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Thursday Jan 28, 2010

World Cup may not fill guest houses

Owners of local guest houses and backpacker hostels have said the expected rush for 2010 World Cup accommodation had not materialised and some fear rooms will stand empty during the tournament.

Therese Botha, of Icon Villas, which represents close to 300 properties, said: "It's definitely not been what we were expecting. It's not what everyone thought and said it would be."

She said, although there had been bookings for the World Cup period, bookings were slower than expected.

"Realistically speaking, we thought we would have had far more bookings by now. A lot of places have said how they're booking out, but personally I find that hard to believe."

Fifa's accommodation manager, Match, has relinquished its rights to 441 695 of the room nights it was marketing, because of lack of demand. A total of 65 022 of these are in the Western Cape.

A room night is a room booked for a night.

The soccer governing body skirted penalisation fees for cancellation by releasing the rooms before an April deadline.

These rooms can now be marketed by the owners themselves instead of through the only World Cup accredited management company.

But owners are unhappy with the release and say Fifa "overhyped" its accommodation needs and has now dropped properties after owners upgraded facilities to meet Match requirements.

Cape Town Tourism has welcomed the release of the rooms and the opportunity now available for establishments to market their rooms during the 20 weeks leading up to the tournament.

"Experience has taught us that last- minute bookings for events like the World Cup are not unusual and we are expecting an increase in booking confirmations during the next few months," spokeswoman Lianne Burton said.

"Pricing is going to be the decisive factor in the ability of establishments to fill their rooms."

She said the tournament would be a "once-in-a-lifetime" chance for the city to become known as a value-for-money destination.

The owner of Ashanti Lodge in Green Point, Lisa Mason, said that the establishment had decided to not register with Match.

"We've been doing this for years. Match wanted to dictate the rates and we were sceptical."

She said Ashanti Lodge had only about 60 percent of its rooms booked for the World Cup.

Cape Town Routes Unlimited chief executive Calvyn Gilfellan said that more bookings could be expected closer to the start of the World Cup.

Comments:

it is not what " everyone thought" . if they had done the basic maths property owners would have realised it was impossible to become rich letting out suburban properties for a month . people coming for a sports tournament dont want to stay in someone's house. they super high rentals talked about were only for a very few super select properties

Posted by andy on January 28, 2010 at 04:34 PM SAST Report this Comment

Wait and see how big the demand will become. It is going to be hectic. Especially in Cape Town. Even after the soccer world cup ... Cape Town is about to become an official 1st class destination... compared to London, Paris, and New York.

Posted by kevin on January 28, 2010 at 08:06 PM SAST Report this Comment

The sin of greed has been prevalent in this country for a long time, I site the supermarkets as an example. But whatever made the guest house owners think the foreigners are simple, one of them, in Somerset West wanted R50,00 for a month. I have been told that the majority of Brits are now going to Spain and will watch the match on the big screens. A month in Spain including flights is under a thousand pounds.

Posted by Jason jsconsultants@yahoo,co,uk on January 28, 2010 at 08:16 PM SAST Report this Comment

i totally agree with you Jason. I live in the US and you won't believe the negative talk about SA's greed. It's stinks of get rich quick schemes. This is SA's shining moment and we are not portraying a very welcoming atmosphere. People have to come down to size and forget about retiring after the world cup.

Posted by john on January 29, 2010 at 12:09 AM SAST Report this Comment

me & my buddies wanted to visit South Africa during the world cup but after a quick research on accommodation,flights,car rental etc we were just blown away by the prices.I think there is a misconception that westerners are always rich but its not always the case.we work hard just like South Africans for our money.How many people can afford $US600 per night for a hotel?i don't know that many to be honest & i am a lawyer in Canada.i can book myself a crazy 7 day all inclusive,Including air to amazing Cuba for $800.i hope you guys have a successful world still still.

Posted by will on January 29, 2010 at 06:15 AM SAST Report this Comment

Some greedy, avaricous, South Africans saw the World Cup as a golden goose. With the ridiculous prices they have been asking, they have strangled the aforesaid goose. What a shame. As an ex-SABC Durban staffer, now exiled to UK, I still hope it goes well.

Posted by Doug Hendry on January 29, 2010 at 09:39 AM SAST Report this Comment

This doesn't surprise me at all. I'm in the property business and some of my fellow agents and clients have had trouble renting out their houses. A guest house I know in Nelspruit has declined to get involved at all, going on with business as usual. The perception of the World Cup is that it's going to be a panacea for all South Africa's ills. Believe me, they will still be there after the World cup has come and gone, but with the addition of a huge sense of disappointment and disillusionment. The crime isn't going to take a holiday either. Far from it. I live here and I tuly wish us well, but I fear that this is a bubble waiting to burst.

Posted by Bella on February 02, 2010 at 07:03 AM SAST Report this Comment

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