HVS EMEA Hospitality Newsletter – Week Ending 16 March 2012

The latest hospitality news from Europe, the Middle East and Africa

BDL Sells London Hotel

Glasgow-based hotel developer and operator BDL Management has reportedly sold the Ramada Encore London West in Ealing, west London, to overseas investors for an undisclosed sum. BDL will continue to manage the 150-room hotel.

Fancy A Holiday In Amsterdam?

Interstate Hotels & Resorts has opened the Holiday Inn Express Amsterdam-Sloterkijk Station in west Amsterdam. The 252-room hotel is the second hotel to be completed from the joint venture Interstate formed last year with TVHG Budget Group Beheer BV for nine hotels (1,800 rooms) across the Netherlands. The hotel is jointly owned by Interstate and TVHG. “We have a strong relationship with TVHG, a very experienced, highly regarded hotel developer, and look forward to building on it in the future,” said Leslie Ng, Interstate’s chief investment officer.

A New Meliá For Paris

Meliá Hotels International has signed a 12-year lease agreement with Frankfurt-based real estate company Union Investment for a new hotel in Paris, France. The 369-room Meliá Défense is due to open in the fourth quarter of 2014 in the city’s La Défense district. The 20-storey building is being developed by Vinci Immobilier. Meliá currently operates seven hotels in the French capital.

A New Look For Scottish Hotel

The Cairn Hotel Group, based in the northeast of England, plans to invest £3 million in a refurbishment of the Royal British Hotel in Edinburgh city centre, Scotland. Work on the hotel, which opened in the 1820s, is expected to start in the next few weeks and will increase the room count to 81, with the conversion of former office space into nine guest rooms. The revamp should be finished by the end of the year. The hotel’s owners are reportedly in discussions with an international hotel chain with the possibility of rebranding the property. The Cairn Group operates 17 hotels across England and Scotland.

Marriott’s Second Hotel In Siberia

After recently making its debut in Siberia with the Courtyard by Marriott Irkutsk, Marriott International has signed a management agreement with OAO Krepost Hotel for its second property in the Russian region. The 216-room Krasnoyarsk Marriott Hotel is expected to open in 2014 in the city of Krasnoyarsk, the third-largest city in Siberia.

Woman In The Boardroom: More Needs To Be Done…

…says HVS Executive Search. “While the industry must shy away from tokenism, it’s important that more women are encouraged to nurture boardroom ambitions and have the opportunity to gain the relevant experience to enable them to realise those ambitions,” said Chris Mumford, HVS Executive Search’s president for Europe, the Middle East and Africa. “Our recent European Hotel Board Study showed that just 10% of board members are women,” he added. Last year the global executive search company held a briefing in London on the issue of encouraging more women into senior roles in the industry. A panel of high profile speakers, including Deborah Dhugga, general manager of the Dukes hotel in London; Alison Frith, managing director of Artizian; and Jillian MacLean, managing director of Drake & Morgan, highlighted the issues that women face while attempting to achieve boardroom success. This briefing, which can now be viewed on YouTube here, will be followed up later this year with a further round-table discussion. This will form the basis of an HVS Executive Search White Paper, which will contain recommendations on how the hospitality industry can improve its level of female representation at board level.

More Marriott For London

Planning permission has been submitted to London Thames Gateway Development Corporation for the development of a 350-room Marriott hotel in the Strand East mixed-use development in Stratford, East London. The 26-acre, waterfront Strand East project, near to the Olympic Park, is being developed by Landprop Holding, part of Danish shopping centre developer and manager Inter Ikea Centre Group.

Amanresorts Goes Greek

This summer, Hong Kong-based Amanresorts will open its 25th property overall and its fourth in Europe. The group’s latest addition to its portfolio, Amanzoe, is located near to the town of Porto Heli on Greece’s Peloponnese peninsula. Amanresorts is also planning to open a number of luxury villas at the site in the near future. The 38-suite resort takes its name from the Sanskrit-derived word for peace aman and zoe the Greek word for life.

HVS Executive Search At The Young Hoteliers Summit

On 19 March, Chris Mumford, HVS Executive Search’s president for Europe, the Middle East and Africa, will have left his London base for Switzerland, where he will be speaking at the third edition of the Young Hoteliers Summit at Ecole hôtelière de Lausanne (EHL). Chris is part of a panel discussion called “Operational hospitality vs. corporate hospitality: How can graduates decide which path will be more beneficial?” The panel, moderated by Dr Demian Hodari, a professor at EHL, will also include Nick Mutton, vice president of human resources and administration at Four Seasons Hotels & Resorts; Christopher Michau, director of global strategic accounts at Expedia; Francois Delahaye, director of operations at the Dorchester Collection; and Ian Nicholson, chief executive officer of the Faena Group. For more information click here.

Indigo and InterContinental In Riyadh

InterContinental Hotels Group (IHG) has signed an agreement with Rayadah Investment Company for two new hotels in Saudi Arabia. Both properties will be located in Riyadh in the King Abdullah Financial District (KAFD). No information is available yet on the opening dates of these hotels, but once operational the 225-room Hotel Indigo KAFD will be the first Indigo property in the Middle East, and the 218-room InterContinental Riyadh KAFD will be the second InterContinental hotel in Riyadh.

Kempinski’s First Time In The Seychelles

Kempinski made its debut in the Seychelles this week with the opening of the Kempinski Seychelles Resort. The 150-room resort is in the district of Baie Lazare on the island of Mahé.

Gladen’s Tidings

The news from Spain by Esther Gladen, Business & Market Intelligence Analyst, HVS Madrid. Accor opens a new ibis in Madrid: the recently opened new-build ibis Madrid Centro Las Ventas is only ten minutes’ walk from the Goya-Serrano shopping area. The hotel has 111 rooms. Transaction in Majorca: Majorca-based JS Hoteles has purchased the three-star Hotel Orleans Garden in Can Pastilla, close to the capital Palma. The property consists of 250 rooms in two buildings. A refurbishment is planned for the hotel and it may be upgraded in category next winter.

Absolute Share Price Performance Over the Past Week – 8-15 March 2012

NH Hoteles – Exane BNP Paribas upgraded NH to "outperform" from "neutral" and raised its share price target to €3.50.

Accor – Credit Suisse upgraded Accor to "outperform".

InterContinental Hotels Group (IHG) – IHG rose 3.4% on high volatility and expanding price range.

For the latest in the hospitality industry, please visit: http://www.hvs.com. You are also welcome to contact the following personnel.

Russell Kett, Managing Director – HVS London (@russellkett)rkett@hvs.com
Charles Human, Managing Director – HVS Hodges Ward Elliottchuman@hvshwe.com
Tim Smith, Director – HVS Londontsmith@hvs.com
Chris Martin, Director – HVS Hodges Ward Elliottcmartin@hvshwe.com
Demetris Spanos, Managing Director – HVS Athensdspanos@hvs.com
Hala Matar Choufany, Managing Director – HVS Dubaihchoufany@hvs.com
Christopher Mumford, Managing Director – HVS Executive Search (@ChrisMumford)cmumford@hvs.com
Philip Bacon, Managing Director – HVS Madrid and Managing Director, EMEA & Asia – HVS Shared Ownership Servicespbacon@hvs.com
Saurabh Chawla, Director – HVS Asset Management and Strategic Advisoryschawla@hvs.com
Louise Fury, Senior Editor and EMEA Hospitality Newsletter Author – HVS Londonlfury@hvs.com