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1 September 2018 Hospitality newsletter Hospitality & Leisure Group The newsletter is based on the information of news agencies and other open sources (Interfax Information Services, The Moscow Times, RIA News, Commercial Real Estate, PRIME-TASS News, ITAR-TASS World Service, Vedomosti, Prohotel, Commersant, RBK daily, Hotelnews.Ru, Frontdesk.ru, Rossiyskaya newspaper, HVS hospitality)
2 Hospitality newsletter 2 Russia Mandarin Oriental hotel will open in Moscow Capital Group and Mandarin Oriental Hotel Group announced the construction of the first Mandarin hotel and residences in Russia. The hotel will be located at Sofiyskaya embankment on the territory of Golden Island (Zolotoy Ostrov). The project assumes 137 branded residences, Mandarin hotel for 65 rooms, two restaurants, a lounge bar, SPA and wellness centers with 25-meter indoor swimming pool, flagship boutiques of global brands. Opening is planned for Safmar will sell its hotel development project at Tverskaya 10 Safmar company does not plan to continue construction of its hotel development project at Tverskaya Street (on-site of demolished Tsentralnaya hotel), which was assumed to open under Hilton brand. It is known that all agreements with operator will be terminated. One of potential candidates for buying the project is Corinthia hotel chain. This project may become Corinthia flagship hotel in Russia. Anticipated project sale price is US$ 50-70m (RUB 3-5b). Sevastopol hotel in Moscow will be reconstructed One of buildings of Sevastopol hotel in southwestern Moscow will be reconstructed (an entrance group of the hotel with the total area of 240 sq. m). The project also assumes construction of a fitness center in a new 2- storey building with the total area of 800 sq. m. The current total area of the hotel located in 1A, Yushunskaya Bolshaya Str., is 33.5 sq. m. Cronwell Management participates in a new project in St. Petersburg Cronwell Management will provide technical assistance for a new midscale hotel project in historical center of St. Petersburg. The project assumes reconstruction of the existing building located at 2, Sredny Avenue, Vasilievsky Ostrov. The 4 th Sokos hotel will open in St. Petersburg A new Sokos hotel will open in St. Petersburg at 22 and 24 Morskaya Bolshaya Street. The hotel will be located in two historical buildings: #22 hosted the Central Telegraph station in the beginning of 20 th century, #24 manufactory and shops of famous Faberge House. At the moment there are 3 hotels under Sokos management in St. Petersburg: the two are located in Vasilievsky Ostrov (Solo Sokos Hotel Vasilievsky and Solo Sokos Hotel Palace Bridge), the 3 rd is located in Bataisky lane (Original Sokos Hotel Olympia Garden). Karelia hotel in St. Petersburg was sold out Okhta Group sold its 4-star Karelia hotel located at 27/2, Marshala Tukhachevskogo Street to Bazalt Company. The hotel for 265s room with the total area of 19.4 sq. m includes restaurants and conference halls. Transaction price is not disclosed, but it is known that in 2015 Okhta Group put this hotel out to tender through the Russian Auction House for RUB 440m. A new hotel owner plans to develop hotel as a specialized hotel for Chinese tourists. AZIMUT Hotel Pereslavl opened A new Azimut Hotel Pereslavl opened on the territory of national park Plescheevo Lake in September The object became the first Azimut hotel in Yaroslavl region. It includes two hotel buildings Forest and Sky for 203 and 150 rooms respectively, 24 rental cottages and 2 SPA-cottages. The hotel offers a free of charge
3 Hospitality newsletter 3 parking and a helicopter deck, sport grounds, 24-hour fitness center, two restaurants and lobby bars, a SPAcomplex, a conference center up to 300 people. Azimut Hotels will manage a hotel in Suzdal Azimut Hotels will manage the 2nd object at the Golden Ring touristic route a hotel for 85 rooms in Suzdal earlier operated by Heliopark Hotels & Resorts. Reservation of rooms will be available starting October 1, The Hotel is located on the territory of 8 Ha at Korovniki Street near Spaso-Evfimievsky monastery, 3 km away from the city center. A new sports center opened in Izumrudny Les eco-hotel A new sports center with the total area of 5,000 sq. m opened in Izumrudny Les eco-hotel. The center includes a 25-meter swimming pool, fitness center and a gym, a thermal zone, open tennis courts, playgrounds for hockey and other team games, a phyto bar and children s room. Holiday Inn Chelyabinsk sold out Holiday Inn hotel located in Chelyabinsk was sold out. A hotel will re-open by the end of 2019 and will work under a new brand. The hotel for 54 rooms with the total area of 6,171 sq. m is located at Universitetskaya Embankment. Its new owner plans to reconstruct a hotel to accommodate SCO and BRICS summits guests. The deal amount is not disclosed. Golden Tulip Krasnodar will open in December Golden Tulip Krasnodar located in the city center will open in the end of The hotel will become the 2 nd Golden Tulip of Louvre Hotel Group in Russia. The hotel for 96 rooms includes a conference hall up to 870 people, a ball room for 180 people and an apart complex for 48 rooms proposed for long-term accommodation. There is also a fitness-center with an area of 700 sq. m and a restaurant of European and Kuban cuisine. Mercure hotel will open in Yakutia AccorHotels chain will open a hotel under Mercure brand in Yakutia by A new hotel with the total area of 7,700 sq. m for 140 rooms will be located on land plot at Lenina Avenue in the center of Yakutsk. Marriott Courtyard hotel will open in Rostov-on-Don A new hotel Marriott Courtyard will be developed near Rostov Arena stadium. The project assumes development of a 10-storey hotel complex for 198 rooms with a restaurant, fitness center and an underground parking. Anticipated investments can comprise approximately RUB 950m (US$ 15m). The hotel is announced to open by October The 1 st upscale hotel will open in Kamchatka The hotel is announced to open by the beginning of The hotel for 131 rooms will be located in a new airport complex building. Internal finishing will be done by Korean companies. Mercure hotel opened in Nizhny Novgorod AccorHotels opened a new Mercure Nizhny Novgorod Hotel for 80 rooms. The hotel amenities include a European cuisine restaurant, a 24-hour bar, a conference hall Gorky and a ground parking for 29 lots. This hotel became the 2 nd object of AccorHotels in Nizhny Novgorod.
4 Hospitality newsletter 4 Goergia Best Western Premier opened in Batumi A new Best Western Premier Hotel for 20 rooms opened in Batumi. The hotel is located at 11 Mayakovskogo Street, in 1 km away from the city center. Best Western Tbilisi City Center opened Best Western Tbilisi City Center for 45 rooms located at 92 Barnovi Street opened not far from Tbilisi concert hall. The hotel also include a restaurant and a business center. Hotel operators news OYO Rooms chain plans to enter international markets OYO Room, one of major Indian chains, raised US$ 1m funding from the largest funds SoftBank Vision and Sequoia Capital. These investments allows the chain to enter the Great Britain and China markets. OYO Rooms plans to sell its franchise internationally. Ibis hotels will offer premium rooms Ibis hotels of AccorHotels chain will offer premium category rooms. These rooms will be mostly located on the upper floors. The room rate will include a bathrobe, slippers, a tea spot and a bottle of water. The guest will also enjoy a choice of pillows and cosmetic kits of local brands.
5 Hospitality newsletter 5 For more information about the newsletter please contact: Anna Levina, CCIM Manager, Hospitality & Leisure Advisory Services, Russia & CIS +7 (495) Anna.Levina@ru.ey.com Ksenia Panzhinskaya Account Manager, Business Development Department +7 (495) , ext Ksenia.Panzhinskaya@ru.ey.com EY Assurance Tax Transactions Advisory About EY EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities. EY works together with companies across the CIS and assists them in realizing their business goals. 4,500 professionals work at 19 CIS offices (in Moscow, St. Petersburg, Novosibirsk, Ekaterinburg, Kazan, Krasnodar, Rostov-on-Don, Togliatti, Vladivostok, Almaty, Astana, Atyrau, Bishkek, Baku, Kyiv, Tashkent, Tbilisi, Yerevan, and Minsk). EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. For more information about our organization, please visit ey.com Ernst & Young Valuation and Advisory Services LLC All Rights Reserved. This publication contains information in summary form and is therefore intended for general guidance only. It is not intended to be a substitute for detailed research or the exercise of professional judgment. Neither EYGM Limited nor any other member of the global EY organization can accept any responsibility for loss occasioned to any person acting or refraining from action as a result of any material in this publication. On any specific matter, reference should be made to the appropriate advisor. ey.com
Hospitality newsletter
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