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kamar-hotel bali

Business Hotel Prospect In Bali Year 2018

The prospect of hotel business in Bali in 2017 is still dominated by old players or existing hotels. According to my observations during 2017 in Bali, there are only a few new hotels built. From some of these hotels, it is possible that the building permit already exists from before the letter of governor number 570/1665 / BPM dated 27 December 2010 in published.

Until now the Bali Provincial Government still impose a moratorium on the issuance of permits and construction of accommodation (star and nonstar hotels) in South Bali areas such as Denpasar City, Badung Regency, and Gianyar Regency.

With the letter out above, we found there are many hotels that do not have permission but can still run the hotel business with limited reach.

What about 2018? I think it will still be the same as the year before. If viewed from the level of occupancy in Bali the current year which still ranges from 40% to 60%, the Bali government will continue to enforce the moratorium.

From some sources we can, now the government of Bali is more focused to fix the licensing of hotels that still do not have permission but already run the hotel business. But even so, the authority of investment is in the central government. If there are foreign companies that want to invest in Bali, I think maybe the permit can be published but will go through a very tight screening.

What about local entrepreneurs who want to invest? Wait a minute, they can buy hotel for sale which already exists and has official permission can then submit an extension or renovation.