The bill “On legalization of gambling,” which is being discussed in the framework of the working group of the Verkhovna Rada, after its adoption can give a significant impetus to the development of five-star hotels and to encourage investors to open new facilities in this segment, says managing partner of ArtBuild Hotel Group Aleksei Evchenko.
“A significant impetus to the development of the hotel business will give the adoption of the law on gambling, which will regulate the location of the casino in 5* hotels for a certain number of rooms depending on the region. Hotels a casino can occur in the large cities, and yet the provincial, causing an active development and growth of a particular region”, – he said at the conference “Hotel real estate of Ukraine: prospects of development”.
According to experts, the bill has a chance to be adopted before the end of 2019 or early 2020. According to the document, the casino will be placed in the “fives” over 200 rooms in Kiev, and over 120 in Kharkiv, Lviv, Dnieper and Odessa, as in all other cities – only 100 rooms.
“This will spur the development of only a segment of the “5 stars”. The question here is: do we have a key target audience and whether enough travelers to fill this particular segment? In Kiev, now the occupancy rate of five-star hotels on average 38%. And if we build 5-10 sites – already have an interest in this real investors – with an inventory of more than 200 rooms, with great places to organize a casino, what will happen to the economy of these hotels?”, says Evchenko.
As the expert explained, the wording of the bill provides for a mandatory requirement for hotels – the presence of 500 sq. m of free space to accommodate the casino.
“Nearly 70 five-star hotels in Ukraine such a large space have a maximum of 8-10 hotels. It is therefore very important, as the bill will be passed”, – concluded the managing partner of ArtBuild Hotel Group.