Category: Tourism; Construction; Hotel; Ski Resort.
Location: Trutnov, Czech Republic
Status: Shareholding Company. 75% stock ownership
by CTI Resorts, and 25% distributed to Czech business
entities and the City of Trutnov in exchange for various permissions,
licenses, land and facilities.
Method. Increased interest is being shown in the
resort areas of the Czech Republic. Both downhill and cross-country
skiing are popular. There is, however, a substantial lack of quality
facilities available to support the increased demand. Existing
facilities are now aging and in any event, are mostly of the spartan
"Soviet" design, seldom exceeding an international two-star rating.
A six-hundred room three / four star hotel is
planned for the site. The rooms will be divided; approximately 75% of
the three star variety, and 25% of the four star variety. The four
star aspect of the hotel will be run as a hotel within a hotel.
Services of the hotel will include rooms, spas, health clinics, sports
rehabilitation, sports training, skiing packages, skiing instruction,
etc. Standard amenities such as swimming pools, Jacuzzis and tennis
courts will be available. All hotel functions will be environmentally
friendly.
The City of Trutnov is donating land for the
project, and taxes will be deferred for five years. Existing ski lift
facilities will be completely modernized and expanded, with one line
providing a tourist gondola for access to the restaurant at the top of
the slopes. This restaurant will operate all year. An aggressive
advertising campaign will be initiated 180 days prior to opening. Tour
operators will be encouraged to book on and off season tours to the
locale.
Target: This project targets the increase in
tourism to the Czech Republic and the subsequent increase in income to
Republic and local governments.
Time: This project will take about two (2) years to
become fully operational, although component parts of the overall
project, e.g., restaurant, skiing school and outdoor tennis, can be
online within the first 9 months.
Financial: The operation of all facilities is
expected to become profitable by the end of the third year. Sufficient
funds will be set back in order to assure the full operation of the
facilities during the startup phase.
Local Impact: The Resort will employee
approximately 300 local people. After the first five years, local
taxes of about three million dollars per year will be paid.
Additionally, there will be a highly positive impact on the local
businesses and services.
