New Hyatt GM
optimistic

Mike Jokovich takes charge
of a property that has had
almost a "complete redo'"

Mike Jokovich » Hyatt Hotels & Resorts has appointed Mike Jokovich general manager of the Hyatt Regency Waikiki Resort & Spa, the fourth-largest hotel in Waikiki. He most recently served as a Hyatt general manager in Columbus, Ohio, and is a 21-year veteran of the company.

Question: How is occupancy doing?

Answer: So far in 2005, the first couple of months, we've experienced a 4 to 5 percent increase on a month-by-month basis in occupancy.

We've been very fortunate this year to experience the stronger demand for hotel rooms with increased travel from North America and Japan. In addition, the convention business for 2005 has been very strong so far and looks to continue in that same pattern for the rest of the year.

The convention center and Hawaii Visitors and Convention Bureau have been successful in securing North American group business for the island.

I wouldn't say it's going to be a record level but I am seeing an increase over the last couple of years and returning to levels pre-911, for overall business and leisure travel.

Speaking with counterparts on the mainland, various hotels and cities are experiencing an increase in business and leisure travel.

Q: What's the outlook?

A: Certainly with upgrades we have made in our hotel, we continue to reinvest and our clients are very pleased with the results.

In the last year we have invested $8 million into guest rooms, and plan to continue in April for a total $16 million renovation. So we have a really brand new hotel as far as guest rooms are concerned. The rooms are being completely redone with carpeting, furniture, beds, wall vinyl, bathroom upgrades, granite marble countertops. It's been a complete redo of all the guest rooms.

We completed the Ewa Tower in 2004 and will start Diamond Head in mid-April and complete it by the end of August.

Within the next six weeks our entire building will be high-speed wireless Internet, so we will be one of the first hotels in Waikiki to offer this service through T-mobile.

Q: How are revenues faring?

A: The revenues are starting to increase. They certainly haven't reached the levels we experienced in Hawaii pre-9/11, but we are certainly working toward producing higher occupancies and revenues for the property.

Q: What's your projection for returning to pre-9/11 revenues?

A: I'm optimistic about the future and very pleased about the current pace of business and maybe the next year or two if economic conditions continue to improve worldwide and nationwide.

If we continue down this path, I think tourism in general will play a bigger part in our life with leisure and business travel.

Q: Is your company looking at timeshares in Hawaii?

A: Hyatt does have Hyatt Vacation Club ownership, but currently not on Oahu or in Hawaii. However, throughout the U.S. and Caribbean we do offer timeshares and we do sell that. Actually, Hyatt Vacations Club is looking into Maui for a potential new construction for timeshares, close to the Hyatt Regency Maui on the west side in Kaanapali.

Q: What's the impact of the closing of hundreds of Outrigger rooms in Waikiki for redevelopment?

A: It's certainly going to affect all of the hotels in Waikiki, with less inventory available. Demand conditions will affect the overall rates on any given day. However, at this point I think there's sufficient inventory.

The long-term effects of converting to condos and condotels is still to be decided.