ISLAMABAD: A Pakistan Tehreek-e-Insaf-led (PTI) Khyber Pakhtunkhwa (KP) leader said on Friday that the Swat Serena Hotel voluntarily closed its doors after being asked to increase its annual lease from Rs700,000, a figure that had remained unchanged for years despite the growing disparity with current market rates. Speaking to Business Recorder, Akhtar Khan, a PTI MPA from Swat, who has been accused of pressuring the hotel to cease operations, strongly rejected the claims that he and fellow MPA Fazal Hakim were behind the closure of the Swat Serena Hotel or any plans to run it as a joint venture. He categorically denied any political pressure, saying that the provincial government’s only aim was to align the lease with market realities, which did not bode well for the Serena Hotels’ management, leading to shut its Swat property abruptly. Khan pointed out that Rs700,000 per year was an insult to a premium brand like Serena Hotels, especially in a prime tourist hotspot like Swat. “The Rs700,000 annual lease was peanuts compared to current market rates,” he stated. “We only aimed to bring it in line with what it should be,” he declared. He clarified that the Swat Serena shut down after flatly rejecting the proposed increase in the lease amount, refusing to meet the government’s reasonable demands. Khan further explained that after Serena Hotels declined the proposed adjustment, the KP government’s tourism department took control of the Swat property and intends to re-advertise the lease through a competitive bidding process. He added that the bidding process will be open to both national and international bidders, with Serena Hotels welcome to throw its hat into the ring, as long as it is willing to meet the terms. Copyright Business Recorder, 2026