Kenyan hotel leased by Southern Sun

July 27, 2010

, \"\"NAIROBI, Kenya, Jul 27- The Holiday Inn Nairobi is set will be rebranded next month, following the acquisition of the hotel\’s management lease by South African chain Southern Sun.

From August 1, the establishment in Westlands will be known as Southern Sun Mayfair Nairobi. The lease runs for the next 10 years.

Southern Sun\’s General Manager Paul Norman said on Tuesday that the move is part of the group\’s strategy to consolidate on existing properties in Africa before venturing into new territories.

"There is no question Southern Sun wants to invest and develop in East Africa. We want to look at new facilities where we already have some (presence) rather than going to new areas," Mr Norman said.

The "Holiday Inn" brand is part of global hotel chain InterContinental Group of Hotels, which runs Nairobi Intercontinental and also owns the "Crowne" brand that opened in the Kenyan Capital recently.

The Holiday Inn lease was previously held by luxury adventures company &Beyond Africa for the last 15 from Parklane Plaza Limited that owns the property.

Established in 1969, Southern Sun is among Africa\’s leading hotel groups, operating a successful hotel portfolio with more than 90 establishments in eight countries.

It is owned 51 percent by Tsogo Sun and 49 percent by South African Breweries (SAB).

"It\’s always good for a hotel to have a good balance in its business and not dominated by one segment. Because of our location and facilities we feel we appeal to many types of business," said Mr Norman.

He said the group will invest close to Sh80 million in upgrading the hotel’s facilities in an effort of staying a step ahead in the competitive industry.

"Southern Sun Mayfair Nairobi will undergo a series of refurbishments and upgrades that will help convey the Southern Sun brand to a new market," he said.

The upgrade will mainly focus on the hotel\’s conference facilities, a number of rooms as well as the Oasis Hotel.

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