An exciting Q1 for The Rezidor Hotel Group

Rezidor Hotel Group

The first quarter of 2016 proved to be an eventful one for The Rezidor Hotel Group’s business development, with the company having entered the economy segment through the acquisition of a 49 per cent stake of prizeotel as well as various signings and openings.

Prizeotel is an innovative start-up company with three operating properties and one hotel under development in Germany.

Commenting on the acquisition was executive vice president and chief development officer, Rezidor, Elie Younes: “The acquisition of prizeotel was a milestone for Rezidor. It complements our brand portfolio, facilitates our responsiveness to changing guest expectations, and allows us a fast-paced entry into the increasingly attractive economy sector.

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“We will initially grow the German network and target key cities in Austria, Switzerland and BeNeLux. The investment proposition further unlocks value to our partners through fixed-income lease or management contracts and limited development risk through a turn-key construction solution,” he added.

Adding to this, the hotel group signed for a total of 13 hotel projects throughout Q1 comprising 2,000 rooms, and inaugurated seven properties, adding 1,000 rooms to its portfolio. The 13 signings included a portfolio deal for three hotels in Riga/Latvia; two Radisson RED projects in Jeddah, Saudi Arabia and Dubai; and nine further projects in the Americas and Asia-Pacific.

“Radisson RED is an exciting lifestyle offer inspired by the millennial mind-set, and sees great interest on the investment and development market. The brand roll-out is gaining speed, and we aim to reach 60 hotels globally by 2020,” Younes said.

The world’s first Radisson RED property opened its doors in Brussels, Belgium this week.

As for openings in Q1, Rezidor welcomed its 100th franchise property and the very first hotel in Ivory Coast, the Radisson Blu Hotel Abidjan Airport. Over 60 per cent of hotel openings were located in emerging markets.