In what could be the first noticeable, public acknowledgement of the strain being faced by hotel chains in India following the second Covid-19 wave, American multinational hospitality chain, Hyatt Regency Mumbai, has shut operations temporarily with immediate effect. The hotel located at the Mumbai Airport Terminal 2 will be closed until further notice.
The reason for the closure of the hotel attributes to the fact that the Hyatt Regency Mumbai – Asian Hotels (West) owner has not made funds available for payment of salaries or to support the operations of the hotel.
The notice signed by Mr Hardip Marwah, the general manager at the hotel, dated June 7, reads: “This is to inform all the on-roll staff of the hotel that no funds are forthcoming from Asian Hotels (West) Ltd., the owner of Hyatt Regency Mumbai, to enable payment of salaries or to support the operations of the hotel. As a consequence, the decision has been taken to temporarily suspend all operations for Hyatt Regency Mumbai with immediate effect. The hotel will remain closed until further notice.”
Sunjae Sharma, Vice President & Country Head – India, Hyatt, said that as a result of no funds forthcoming from Asian Hotels (West) Ltd, the owner of Hyatt Regency Mumbai, to sustain the hotel operations, the decision has been taken to temporarily suspend all operations for Hyatt Regency Mumbai. Until further notice, the hotel will remain closed and future reservations will remain temporarily unavailable through Hyatt booking channels.
The travel and hospitality sector has been hit hard over the past year due to Covid-19 and hotels have been primarily empty. Most hotels that have remained open have had to drop their prices to gain some occupancy. With curfews and travel restrictions being set in place due to the onset of the second wave, hotel reservations have further diminished.
At present, there is no resolution date as to when Hyatt Regency Mumbai will reopen. In the meanwhile, guests who hold confirmed bookings at Hyatt Regency Mumbai will be accommodated at the Grand Hyatt Mumbai.
