Israel’s Booming Hotel Development
by Mimi KmetIsrael is experiencing steady growth in its tourism infrastructure, particularly in the hotel segment, according to its new tourism commissioner for North America.
Uri Steinberg said there’s been continuing development during the past three to five years in the number of new hotels.
Visitor demand is driving the development, Steinberg said. Total visitors numbered more than 3.5 million in 2013 and just under 2.5 million for the first nine months of 2014, according to the Israel Ministry of Tourism (IMOT).
“We have a serious shortage of four- and five-star rooms in Jerusalem and Haifa; and Tel Aviv needs additional rooms too, although the burgeoning number of boutique hotels is softening the Tel Aviv crisis,” Steinberg said.
Creating more demand
Meanwhile, IMOT is working to create more demand.
Among other efforts, it’s encouraging more airlines to fly to Israel, according to Steinberg. IMOT hopes that Ryan Air will soon start service. It’s also working with several U.S. airlines to add gateways from North American cities.
“Our goal is to have five million tourists in 2019, which should not be unattainable,” he said.
New hotels
Among the hotels that have recently opened or are under development in Israel are:
The Waldorf Astoria Jerusalem, which opened in April. A one-minute walk from the Jaffa Gate to the Old City of Jerusalem, the Alrov Mamilla mall and Independence Park, the hotel features Ottoman architecture and more than 200 designer rooms. It also offers a fitness suite, two full-service spas, two restaurants, and a lobby bar.
The Arthur Hotel, an Atlas Hotel Group property, which opened in Jerusalem in March 2013. Located a few minutes’ walk from the Old City, the hotel has 54 rooms and offers buffet breakfast, free wireless internet and a complimentary happy hour. Its design combines colonial, Mediterranean and Middle Eastern influences.
The Cramim Resort and Spa, part of Isrotel’s Exclusive Collection, which opened in spring 2013. With 156 rooms and suites, the hotel is set in the hills of Jerusalem, ten minutes from the city center. Among its amenities are a high-end spa and a boutique wine bar. Isrotel has two additional properties under development: The Isrotel Jerusalem, an Exclusive Collection Hotel, expected to open in 2016; and the Isrotel Tel Aviv, an urban hotel, scheduled to open in 2017.
The Ritz Carlton Herzliya, which opened in late 2013 with 197 rooms and 82 studio to two-bedroom suites, all with balconies overlooking the Mediterranean Sea. Located 15 minutes north of Tel Aviv, the property is Israel’s first Ritz-Carlton. It has a rooftop pool, a spa and kosher facilities for large groups and families. In addition, it offers The Residences, which include one- and two-bedroom units, duplexes and penthouses.
The Norman Hotel, which opened in Tel Aviv in June. The property is housed in two renovated Bauhaus and international-style buildings. It has 50 individually-designed rooms, including two apartment-style suites with terraces. It’s located adjacent to King Albert Square in the heart of the White City, a UNESCO World Heritage Site.
Starwood Hotels & Resorts’ W Hotel in the seaside city of Jaffa, which is scheduled to open next year. The property occupies a converted 19th-century building that once housed the French Hospital. The W Jaffa will include 125 rooms and suites and 38 residences.
Fattal Hotels’ Leonardo Hotel Ashkelon which opened in April in the southern seaside city of Ashkelon, overlooking the Mediterranean Sea. The 131-room business and leisure property features a large swimming pool; a spa, sauna and a gym, and a business center.

