Hotels group City Lodge today said it will temporarily close down at least 24 of its hotels as the novel Covid-19 virus saps the foundations of the hospitality sector.
The company in a statement said it is experiencing a significant downturn in occupancies as the international travelling restrictions keep guests away.
“Prior to the announcement of the lockdown, the Group had planned for the temporary closure of 24 of its 62 hotels,” the company said.
“However, given the extraordinary circumstances we find ourselves in following the announcement and the forecast additional impact thereof, this is under review and will no doubt result in further closures.”
City Lodge’s rivals, Tsogo Sun Hotels on Friday also announced that it will close down 36 hotels until the worst of the Covid-19 virus is behind us.
The situation for the hospitality industry is set to worsen from Friday as the nationwide lockdown announced by President Cyril Ramaphosa on Sunday kicks in. National Carrier South African Airways has already said it will ground all its fleet from Friday in compliance to the President’s directive.
