Conrad, JIHD sign hotel management deal

Conrad, JIHD sign hotel management deal

JAKARTA (JP): PT Jakarta International Hotels & Development
(JIHD) yesterday signed an agreement to assign the American
Conrad Hotels to manage a five-star hotel, Conrad Jakarta, which
will start operating by the end of 1997.

The agreement was signed by JIHD's president, Jusuf L.
Indradewa, and Conrad's president, Eric M. Hilton, in a ceremony
here which was attended by Minister of Tourism, Post and
Telecommunications Joop Ave and State Minister of Administrative
Reforms T. B. Silalahi, a commissioner of JIHD.

Conrad is the international subsidiary of Hilton Hotels Corp.
of the United States.

Jusuf said the planned hotel, with 42 stories, will occupy a
35,250-square-meter area at the Sudirman Central Business
District (SCBD) on Jl. Sudirman, South Jakarta.

"The hotel will need a total investment of US$229 million,
including $144 million for construction costs" he said.

The hotel will be developed by PT Jakarta International Artha,
a join venture 90 percent owned by PT Danayasa Arthatama, a
subsidiary of JIHD, and 10 percent by Conrad.

SCBD will have four hotels besides other high-rise buildings
and facilities.

Jusuf said that the construction of the hotel will start early
next year.

He also said that the 700-room hotel is designed by Brennan
Beer Gorman/Architects of New York in association with PT Airmas
Asri, a Jakarta-based private company.

Hilton also said that his company is now negotiating with a
company on the management of a hotel in Surabaya, East Java.
(icn)