Economy hotel brands booming in Europe

Motel One, Super 8, Premier Inn and others drive forward
The economy sector is a rising star in Europe’s hotel growth, especially in Germany, driving brand development and investment.
Economy rooms make up 5.6% of supply but 19% of the pipeline, says STR Global. Highlights include a 20-property purchase by InterContinental Hotels Group.
More recently, the German real estate group Union Investment – the ninth-largest hotel investor worldwide – expanded its hotel portfolio in Munich by buying a 197-room Super 8 hotel. It will be leased by GS Star for 25 years.
Germany-based Motel One has revealed plans to open eight new properties with 3,300 rooms over the next 12 months, to total 81 hotels with 23,000 rooms. It entered Switzerland this year with Motel One Basel and a second due in Zurich in 2017. The first Motel One properties in Spain and France will open next year.
UK brand Premier Inn is pressing ahead with international expansion, in Germany, which it describes as “structurally attractive”, and in the Middle East, while pulling out of India and South East Asia.
Meanwhile, super-budget brand EasyHotel aims to become “a leader in the super-budget market in Europe and the Middle East”.
Hotel Management