Hotels' doors to open with mighty roar

Even after the chequered flag has fallen on the Abu Dhabi Grand Prix, the hotels and circuit on Yas Island will still have a vital role to play in the emirate's tourist plans.

Workers put the final touches for the Yas Hotel.

The flagship Yas Hotel is visible from the motorway. Its futuristic form is covered with more than 5,000 glistening glass panels and illuminated by red and blue lights at night. Perched above the Yas Marina Grand Prix circuit, the 500-room luxury hotel has a connecting glass bridge with a VIP lounge over the racetrack.

Unlike any other hotel in the world, guests will be able to watch the drama unfold below as rainbow-coloured Formula One cars rush past them at speeds up to 130kph as they brake to corner. "It's a revolutionary-looking hotel," says Paul Bell, the managing director of Aldar Hotels and Hospitality, which runs the Yas. "The track goes through the middle of the hotel so it was a little bit more complicated to build."

The Yas is one of seven new hotels built for the inaugural Abu Dhabi Grand Prix on Sunday and the two preceding days of practice and qualification, and is part of the US$40 billion (Dh146.91bn) Yas Island hotel resort complex. The others are the Crowne Plaza, Radisson, Park Inn, Staybridge Suites, Rotana and Centro, which are just a stone's throw away from the $1bn motor racing circuit. Aldar developed all seven, which will be full when their doors open for the first time. The Yas Hotel is charging up to Dh4,060 a night. But then, space will be at a premium during race week as the capital's hotel industry copes with the rush of visitors.

"It's not an easy task but we have done a lot of work to ensure that we are going to be ready for the 100 per cent occupancy for the race," says Joe Batshoun, the general manager of Yas Island Rotana and Centro Yas Island. But the big question for Yas Island's new hotels is what will happen after the race? Although occupancy levels will probably greatly drop once the roar of F1 engines has died down, Mr Bell remains upbeat on their potential.

"No expense has been spared to make this building one of the most desirable destinations for business or leisure," Aldar says of the Yas Hotel. Mr Bell says: "There was no point us opening the hotel 10 days before the race. The first people to really experience that hotel are going to be the people who are booked in for the event." Once the dust has settled on the Abu Dhabi GP, staff at the Yas Hotel will prepare to host the Miss World competitors between November 11 and 13 before they fly out for the pageant in South Africa.

It will also be the official hotel for the Capitala Tennis Championship at the end of the year, which attracts major players such as Roger Federer and Rafael Nadal. "All of the hotels have taken business for after the event," Mr Bell says. "I'm confident that they're going to achieve what we thought they would achieve. "Our pattern of trade will be similar to any other hotel that opens; it will build up over a period of time. OK, there has been a recession - it's difficult. But that investment was planned as a 30-year investment, not a one or two-year investment."

Despite the global economic crisis, the hotels on Yas Island could see a steady stream of guests for future sporting events. The Abu Dhabi Motorsports Management (ADMM) sees the capital becoming the "centre of motorsport" in the Middle East. "The grand prix is great exposure for Abu Dhabi but there will be several events throughout the year," says Hamed al Harthi, the spokesman for the Yas Marina Circuit, ADMM.

ADMM has already signed a three-year deal for the Australian V8 Supercars Championship and also plans to hold drag racing at the track. Such events will be the lifeblood for Yas Island's hospitality industry, which will receive a further boost when major attractions, such as Warner Brothers World, open. "Meeting and events are definitely our focus and we're not far from the airport, so there will be the possibility of airport-related business," says Marko Hytonen, the vice president for the Middle East of Rezidor, which is managing the four-star Radisson and three-star Park Inn hotels on Yas.

The hotels are also banking on attracting residents of Abu Dhabi to their restaurants and bars. "All hotels on the Yas Island will work together to promote the island as an interesting dining and entertainment destination in Abu Dhabi," says Torbjorn Bodin, the general manager of the Radisson Blu Hotel on Yas Island. "We are positive that Yas Island will soon be popular among the people of Abu Dhabi as they can now avail of more than 30 high-class restaurants."

Eventually, the island will be home to 20 hotels, a water park and a 296,000 square metre mall with luxury shopping outlets, marinas and the world's first Ferrari World theme park. This mixture of retail and leisure, coupled with major events, should help the hotel industry thrive. Competitive prices from the three and four-star hotels on the island will also increase occupancy levels, says Arnaud Andrieu, the vice president of CB Richard Ellis Hotels Middle East, which advises clients on hotel investments.

"They will be able to offer brand new facilities," says Mr Andrieu, adding that they will tempt guests to Yas who would have previously stayed in Dubai because of the high hotel rates in the capital. "They will be able to attract a different kind of segment and diversify demand." But for now the main attractions will come on four wheels as Yas Island goes F1 crazy. "The F1 is a history-making event for Abu Dhabi and the UAE," says Mr Batshoun.

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