HVS EMEA Hospitality Newsletter – Week Ending 5 August 2016 (August 6, 2016)

Could Riu be the New Owners of the Gresham?

It was reported this week that Spanish chain Riu Hotels and Resorts has emerged as the leader of the pack in the bidding for the Gresham hotel in Dublin, Ireland, with a bid of €92 million. Ireland’s National Asset Management Agency put the four-star, 300-room hotel, housed in a landmark Georgian building on O’Connell Street, up for sale earlier in the year. Majorca-based Riu currently has 105 hotels and resorts across 19 countries.

New NOVUM Project for Commerz

Commerz Real has purchased its second NOVUM Style development in Frankfurt, Germany. The group’s newest NOVUM project is in the city’s Ostend district, close to the European Central Bank. Commerz acquired the plot, for its public real estate fund hausInvest, on a forward-funding basis for an undisclosed sum from Adolf Lupp GmbH + Co KG, which will construct the six-storey, 179-room hotel, due to open in the second quarter of 2020. Commerz has signed a 20-year rental contract with Hamburg-based NOVUM Hotel Group for the property.

Autograph Signs New Greek Property

Marriott International’s Autograph Collection has expanded with the addition of its second Greek property: the Domes Noruz Chania, Autograph Collection, which is in the town of Chania on the northwest coast of Greece’s largest island, Crete. The beachfront hotel, with 83 rooms and suites, is an adult-only resort. “We are delighted to welcome the luxurious Domes Noruz as our second Greek and Mediterranean resort into the Collection. As the portfolio grows in Greece, in a country where Autograph Collection has been so well received with Domes of Elounda, we believe that Domes Noruz Chania truly embodies the philosophy of our collection by showcasing unique attributes ensuring that the brand’s offering is nothing short of exceptional,” said John Licence, brand leader for Autograph Collection Hotels in Europe. The latest addition to the collection of independent hotels is owned by Crete-based Ledra Hotels and Villas.

IHG Signs Dual-Branded Project at Heathrow Airport

InterContinental Hotels Group has signed a franchise agreement with Bathroad Corp Sarl for a dual-branded hotel development close to London’s Heathrow Airport in the UK. The 433-room Holiday Inn London – Heathrow Bath Road and the 190-unit Staybridge Suites London – Heathrow Bath Road are both due to open in 2018 in the same building, close to the main entrance for the airport’s Terminals 1,2 and 3.

Marriott Makes its Debut in Rotterdam and Opens its Second Hotel in Belarus

Marriott International has made its debut in the Dutch port of Rotterdam with the opening of the Rotterdam Marriott Hotel. The former Manhattan Hotel Rotterdam, in the Millennium Tower opposite Rotterdam Central Station, underwent an extensive renovation and was transformed into the 230-room Rotterdam Marriott Hotel. Marriott currently operates eight properties across the Netherlands. Additionally, Marriott also expanded its portfolio in Belarus this week with the opening of its second hotel in the capital, Minsk. The 217-room Minsk Marriott, on the Svisloch River, is adjacent to the city’s main exhibition centre and joins sister hotel, the 267-room Renaissance Minsk Hotel.

Zetter Group Makes its Move into Manchester

The Zetter Group has purchased a site in Manchester that will become its first venture outside of London. The site encompasses the city’s London Road Fire Station building and planning permission for a five-storey hotel is expected to be submitted this autumn. “London Road is an iconic building and a real gift for us as hoteliers. We want to preserve the existing beauty and magic of the building and use it to help create a unique experience for our guests,” commented Zetter Group’s director, Michael Benyan. The group currently has three hotels and one restaurant in operation in London.  

Mövenpick Appoints New CEO

Mövenpick Hotels & Resorts (MH&R) has appointed Olivier Chavy as its new chief executive officer, following the announcement earlier this year that the group’s current leader, Jean-Gabriel Pérès, was leaving. Chavy is due to take up his new post in September 2016 and joins the company from interior architectural design firm Wilson Associates, where he is currently president and chief executive officer. Commenting on his new role, Chavy said, "I look forward to driving the next phase of growth for the company with the support of the MH&R board, the expertise of the management team and the strong relationships with our business partners."

Protea Opens First Hotel in Ndola

African group Protea Hotels, owned by Marriott International, has opened its eighth property in landlocked Zambia, in southern Africa: the 80-room Protea Hotel Ndola, which is the group’s first hotel in Ndola, Zambia’s commercial capital and third largest city. The one-storey hotel, close to Levy Mwanawasa Stadium, is the second largest hotel in the city.

CityBlue Makes its Debut in Burundi

CityBlue Hotels has opened its first hotel in Burundi, in East Africa. The CityBlue Kiriri Garden Hotel & Suites overlooks Lake Tanganyiki in the upscale neighbourhood of Kiriri in the capital, Bujumbura. The hotel is currently operating with 19 apartments, but a further 70 units are due to be added to the inventory by the end of the year. The group now has five Hotels in operation across Rwanda, Uganda and Burundi and a further ten in its development pipeline.

Rotana Continues With its Expansion in Saudi Arabia

Rotana is making the final preparations for the opening party of its first hotel in Jeddah, Saudi Arabia. The 252-room Centro Shaheen Jeddah, on Madinah Road, is the group’s third hotel in the country overall (joining the 481-room Al Marwa Rayhaan by Rotana in Mecca and the 236-room Rosh Rayhaan by Rotana in Riyadh). Commenting on Rotana’s latest opening in the kingdom, the group’s area vice president, Mohammad Haj Hassan, said, “We are bringing to Jeddah and Saudi Arabia a new concept, one that provides business and leisure travellers with style and comfort but at very affordable rates. This opening will be another example of Rotana’s strategic plan to spread our brand and standards around the Kingdom and across the region.”

Absolute Share Price Performance Over the Past Week – 28 July-4 August 2016



InterContinental Hotels Group – Reported a 2% rise in operating profit for the first half of 2016, to US$344 million from US$337 million for the same period in 2015.

NH Hotel Group  – Standard & Poor's upgraded to "B"; outlook stable.

Millennium & Copthorne – Brexit and terror attacks thought to have hit profits at the group's hotels.

For the latest in the hospitality industry, please visit: http://www.hvs.com/. You are also welcome to contact the following personnel.
Russell Kett, Chairman – HVS London (@russellkett) [email protected]
Charles Human, CEO – HVS London/HVS Hodges Ward Elliott [email protected]com
Simon Tucker Brown, Managing Director – HVS Executive Search Europe & Middle East [email protected]
Chris Martin, Senior Director – HVS Hodges Ward Elliott [email protected]
Puneet Kanuga, Director – HVS Hodges Ward Elliott [email protected]
Arlett Hoff, Director – HVS London [email protected]
Sophie Perret, Director – HVS London [email protected]
Tim Smith, Managing Partner – HVS Cape Town [email protected]
Demetris Spanos, Managing Director – HVS Athens [email protected]
Hala Matar Choufany, Managing Director – HVS Dubai [email protected]
Ezio Poinelli, Director – HVS Milan [email protected]
Louise Fury, Senior Editor and EMEA Hospitality Newsletter Author – HVS London [email protected]

Disclaimer: Information provided above has been gathered from various market sources. HVS has not independently verified the accuracy of the information provided. Interested parties should not rely on the information as statement of facts and are advised to make their own independent checks to verify the information provided. For further information, please feel free to contact HVS London.

Superior Results through Unrivaled Hospitality Intelligence. Everywhere.