Taipei, The Tayih Landis Hotel Tainan will shut its doors permanently on June 30, the management said Thursday, citing a decline in business due to the COVID-19 pandemic.
The hotel, which first opened in 2002 in southern Taiwan’s Tainan City, employs some 300 people and is owned by the Landis Hospitality Group.
The group, which has several hotels and resorts across Taiwan, on March 9 closed its Landis Taichung Hotel in central Taiwan, also because of low occupancy amid the pandemic.
According to the group, the rights of all the workers at the Tainan hotel will be fully protected, in accordance with the law.
One of the managers, who asked not to named, told CNA that despite deep discounts and special offers, the five-star Tainan hotel could not attract enough business to stay afloat.
For example, even after the hotel dropped it weekday rates to NT$2,888 per night, two-thirds of the rooms remained vacant, the manager said.
The building that the hotel occupies is owned by Cathay Life Insurance, which had offered several times to reduce the rent to help the hotel weather the storm, but the Landis group decided to terminate the lease contract with effect from June 30, the hotel said in a statement.
The Tayih Landis Hotel Tainan, the first five-star hotel that opened in the southern Taiwan city, is located in an upscale area near other top-tier accommodation such as the Silks Place Tainan and Lakeshore Hotel Tainan.
According to Tourism Bureau statistics, there are 260 hotels and hostels in Tainan and 322 bed and breakfasts.
Their occupancy rates have dropped by over 10 percent in February and over 30 percent in March, the statistics show.
Source: Focus Taiwan News Channel