Earlier this year, as Beijing
ramped up to host Summer Olympics 2008. The capital reported that hotel room availability
was super tight— especially at the top end of the market. There are close to
40 five-star hotels in Beijing,
and the city predicted that 4,000 high-end hotel rooms would come on line by
the time the Summer Olympics opened on August 8.
Today, Reuters is reporting
that hotels in Beijing
are slashing room prices for the Olympics by as much as half because
reservations have fallen well short of expectations. Hoteliers have been
disappointed by the low visitor numbers, as prospective visitors have been put off
by worries about pollution,
threats of terrorist attacks and the sheer difficulty of obtaining visas. Four-
and three-star hotels are saying they have plenty of availability and are
willing to give big discounts. At the top end of the
market, hotels looked to be in better shape for the Olympics, and tourism officials
are predicting domestic visitors will stream into the city to fill hotels at
the lower end of the market.