Rocco Forte Hotels revealed on Monday that it exited the 281-room Rocco Forte Hotel Abu Dhabi, its only hotel in the Middle East.
The hotel will now operate as Al Maqta Hotel Abu Dhabi, and reservations made prior to March 18 under Rocco Forte will be honored. The property’s owner Al Farida Investments Co., Abu Dhabi, United Arab Emirates, said that cessation of Rocco Forte’s management contract would be positive for the hotel’s business.
“Whatever it is it is good for the business,” said Imran Adibi, a manager at Al Farida, told The National.
The hotel opened in 2011, and local press reported that according to anonymous sources Al Farida is reportedly in negotiations with Starwood Hotels & Resorts Worldwide, Stamford, Connecticut, to convert the property into a Sheraton. However, neither Al Farida nor Starwood confirmed this.
Rocco Forte Hotels, London, is dealing with financial difficulties, having posted losses over the past two fiscal years and a total net debt of €108 million (US$137 million). The company was also reportedly exiting its lease of 101-room Augustine Hotel Praha, located in Prague, due to failure to pay rent. However, the company continues to operate the hotel.