TRI Hospitality has reported that hotel chains could find plenty of opportunities in the Iranian hospitality market if international economic sanctions imposed on the country are lifted.
“The lifting of sanctions is expected to set off a modern day ‘Gold Rush’ as developers and operators race to secure their position in one of the world’s largest untapped markets,” TRI Consulting said in a report titled ‘Awaiting the Gold Rush-Exploring the Opportunities in Tehran’s Hotel Market’.
According to Rashid Aboobacker, senior consultant at TRI Consulting in Dubai, the industry’s isolation from the global hospitality and tourism market over the past 30 years “has left most of Tehran’s hotels old, outdated and in desperate need of improvement”.
“This presents an immediate opportunity for international hotel operators through the rebranding of existing properties in the city, particularly the four- and five- star hotels,” he added.
The report also revealed that hotel occupancy levels in Iran increased from 58% in 2013 to 79% in 2014.
Tensions over Iran’s nuclear programme are softening following increased cooperation between the US, France, Britain, Germany, China, Russia and Iran.