Propst: Most disappointing about Hyatt closure is no one reached out to CNMI leaders

Rep. Edwin K. Propst (D-Saipan) said the most disappointing part about the impending closure of Hyatt Regency Saipan is that no one reached out to Gov. Arnold I. Palacios, Lt. Gov. David M. Apatang, and the Legislature.

Propst shared his views about Hyatt Regency Saipan’s announcement to permanently close on June 30, 2024 during the House of Representatives special session last Thursday.

He said Palacios told them that he learned about the Hyatt’s impending closure upon reading it in the paper.

Propst said Apatang, House of Representatives Speaker Edmund S. Villagomez (Ind-Saipan), and all House members found out the same upon reading it in the paper.

The House floor leader said the Hotel Association of the NMI did not ever contact Palacios and Apatang to inform them that Hyatt is on the verge of closing now and what they should do.

“If that had happened, the governor would have called for an emergency meeting. We will have talked about it and we will call HANMI and other agencies. Guys, this is what’s happening. No notice!” Propst said.

The House floor leader said it is great sadness that Hyatt closed the doors.

“It is shocking and it’s sudden. And it’s saddening and surprising. I think those are common words that have been used,” he said.

Propst said there’s a lot of history and memory for everyone in the House and all have had such special wonderful memories with the Hyatt Regency.

He said their hearts go out to the employees who are losing their jobs and they are going to have to look for new jobs and new opportunities after spending and dedicating so much of their life to the Hyatt.

“It’s sad, I’m deeply sad and hurt. But I think we have to look at the bigger picture here and we have to look at what’s been at play,” Propst said.

He noted that 400,000 Japanese tourists are anticipated to travel to Guam this fiscal year, at a time when the yen is weak and they are not supposed to be travelling anymore.

The floor leader said, however, the CNMI received so far in this fiscal year only 8,610 Japanese tourists.

“It’s a fraction, it’s a tiny fraction of what Guam is receiving,” he said.

Propst said the statistics matter as Guam is literally 100 miles away, a 25-minute flight from Saipan.

“They are killing us! Japanese are flocking there. Why are they no longer coming to Saipan, the CNMI? That’s the billion-dollar question. That’s what we need to be asking ourselves,” Propst said.

He said that last Wednesday they had the Marianas Working Group, the president and directors of the Saipan Chamber of Commerce, and several House colleagues sitting in the House chamber for three hours talking about Hyatt and many other things.

Propst said what some of the hotel managers and owners have discussed with him and his colleagues, they repeatedly stated that there is nothing to do here for a tourist after the sun goes down after 6pm.

He said in Guam, they have the Tumon Bay, where a lot of things are going on actively at night that welcome tourists.

“What do we have going on at the Paseo [de Marianas] and around Garapan? What activities do we have in our villages that are offered to our tourists?” Propst said.

He said the CNMI has diving sites, spectacular beaches, and the warmth and love from the people.

Propst said these are great things, but it’s not enough to bring the tourists back to the CNMI.

He said CNMI leaders are getting slammed because they’re being told that they are not doing enough since the CNMI is supposed to pivot away from Chinese tourists.

Propst noted that tourists from the People’s Republic of China can come into the CNMI right now without a visa, but they can’t do the same in Guam.

He said it does give the CNMI a special unique advantage.

Propst said Chinese tourists can come here with charter flights and that Hong Kong Airlines just recently resumed flights.

“Have any of us said we don’t want Chinese here? None of us. Not one of our members, not the speaker. And I’ve never heard it from the words of the governor and lieutenant governor. We welcome everyone. Every one, every tourist,” Propst pointed out.

He said as a reminder, CNMI leaders have been working hand in hand with Guam leaders on ensuring that they see a Guam-CNMI visa waiver for the Philippines.

“We’ve been fighting for that. I have personally met with the governor and lieutenant governor and so has several of our members. We’re not sleeping,” Propst said.

The floor leader said are doing all they can right now to get this economy moving, but that it takes time.

Propst said the development that’s happening in Garapan is not going to happen overnight.

“But we all need to make sure it’s the best product. We want tourists to come in. We want to have a better economy. It takes all of us to pitch in,” he said.

Propst said all have to pitch in and that they can’t just depend on China saving the CNMI.

On military tourism, the floor leader said Guam has a ton of tourists that are military that flood the hotels and keep them at sustainable numbers.

Propst said a lot of military personnel in Guam want to come to the CNMI, but expensive plane tickets aren’t going to allow them to.

“All of the more reason why we’ve been fighting for cabotage exemption waivers and other things. These are the things that are going to move us forward. But it is going to take time and yes, we all need to work together,” he said.