IHG to open 12 ‘ Next Generation’ Holiday Inn Express hotels across Saudi Arabia under MDA with Tashyid for Hotel Operations

 IHG® Hotels & Resorts, one of the world’s leading hotel companies with more than 6,000 hotels, across 18 distinct brands, has signed a Master Development Agreement (MDA) with Tashyid for Hotel Operations, which will see the development of 12 hotels and 2,500 keys under the Holiday Inn Express brand across the Kingdom of Saudi Arabia. . With Ministry of Tourism encouraging such investments in the Kingdom, the signing took place in the presence Mr. Mahmoud Abdulhadi, Deputy Minister for Destination Enablement.

The agreement will allow IHG to expand and diversify its mainstream offering across Saudi Arabia, in line with the demand being created by initiatives under Saudi Vision 2030.

As a world-renowned brand, Holiday Inn Express champions simple, smart travel by providing a launch pad for guests to make their connection and is highly suitable and well-positioned for new-age smart travellers visiting Saudi Arabia across business, leisure, and meetings segments, including Saudi’s biggest and growing demographic of millennials and Generation Z travellers.

As part of the agreement, IHG has also signed the first Holiday Inn Express hotel with Tashyid for Hotels Operations Limited which will debut the brand in Jeddah by June 2025. Marking a key milestone for the brand in the Kingdom, the 300-room hotel will be located on Al Madinah Road, one of the busiest areas in the city. Providing a best-in-class experience, guest rooms at Holiday Inn Express Jeddah will feature amenities such as high-speed WiFi, smart TVs, premium bedding, and pillow options to ensure guests have a restful stay. The hotel will also offer signature complimentary ‘Express Start Breakfast’, speedy check-in, and power showers to ensure guests are recharged for the day.

Known for its success in the upper-midscale segment and understanding of the ‘Next Gen Smart traveller’, Holiday Inn Express hotels in Saudi Arabia will debut reimagined public spaces and guest rooms that blend trendy and efficient design with local aesthetic. Modelled on market specific research focused on the Millennial and Gen Z Saudi traveller, the hotels will offer guest experience reflecting their lifestyle and needs. The public spaces will serve as lively and engaging spaces featuring a revamped F&B offering, while the guest rooms will offer a balance of home comforts with smart design giving guests flexibility to better support their routine. Haitham Mattar, Managing Director, India, Middle East & Africa, IHG Hotels & Resorts said: "As we continue to expand our presence and diversify our offering, in line with Saudi Arabia’s tourism strategy, we are delighted to announce a partnership with Tashyid for Hotel Operations to further grow our Holiday Inn Express offering in the Kingdom for domestic and international travellers alike.

He added: Saudi Vision 2030 has created tremendous opportunities for the tourism and hospitality industry, and we see an increasing demand for our brands across segments. Holiday Inn Express is a great offering for smart travellers who seek a hassle free and efficient stay experience, and we are looking forward to providing this experience to guests across a country, in the coming years.

Falih Motasim Hajaj, Chief Executive Officer of Tashyid added: “ We are delighted to partner with IHG Hotels & Resorts to enable our rapid expansion within Saudi Arabia, in line with Saudi’s Vision 2030. With the Kingdom marking its presence on a global tourism map, working with leading industry partners such as IHG is key to helping set new standards of hospitality, embrace innovation and ultimately achieve a diversified economy.”

Holiday Inn Express is IHG’s fastest growing brand with currently over 3000 operating hotels, globally.

IHG Hotels & Resorts currently operates 39 hotels across five brands in Saudi Arabia, including: InterContinental, Crowne Plaza, Holiday Inn, Staybridge Suites, and voco, with 30 hotels in the development pipeline set to open within the next three to five years.

IHG Hotels & Resorts to Open InterContinental Sapporo in late 2025

IHG Hotels & Resorts announced an agreement with AXA Life Insurance Company to open InterContinental Sapporo in late 2025. InterContinental Sapporo will be IHG’s fifth hotel in Hokkaido, its first luxury hotel In Sapporo and its eleventh InterContinental-branded hotel in Japan.

InterContinental Sapporo will debut on the upper floors (9th to 14th floors) of a new building in the "AXA Sapporo Nakajima Park Project", which was announced today by AXA. Alongside the hotel’s two dining venues, lounge, bar, function room, indoor pool and gym, the hotel will feature 149 spacious guest rooms that range from a spacious 42 square metre lead-in room all the way up to a 159 square metre suite.

The hotel will feature a high-end, residence-like offering, with color coordination reminiscent of the nature of Hokkaido. With floor-to-ceiling windows that afford views of Nakajima Park and Toyohira River, guests will experience the rich nature of Sapporo from the comfort of their room.

The hotel’s public space will include areas that bring different natural expressions to life: the front lobby with a water feature, the library lounge with a fireplace, and the lounge area surrounded by lush greenery.

Jolyon Bulley to become Americas CEO following Elie Maalouf’s appointment to Group CEO

InterContinental Hotels Group (IHG) [LON:IHG, NYSE:IHG (ADRs)] today announces that Jolyon Bulley will succeed Elie Maalouf as Americas CEO. Jolyon is currently IHG’s Chief Executive Officer for the Greater China region, and also the Group’s Transformation Lead for Luxury & Lifestyle. The appointment follows the announcement on 5 May that Elie will become IHG’s Group Chief Executive Officer on 1 July following Keith Barr’s decision to step down to return with his family to the US.

Jolyon has been CEO for Greater China since 2018 and is a member of IHG’s Executive Committee. He was previously Chief Operating Officer (COO) for the Americas region from 2014 to 2017. He will take up his new position on 1 July and will be returning to his family home in Atlanta in the US where he will be based.

A career hotelier, Jolyon has held a number of significant roles at IHG since he joined the business in 2001. As CEO for Greater China, he has been responsible for accelerating the growth and driving the profitability of IHG’s second-largest market. Prior to that, as COO for the Americas, Jolyon led the region’s operations for franchised and managed hotels, strengthening owner relationships and hotel operating performance. This led on from Jolyon holding the same role as COO for Greater China, where he similarly oversaw the region’s hotel portfolio and brand performance, new hotel openings and owner relations.

As IHG concludes succession planning for Jolyon’s responsibilities in Greater China, Daniel Aylmer, Managing Director for Greater China, will report into Elie and continue his responsibilities in China. Transition planning is underway for Jolyon’s other commitments.

Keith Barr, outgoing Group CEO, commented: “Jolyon has made an enormous contribution to the success of IHG over his more than two decades in the business, including holding senior roles in our two biggest markets. His appointment as Americas CEO demonstrates IHG’s commitment to invest in our leaders’ development potential, our robust succession planning and a continuation of our existing growth strategy for the Americas region.”

Elie Maalouf, outgoing Americas CEO and Group CEO Designate, said: “Jolyon is returning to the Americas business where he has a proven track record of supporting the growth of IHG’s largest region. When he was COO he redesigned and strengthened how we work with and deliver for our hotel owners. Over the last five years, Jolyon has guided Greater China through the pandemic and into the recovery, further strengthened our owner relationships and continued to grow the business at pace. I am pleased to be able to move into the Group CEO role knowing that Jolyon will further strengthen the Americas leadership team.”

Jolyon Bulley, outgoing Greater China CEO and Americas CEO Designate, added: “I am proud to have the opportunity to lead our Americas business alongside our many talented colleagues and in partnership with our hotel owners. I have worked in the hospitality industry my entire career and I’m looking forward to building on Elie’s legacy in the region, remaining focused on capitalising on strong owner and guest demand for our amazing brands and our attractive enterprise platform.”

IHG’s first Hotel Indigo in the GCC announces leadership team appointments

InterContinental Hotels Group (IHG’s) first Hotel Indigo in the GCC has announced its leadership team appointments ahead of the opening in October.

Hotel Indigo Dubai Downtown will boast 269 rooms, four F&B outlets, bold interiors and works of art throughout the property. General Manager Laura Eggleton will lead a team of 102 professionals at the property ahead of the opening in October 2020.

In 2015, Eggleton was appointed as the first female General Manager for InterContinental Hotels Group (IHG) in the region in Muscat, Oman.

Appointments include Director of Finance and Business Support Neetu Sajnani, Director of Restaurants & Bars Van Qian, Executive Assistant Manager Mohamed Elsayed, Human Resources & Training Manager Omar Wasfy, Director of Marketing & Sales Kevin Cavaco, and more.

voco brand to go global with launch in China and US

InterContinental Hotels Group has confirmed it will launch its newest upscale hotel brand, voco, in the United States and Greater China.

The company created and launched the new flag a little over two years ago, focusing on conversion opportunities that combine the informality and charm of an independent hotel, with the quality and reassurance of a respected global brand.

Since then, a mix of 12 conversion and new-build voco hotels have opened across the UK, Europe, the Middle East and Australia.

voco continues to generate strong interest from owners too, and with an uplift in conversion activity during the first half of 2020, its expansion into two large and fast-growing markets is a key milestone.

voco currently has a development pipeline of 28 properties will take it into 19 countries over the next five years, while it remains on track to open more than 200 hotels over the next ten years.

Year-Over-Year the Global Hotel Construction Pipeline Continues to Increase

The latest Global Hotel Construction Pipeline Trend Report from Lodging Econometrics (LE) states that the global hotel construction pipeline stands at 14,779 projects/2,412,736 rooms. Year-over-year (YOY) the pipeline increased 5% by projects and 4% by rooms with several stages of the pipeline hitting their peaks by project and rooms counts.

Brands leading in the pipeline for each of these companies are Marriott’s Fairfield Inn with 431 projects/50,249 rooms; Hampton by Hilton with 775 projects/102,815 rooms; IHG’s Holiday Inn Express with 712 projects/90,479 rooms; and AccorHotel’s Ibis Brands with 319 projects/44,817 rooms.

Throughout the first half of 2020, the world opened 891 hotels accounting for 131,921 rooms

Source

IHG Loses 103 Hotels to Sonesta

Service Properties Trust (Nasdaq: SVC) today announced that it will transfer the branding and management of 103 hotels to Sonesta International Hotels Corporation, or Sonesta, from InterContinental Hotels Group plc (NYSE: IHG), or IHG. As previously announced, SVC sent notices of termination to IHG for failure to pay SVC’s minimum returns and rents due for July and August 2020 totaling $26.4 million, plus accrued interest, and IHG had until August 24, 2020 to avoid termination by making payment to SVC. SVC did not receive any payment from IHG by August 24, 2020, nor does SVC expect to receive any payments from IHG in the future, and the management agreements with IHG will be terminated. The effective date of the termination is November 30, 2020, which is the same date that SVC currently plans to transfer the branding and management of these hotels to Sonesta.

SVC’s management agreements with IHG cover 103 hotels (three InterContinental®, five Kimpton® Hotels & Restaurants, 11 Crowne Plaza®, three Holiday Inn®, 20 Staybridge Suites® and 61 Candlewood Suites®) in 30 states in the U.S., the District of Columbia, Ontario, Canada and Puerto Rico. Upon transfer to Sonesta, SVC expects that these hotels will be operated under the Royal Sonesta, Sonesta and Sonesta ES Suites brands. There are currently 80 Sonesta branded hotels worldwide.

Source

Revealed: Accor and IHG considered merger

French hospitality company Accor considered a possible merger with the UK’s InterContinental Hotels Group (IHG) – which would have created the world’s largest hospitality company.

French newspaper Le Figaro reported the news, which was then reported by Bloomberg.

it said that Accor Chief Executive Officer Sebastien Bazin created a team in June that included Chief Financial Officer Jean-Jacques Morin and bankers from Centerview and Rothschild, to look into a possible deal.

Accor’s board was in favour of the idea, but Bazin put the project on hold as he thought it wasn’t the right time.

According to Reuters, an Accor-IHG merger would create a US$17 billion super-firm of more than 11,000 hotels. A merger would also put the two firms ahead of rival Marriott in terms of rooms, with more than 1.6 million between them.

A merger would bring together IHG brands such as Holiday Inn and Crowne Plaza with Accor’s Raffles, Sofitel and Ibis. It would also save on HQ expenses and loyalty programs, said Le Figaro.

Source

IHG remains optimistic despite $524m drop in revenue

InterContinental Hotels Group (IHG) has posted its financial results up to June 30, 2020, giving an insight into how COVID-19 has hit business.

IHG recorded a severe revenue crash in the first half of the year, falling by 52 percent, the group brought in just US$488 million in the first six months of the year. 

Operating Profit for the same period last year was $410 million, equating to an 82 percent drop.

For More Information Please Click Below:

hoteliermiddleeast.com/business/119001-ihg-remains-optimistic-despite-524m-drop-in-revenue

Asif Iqbal joins as Executive Chef at Holiday Inn Chennai OMR IT Expressway

Key Take Away

Holiday Inn Chennai OMR IT Expressway appoints Chef Asif Iqbal as their Executive Chef. Armed with over 14 years of culinary experience, He brings a dynamic and innovative energy to Holiday Inn Chennai’s diverse culinary scene.

By joining Holiday Inn Chennai OMR IT Expressway as an Executive Chef, it would be his second innings with the IHG Brand.

He firmly believes, “‘Respect for food’ has always been significant value in my family and my inspiration to pick up this profession is my ‘Mother’.  Food is the harmony of life and kitchen is the cradle where I want to spend the rest of my breaths.”

For More Information click below:

bwhotelier.businessworld.in/article/Asif-Iqbal-joins-as-Executive-Chef-at-Holiday-Inn-Chennai-OMR-IT-Expressway/05-06-2020-194286/

InterContinental Hotels Group (IHG) Announces New Signing - To open InterContinental in Rome

Key Take Away

InterContinental Hotels Group (IHG®) announces the signing of a franchise agreement with Westmont Hospitality Group and funds managed by Oaktree Capital Management, L.P. (“Oaktree”), for a captivating property in the heart of Rome.

The project is held by a newly established real estate investment fund managed by Milan-based Castello SGR, one of Italy’s premier real estate management companies

When you’re ready to travel again, we’ll be ready to welcome you. - Keith Barr CEO at InterContinental Hotels Group

The full post here

Key Take-Aways:

•  The Cleveland Clinic added to IHG Way of Clean

• Establishing a Global Cleanliness Board

• Using hospital-grade disinfectants to deep clean

• sanitizing stations in lobbies

• cleaning kits in guest rooms.

• paperless check-out and touch-less transactions at reception

• protective equipment for staff where necessary

see more

Recommended Reading

110-room Crowne Plaza announced for Lucknow, India

InterContinental Hotel Group (IHG) has signed a management agreement to bring the Crowne Plaza brand to Lucknow, India. The 110-room property is expected to open its door in late 2024.

The property will host an array of food and beverage options with an all-day dining restaurant, a bar and a club lounge as well as a large meeting and banqueting space of approx. 19,000 sq. ft. It will also have a gymnasium and an outdoor pool to offer guests more opportunities to enjoy their downtime. The hotel will be directly accessible from the Lucknow-Sultanpur road, the newly developing areas next to Shahid Path, as well as the new cricket stadium. It is located approximately 11 kms from the city centre (Hazratganj) and 15 kms from Chaudhary Charan Singh International Airport and is close to the area being promoted by the government as a prospective IT hub.

InterContinental Hotels Group PLC Business Update

InterContinental Hotels Group ("IHG") provides a business update in light of the rapidly evolving situation regarding Covid-19.

Current trading

IHG's Global RevPAR decreased 6% across January and February, with a broadly flat performance in the US offset by declines in Greater China, which saw an almost 90% decline in February.

During March, given the measures adopted by governments around the world to restrict travel and social contact, we are anticipating Global RevPAR declines of around 60%, with steeper declines in those markets most impacted by restrictions. Cancellation activity for April and May, and current booking trends, indicate continued challenging conditions. In Greater China we now have 60 hotels closed compared to 178 at the peak, and in recent days have begun to see improvements in occupancy, albeit at low levels.

Cost actions

We have many cost reduction and cash conservation measures at our disposal. These measures will result in a reduction of up to $150m in our fee business costs. Similar actions, along with a reduction in marketing spend, are being taken across the System Fund in response to expected lower assessment fee receipts. We are also taking action in our owned, leased and managed lease hotels to contain costs.

In addition, to support our owners and manage their cash flows, we have launched a comprehensive package of measures including delaying renovations and relaxing brand standards.

Cash Flow

IHG remains conservatively leveraged. The staggered bond maturity profile, with the first maturity of £400m not due for repayment until 2022, provides long term funding. In addition, the company has access to a $1.4bn Revolving Credit Facility (RCF), which is currently $1.2bn undrawn, which together with free cash flow generation provides significant liquidity

 In addition, the Board is withdrawing its recommendation of a final dividend of 85.9¢ (~$150m) announced on 18 February 2020 and will defer consideration of further dividends until visibility has improved.

We continue to monitor the situation closely and will provide further commentary at our First Quarter trading update on 7 May 2020.

Major Brands Offer Relief in COVID-19

Major global hotels brands have implemented a number of fee reducttions and relaxed several standards and initiatives amidst the coronavirus outbreak

Marriott

• Fee Relief

  50.0% credit for the fixed portion of the PSF for April and May ,with payment deferred until 9/1/20

  60.0 -70.0% reductions in shared services costs ,including RMAS and Field Marketing

• Cycle Renovations

  Deferring all cycle renovations that are due in 2020 by one year

• FF&E

  Walving required funding of FF&E reserves for six months with ability to borrow FF&E for working capitals needs,with lender consent as needed

• Brand Standards /Initiatives

  Guest Satisfaction Surveys will be suspended for Wave 1,2020(1/1-6/30)

  Deferred all brand and global initiatives with only mission -critial areas

• Audits and PIPs

  Brand Standard Audit activities are paused until 6/30/20 .This include BSAs asa well as audits for beverage and experientials

• Meeting & Training

Paused all mandatory ,in-person,off-site training classes and will instead leverage Digital learing Zon

Hilton

• Fee Relief

  RMCC hotels -50.0%fee for 90 days for any hotels with occupancy <50.0% over that time period

  Suspended RMCC hotels will receive a 75.5% fee reduction while out of operation

  Temporary suspension of guest assistance intervention fees

• Cycle Renovations

  Awaiting Annoucement

• FF&E

  Does not have an FF&E reserve in franchise agreement

• Brand Standards /Initiative

  SALT scores have been suspended

  Reassessing compliance dates for technology refreshes ,as well as suspending all OnQ refreshes for atleast 60 days

  Deferring the launch of several product initiatives as well as extending compliance dates until further notice

• Audits and PIPs

  For any items due in 2020 -there is a potential to extend by 12 months

  It will adjust the frequency to accommodate the current business climate,QA penalities waived for 2020

• Meeting & Training

  All in-person training will be put on hold until after June .Those who require training to do so via Hilton University online where appropriate

  IHG

• Fee Relief

  Fee Relief and Fee deferral options from 3/1/20-5/31/20 (excluding KIpton Hotel & Restraurants )

  SERVICE CONTRIBUTRION :50% discount throuGH 5/321 and deferrable for 90 days

  Technology fee :25 .0 % discount 5/31

• Cycle Renovations

  Mid -cycle renovatios are deferred until 1/21

• FF&E

  Waiving FF&E and Capital reserve requirement through 12/31/20

• Brand Standards /Initiative

  Love scrores remain in operation

  IHG will defer the publication of any new standard until 11/20

  Relaxing brand standard in Multiple areas ,including F&B Operations,Training, Technology and Loyalty ,with compliance dates extented to later this year and others into 2021

• Audits and PIPs

  Any PIP milestone dates due between now and 12/31/20 ,will get a nine month extention to that due date

• IHG is currently designing vir]tual touchpoints to support cleanliness and brand safely standard until 6/30/20

  Meeting & Training

• IHG will suspend all in-person training and move to all -virtual training sessions.Cancellation fees will be waived for current registered courses ,the training credit standard for hotels will be reduced by 25%

  Hyatt

• Fee Relief

  Centralized Revenue Management Fee (applicable to all select service proporties participating in Hyatt’s CRM services)

  50% relief in April and May or $775 per month .

• Cycle Renovations

  Deffering all cycle renovations that are due now through 6/30/21

• FF&E

  Deferring FF&E deposits for the remainder of 2020.Hotels may use the amount on deposit in replacement funds to cover general operating expenses ,which may be subject to lender approval

• Brand Standards /Initiative

  All brand initatives with budgetary implication will be postponed for the remainder of 2020

  For hotels with temporary suspended operations post surveys will restart upon resuming business operations

  For operating hotels -Hyatts surveys will restart on 5/31/20

• Audits and PIPs

  Will suspend formal brand standard audit activities for 2020,and will suspend PIPs,as approved by Hyatt,through 12/31/20

• Meeting & Training

  Suspended all in-person and off-site Hyatt meeting and training classes ,and will instead leverage Hyatt connect and digital training tools to conduct all manadotory and recommended training .

IHG to open first Regent hotel since brand acquisition

IHG (Inter Continental Hotels Group) announces the signing of a management agreement with Shanghai 21st Century Hotel Co., Ltd. for its iconic property located in Lujiazui, Shanghai, China.

From 16 May 2020, the hotel will be officially branded as Regent Shanghai Pudong and ready to welcome guests with a truly unique and luxury experience, which the legendary brand is famous for. All existing reservations will be automatically forwarded and honoured by Regent Shanghai Pudong.

Expanding its luxury footprint, IHG announced the acquisition of a majority stake in Regent Hotels & Resorts in March 2018 and brought the much-loved brand into the top end of its portfolio. Since then IHG has worked quickly to combine its expertise in luxury with Regent’s deep heritage and revered legacy, relaunching the brand by evolving it to appeal to the modern luxury traveller.

Renovation is already underway to rebrand the iconic InterContinental Hong Kong into a Regent hotel in 2021, bringing the hotel back to its roots as it first opened its doors as a Regent in 1980.

In addition, the brand is also expecting new openings in Phu Quoc, Vietnam later this year, Bali, Indonesia in 2021, Kuala Lumpur, Malaysia as well as Chengdu, China in 2023.

IHG Army Hotels Support Communities and Military Families During COVID-19 Response

IHG Army Hotels, a portfolio of hotels which serves thousands of guests every day on forty military installations in the United States and Puerto Rico, continues to fulfill its mission to serve communities and military families during the COVID-19 pandemic.

In addition to caring for active and retired members of the military and their families, properties are providing safe and comfortable accommodations for service members who are supporting COVID-19 relief efforts or those who have been temporarily displaced during this emergency, including military personnel whose barracks or on-post housing have been repurposed. 

Army and base leadership to best support the installation mission and their communities in the most impactful way. For example: 

• Hunter Army Airfield and Fort Stewart (Georgia) – Hotels on these bases are just a few of the properties that are using their talents to make face masks for their colleagues, local first responders and hospital personnel on post.

• Joint Base San Antonio (Texas) and Fort Wainwright (Alaska) – To help provide a sense of normalcy for families, hotels on base maintained and adapted a years-long holiday tradition with a “socially distant” visit from the Easter Bunny, who dropped off individually wrapped goodie baskets for children in house.

• Across the Country – Through fundraising activities across multiple bases in recent months – including bake sales, denim days and other grassroots activities – teams at IHG Army Hotels properties across the country were able to make a collective donation to the Stephen Siller Tunnel to Towers Foundation, an organization which builds mortgage-free smart homes for injured veterans and first responders. 

  IHG Army Hotels have reached agreements with Garrison leadership in order to alleviate the financial burden of servicemembers affected by the “Remain in Place” order while awaiting transportation to their new permanent duty station

HVS Hotel Transaction Activity: The Factors Influencing a Return to Normalcy in a Post-COVID-19 Time - By Drew Noecker

The year-over-year individual property transaction volume in Q1 2020 was down 61.4% from the same period in 2019, as COVID-19 became a major concern in the second half of the quarter; thus, this portends a large drop in Q2 2020 with a full impact of COVID-19 disruption. With our industry’s already-realized transaction volume drop and the continuation of this trend, we wanted to look at a few conditions that we believe will need to be present for a return to a robust hotel transaction market. Selected Important Factors for a Consistent, Stable Market After COVID-19 Cases Wane

• Availability of Traditional, Stabilized Financing
  There are multiple transitional, or bridge, lenders with which HVS is currently working. However, to return to a healthy market, the CMBS market, SBA lenders, and traditional balance-sheet lenders need to return to lending. 

• Understanding of the Volatile Environment by the Lending Community
  HVS is working with many companies who have “paused” hotel lending until a clearer RevPAR trajectory emerges. When lenders feel comfortable with a specific uptrend, the traditional debt market will reopen.

• Return of Broader Commercial Real Estate Investors to the Hotel Market
  One of the significant drivers of the growth in hotel transactions over the last 8+ years was the entry of traditional real estate private equity firms into the hotel ownership space. Those firms are currently concerned about the occupancy volatility of hotels during this health issue, but once the broader real estate private equity firms are again comfortable, the transaction market will improve.

• Solidification of the Concessions Available from Franchisors 
  Major franchise companies such as Marriott, Hilton, Hyatt, Choice, and IHG have discussed possible concessions for their franchisees. Once these concessions regarding fees and renovations are understood, owners can safely bid on available assets and return the market to a healthier state.

April 14, 2020 – Updated Transaction Data

IHG Completes Sale of Holiday Inn Melbourne Airport Leasehold Interest to Pelligra Group

IHG has successfully completed the sale of its leasehold interest in Holiday Inn Melbourne Airport to Pelligra Group, owners of upcoming Holiday Inn Melbourne Werribee and Holiday Inn Melbourne Richmond.

The decision supports IHG’s global asset-light strategy, which ensures its business model is focused around what it does best: franchising and managing hotels, with its business partners owning the bricks and mortar. Since 2003 IHG has completed the sale of almost 200 hotels globally as part of its move to an asset-light business model, and the sale of the Holiday Inn Melbourne Airport lease continues that global approach.

As part of the sale, Pelligra Group has agreed that they will invest in a major refurbishment of this hotel over the coming years, bringing it in line with the best of the Holiday Inn brand.

Abhijay Sandilya, Vice President Development, Australasia, Japan & Pacific said: “We are particularly thrilled to expand our partnership with Pelligra Group. We have a fantastic relationship and together we will open Holiday Inn Melbourne Werribee in 2021 and Holiday Inn Melbourne Richmond in 2023. We’re pleased that the deal means that we not only continue to support IHG’s global strategy, but that the iconic Holiday Inn Melbourne Airport will benefit from a refurbishment.”

IHG (InterContinental Hotels Group) Expands Its Presence in Dubai

IHG (InterContinental Hotels Group) adds a new neighbourhood to its boutique and lifestyle brand Hotel Indigo, the brand’s first ever hotel in the Middle East. The flagship property in the region will open its doors along the banks of the Dubai Creek, minutes away from Burj Khalifa.

Slated to open in summer 2020, Hotel Indigo Dubai Downtown is a stone’s throw from a number of iconic landmarks and attractions, including one of the world’s largest retail hubs, The Dubai Mall.

“We are excited to be opening the first Hotel Indigo® in the Middle East,” said Laura Eggleton, General Manager, Hotel Indigo Dubai Downtown. “As our first opening in the region, Hotel Indigo Dubai Downtown combines the city’s heritage with the new, fresh buzz of the ever-evolving landscape through local collaborations