The Russian hotel sector is seeing unprecedented levels of growth fuelled by international operators of the likes of Hilton, Holiday Inn, Accor and Rezidor, Stefano Carosi, head of Investment at DTZ in Russia, said in an interview with PropertyEU on the first day of the Mipim fair in Cannes.
The Russian hotel sector is seeing unprecedented levels of growth fuelled by international operators of the likes of Hilton, Holiday Inn, Accor and Rezidor, Stefano Carosi, head of Investment at DTZ in Russia, said in an interview with PropertyEU on the first day of the Mipim fair in Cannes.
At a time when other commercial property segments are reporting a 50% drop in development pipelines since the onset of the credit crisis, hotel development is gathering pace across the country , Carosi said. Global hotel chains are seeking to take advantage of a steep drop in the cost of land plots in Moscow and across the regions, Carosi noted.
'Our hotel consultancy team is full booked in these times,' Carosi said. 'The Russian market is largely undersupplied when it comes to hotels, especially three-star hotels. Now hotel operators are able to buy land on the cheap and they are seeking to expand through joint ventures with local developers.'
Hilton is set to open a hotel in Siberia through a partnership with the UK's London & Regional. The property, the first to be developed under the companies' plan to introduce 25 hotels in the country, is located in Novosibirsk, Russia's third-largest city with over 1.5 million people.
