The Blue Swan Daily brings you a round up of some of the latest hotel news from across Europe, Middle East and Africa.
- AccorHotels no longer pursuing Air France-KLM stake
- Hyatt says deal to take control of Spanish chain NH Hotel group is ‘impractical’
- The Spanish hotel sector is still booming despite upcoming challenges
- Scandic Hotels to construct its largest property at Kastrup Airport as scale of Copenhagen’s hotel offer grows
- Chopin Airport Development to construct Moxy brand 120 room hotel at Poznan Lawica Airport
- Royal Jordanian and Jordan Hotel Association enter partnership agreement
- Inverness set to get a new airport hotel to support growing passenger demand
- New hotel part of Algiers airport expansion project due for completion by early 2019
AccorHotels no longer pursuing Air France-KLM stake
AccorHotels has confirmed that while it “remains convinced that a strengthened partnership between hotel companies and airlines offers significant value creation potential”, it will no longer pursue a minority stake in Air France-KLM. AccorHotels stated the required conditions for a stake acquisition “have not been met at this stage”. AccorHotels confirmed it was considering a joint financing approach with French and European investors. The decision was revealed as the company outlined its H1 2018 performance, a six month period during which it opened an additional 45,150 rooms (301 hotels), 19,757 through organic growth and 25,393 via the acquisitions of Mantra and Mantis. As at 30-Jun-2018, the Group had a portfolio of 652,939 rooms (4,530 hotels) and a pipeline of 167,000 rooms (959 hotels), of which 79% are in emerging markets.
Hyatt says deal to take control of Spanish chain NH Hotel group is ‘impractical’
Hyatt has confirmed that a deal to acquire NH Hotel group has now proved impractical, but it says it remains “willing to engage in a dialogue” to discuss other potential avenues toward unlocking value for NH Hotel Group’s shareholders. After submitting a letter expressing its interest in pursuing a potential acquisition, Hyatt says subsequent disclosures have meant “the path to a successful tender offer by Hyatt has now narrowed to a point of being impractical”. It adds : “Absent a significant change in facts or circumstances, Hyatt has determined that pursuing a tender offer is not viable at this time.” Hyatt was poised to compete with Minor International to acquire NH Hotel group after the Thai-based hospitality, restaurant and lifestyle group reached agreement with Chinese congolmerate HNA Group to purchase a 25.2% stake in NH Hotel Group, growing it s shareholding to just below 35%.
The Spanish hotel sector is still booming despite upcoming challenges
Thanks to strong performance growth in several markets, Spain’s hotel industry has seen a surge in investment interest despite the political situation in Barcelona, according to benchmarking specialist STR and Magma Hospitality Consulting. Their analysis shows Spain as a whole recorded 37 consecutive months of growth in revenue per available room (RevPAR) between March 2015 and March 2018, but there have been marginal RevPAR decreases in recent months, mainly driven down by declines in Barcelona, the country’s largest hotel market (more than 60,000 rooms). According to STR analysts, throughout most key Spanish markets, including Madrid (more than 50,000 rooms), hotel performance “remains on a strong upward trend”. In 2017, Madrid experienced the highest RevPAR growth (+17.4% to EUR77.34) of any market in Spain, mainly driven by a strong increase in average daily rate (ADR) (+14.2% to EUR106.79).
Scandic Hotels to construct its largest property at Kastrup Airport as scale of Copenhagen’s hotel offer grows
Copenhagen Convention Bureau (CCB) has confirmed that Scandic Hotels plans to construct a 632 room ‘Spectrum Hotel’ at Copenhagen Kastrup Airport, opening in 2020. The hotel, the largest in Scandic’s hotel portfolio, is one of a number of significant new properties in the Danish capital. Among the hotels to be built next year is low-cost hotel chain CABINN’s new Dybbølsbro hotel, which is set to become Denmark’s largest hotel with 1,220 rooms, while, hotel group Arp-Hansen will open its third Wakeup hotel in Copenhagen, which will have 585 rooms. Other hotels to open or expand in 2019 include Moxy Hotel, Falconer Hotel and Hotel Ottilia, which will be part of the Brøchner Hotels group. Comwell Hotels has also just begun the construction of a new 484-room hotel in the city’s Nordhavn area, while Hilton is set to open a new hotel in Copenhagen during 2020, following a franchise agreement with BC Hospitality Group. CCB says Copenhagen hotels saw a “significant increase” in capacity over the last several years with the gradual opening of new properties in the city. It noted an increase of more than 40% to around 8,500 hotel rooms is expected in Copenhagen over the next four years, with the Greater Copenhagen area on track to reach around 30,000 rooms by 2021.
Chopin Airport Development to construct Moxy brand 120 room hotel at Poznan Lawica Airport
Chopin Airport Development has signed a contract with Warbud for construction of a Moxy brand hotel (part of Marriott International) located at Poznan Lawica Airport, scheduled to open in late 2019. The 120 room hotel will span 5300sqm, featuring catering facilities, conference room, fitness centre and an 89 space parking facility. Gheorghe Marian Cristescu, president of the management board of Chopin Airport Development says Moxy is perfect accommodation partner: “We believe that it suits Poznan, which is a city of innovation, open to young people. We could not think of a better location – near the airport and at the same time near the business, commercial and tourist facilities.”
Royal Jordanian and Jordan Hotel Association enter partnership agreement
Royal Jordanian and the Jordan Hotel Association have announced a one year, renewable agreement under which the airline will provide association member staff and employees of member hotels with discounted business and economy class tickets. Pichler said: “Royal Jordanian and Jordan Hotel Association are long-standing business partners; we both work in the hospitality industry and our guests are theirs, so we both wish to offer top-notch services,” explains Stefan Pichler, president and CEO of Royal Jordanian.
Inverness set to get a new airport hotel to support growing passenger demand
The Inverness Airport Business Park (IABP) has lodged plans to The Highland Council for a new hotel to be constructed on its site close to Inverness Airport in Scotland. According to IABP, the hotel will be operated by a “well known international hotel chain” and feature 130 rooms, but further details have not been made public. The property will be just five minutes from the airport, which has seen a recent boom in demand following enhanced connectivity, especially from hub links from British Airways to London and KLM to Amsterdam.
New hotel part of Algiers airport expansion project due for completion by early 2019
Algeria’s Minister of Public Works and Transport Abdelghani Zaalane has confirmed Algiers Houari Boumediene Airport’s expansion project should be ready by the beginning of 2019. Alongside a train station, refurbished runway and a new ATC tower, the expanded facility will also reportedly include a four-star hotel.