Far East's hotel in Subang to sport contemporary look

TWELVE-year-old Sheraton Subang Hotels & Towers is undergoing a transformation as the owner of the hotel, Far East Consortium Ltd, prepares to take over the management from Starwood.

It is understood that the hotel may be re-branded as a luxury Dorsett brand once the handing-over takes place on October 1.

The renovation and refurbishment exercise, which started recently, will see the owners pumping in RM60 million. This will boost the number of rooms rooms to 500 from 352 currently.

The additional 125-odd rooms were never completed under the original owners. The hotel was previously owned by the Faber Group. Far East bought the property in 2006.

The president of Far East's hospitality arm, Dorsett International Sdn Bhd, Eddie Tang, said the hotel will sport a more contemporary look compared with a classical look now. The renovation will take about a year.

In 2008, the hotel enjoyed an average room rate (ARR) of RM260 and an occupancy of 70 per cent. This year, as a result of the renovation exercise, the hotel expects to sustain the ARR at RM260 and fill 60 per cent of its rooms.

Tang remains optimistic about the performance of the hotel even if it no longer carries the Starwood brand. He expects the hotel to raise the ARR to RM280 per night and enjoy an occupancy of between 70 per cent and 75 per cent next year.

By Business Times