Kempinski Bets on Middle East Rebound as Occupancy Dips Below 20%

Luxury hotel group Kempinski is treating financial nervousness during the  Iran war as an opportunity, with CEO Barbara Muckermann telling Skift “Anytime there is uncertainty, banks get nervous, so we see opportunities.” She added: “Our focus remains around investment and expansion in the Middle East, and we see this as an opportunity to accelerate our growth.”

The comments came shortly before the U.S. and Iran agreed a ceasefire on April 7 that could, if enduring beyond an initial two weeks, provide relief to hospitality businesses in the region that have been hammered over the past six weeks.

Kempinski’s Middle East properties — 17 hotels spanning the UAE, Saudi Arabia, Oman, Qatar, Egypt, Lebanon, Jordan, and Iraq — are currently running “below 20% occupancy,”