MILES AXLE Translation. Region: Russian Federation –
Source: Moscow Government – Government of Moscow –
The number of tourists visiting Moscow is constantly growing and has already approached pre-pandemic levels: 24.5 million people visited it last year. Due to the increase in tourist flow, the capital will need to expand its hotel stock by 25.7 thousand rooms by 2030. This means that the hotel business is expecting a new rise, and opening hotels remains a profitable investment. But where should an entrepreneur who wants to work in the hospitality industry start? Head of the Hotel Management Department of Mostourism Ekaterina Kirillova has prepared step-by-step instructions for those planning to open a new hotel.
Opening a hotel is not only a significant financial investment, but also the competent execution of the necessary documents. It is important to take into account all the nuances: from the design of rooms and public areas to the selection of a suitable location. Investors are responsible for the funds, desire and opportunities when opening a hotel, and the city will help with the solution of bureaucratic and technical issues. If any questions arise, including after studying the checklist, you can contact the specialists of Mosturism, who provide online consultations.
The first step will be to calculate the financial business model. To begin with, the investor must determine the required (desired) capacity of the room stock and the category of the future hotel. In Moscow, guests’ expectations even from a three-star hotel are already quite high. Therefore, during construction, it is worth considering even the smallest details, without trying to save on quality. Moreover, such requirements are becoming even more relevant for four- and five-star hotels.
You can build a hotel yourself or organize the redevelopment of your inefficiently used building (or purchase such a building with various rights of use).
The location plays a vital role here. Here are the main points to consider in the infrastructure of the chosen area:
transport accessibility (availability of nearby metro stations, convenient transfer from airports and train stations to the hotel and back); availability of nearby business centers, attractions, etc.; proximity to the city center.
The second step is to determine the possibility of using the territory for a hotel. Mosturism draws the attention of investors to the fact that financing the creation of a hotel facility does not cancel the rules of use provided for in a specific territory. The purpose for which the land plot will be used in the future is determined only by the urban development regulations of a specific territory. Therefore, it is very important to first familiarize yourself with the extract on the land plot, which will indicate the possible type of permitted use.
If the required type of permitted use is not available (4.7. “Hotel services”), changes must be made to the land use and development regulations. How to do this, Mosturism will tell you.
To obtain detailed information, you need to be honest about your plans. In the future, by attaching a concept of a hotel project indicating the planned hotel category, number of rooms and management contract with a hotel operator, you will be able to obtain a conclusion from Mosturism.
The third step is construction. After receiving all the necessary permits, it is necessary to start construction on time, designing the hotel in accordance with the technical specifications.
Due to the fact that tourists’ interest in the capital is constantly growing, the demand for comfortable and cozy small hotels with the best price-to-service ratio is also increasing. Since tourism is a priority industry, the Moscow Government is interested in building new high-quality hotels of three-star categories. Good hotels meet the high expectations of guests from the Russian capital and support Moscow’s reputation as one of the most progressive cities in the world.
The city provides comprehensive support to the hotel industry as an important part of the tourism infrastructure and is constantly in dialogue with the hotel business, responding to industry requests. Moscow provides various preferential programs to investors opening new hotels. For example, they can receive the right to preferential rent of buildings and premises at a cost of one ruble per square meter per year. New facilities also appear thanks to the concession mechanism – one of the forms of public-private partnership, which makes it possible to develop hotel infrastructure through investor investments. The Moscow City Tourism Committee forms an up-to-date information field on the dynamics of tourism development in the capital.
Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.
Please note; This information is raw content directly from the information source. It is accurate to what the source is stating and does not reflect the position of MIL-OSI or its clients.