TRNC hoteliers concerned about low occupancy ahead of the holiday

The Turkish Cypriot Hoteliers Association (KITOB) said that the tourism sector in the TRNC is experiencing an uneven situation ahead of the holiday. Despite strong performance at large hotel complexes, many small and family-run hotels are facing a serious decline in demand.

According to the association’s forecast, average occupancy at five-star hotels during the holidays will reach about 71%, while small hotels and boutique properties will be able to fill only about 34% of rooms. KITOB stressed that some properties are expecting occupancy at just 1% to 30%, which in a peak holiday season is considered a worrying sign for the industry.

The association noted that strong demand for large resort complexes does not reflect the real situation across the tourism sector as a whole. The situation is especially difficult for boutique hotels, tourist bungalows and hotels in the one- to three-star category.

According to KITOB, the most popular properties are seaside venues in the İskele and Karpas regions, oriented toward domestic tourism. At the same time, hotels located far from the sea are facing serious difficulties even when service quality is high.

Additional pressure on the sector is being created by rising transport costs, higher airfares and a decline in the population’s purchasing power. The association also pointed out that the tense situation in the region and military conflicts have had a negative impact on the flow of foreign tourists.

Cancellations by tourists planning to arrive via the Republic of Cyprus have been especially noticeable. Hoteliers warn that it will be extremely difficult for small family businesses to survive the current season without additional support and stabilization of the tourism market.