Hotel Online
News for the Hospitality Executive

.

.
.

The Caribbean and Boavista Island in Cape Verde
Will be the Focus of RIU’s Investments in 2007
Riu Hotels & Resorts´ gross revenue
exceeded 1.3 Billion USD in 2006


Mallorca, Spain ( February 5, 2007) - This November, RIU will open its largest resort ever on the shores of the Pacific in Los Cabos, Mexico. Named Riu Santa Fe, this all-inclusive, 5-star leisure resort will feature 902 rooms. At a price of over 135 million USD to complete, the resort represents the single largest capital expenditure in RIU’s 54-year history.
 
RIU’s other major investments this year will be devoted to building two other new resorts – Riu Karamboa on Boavista Island in Cape Verde and Riu Montego Bay in Jamaica. Both of these properties are scheduled to open in 2008.

In 2007, RIU will also re-open its resort in Aruba. Purchased two years ago, the property is currently in the midst of a complete renovation transforming it into a Riu Palace Hotel.  

In total, RIU will invest over 445 million USD in Cape Verde and the Caribbean to purchase additional land, refurbish existing properties and build new flagship resorts. 

RIU’s gross revenue exceeded 1,3 billion USD for the first time in 2006 and the company anticipates its income to reach 1,4 billion USD in 2007.

RIU in Mexico

In just ten years time, RIU has invested over 1.4 billion USD in building resorts across Mexico. The new Riu Santa Fe will be RIU’s 13th hotel in the country. 
.


Hotel Riu Vallarta
Av. de los Cocoteros s/n
63732 - Nuevo Vallarta - Nayarit - Mexico
.
RIU in Cape Verde

In 2008, RIU will complete the Riu Karamboa, its third hotel in Cape Verde (western Africa). This new resort will be RIU’s first on Boavista Island, which is located next to the Island of Sal where the ClubHotel Riu Garopa and ClubHotel Riu Funaná are already operating. These properties have gained tremendous popularity in Portugal helping to make that country one of RIU’s strongest markets in Europe. 

Riu Hotel renovations

In 2007, RIU will focus the majority of its renovation efforts on four hotels: ClubHotel Riu Romántica in Mallorca, Riu Palace Tres Islas in Fuerteventura, Riu El Mansour in Tunisia and Riu Paradise Island in the Bahamas.

The opening of the Riu Palace Aruba is another  big challenge for 2007.

This first Riu property in Aruba will be inaugurated in July 2007.

RIU´s global statistics (2006)

RIU operates 109 hotels in 18 countries with a total of 73.000 beds worldwide. The company employes over 18.000 individuals and had a gross revenue of 1,3 Billion USD in 2006.

Performance update for 2006 and forecasts for 2007

  • All RIU hotels in Spain showed average performance except those in Mallorca, where the summer season continued to benefit from the recovery that started in 2005. The situation is not expected to change in 2007.
  • Modest results were seen in Andalusia and the Canary Islands, which are expected to continue in 2007. 
  • The Caribbean delivered good results and benefited from a lack of natural disasters in contrast to the severe hurricanes that took place in 2005.
  • High occupancy rates were seen for RIU’s two resorts on Cape Verde.
RIU’s significant honors and accomplishments in 2006
  • Named “World’s Best Leisure Hotel Group” in Belgium                       November 06
  • Received 34 awards from Thomson                                                   November 06
  • Opened Riu Vallarta in Mexico                                                         November 06
  • Completed construction of the Garopa-Funaná resort in Cape Verde    October 06
  • Named “World’s Best Leisure Hotel Group” in Great Britain                 September 06
  • Voted "Best Leisure Hotel Group" in Canada                                      August 06
  • Named world’s 28th ranked hotel group by Hotels magazine                July 06
  • Surpassed 18,000 employees                                                           June 06
  • Opened Riu Palace Punta Cana                                                         May 06
  • Opened Riu Palace Riviera Maya                                                       February 06


ABOUT RIU HOTELS

  • The Riu family founded Riu Hotels & Resorts with a single small property in 1953. Today, this important international chain is owned and operated by the third generation of Riu family members.
  • RIU operates exclusively in the sun and beach resort sector.
  • RIU is the world’s 28th-ranked hotel group by number of rooms and the third-largest hotel group by turnover and number of beds in Spain. It is a leading brand in the Canary Islands and one of the largest chains in the Caribbean.
  • Over 50% of RIU’s 109 properties are all-inclusive.
  • The company’s headquarters are located in Playa de Palma, Mallorca.
  • RIU began its international expansion in 1991 and currently operates hotels in 18 countries.
  • RIU controls a 50% stake – along with German tour operator TUI AG – in RIUSA-II SA, the company that manages the chain’s hotels.
  • Since November 2005, the Riu family has been a major shareholder in TUI AG 2005 and currently holds 5.1% of that company’s stock.
Contact:

www.riu.com

.
.

Also See: Riu Hotels Investing (US) $208 million On Three New Resorts in the Caribbean / January 2006
Riu Hotels & Resorts Preparing to Open its 12th Resort in Mexico, the 550 room Riu Vallarta in Puerto Vallarta / September 2006

.



To search Hotel Online data base of News and Trends Go to Hotel.OnlineSearch

Home | Welcome| Hospitality News | Classifieds| One-on-One |
Viewpoint Forum | Ideas&Trends

Please contact Hotel.Onlinewith your comments and suggestions.