By 2010, 353 new hotels will appear in Moscow.
Bochurov A. S., Vice President of JSC «GAO «Moscow»
State Joint-Stock Company «Moscow» was created in 1994 by decision of the Moscow Government, with the aim of promoting the development of the hotel and tourism industry of the capital. Fulfilling the tasks set by the Moscow Government, GAO Moscow is doing a lot of work to develop and coordinate the implementation of a program for the development of the city’s hotel and tourist complex; to create (in cooperation with other interested organizations) a unified city system for preparing investment proposals for hotel enterprises; to organize the selection of investors for the construction of new and reconstruction of existing hotel facilities in Moscow.
– What activities does GAO Moscow carry out to support the development of the hotel industry in Moscow?
– In short, GAO Moscow is an authorized company of the Moscow Government for the development of the hotel industry, an information center -methodological support for the hotel business.
The company has become a kind of “conductor” between the Moscow Government, the Moscow Committee for Foreign Economic Activity and many hotel enterprises. We periodically hold industry seminars and conferences, based on the results of which we prepare projects for the development of the city’s hotel industry. Methodological literature is published. Participation of hotel workers in major international and Russian tourism, hotel and investment exhibitions is organized.
– Occupying the post of vice-president of GAO MOSCOW, what work do you supervise?</p >
– At GAO Moscow I am supervising the implementation of the general scheme for the placement of hotels in Moscow until 2010. On April 24, 2007, the corresponding decree of the Moscow Government No. 323-PP “On the General Scheme for the Accommodation of Hotels in the City of Moscow until 2010” was issued. It approved the hotel placement scheme; address list of sites for hotel construction, where copyright holders are already known;
as well as a list of hotel development sites, the implementation of which is planned on a competitive basis.
– What awaits our city in terms of the construction of new hotels in the near future?
– There are currently 203 hotels operating in Moscow, and according to the master plan, an additional 353 hotels will be put into operation by 2010. Of this number of objects, in 275 cases the copyright holders (developers) are already known, and in 78 they will be determined on a competitive basis. Most of the facilities will be built in the Central Administrative District of Moscow.
These are 124 hotels. When the planned plan for the construction of hotels is completed, Moscow will be on the same level as cities such as Paris and London. Soon the target will be reached — one hotel bed for every 50 residents of the capital.
– Of the 353 objects planned for construction, which star rating hotels will prevail?
– It is assumed that about 70% of the hotels under construction will be 3* class. There is currently a shortage in this segment of the hotel industry in Moscow; on the other hand, it is hotels of this star rating that are most in demand in the city.
Nowadays, 3* class hotels that receive guests inflate prices above the level of their class. For example, if we compare a similar hotel from one chain of hotels in Prague (Czech Republic), then the cost of a similar room in Moscow will be 2 times more expensive and will be about $300 per night. Hotel management takes advantage of the fact that the hotel is modern, with good infrastructure, and there are not enough available rooms in the city — so prices are rising.
– What guarantees are there that when an investor receives the rights to own a site for the construction of a hotel, he will maintain its concept as a 3*, and will not, for example, remake the project as a 5*?
– This the moment is stipulated in the resolution of the Moscow Government.
Moskomarkhitektura ensures that there are no cases of repurposing hotel facilities under construction and adjusting documentation in the direction of reducing the number of rooms when drawing up acts of permitted use of land plots for the construction of multifunctional complexes with hotels. The developer is obliged to initially indicate the total area of the hotel, taking into account the area of the associated infrastructure, as well as the hotel’s capacity in rooms and places. Without this condition, approval of the design and initial permitting documentation will not be carried out.
In past years, there were often cases in Moscow when, having received a site for the construction of a 3* hotel, an investor changed his plans and built a multifunctional complex, which was dominated by office space or retail areas. In this case, his risks were reduced, and the return on investment was faster. In addition, it was much easier for the owner to sell such an object. Now this situation will not pass; the city will receive as many rooms as are included in the general plan.
– In your opinion, which hotels pay off the investment faster: 3* or 5*?
– This question cannot be answered unequivocally.
Many factors must be taken into account: now in Moscow there is a shortage of available rooms and all hotels are 100% occupied. It’s hard to imagine what the situation will be like by 2010.
In general, the payback of a 3* hotel should be faster than a 5* one, since the latter is subject to certain obligations and higher standards, which means greater investments are required. If there are a sufficient number of 3* hotels, most tourists will prefer to stay in them rather than pay crazy money for 5*. This is normal practice in Europe and throughout the world.
– Which Moscow hotel could you highlight from the point of view of introducing any innovative solutions for engineering systems?
– I would mention the Borodino hotel, built on Rusakovskaya embankment, its opening took place on 27 June 2 0 0 7. The modern business hotel “Borodino”, meeting European standards of 4* category, can simultaneously accommodate up to 400 guests, while ensuring a high level of service provision.
The hotel is part of a business complex that includes the 17-story office center Borodino Plaza, the Borodino concert hall — Hall”, underground parking for 140 cars.
The project of the Borodino office and hotel center included the reconstruction of a boiler room and three monuments of industrial architecture, built according to Kalinkin’s design by the famous architect Weber. The total area of the complex is 27 thousand square meters, including the above-ground part of the building of 12 floors and underground parking — 2 floors. According to experts, the investment cost of the constructed complex was about 80 million US dollars.
The uniqueness of the technical solution lies in the fact that electricity, hot water, and cold are generated by recycling exhaust gases. The only thing that the business center receives from the city is gas and cold water.
In the cogeneration process, gases are taken, burned, and utilized, resulting in the generation of electricity and heat, and subsequently cold. This allows the facility to create autonomy from Moscow’s energy resources, providing for various energy supply modes:
both from the centralized network and from its own, depending on the needs of the center. In the event of a power outage in the city, the Borodino power station will be able to provide electricity to the adjacent residential areas.
Today in Moscow there are no business centers with their own power unit, which is an undeniable advantage of the Borodino complex.
– In November 2007, GAO Moscow once again holds the Moscow International Hotel Forum and exhibition at Crocus Expo. What new idea, in your opinion, should be used at our conference “Construction of hotels using the concept of an intelligent building”?
— It would be very interesting to hear, in addition to presentations about “intelligent buildings”, more specific information indicating the benefits that the developer of the hotel facility and its guests will receive, as well as the real terms of return on investment invested in “intelligent systems”.
For our part, we will try to base the conference discussion on a real project of a hotel to be built in Moscow. Company speakers will prepare presentations where they will display their proposals for the customer of hotel construction for equipping it with automation and dispatch systems.
Participation in the conference will not mean that any of the reporting companies will necessarily receive a contract to carry out work on this hotel. The main objective of the conference is to discuss the use of intelligent systems using a real example and identify the most promising technologies. Well, our task will be to invite potential customers from among investors and developers to listen to the companies’ speeches.
– The idea is really great and we will definitely try to implement it through joint efforts. Thank you very much for the interview and the information provided on plans for the construction and expansion of a hotel chain in Moscow.
For reference:
Bochurov Alexander Sergeevich, Vice President of OJSC «GAO» Moscow” Born on June 29, 1947.
Higher education. In 1970 he graduated from the Dnepropetrovsk Metallurgical Institute of the Order of the Red Banner of Labor.
Positions held over the past ten years:
1996–2000. – Central Bank of the Russian Federation, director of the automobile plant. 2000–2003 – Hotel “Leningradskaya”, Deputy General Director. 2003–2006 – Hotel “Ukraine”, general director. February 2006 to present – Vice President of JSC “GAO” Moscow.”