel The Saujana, is expected to help garner RM65 million in revenue for the owner Saujana Consolidated in the first full year of operations in 2009.

With the addition of the new hotel, room inventory will reduce to 315 from 360, as some of the existing rooms make way for the new wing. Both hotels will continue to be operated by UK’s General Hotel Management (GHM) Ltd.

Once ready, The Club is expected to enjoy a 55 per cent occupancy and an average room rate (ARR) of RM730 per night.

General manager Herbert Laubichler-Pichler said the hotel’s revenue will reach an estimated RM85 million in 2013 as it enjoys high ARR at The Club and high occupancy at The Saujana.

For the year ended December 31 2006, the hotel raked in RM38.08 million, or 54.6 per cent, of Saujana Consolidated’s revenue. The hotel also achieved a net profit of RM3 million in 2006.

“Our ARR for The Club will be RM730 and reach RM1,000 per night in five year’s time. There will be no compromise on the room rates at The Club,” he said at a press conference yesterday to announce the renovation exercise.

The Club suites, which will measure between 52 sq meters and 176 sq meters, will be priced between RM2,000 per night and RM5,000 per night.

“At the same time (by 2013), ARR rates at The Saujana will increase to RM280 per night from RM230 now,” Laubichler-Pichler said.

Following the addition of the new hotel within the 121.5 ha site, the guest composition will shift and receive more leisure guests. The corporate-leisure crowd will be split 60:40 from 80:20 now.

“What we want to do is to be known as a luxurious brand,” he said, adding that the services offered at The Club will be at par with other luxury hotels operated by the GHM.

GHM also operates The Datai and The Andaman in Langkawi, Carcosa Seri Negara in Kuala Lumpur and The Chedi chain.

As part of premium service, synonymous with the boutique hotel operated by the group, guests of Club Suites will be provided with butler service, a spa and a private swimming pool.

A unique addition at the hotel will be a shopping butler who will be made available to drive guests of Club Suites to any shopping centre within the Kuala Lumpur City Centre.

There will also be a second phase of renovation that will include the public areas including the main lobby, restaurant and the rooms at The Saujana.

However, as details on the second phase is yet to be finalised, Laubichler-Pichler said that he was unable to provide any estimated cost of renovation and refurbishment.

“The Saujana Resort will continue to be a major contributor to Saujana Consolidated in the future. We are already a large contributor and we expect contribution to be much higher in the future,” he said.

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