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Saudi Owner Orders Booze Ban at Grand Hyatt Cairo

TalentChris · May 03, 2008

A few days ago Sheikh Abdel Aziz Ibrahim bin Ibrahim of Saudi Arabia, owner of the Grand Hyatt in Cairo banned the sale of alcohol at the hotel. Apparently the owner arrived at the hotel and ordered a massive amount of booze from In Room Dining. Hotel staff obliged and delivered bottle after bottle, which he then poured down the sink (literally).

This gesture marked the beginning of a ban on the service of alcohol at the 716 room Grand Hyatt Cairo. The Muslim religion denounces the consumption of booze, and the owner has seemingly made a grand statement about the sort of guests he wants staying in his hotel. All guests are welcome of course, just as long as they follow certain aspects of Islam.

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No doubt the Hyatt corporation will have a thing or two to say about this move—to say nothing of the opinions of many thousands of non-Muslim hotel guests. An official no-liquour policy, if it remains in place, would surely have a huge impact on guest room production from many non-Muslim nations. I can only imagine how much liquour revenue (and banquet business) will be lost in the future at this busy property. Can an international hotel maintain a five star, or even a four star rating without the availability of alcohol? I doubt it.

Within reason, the owner of a hotel can do whatever he wants at his property. However, having an operating agreement with a large multinational brand like Hyatt complicates things in a big way, and I seriously doubt that Hyatt will accept the situation as-is without a contractual fight. After all, their brand consistency is on the line.

The gossip in Cairo is that the owner has been trying to dissolve his relationship with Hyatt for some time, and clearly this move could be sabre-rattling on a big scale. Either way it’s an interesting piece of information for competitive luxury hotels in Cairo who are certainly watching events as they unfold.

APF covered the story in a short piece, and I was also delighted to find a comment from a London-based frequent business traveller and (former) Hyatt fan:

“The Hyatt hotel chain is pretty good, I have to admit, good rooms, good customer service, good frequent user programme and so on and so forth. But hey, no drinks, no stay. After a long day at work, you need a drink.”

Linkage
APF Story [Saudi sheikh bans alcohol at Grand Hyatt Cairo]
Blog Comment [Daily Salty]

Will this ban include the Hard Rock Cafe??  And the Revolving Restaurant?!?

JJ—great point, & I didn’t know there was a Hard Rock there. I can only speculate but word is that the hotel is 100% dry, though the Hard Rock might be leased space so it might not apply (it’s not on the Hyatt website).

I’ve heard there have already been staff resignations over the issue, and lots of business has canceled as well.

Naturally Hyatt corporate is involved, but I haven’t heard any recent developments.

I understand that the owner also has a portfolio of hotels in the U.S., so clearly this is political maneuvering?

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