Letters to the Editor

The frenzy of hotel building

Seychelles is heading for a record number of tourist arrivals for the third consecutive year, with a 14% increase over 2006.

After almost ten years of stagnation, tourism appears to be booming. There could be several contributing factors, such as a strong euro, prompting European visitors to travel more. Competitors in the Caribbean and Asia have also been badly hit by cyclones and other adverse climatic conditions.

As visitor arrivals increase, our islands are caught in a frenzy of building hotels. Resorts are going up all over Mahe, Praslin, La Digue, the inner granitics and outer coralline islands, which should add 1,600 further beds within the next two or three years.

After arbitrarily seizing most of the hotels by European entrepreneurs in the 1970s following the opening of the airport, the SPPF government is trying to claim that the surge in hotel-building is proof of investors’ confidence. These days, almost every establishment claims it is 5-star and it is encouraged to do so with a string of concessions, such as retaining most of foreign currency earnings, which leaves the country with hardly anything.

Several 5-star hotels have been operating since several years, such as Lemuria, Banyan Tree, Fisherman’s Cove, Barbarons as well as others on various islands. Two years ago, Mr Jean Weeling of Corvina stated that Lemuria was not profitable. Today, the same group is taking over the whole of Port Launay for a much larger project. When shall we be told the truth? 

Late last year, the Seychelles Tourist Board published a list of 30 projects which have been approved; 23 on Mahe, 5 on Praslin, 2 on La Digue and 2 on Silhouette.

The list was, however, far from complete, as the Emirates hotel at Cap Ternay and the Qatar resort at Anse La Mouche are among those not included. Also missing are the hotels going up on the IDC –owned islands such as Desroches.

About half of the projects are already underway and even operational, such as 30 chalets for Maia Resort at Anse Louis, owned by Mr Joe Albert in partnership with the Sun group of South Africa and 116 units Labriz on Silhouette, owned by Universal Enterprise of the Maldives.  Those under construction or nearing completion are mainly the 55-room Four Seasons Hotel at Petit Anse and the 160-room Shangri-La Resort on Long Island, site of the former prison.

Still to come are the Carana Beach Resort with 72 units; the Eco-Friendly Hotel of the Oliaji properties with 60 units; the Airport Transit Hotel with 100 units, owned by Universal of the Maldives and the Takamaka Bay Resort at Praslin with 96 units, whose major shareholder is a Saudi prince. 

The development of large 5-star resorts will have special significance as they close in almost every available beach site and seriously reduce public access to the beach. This is particularly the case in South Mahe, as well as on Praslin, La Digue and smaller islands.

We have already lost Petit Anse, Anse Louis, Intendance and soon Port Launay.

The Port Launay project to start soon by Corvina Investments with Mauritian partners is a case where government gives everything to one developer, without leaving any scope for Seychellois enterprise. The areas taken up by these resorts are huge in comparison with the size of our islands - as many as 200 acres in many instances.

The other fact is that beaches and the sea are an important part of our national heritage and culture. Most Seychellois families enjoy a family picnic. Many also own a small boat to cruise around the coves whenever they are free.

Only a few of the new hotels are Seychellois-owned. But they are small, such as extensions of a few rooms to existing Val Mer Resort, Beach Comber and a new 7-room establishment called Captain Morgan Lodge, owned by well-known singer Sonny Morgan.

It remains to be seen for how long small locally-owned establishments will be able to survive against larger foreign-owned projects which enjoy all manner of concessions. President Michel has still to make good a promise in his National Day address to level the playing field for all stakeholders in the tourist industry.

Another major concern is the high number of expatriate workers who will be required to run all the upcoming resorts. Recently, the chairman of the Seychelles Hoteliers and Tourism Association, Mr Louis D’Offay, stated that there was need for some 800 foreign hotel workers to staff the existing establishments.

The directors of Pinnacle Holdings, the developers of Ile Aurore indicated that he can poach staff from other tourism ventures in the far-flung area. Promises by Beachcomber to turn the former Reef Hotel into a training school have not been met. So after thousands of Asian construction workers, we can expect many more hotel workers to converge on our islands.  By the look of things, we might even be outnumbered. 

So, are we giving up all our beaches, our tranquillity and Creole spirit for nothing and in the process become second class citizens in our own country? Only time will tell! 

November 30, 2007
Copyright 2007: Seychelles Weekly, Victoria, Mahe, Seychelles