The Tourism Bureau yesterday signed contracts with two private developers to provide a NT$1 billion (US$31 million) boost to the east coast’s travel industry.
The Leofoo Tourism Group agreed to build a five-star hotel near Sanshientai (三仙台) at the East Coast National Scenic Area Administration following a build-operate-tranfer (BOT) model. The group said it will invest NT$970 million on the construction of the hotel, will take an estimated to take five years to complete.
ROYALTY
Leofoo has exclusive rights to manage the hotel for 52 years, including the time spent on construction. Once the hotel opens, Leofoo is obliged to pay 1 percent of revenue to the government as a royalty of no less than NT$1 million.
The hotel will be built on a property of 3.15 hectares and will have between 160 and 170 rooms.
Ma Whei-da (馬惠達), director of the East Coast National Scenic Area Administration, said Sanshientai attracts about 500,000 tourists a year. Most of the tourists, however, will not spend much time there because there is only one hostel.
Meanwhile, Chu Lung Group agreed to renovate the Zhaori Hot Spring (朝日溫泉) on Green Island, which is also within the administrative charge of the scenic area administration.
The hot spring is considered by many as one of the geological wonders of the world because of its seashore location. The renovate-operate-transfer project contract will allow Chu Lung to manage the scenic spot for 16 years.
RESIDENTS
The group plans to spend NT$54 million renovating facilities around the hot spring. It has also agreed that at least 70 percent of the resort’s employees will be Green Island residents.
Each year, the group will pay local residents at least NT$300,000 and allow them to use the hot spring and other facilities for free. They will also be able to use the camping area at a discounted rate.
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