Brussels: good results by handicaps remain

Summer in Brussels was favourable to hoteliers in the Belgian capital. For the month of August, the occupancy rate of properties was up by nearly 12 points. And, despite a drop in average daily rates by 2%, revenue per available room is close to doubledigit growth (+ 9.7 %). Aside from a sharp decline in April, the beginning of the year 2006 attests to a recovery for Brussels' hotel industry that may be credited to a renewed appeal at a time when rates are stable. "We are coming out of a grey period," admits Vincent Steinmetz, director of the Hotel Saint Nicolas and president of Brussels’ hoteliers. Growth of the RevPAR is clear over twelve cumulated months (+7.4%). The economic situation is favourable. And Brussels continues to enjoy its manna: the European Union. Being the headquarters of the institutions ensures Brussels a substantial and regular volume of business that allows the city to post no vacancy several times a year. Nonetheless Brussels seems to have got what it can from this source of clientele. "The members of parliament from these future members of the Union are already in our properties. Preparatory negotiations take place well in advance," observes Vincent Steinmetz. Brussels is in search of new sources of clientele, because for the president of Brussels hoteliers association, the good results of 2006 must be put in perspective. "On the whole they are not so good as all that". The city is positioned at the bottom of the ranking for European tourism. This is worrisome: average daily rates remain under pressure with a slight increase by 0.4% on 12 cumulated months. "They cannot improve until demand rises above the supply". This is a challenge at time when the number of hotels continues to grow. Considering Brussels’ strategic position, the city is...