Ching Sheng Hotel (景聖樓) at Sun Moon Lake in Taiwan’s Nantou County and Tayih Landis Hotel in Tainan City (台南大億麗緻酒店) will close their doors in May and June, respectively, due to economic fallout from the COVID-19 pandemic, CNA reported on Sunday (May 3).
According to the report, Ching Sheng Hotel, run by Wenwu Temple, will close on May 26 and lay off 24 employees. Wen Wu Temple Chairman Chang De-lin (張德林) said on Sunday the hotel has lost more than NT$10 million (US$330,000) over the past four years.
He added the situation had been exacerbated by a big decline in the number of Chinese coming to Taiwan. The hotel will be closed to prevent further losses, CNA quoted Chang as saying. An employee said the hotel is set to shutter on May 26.
Meanwhile, Tayih Landis Hotel, the first five-star hotel in Tainan, has reportedly decided to shutter on June 30. Hotel owner Tayih Group rented the building from the building owner, Cathay Life Insurance, and opened the hotel in 2002.
A total of 251 hotel employees will be laid off when the hotel closes its doors on June 30, CNA reported. The rental contract between the two parties will be terminated earlier than originally agreed upon, the report said.
The hotel is located in an area where many upscale hotels compete against each other. Seriously impacted by the COVID-19 pandemic, Tayih Landis Hotel’s business plummeted.
An anonymous hotel employee said that occupancy rates during holidays could reach 70 percent, but the rates would drop to 30 percent at regular times. The employee believed the same held true for other hotels.
According to the city’s tourism bureau, there are 260 hotels and 332 bed and breakfasts in the city. Their occupancy rates dropped by 10-20 percent in February and by 30-40 percent in March due to the pandemic. Hotels located in the city’s downtown area fared better, with occupancy rates reaching over 70 percent during holidays and weekends, the report said.
https://image.taiwannews.com.tw/photos/2020/05/03/1588498877-5eae91bde87ef.jpg
Tayih Landis Hotel Tainan (Tayih Landis Hotel Tainan 台南大億麗緻酒店 Facebook photo)
Source：Taiwan News
