NAIROBI, Kenya, April 24, 2025/APO Group/ —The sector is experiencing significant growth, driven by international visitors and a stable economy. Experts at the upcoming East Africa Property Investment (EAPI) Summit in Nairobi will address challenges, while exploring opportunities for investment in this thriving market.

Kenya’s luxury hospitality sector is experiencing significant growth, spurred by an increasing arrival of international visitors, a stable economy, and a rising middle class. Industry experts attribute this surge to the country’s unique blend of natural beauty, strategic location, and supportive government policies — all of which are attracting substantial investment in high-end tourism and hospitality.

The dynamics of this thriving sector will be a key focus at the upcoming East Africa Property Investment (EAPI) Summit, a premier real estate event. The 12^th annual summit, to be held in Nairobi on May 7-8, 2025, will gather over 450 global investors, developers, and real estate professionals. Participants will explore opportunities to capitalize on investment potential in Kenya, Tanzania (including Zanzibar), Uganda, Rwanda, and Ethiopia — countries showing promising signs of economic recovery and political stabilization.

Speaking on the growth of the hospitality industry, Bani Haddad, Founder and Managing Director of Aleph Hospitality, highlights Kenya’s untapped potential.

“Kenya presents a great opportunity for hospitality investment due to its unique combination of untapped potential, economic stability, strategic location, and government incentives. Add to that a 35% increase in international visitors and a growing middle class with disposable income. It’s clear that the demand for quality hospitality services will continue to rise, offering promising opportunities for local and international investors,” says Haddad.

Haddad’s Aleph Hospitality is the largest independent hotel management company in the Middle East and Africa.

Mark Dunford, CEO of Knight Frank Kenya, adds that improved air connectivity is critical to sustaining this growth and the influx of tourists into Kenya. “Jomo Kenyatta International Airport must remain a hub for Sub-Saharan Africa region with additional long-haul flights to support along with further investment in the other local airports,” says Dunford.

Jomo Kenyatta International Airport is an international airport serving Nairobi, the capital and largest city of Kenya.

Fiona Craw, Vice President of the Hotels & Hospitality Group at JLL Africa, notes that Kenya’s hospitality sector attracts significant investment, particularly in Nairobi and the Masai Mara area. This growth is driven by robust demand across sectors including corporate, leisure, MICE (Meetings, Incentives, Conferences, and Exhibitions), and government.

Nairobi’s position as a key economic and transit hub in Africa, coupled with Masai Mara’s global reputation as a premier safari destination, further fuels this investment trend.

Craw says the ongoing infrastructure development in Kenya, especially in Nairobi, is enhancing accessibility and supporting the country’s efforts to establish itself as a leading MICE tourism destination. “This strategic positioning is driving demand for high-quality accommodation and state-of-the-art meeting facilities,” says Craw.

Despite promising opportunities, experts acknowledge several challenges hobbling the industry’s growth.

“Kenya’s hospitality industry, while exhibiting resilience and growth, faces several challenges such as security concerns, regulatory hurdles, supply chain disruptions, and human resource challenges. The high cost of financing and inflation-driven operational costs further strain businesses,” says Aleph Hospitality’s Haddad.

He adds: “For Kenya to solidify its position as a premier global investment destination, collaboration with government and private sectors is key to improving infrastructure and security. Streamlining land acquisition and development approvals will cut delays and costs, making business easier. Diversifying suppliers can ease supply chain issues while investing in talent retention will boost efficiency and service quality”.

Visa complexities are another hurdle that could stunt the growth of Kenya’s luxury hospitality sector. However, visa complexities are not unique to Kenya as many countries in the rest of the African continent face similar challenges.

Visa complexities in Africa are marked by limited visa-free travel, with only a small percentage of countries offering such options to fellow African nations. The process is often expensive and bureaucratic, requiring lengthy procedures and embassy visits. There is also a significant disparity in passport strength across the continent, with some countries enjoying extensive visa-free access while others face severe restrictions. Political instability and security concerns further complicate mobility for citizens from certain regions.

Says Dunford of Knight Frank Kenya: “There are a number of issues facing the industry at present. The easiest of these issues to overcome would be the simplification of the visa/entry process to tangibly encourage visitors.”

Another issue that potential investors should be mindful of is the oversupply of hotel rooms in Nairobi, which heightens competition among hotel operators.  JLL Africa’s Craw estimates that Nairobi recently experienced a significant supply increase, with over 2,000 new hotel rooms introduced in just 18 months. “As a result, market performance is expected to face downward pressure throughout 2025 as the sector works to absorb this new inventory,” she says.

Daniel Trappler, Senior Director of Development for Sub-Sahara Africa at Radisson Hotel Group, partly agrees with Craw about the oversupply of hotel rooms, in some urban Nairobi areas. Trappler says, however, that there are certain nodes that represent pockets of value that are not yet adequately supplied, and with the correct brand could certainly capture market share in Nairobi and lure guests easily, especially with brands that RHG does not yet have operational in the city. Investors that have access to the right capital are therefore in a good position to leverage from this market opportunity. Trappler further adds that both the entry level luxury brand Radisson Collection, and the lifestyle upscale brand Radisson RED, would serve owners with strong returns if built at the right locations. The group is eager to expand in Nairobi in this regard.

Despite the oversupply of hotel rooms and intense competition, there are pockets of growth and excellence. Marriott International, which has a presence in Kenya as it operates city hotels in Nairobi and safari lodges in the Masai Mara, says it is seeing strong growth in its business.

Jugal Khushalani, Marriott International’s Senior Director for Development in the East Africa region, says: “There remains an increased appetite for high-end experiences in the market, positioning us to further expand our portfolio of luxury brands through urban hotels and safari lodges. Kenya is positioned for sustained growth across all segments, and we remain committed to growing our footprint in the country and supporting the growth of its tourism sector.”

The experts agree that despite short-term challenges, the long-term outlook for Kenya’s hospitality sector remains positive. They have proposed innovative strategies to address these challenges while ensuring sustained growth in the luxury market. The solutions for sustained growth include:

Alternative financing models: Public-private partnership and government-backed incentives can reduce financing costs for new developments.

Sustainable tourism practices: High-end resorts are adopting eco-friendly initiatives such as solar energy usage and marine conservation programs to align with global trends favouring sustainable luxury tourism.

Enhanced air connectivity: Continued investment in Jomo Kenyatta International Airport and regional airports will improve access for long-haul travellers.

Bespoke experiences: Personalization remains key in luxury travel. Exclusive offerings like private safaris, tailored cultural tours, and secluded beachfront villas cater to affluent travellers seeking unique experiences.

With strategic investments and collaborative efforts between government entities and private stakeholders, Kenya is well-positioned to solidify its reputation as a premier destination for luxury travel in Africa. The country’s diverse offerings — from world-class safaris to coastal retreats — continue to attract discerning travellers seeking unforgettable experiences.

The 12^th East Africa Property Investment Summit meeting will take place on 7 and 8 May 2025 at Pullman, Upper Hill, Nairobi, Kenya. For more information and to book to attend the EAPI Summit visit https://EAPISummit.com.

WINDHOEK, Namibia, April 8, 2025/APO Group/ –This year’s Hotel Development Pipeline Report, the definitive study of international hospitality development projects in Africa, reveals record activity. There are 577 hotels and resorts, with 104,444 rooms, in the development pipeline, up by 13.3% on 2024, way ahead of the single digit pipeline growth reported globally by the leading international chains.

The report, compiled by Lagos-based W Hospitality Group, with data from 50 international and regional hotel chains, shows that development activity has been growing impressively in North Africa, which saw a 23% year-on-year increase, compared to a 6% increase in sub-Saharan Africa. Over the past five years, the hotel development pipeline has grown at an annualised rate of 4% in sub-Saharan Africa, 12% in North Africa and 7% overall.

Egypt continues to lead the way in terms of development, with 143 hotels and 33,926 rooms in the pipeline there. This is almost four times the number of rooms in second-placed Morocco, which has 8,579 rooms in 58 hotels. The following eight countries, ranked by number of rooms, comprise Nigeria, 7,320; Ethiopia, 5,648; Cape Verde, 5,565; Kenya, 4,344; Tunisia, 4,336; South Africa, 4,076; Tanzania, 3,432; and Ghana, 3,125. International hotel chains have deals signed in 42 of Africa’s 54 countries.

Despite its clear leadership in the absolute pipeline numbers, Egypt has fewer than 50% of rooms under construction, a significantly lower proportion than second-placed Morocco, with over 72%. Of the top 10 countries, Ethiopia has the highest ratio of rooms “on site”, followed by Morocco and Ghana. Cape Verde, Nigeria and Tanzania have some of the lowest percentages. However, “under construction” does not necessarily mean that there is activity and progress towards completion and opening – many of the sites in Nigeria and Ghana, for example, have been closed for several years, with hardly a hard hat in sight.

A more granular analysis, looking at the location of planned properties, reveals an extraordinary boom in Cairo, with 17,757 new rooms projected in over 70 hotels. The contrast with the second-placed location, Sharm El Sheikh, is dramatic, where 4,231 rooms are planned in fewer than 10 properties. The cities and resorts with the next largest pipelines by number of rooms are Lagos, 3,709; Boa Vista, 3,650; Addis Ababa, 3,369; Casablanca, 2,939; Accra, 2,652; Abuja, 2,570; Zanzibar, 2,523; and Dakar, 2,334.

The growth is being driven strongly by the major international hotel chains, with Marriott International leading the way, 165 hotels with 29,639 rooms. It is followed by Hilton, 93 hotels with 17,040 rooms; Accor, 73 hotels with 15,013 rooms; IHG, 40 hotels with 7,951 rooms; Radisson Hotel Group, 32 hotels with 6,346 rooms; TUI Hotels & Resorts, 11 hotels with 2,954 rooms; Barceló Hotels & Resorts, 7 hotels with 2,193 rooms; The Ascott, 15 hotels with 1,897 rooms; Kerten Hospitality, 13 hotels with 1,881 rooms and Wyndham Hotels & Resorts, 7 hotels with 1,706 rooms.

In the race for dominance, Hilton added slightly more rooms to its African pipeline last year than Marriott International and achieved a higher percentage growth. Barceló Hotels & Resorts recorded the largest percentage growth, more than doubling its pipeline to 2,193 rooms, with three large resort signings in North Africa.

Below the headline numbers, there are three notable trends. First, the actualisation rate (actual openings vs. expected openings), which has nearly doubled from 21% in 2023 to 38% in 2024. While it’s substantially less than the 75% actualisation rate achieved in 2019, it shows a continuing recovery from the economic devastation of COVID-19. Of the total 104,444 rooms in the pipeline, over 50,000 rooms (nearly 50%) in 304 hotels are expected to open in 2025 and 2026.

Second, resort projects are increasing much faster than city or airport hotels, both in percentage terms and in absolute numbers, driven by the number of signings and by the larger average size of the developments, 210 keys vs. 170.  Also, almost half of the rooms that opened last year were in resorts.

Third, there is a definite movement by the chains towards the franchise model, with 108 projects representing almost 19% of the total, compared to less than 10% in 2020. A major factor is the emergence of quality, international, white-label operators such as Aleph Hospitality and Valor Hospitality, and some indigenous operators in Nigeria, Kenya and elsewhere, that are increasing confidence that brand standards will be met.

The full report will be discussed at FHS Africa (formerly AHIF) 17-19 June in Cape Town. It is the leading hospitality investment conference in the region, which brings together senior decision-makers to shape the future of the industry. Matthew Weihs, Managing Director of the Bench, which organises FHS Africa, said: “The growth in hotel development across Africa is a testament to the continent’s economic and tourism potential. Furthermore, the commitment from the international hotel chains makes it clear that global players see Africa as a strategic opportunity.”

Trevor Ward, Managing Director of W Hospitality Group, concluded: “Despite the various trials that the continent faces, the fact that hotel chains signed 125 new deals last year, with 21,000 rooms, is evidence that opportunities for further development abound. According to the Global Cities Institute, by the year 2100, 10 of the world’s 16 largest cities will be in Africa, with all but one of them (Cairo) in sub-Saharan Africa. So, one might say that development activity in Africa has barely scratched the surface.”

DIAMNIADIO, Senegal, April 3, 2025/APO Group/ –Four Points by Sheraton, part of Marriott Bonvoy’s (www.Marriott.com) global portfolio of over 30 brands, today announced the opening Four Points by Sheraton Dakar Diamniadio, marking the brand’s debut in Senegal. Whether travellers are visiting Dakar’s ‘smart city’ district of Diamniado for work or fun, the hotel caters to their needs with its approachable design, stylish comfort and all the brand’s popular extras.

Located in the new Sports City complex and just 20 minutes from Blaise Diagne International Airport, Four Points by Sheraton Dakar Diamniadio provides easy access to major local landmarks, including the CICAD (Abdou Diouf International Conference Centre), the Ministerial Sphere Ousmane Tanor Dieng, the United Nations Headquarters for West Africa, and the future Diamniadio Olympic Stadium, set to host the 2026 Summer Youth Olympics.

“The launch of Four Points by Sheraton Dakar Diamniadio marks an important milestone for Marriott International,” said Sandra Schulze-Potgieter, Vice President, Premium, Select & Midscale Brands, Europe, Middle East, and Africa, Marriott International. “Senegal’s rich heritage and Diamniadio’s economic importance make it a perfect fit for our Four Points by Sheraton brand. This new hotel will provide travellers with modern details and local experiences, while supporting the region’s growth in business, sports, and tourism.”

The hotel features 173 stylish rooms with views of Sports City and its urban surroundings. Reflecting the brand’s signature style, Four Points by Sheraton Diamniadio offers everything that matters for today’s independent travellers, including the Four Points by Sheraton Four Comfort Bed, fast and free Wi-Fi throughout the hotel and an energising breakfast with fresh coffee on tap.

For a social eating experience, guests can enjoy fresh, and delicious food throughout the day at FP Social, while Chic’ Afrique offers local and international bites in a vibrant, African-inspired setting. For a laid-back end to the day, FP Social Bar offers a relaxed atmosphere where guests can unwind and explore the Four Points’ signature Best Brews™ programme—a curated selection of local craft beers.

Other facilities include an outdoor pool and a state-of-the-art fitness centre. With 139 square metres of flexible meeting space across four rooms, the hotel is an ideal venue for intimate meetings and social gatherings.

“We have wholeheartedly embraced the spirit of Teranga – the essence of Senegalese hospitality -and the innovative Sports City concept in every detail of our hotel’s development. From thoughtful design and carefully chosen materials to exceptional service, we are dedicated to creating an experience where international excellence meets the warmth, generosity, and well-being that make Senegal so special,” said Mustapha Fodil, General Manager of Four Points by Sheraton Dakar Diamniadio.

As the only hotel in the Diamniadio Sports City, Four Points by Sheraton guests have access to world-class sports facilities, including a FIFA-approved football pitch, basketball and tennis courts, an Olympic-sized swimming pool, a range of gyms, and a wellness centre. For families, a children’s playground complete with a climbing wall adds an extra layer of fun. Guests also benefit from the hotel’s proximity to key government and business institutions, while Dakar’s iconic attractions—such as the African Renaissance Monument, Gorée Island, and bustling local markets—are easily accessible by highway or rail.

For more information about Four Points by Sheraton Dakar Diamniadio, please visit www.Marriott.com.