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Hotels in Shetland

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#1 Davie P

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Posted 11 May 2019 - 12:15 PM

What are you folks thinking about the hotel situation?

 

2 for sale in Lerwick', one for sale in Scalloway, a new one proposed for Lerwick and a group of north mainland accom providers (inc. Brae Hotel, Busta and St Magnus Bay) opposing it......

 

https://www.shetnews...by-hotel-plans/

 



#2 Urabug

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Posted 11 May 2019 - 03:39 PM

What are you folks thinking about the hotel situation?

 

2 for sale in Lerwick', one for sale in Scalloway, a new one proposed for Lerwick and a group of north mainland accom providers (inc. Brae Hotel, Busta and St Magnus Bay) opposing it......

 

https://www.shetnews...by-hotel-plans/

Da street was full of shops before the "supermarkets" arrived ,but we are probably all are the better of financially because of it.

 

I use Travelodge and other "cheap" hotels when south and I'm sure many would like the same option when visiting Shetland .

 

It might have nothing to do with price but many visitors will no doubt be attracted to somewhere more affordable.



#3 Davie P

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Posted 12 May 2019 - 01:22 AM

Da street was full of shops before the "supermarkets" arrived ,but we are probably all are the better of financially because of it.

 

The other side of that point could be that the profits the supermarkets make go 'off island'. Folk might pay less for their weekly shop but there's a net loss to the Shetland economy, and the retail sector is less diverse.



#4 Colin

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Posted 12 May 2019 - 07:18 AM

Very true Davie but, the demise of "da street" was mainly down to the availability of a very diverse range of goods that could be delivered to your door, at often, much lower prices.  That and "classic" under investment in existing businesses led to their downfall.

At the street today, you can get your eyes tested 3 times if you want.  You can browse enough charity shops to keep any "scranner" happy, and you can drink enough coffee to sink a battleship.  BUT, there is only one place (AFAIK) that can supply part of your day-to-day essentials..

 

Does Lerwick/Shetland need another hotel ?  I don't think so and I wonder if there is enough "business" to go around,

Nobody has a "divine right" to a captive market (which is what the objectors are asking for) and, frankly, if existing businesses want to compete with a new build they had better much improve their existing premises.

 

The days of the "take it or leave it" attitude are over.  Back in the days when accommodation was at a premium, you could get away with stuff like that because people were happy just to get a "room" of any sort.  Today, we have a new build in Brae (Moorfield) that appears to be quite succesful.  It's only natural (?) that someone would also look to do the same in Lerwick..  They might not be able to get the "best" location but, they will almost certainly be able to offer a better, more modern, "experience". 

 

There will be a battle for survival and, who knows, it could be the new build that goes down.  It's a risky investment.



#5 whalsa

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Posted 12 May 2019 - 08:49 PM

Today, we have a new build in Brae (Moorfield) that appears to be quite succesful.  It's only natural (?) that someone would also look to do the same in Lerwick..  They might not be able to get the "best" location but, they will almost certainly be able to offer a better, more modern, "experience". 

 

There will be a battle for survival and, who knows, it could be the new build that goes down.  It's a risky investment.

The Moorfield is not a good example. For the first several years of it's life it had all 100 rooms booked permanently by Total. For the past couple of years it has had (I think) 80/100 rooms fully booked by Total. During this time period they have also received all the money for 2x meals a day, laundry and whatever their bar takings are. Completely different situation than any other hotel in Shetland. 



#6 Ghostrider

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Posted 12 May 2019 - 10:09 PM

It'll end up being a 'Homeless Hostel;", the only way a chain, especilally a budget one, is going to be attracted up here is if they are reasonably sure they will be the first choice 'overspill' provider of 'Temporary Emergency' accommodation - Its thier bread and butter trade.

 

And if its here with vacancies, there will be the inevitable inward import of bodies from other areas where spaces are harder come by.



#7 Colin

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Posted 12 May 2019 - 11:14 PM

 

Today, we have a new build in Brae (Moorfield) that appears to be quite succesful.  It's only natural (?) that someone would also look to do the same in Lerwick..  They might not be able to get the "best" location but, they will almost certainly be able to offer a better, more modern, "experience". 

 

There will be a battle for survival and, who knows, it could be the new build that goes down.  It's a risky investment.

The Moorfield is not a good example. For the first several years of it's life it had all 100 rooms booked permanently by Total. For the past couple of years it has had (I think) 80/100 rooms fully booked by Total. During this time period they have also received all the money for 2x meals a day, laundry and whatever their bar takings are. Completely different situation than any other hotel in Shetland. 

 

Maybe not the best example but, If the Moorfield wasn't there, would the accommodation providers be shouting so loudly or, would they be soaking up the trade that it has ?  The fact that Total is effectively subsidising the place is neither here nor there.  Booking a room by anybody at any hotel has exactly the same effect and if the Moorfield was not there, then Total would have to use/subsidise other existing hotels.

 

Lerwick is a different scenario in so much that, apart from a few months of the year, it has more beds available than it has people to fill them. 



#8 BigMouth

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Posted 20 June 2019 - 09:13 PM

Don't forget all of the AirBnB properties too.  Nearly 250 at the last count.  We seem to have a hell of a lot of tourist/worker accommodation available here.



#9 Muckle Oxters

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Posted 22 July 2019 - 08:30 PM

It looks lik we'll be mibee gettin a Premier Inn AND a Travelodge. I'm no sure whit een I lik da least ;-)

 

https://www.shetnews...tel-in-lerwick/

 

It wid liklee be a good thing for the tourist economy, but it's mibee a shame dat it'll be national chains redder dan locally owned, but dat's da wye o da world.



#10 BigMouth

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Posted 24 July 2019 - 02:28 PM

The local hoteliers are doing little for the local economy by paying their staff minimum wage, so I won’t be weeping for them.

Premier Inn is the better of the pair imho.

#11 Colin

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Posted 24 July 2019 - 06:41 PM

Do you think that a "South" firm offering "0" hours and Minimum Wage is going to do more by taking what little profit there is "off island". ?



#12 BigMouth

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Posted 24 July 2019 - 07:39 PM

Only slightly less, but nett more by bringing more tourists potentially. We get discounted flights and ferries south. For people south, Shetland is an expensive place to get to, and any savings they can make on accommodation will surely encourage more.

They are not going to find recruiting staff easily so that might add to the nett gain if it encourages growth in the population, albeit small.

Edited by BigMouth, 24 July 2019 - 07:42 PM.


#13 Colin

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Posted 24 July 2019 - 11:19 PM

The cheapest hotel based B&B deal on the island is (afaik) £65 and guest houses are not far below that.  I can't see how any of the big(?) nationals are going to be able to undercut that and make a profit. 

Also, the existing hotels depend on quite a high "summer season" occupancy rate just to break even.  Adding 2 large hotels to the mix with no certainty of being able to fill them is not going to help anybody and will lead to a "cat fight" for custom.  It would be a brave "investor" who puts any money into that.

 

Finding local staff would be a nightmare as very few locals are willing to work on "0" hours minimum wage contracts and the East European labour stream is likely to dry up considerably after Brexit.  Transient workers are not "population growth".  They come, and they go.

 

Shetland is not only expensive for tourists, it is also expensive for locals as well and  I would like to see how anyone is going to drum up enough extra "business" to make one new hotel pay, let alone two.



#14 fina

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Posted 26 July 2019 - 06:44 PM

If the windfarms all go ahead, they'll need beds for all the construction-phase workers

when they build all the new wide roads, open was it 12 new quarries? 

All the concrete-mixers, peat-diggers, VHGV drivers, crane drivers etc.

 

Now would be a good time to expand any businesses selling boilersuits, work boots,

hard hats, gloves, shoe covers, anything hi-vis' etc.

 

And send your bairns to engineering colleges to graduate as turbine engineers!







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