Enjoying ad-free content?
Since July 1, 2024, we have disabled all ads to improve your reading experience.
This commitment costs us $10,000 a month. Your support can help us fill the gap.
Support us
Our journalism is banned in Russia. We need your help to keep providing you with the truth.

Elite Moscow Hotels Profit on Ruble's Tumble

Moscow's luxury hotels are profiting at midrange brands' expense as foreign businessmen and tourists trade up following the Russian ruble's fall, according to a recent report by real estate consultancy Jones Lang LaSalle (JLL).

High-end hotels saw occupancy rates rise 8 percent in the first two months of this year even as occupancy in the midrange segment dropped by 4 percent, the report said.

"International travelers are now able to stay in higher level hotels for the same price in their local currency as they used to stay in a mid-market hotel a year ago," JLL analyst David Jenkins said in the report.

Overall, an increase in the number of luxury rooms available pushed occupancy rates in the segment down 5 percent year-on-year to 47 percent, which was better than anticipated, according to JLL.

The ruble has fallen nearly 40 percent to the U.S. dollar and over 20 percent to the euro since the start of last year, hammered by Western sanctions over Moscow's role in the Ukraine crisis and a steep drop in the price of oil, Russia's chief export.  

The average price for a luxury hotel room has risen 11 percent in ruble terms so far this year to hit 15,200 rubles ($262), largely due to the opening of the Four Seasons Hotel Moscow last year, JLL said.

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

paiment methods
Not ready to support today?
Remind me later.

Read more