Rampant inflation of Granite City hotel prices during the biennial Offshore Europe event is thought to have gone off the boil this year due to the oil price crash.
As well as the floundering price of Brent Crude, the addition of 500 extra hotel rooms in Aberdeen in the last two years has also relieved pressure that has driven prices as high £1,200 per night, per room in prior years.
A search of Hotels.com and Laterooms.com last night showed some remaining availability at a few hotels in the area, with prices ranging from £239 for a three-star Snoozebox – a hotel room built out of a modified shipping container – in Bridge of Don, to £410 for a night in the new £25million Crowne Plaza at Aberdeen Airport for the first night of the event which starts on Tuesday.
Stewart Spence, who has completed a £1million refurbishment of the Marcliffe Hotel and Spa just in time for the industry shindig, said the days of charging sky-high prices during the city’s major oil conference were gone.
“There’s plenty of hotels with rooms. Those days are gone,” he said.
Mr Spence, who said he has kept rates at his five star hotel the same during Offshore Europe as other weeks for 30 years, said he was “very happy” about the softening in hotel room prices as it will encourage long-stay tourism as well as other industries driven out by the high-paying oil and gas industry.
“It puts us in a much stronger position when it comes to attracting other business to the city,” he said.
Iain Watson, chairman of the Aberdeen City and Shire Hotels’ Association (ACSHA) which represents 43 hotels providing 4,100 bedrooms in the north-east, said: “Room supply in Aberdeen and the wider area has increased dramatically since the last time Offshore Europe was held in the city in 2013. We have brand new hotels at the airport and in the city centre, and several venues have also extended and added to their bedroom count.
“There are over 500 more hotel bedrooms than in 2013, so it stands to reason there will be a less pressure on hotels during key events such as Offshore Europe due to the additional supply.
“However, many of our member hotels are fully booked for the oil show and some only have a few rooms left. Our members are expecting a very busy week and it is pleasing to see that, despite the current difficulties in the energy sector, people still want to come and do business in Aberdeen at this major industry exhibition.”
The new Crowne Plaza at Dyce, which was developed by Dominvs Hospitality, opened its doors this week in time to welcome guests for the four-day industry event after 18 months of construction. A spokeswoman for the hotel said it was “pretty much fully booked for the week of OE”.
Sean Brookes, Chief Operating Officer, Dominvs Hospitality said: “I firmly believe that bringing a hotel of this caliber to Aberdeen benefits both the business traveller and local community, offering luxury facilities at an affordable price.”