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Development Quarterly - Issue 3 IHG Europe's Development, Design & Openings magazine

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INTERVIEW<br />

“<br />

“<br />

Holiday Inn ® is the class leader in its sector so<br />

coupled with the <strong>IHG</strong> ® mechanisms, we decided<br />

it was the brand to go for.<br />

Meet…<br />

Rajesh Rana<br />

Rajesh Rana is Director at Andras House, leading hotel developer and operator in Northern Ireland. Founded by his<br />

father, Lord Diljit Rana, in 1981 the company specialised in office and restaurant development before opening their first<br />

hotel in 1987 with the Holiday Inn ® brand. Based in Belfast, they have a total of six hotels in their portfolio. Their latest<br />

project is a Days Hotel conversion to Holiday Inn ® Belfast City Centre. We caught up with him at the Owner’s Association<br />

forum at the <strong>IHG</strong> ® headquarters in Denham, UK.<br />

When did you first work with <strong>IHG</strong>?<br />

After our very first Holiday Inn, we did a Holiday Inn Express ® in<br />

1996, which I believe was one of the first franchise Holiday Inn<br />

Express hotels in the UK. We refurbished that in 2010 and it’s doing<br />

very well. At the moment we’re repurposing the Days Hotel to be a<br />

Holiday Inn, which we’re very excited about. We’re spending £2.5m<br />

really upgrading it. It’s like a new hotel.<br />

Why did you decide to go with Holiday Inn for that location?<br />

Holiday Inn is the class leader in its sector so coupled with the <strong>IHG</strong><br />

mechanisms, we decided it was the brand to go for. We are used to<br />

working with Holidex and the people are easy to work with. We’ve<br />

worked with <strong>IHG</strong> for years and contribution is a key thing. We’re<br />

already talking to the global sales team about key contracts that we<br />

could bring to Holiday Inn Belfast City Centre and they’re keen to get<br />

on top of it.<br />

What does <strong>IHG</strong> bring to the table?<br />

I think <strong>IHG</strong> probably has the balance right in terms of flexibility.<br />

Some hotel companies are too flexible and they have some poorly<br />

performing assets that they need to get rid of but don’t do anything<br />

about. Some are very prescriptive but I would probably say <strong>IHG</strong> gets<br />

the balance right. The Owners Association forum is a great platform<br />

that other brands don’t really have and now they’ve got the Key<br />

Performance Indicators, it’s easier to pinpoint elements that you<br />

need to focus on.<br />

What do you think are upcoming trends in the industry?<br />

Offering guests the best price through the Advantage Pricing model<br />

is such a no brainer. It seems obvious that this has to happen and<br />

technology is driving it in that direction, but nothing has been done<br />

about it until now. I think it is genuinely pioneering because it wasn’t<br />

something the owners were pushing for but when you realise that<br />

your own hotel is being undersold by someone else, it makes you<br />

sit up in shock. We’re very pleased about it.<br />

What is the market like in Belfast at the moment?<br />

The market in Belfast has grown quite a lot. Back office, IT and oil<br />

rigs are helping to build the economy, but there’s also tourism and<br />

business travel. Waterfront Hall is a great big concert hall which they’re<br />

now extending to what will be a world-leading conference centre.<br />

The Holiday Inn Belfast City Centre fits right into that market because<br />

delegates like to stay in branded hotels. And they don’t get much more<br />

recognisable than Holiday Inn.<br />

How did you get to where you are today?<br />

I have a degree in Physics, a degree in Architecture which takes about<br />

six years and now I make hotels! I suppose I’m quite a methodical<br />

person, so I like to know where I want to get to, what are the steps<br />

I have to do to get there. I wouldn’t claim to be an expert. I’m learning<br />

and that’s the key! If you’re not learning, you’re not doing it right.<br />

What is the Andras House development strategy?<br />

Because all of our hotels are in Belfast, our strategy is to capture all<br />

of the main brands in one area. Some company portfolios are made<br />

up entirely of Holiday Inn Express but they’re all across Europe.<br />

Because we’re not geographically dispersed we feel that we have to<br />

be brand dispersed instead. So we have <strong>IHG</strong>, Accor and Wyndham<br />

brands and that suits us very well. It’s a defensive strategy – if we<br />

didn’t do it, someone else would.<br />

And where do you see Andras House going in the future?<br />

I think as a company we have really invested in a lot of the<br />

products. The Holiday Inn Belfast City Centre is fully refurbished,<br />

the Holiday Inn Express ® Belfast City – Queen’s Quarter is fully<br />

refurbished, our other assets are either new or fully refurbished.<br />

I see us starting to focus more on the operational side of things.<br />

Obviously we are an operating company, but now that we have got<br />

the assets where we want them, we need to work on the human<br />

assets and the skillset. That’s probably the next challenge.<br />

27

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