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The Warsaw Hilton, scheduled to open later this month, will be a welcome addition to the city's portfolio of five-star hotels. The hotel will offer its guests the full range of top-class facilities for which the chain is known throughout the world.

The new hotel is located at ul. Grzybowska 63, not far from Warsaw's central business district. Hilton International will run the hotel as per the management agreement with HGC, the owner of the development.

The hotel will offer 314 ultra-modern guest rooms equipped with high-speed internet access, an in-room safe, a direct-dial telephone with voice mail and PC data port, a 26-inch LCD TV with satellite and movie channels, an MP3 radio and alarm clock, in-room bar, an iron and ironing board and tea- and coffee-making machines. The spacious bathrooms have separate bathtubs and showers and feature heated floors and anti-fog mirrors. In addition, the hotel will be the first in Poland to provide the conference-dedicated software known as Conference Manager.

"With its brightly lit 19-meter-high lobby, to the spacious meeting and guest rooms, this is a hotel that introduces the destination. It is an inspiring product in the hub of an inspiring city," said Bert Fol, the hotel's General Manager.

A long time coming

According to the company, Hilton started looking for partners for the development in the early 1990s. So why did it take so long to get the hotel off the ground? "It was definitely not a lack of interest from Hilton - it is just that the right partner and the right venue, both with a special edge over the competition, did not come up earlier," said Wolfgang M. Neumann, president of Hilton Europe and Africa. "It took time, regrettably, but finally we are here and are delighted with it."

Neumann added that the Warsaw venue will substantially enhance Hilton's presence in Central Europe, and its existing hotels in Prague, Vienna, Budapest, Sofia, Bucharest and Dubrovnik.

Alex Kloszewski from Colliers International says that Hilton had a plot a few years ago, but did not finalize the agreements with the investors. That real estate is now the site of the Westin Hotel. "It was in 2002 that this new location was offered to Hilton, and the contracts were quickly signed for the hotel to open last year, in 2006," explains Kloszewski. "The Hilton opening has been delayed a few months. It will be opened on March 19."

Investment cycles

Zbigniew Bugaj from the Hotel Market Institute (IRH) added that large investments like big, five-star hotel, need to be predated, and require a great deal of analysis and research. "Hilton did not establish a hotel in Poland earlier because it would not have fit into Poland's prior investment cycles, which are common for the hotel industry," says Bugaj. "The Marriott was opened just after the 1989 transformation and then the Hyatt, Intercontinental and Radisson SAS were developed between 1995 and 1998."

Offering something new

Experts agree that the Hilton's convention center gives the hotel its greatest advantage over other five-star hotels in Warsaw. Kloszewski says that the Hilton's conference center is the largest of any five-star hotel in Poland. Bugaj agrees: "The Hilton can expect lots of deals because of its high-standard conference facilities, which will accomodate conferences for up to 1,000 people." 

"When the Hilton Warsaw Hotel and Convention Centre opens, the city of Warsaw will have a premier meeting facility by any world standard," says Neumann.

Bugaj says that in spite of not being in the best location, the Hilton will get its fair share of the market as some current clients of Warsaw's other five-star hotels will shift to the new Hilton because of their companies' policies. "For example, a lot of large international corporations have agreements with Hilton hotels and their staff always stay in those hotels," says Bugaj.

No place like Holmes

In addition to the hotel and conference facility, the Hilton also hosts an Olympic Casino, offering Las Vegas-style entertainment and gambling, and Poland's first Holmes Place Lifestyle Club, a first-class health and fitness center.

According to the company's strategy, Holmes Place Clubs are opened in cities with a population of more than a million, and Shape Clubs in towns of 250,000 people or more. "Therefore, Warsaw will be the only location in Poland to have a Holmes Place," says Ilan Shapira, general manager of the Holmes Place Club.

The club will be 4,000 sqm in size, spread over two floors. It will be divided into leisure, training and spa areas, including a 25-meter swimming pool. Although the club does not open until May, those interested in joining Holmes Place can sign up now. The company is pre-selling 1,000 Holmes Place memberships, which it offers to prospective clients at a discount. It says 500 people have already signed up.

The future of the market

Several international hotel brands are still not present on Poland's market, such as the Four Seasons and the Ritz-Carlton. According to Bugaj, those brands are most popular among the jet set, or high-profile travelers. "Warsaw attracts businessmen so there is no place for these more sophisticated hotels," says Bugaj. "If jet-setters decide to travel to Warsaw, they tend to stay in boutique hotels such a Le Regina - hotels which offer the highest standard of luxury and gourmet cuisine, but also offer a private atmosphere."

Does this mean that Warsaw will not be attractive to other luxury hotel brands? "With the opening of the Hilton, the five-star large hotel inventory in Warsaw will definitely be adequate for the demand until the years 2013-2015," explains Kloszewski." I do, however, expect smaller boutique five-star products to be added in Warsaw during this time."

Despite its late appearance on the Polish market, Hilton does not want to limit itself to Warsaw. In the future, it may also establish hotels in other major cities of Poland. "There are currently several projects in Poland which are being considered by Hilton's Development team," says Neumann.

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