By ETIM ETIM
I’m pleased that the ARISE Recreational & Leisure Park will open for business in December, according to Gov. Umo Eno who toured the facility yesterday. The park is a multibillion Naira tourism facility that should attract visitors and make money for the government, if well managed. And there’s a lot to do. I’m also thrilled to note that the government is planning to engage an international firm that would manage the place.
But I should point out that engaging a foreign firm alone is not a guarantee that the park would succeed. After all, our iconic Ibom Hotel & Golf Resort was managed by Starwood Group, a globally renowned hotel management firm from 2007 to 2017, yet the hotel recorded a colossal loss throughout the period till today.
What matters most is the type of management contract that the state government will sign with the management firm. We should therefore learn from the Starwood experience and avoid clauses that will create loopholes for the state government. Here are a few points to note:
1. The state government should not pay the management firm a kobo as monthly management fee. Starwood was paid N50 million monthly by the state government and they just did nothing to improve the profitability of the hotel. We should not be conned a second time. In addition, Starwood expatriates were paid huge salaries in dollars. Who would collect N600 million in a year as management fees and still go to work? It was the worst management contract I have ever heard of and our state was the worst for it.
2. Instead, the ARISE Park management firm should be required to run the park profitably and pay government a certain amount in a month (I suggest N100 million per month in the first five years; subject to review thereafter). They can take whatever they make on top of the N100 million.
3. Unlike Starwood which did not replace a single item in the hotel, ARISE Park’s managers would be required by the terms of the contract to regularly maintain and replace all items where necessary.
4. I’m confident that the ARISE Park would be a commercial success as Uyo and many other neighbouring cities do not have a single good recreation facility. The managers will therefore have to widen the potential market for the facility and introduce it to neighbouring states; as well as Abuja and Lagos. The Park should therefore be a preferred venue for holidays; summits; retreats; meetings and conferences and I hope that its banquette hall is big enough and is well equipped with adequate conferencing facilities, including translation facilities.
5. The Park should be run strictly on a commercial, profit-oriented basis. That means admission into the facility should be on the basis of membership. Walk-in visitors could however be admitted on payment of suitable fee. ARISE Park cannot be another sit-out joint. We have enough of that in Uyo.
6. If we have the ARISE Park ready by December, and the Tropicana Hotel (by the way, what name would it be given?) and the International Conference Centre ready next year, I can’t see why we cannot hold the NBA Conference in 2027 or 2029.
7. Kudos to Gov. Eno for turning a gully erosion site into something of a marvel. But the facility will make money from day one.
ETIM ETIM is a veteran journalist and PR professional with over 35 years of cognate experience.
He is the publisher and editor-in-chief of Policy & Politics (www.policyandpolitics.com.ng), an online newspaper dedicated to insightful analysis of Nigerian news and world’s report. He is also a columnist with BusinessDay and The Cable and is a regular contributor to other newspapers.
Contact: +234802 3159969 (WhatsApp Only)
