Hotel Istana to close its doors in September



Hotel Istana to close its doors in September

The five-star Hotel Istana Kuala Lumpur here is set to close its doors come Sept 1.

A voluntary separation scheme is being offered to affected employees of the 30 year-old hotel.

The 486-roomed hotel is located in the centre of the city here along Jalan Raja Chulan.

“We have arrived at this decision (to cease operations) after considering the present circumstances and all available options,” the hotel’s general manager Noorazzudin Omar said in a notice of cessation to the staff which was sighted by the New Straits Times.




“We are left with little choice other than to proceed with this closure.”

Noorazzudin added the hotel’s competitive advantage had declined over a period of time in the face of stringent competition from new and neighbouring hotels and serviced apartments.

“The situation has now being aggravated by the Covid-19 pandemic which has and continues to impact our industry and its ability to achieve normality,” he noted.

“This has impacted our business, rates, returns and occupancy despite our best efforts.

“Even as a Quarantine hotel, we are incurring monthly operational losses.




“As such, after a proper evaluation of the hotel and its viability, we have decided to cease operations,” Noorazzudin said.

The Hotel Istana Kuala Lumpur is owned by Tradewinds Corp Berhad.

Tradewinds is one of the country’s largest hotel owners and operators, with seven hospitality assets under its portfolio, three of which are resorts which include Mutiara Taman Negara, Meritus Pelangi Beach Resort and Spa in Langkawi, and The Danna Langkawi (which is touted as the group’s flagship hotel).

The other four city and business hotels are Hotel Istana Kuala Lumpur, Hilton Petaling Jaya, Hilton Kuching and Mutiara Johor Baru (which ceased operations in May this year). Nst

Hotel Istana to close its doors in September





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