Goodbye Sheraton, hello Langham in Auckland hotel market

By SIMON HENDERY, tourism writer

The Sheraton brand will disappear from Auckland's luxury accommodation landscape next year as the hotel's Hong Kong owner flexes its corporate muscles locally for the first time.

Sheraton Auckland Hotel and Towers, on Symonds St, will be renamed the Langham Hotel from January 1.

Langham Hotels International is the hotel operating and management arm of Hong Kong-listed Great Eagle Holdings, which has owned the Auckland Sheraton since 1997.

Langham is taking over management of the Auckland hotel from Starwood Group, owner of the Sheraton brand, which has managed the property under several owners since it was opened in 1983.

Langham's vice-president of operations (Australia and New Zealand), Brett Butcher, said yesterday that the company had high hopes for New Zealand's luxury tourism industry over the next five years and was keen on expanding into other centres.

He said staff numbers would not be affected by the change.

"Once we have rebranded the [Auckland] property as Langham and people get to know us for running a five-star property we are very keen to continue investing," Butcher said.

"For the right property we would definitely look at Wellington. We would definitely look at Queenstown, and Christchurch as well."

Langham also plans to spend several million dollars revamping some rooms at the Sheraton, building a "fully fledged five-star spa" and possibly moving its Partington's fine dining restaurant to the front of the hotel.

Butcher said the plans for the spa were a response to increasing demand from top-end travellers.

"We believe this is part of the new trend in travel. People are not just looking for accommodation and a bed, they are looking for an experience."

In Auckland the Sheraton competes with hotels such as the Hilton and will have another five-star competitor when SkyCity's 316-room Grand Hotel opens next year above the casino operator's new convention centre on Albert St.

Butcher, who was general manager at the Sheraton from 1996 to 2000, said SkyCity's new hotel would be absorbed into the market and its convention centre would have a spin-off for other hotels and service providers in the city.

"What SkyCity are doing is putting in a significant facility but still nowhere near as big as we need.

"But it's good that they are putting that in because it will bring new events to Auckland. Everyone will benefit from that."

Great Eagle paid about $80 million for the Sheraton Auckland in 1997 and Langham said it had so far spent a further $20 million on upgrading.

The company's other hotels are in Hong Kong, London, Boston, Toronto and Melbourne, where Sheraton Towers Southgate will become a Langham, also from January.