Prime Minister Sheikh Hasina yesterday asked authorities to go with the earlier decision to keep shut the Ruposhi Bangla Hotel during its renovation work.
“Although she is aware about the employees’ union demand, but not willing to change the latest schedule and the process of renovation work,” Rashed Khan Menon, minister for Civil Aviation and Tourism, told the Dhaka Tribune after a meeting with Prime Minister Sheikh Hasina held at the Civil Aviation ministry at the secretariat.
The meeting is learnt to have decided the hotel would remain closed for at least 16 months from September next as the management plans for a massive renovation before rebranding it for the InterContinental Hotels chain.
Ruposhi Bangla Hotel Sramik O Karmachari Union has been pressing its demand for partial closure of the hotel during renovation work as soon as the deal was signed between Bangladesh Services Limited and InterContinental Hotels Chain in February 2012 for 30 years.
Meanwhile, state-owned Agrani Bank is going to finance the expenses of the renovation work of Ruposhi Bangla Hotel, which is scheduled to begin from September 16.
According to a source, most of the renovation fund will be borrowed from the Agrani Bank.
Bangladesh Services Ltd, the management of the state-owned five star hotel, will soon sign a deal with the Agrani Bank to bear the renovation cost of US$43.13m (around Tk335.34 core), which can also be increased by 10%, as per the proposed deal, said a source.
“Agrani Bank has already expressed its keen willingness to finance most of the renovation work although the loan amount as well as the terms and conditions are still under consultation stage,” said the minister.
“This is the first-ever meeting held between the PM and the officials of the ministry of tourism and civil aviation under the present government to update her about the raising complexities over the renovation work of the Rupashi Bangla hotel,’’ said Menon.
Earlier James McDonald, general manager of Ruposhi Bangla Hotel, however said, “We need to change every pipe, every cable, every toilet [fitting] and every bathtub to turn this hotel into a world-standard one. It is impossible to offer the service and carry out the renovation work at the same time.”
The meeting also decided to float the tender for the renovation work by June 1, so the physical work can begin from 16 September. Ruposhi Bangla will not take any guests from 1 September as per the deal. As per the new design, the number of guest rooms will be reduced from 272 to 231 but the size of the rooms will be enlarged from 26 square metres to 40 square metres.
“We also plan to arrange a rebranding program on 31 December in 2015, where the Prime Minister will be the chief guest,” said Menon.
Under the deal, InterContinental will take over the management of the five-star hotel after renovation works.
InterContinental ran the iconic Dhaka Hotel from 1966 to 1983 before Sheraton took over operation and management. Sheraton was under the management of the hotel for 25 years till December 2008.