Destinations

Cuba’s lack of hotel supply may kill any travel resurgence

Skift Take

Besides U.S. doing the right thing in lifting restrictions, Cuba will also have to ove on its own antiquated foreign investment laws if it wants travel to grow, and have infrastructure that supports it.

— Rafat Ali

Even as U.S. administration considers fully lifting Cuba travel ban, lack of hotel supply might not satisfy that pent-up demand.

“They already have a problem accommodating in Havana, Varadero and Cayo Largo…(The) travel ban will be lifted, and they’re not ready for it.” For their part, foreign parties who have invested in the hotel sector..are reluctant to move forward with projects without knowing the future of the U.S. and Cuba’s relationship.

A challenge that will make it difficult for U.S.-based hotel brands unable to develop is Article 15 of the Cuban Constitution, which states that virtually all land in Cuba is “socialist state property,” with the exception of a number of carve outs.

 

Tags: cuba

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