by editorial office, ch

After the strepitous separation from Kempinski, the new management of Grand Hotel Heiligendamm is seeking to get a handle on the economic situation as swiftly as possible. The target is sustainable profits within two years, hotel manager Martin Smura was cited in „Hamburger Abendblatt“. With the exception of the year 2007 (G8 Summit), the 346-room property has been recording losses since its opening six years ago. The top hotel will now continue to be marketed as Leading Hotel of the World and member of the Selection of German Luxury Hotels. Whether this will suffice remains to be seen. Because of Kempinski’s withdrawal as management partner, various central marketing and sales activities need to be taken over by the team in Heiligendamm.

The proprietor (Fundus-Gruppe) recently announced its plans for further investments; a matter that had long been fought over and had resulted in the separation from the previous partners, among other things. The spa area is supposed to be expanded, another pool to be built and a renowned physician to be engaged. The focus on wellness is meant to raise occupancy to 55 percent, which, according to Smura, would be sufficient to reach the profit zone while keeping regular hotel rates. The rate of occupancy at Grand Hotel Heiligendamm is particularly low in the winter months, but the summer months, too, show „occupancy holes“. To counter this, Kempinski had cooperated with Berge & Meer to launch low-cost offers at Tchibo Reisen and other places. These will now be discontinued, as well, Smura pointed out.