The president of the National Hotel & Restaurant Association said he is seeking a consensus for a freeze on the construction of new hotel rooms in the Puerto Plata and Punta Cana areas. He feels these areas are already saturated. Ramon Prieto, president of Asonahores, said that it is in the best interest of the hotel sector to stop the construction of new hotel rooms and dedicate efforts to increasing the demand for Dominican holidays. He explained there are around 52,000 hotel rooms in the DR, and last year the country had a 71% occupancy rate. Prieto says that the demand has not been able to keep up with the fast pace of the increase in the inventory of hotel rooms, which is affecting the rates hoteliers can charge. He forecast that a reduction in the rate of increase in hotel rooms, will give hotels a breather so they can invest in their rooms, and thus be able to demand higher prices. Furthermore, he pointed out that hotels generate more foreign exchange and more jobs than the construction sector. He favors the construction of a different type of room as the country has too many of the same kind and that limits the market. He also favors exploiting new areas and continuing the development of ecotourism. (17 April 2001)
