Misr Hotels, the owning company of the Nile Hilton in Cairo, signed a letter of intent stating that as of January, 2009, the Ritz will be the official management company of the Nile Hilton; and that is upon the end of the contract on the 31st of December, 2008.

The Nile Hilton is considered a major asset due to its central location and extravagant Nile view. Misr Hotels decided to transfer the management to the Ritz Carlton after witnessing the major economic developments that have been taking place in Egypt, and the increase in demand for luxury hotels. As per the terms of the contract, Misr Hotels has the right to hand the management to any hotel company of its choice, whom it’s sure will provide a higher annual revenue.

The Ritz Carlton, known worldwide as one of the top hotel management companies, and for being one of the most luxurious hotel brands, has long been seeking a central spot in Cairo; and now after being granted the opportunity, the company paid an astounding 75 million LE only to enter the bid for the property. Not only that, but it has also guaranteed a higher annual revenue that the current one, as well as developing the hotel to international standards. Having the Ritz Carlton take over will only ensure a significant push in tourism and the economy in general, as it will attract tourists with a higher spending power seeking luxury travel.

President of the Ritz Carlton, Mr. Simon Cooper, stated that “This is the first time the company pays a monetary amount to win a bid for the management of a hotel; however, Egypt is totally worth it. The economy has been booming, the tourist numbers have been increasing dramatically in the past few years, and the property and location are absolutely worth it.” The Nile Hilton will be shut down for 2 years for renovation, and will cost over 500 million LE.