October 2019 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) Hospitality newsletter. October 2019 2 Russia Cosmos Hotel Group will open a hotel in St. Petersburg An upscale boutique-hotel will open in the building of Mutual loan society of St. Petersburg district counsel at Italianskaya Str., 8, lit. A. The hotel for 24 rooms will have a total area of 2,700 sq. meters. The hotel building is a cultural heritage object, thus its external dimensions, space planning and interior environment will be preserved during reconstruction. Radisson brand to make Russia debut with first signing in Perm Radisson Hotel Group announced the signing of the first Radisson-branded hotel in Russia. Set to arrive in the Urals region of the country, the newly built Radisson Hotel Perm will have 150 rooms and is due to open in late 2021. As of today, the following brands of the Radisson Hotel Group are presented in the Russian hotel market: Radisson Blu, Radisson Collection and Park Inn by Radisson. The Radisson Hotel Perm will be part of a multi-purpose development. The hotel will feature a gym, a swimming pool on the top floor and an all-day restaurant on the 21st floor. The hotel will also offer extensive conference facilities with Meetings & Events services managed by the hotel team. The hotel will be situated right in the heart of Perm, just 300 meters from the Government of Perm Region and the City Hall. The Hotel’s developer is Project-Group Company. Mercure hotel will open in Saratov Boconcept-hotel LLC plans to open a hotel under Mercure brand of international hotel operator AccorHotels in 2022 in Saratov. The hotel will offer 150 rooms and 100 apartments. The project investments may amount to RUB 1.3 bn (U$ 20 m). The hotel will work with AccorHotels under franchise agreement and will be managed by Ivashkevich Hospitality A first internationally branded hotel will open in Barnaul Premiumstroy-Altay LLC announced about plans to open a hotel under international brand in Barnaul. The hotel may be constructed in the intersection of Sotsialistichesky Avenue and Molodezhnaya Street. Investments in the hotel project for 150 rooms are estimated in the amount of RUB 1.5 bn (U$ 23). At the moment, there are negotiations with potential hotel operators of the future object. Courtyard by Marriott hotel will open in Rostov-on-Don Courtyard by Marriott for 198 rooms will open in Rostov-on-Don in December. The hotel will be located at Levoberezhnaya Str., 2C. Project investments comprised around RUB 1.2 bn (U$ 18). Holiday Inn hotel will re-open in Chelyabinsk Holiday Inn Chelyabinsk for 78 rooms will resume its operations in the end of 2019. The hotel is located at Universitetskaya Embankment and was initially opened in 2015. The hotel was closed for renovation – a modern popular concept of open lobby was integrated during renovation works. Besides lobby the guest rooms were also renovated. Hospitality newsletter. October 2019 3 Hospitality industry in Kamchatka Development of hospitality and tourism industry in Kamchatka continues its development, there are plans to attract investments in the amount of RUB 7 bn (U$ 108 m) in its further development in 2019 (in comparison with RUB 2 bn (U$ 31 m in 2018). Five new hotels will open in the region in the years to come. A new resort will also appear on the territory of tourism and recreational complex Zelenovskie Ozerki (near Razdolny rural village). Resort’s investor is Honka company, its opening is scheduled for 2020. A new hotel will appear in Zheleznovodsk A new hotel for 100 rooms will be constructed in Zheleznovodsk and should open in 2020. The project investments are estimated in the amount of RUB 800 m (U$ 12 m). The hotel will be located in the land plot next to Ferrum-square and Kurortnoe Lake. The hotel amenities’ will also include a conference-hall, a restaurant decorated in a hi-tech style and a recreation zone. Russkiy Dom will enter Krasnodar region hotel market Russkiy Dom management company will manage a hotel in Krasnodar region. Vision hotel for 57 rooms is located in 5 km from Pashkovsky airport. Hotel amenities’ include a restaurant of haute cuisine for 220 seats. The company’s portfolio includes the following hotels: Holiday Inn and Victoria hotels in Chelyabinsk, Bridge Resort hotel, a spa-hotel Divny and Sport Inn hotel in Sochi, Terra Ventura Hotel Resort & SPA (Germany). Mercure hotel will open in Blagoveschensk A new Mercure hotel for 80 rooms will open in Blagoveschensk. This is the first hotel of international hotel operator AccorHotels in the Far East. The project design stage is scheduled to be done in the 2Q of 2020, the hotel’s commencement is planned for 2022. A new hotel under AZIMUT Hotels will open in Perm The building of the former military school in Perm came to AZIMUT Hotels’ management as a result of the tender organized by Permsky Region Development Office. According to the agreement signed for 20 years, the building shall be redeveloped into a hotel. The total area of the building is 10,600 sq. meters, it is located in the central district of Perm on the banks of the Kama-river, in 20 kilometers from the airport and in 4 kilometers from the railway station. AZIMUT Hotels plans to open an upscale business hotel for 200 rooms in the end of 2021. Maxcapital Company bought a hotel in Rybinsk Maxcapital Company bought the Volga hotel in Rybinsk and plans its renovation. The hotel after renovation will offer 50 guest rooms and corresponding amenities for business and leisure tourists. The hotel design will resemble to a style of Hollywood film studio. The future hotel will be a part of now developing federal hotel chain MAXROOMS that proclaims the idea of a comfort lodging for an affordable price. MAXROOMS is adopting Indian OYO Rooms’ model that made the chain one of the largest in India. Hospitality newsletter. October 2019 4 Crimea Russkiy Dom will manage Prevysokov boutique hotel Russkiy Dom management company will manage Prevysokov boutique hotel located between Yevpatoria and Sevastopol. The hotel offers 16 rooms, a restaurant with a terrace, a SPA-center, swimming-pools and a salt cave. The hotel is located on the sea shore. Kazakhstan Ramada by Wyndham will open in Shymkent in December 2019 Wyndham Hotels & Resorts plans to open its first hotel under Ramada by Wyndham brand in Shymkent, Kazakhstan in December this year. Ramada by Wyndham will be located in the city center, close to the Abay Park and the Shymkent Zoo. Hotel’s amenities include 89 guest rooms, a SPA-center, a restaurant, a lounge-zone, and a bar. Ukraine Radisson Blu Kyiv opened after renovation First opening in 2005, the Radisson Blu Hotel, Kyiv became the first internationally branded hotel in the city. In 2017 the hotel started the process of a full renovation: the entire conference area on the ground floor; all the guest rooms and finally – lobby, a lobby-bar and main entrance. The renovation involved not only in design, but engineering elements and certain equipment. Radisson Blu Kyiv for 254 rooms is located in the city center at Yaroslavov Val Str., 22. The hotel amenities’ include a lobby-bar, a restaurant and a French bistro, a conference-hall, a gym and a beauty salon. Companies’ and hotel operators’ news Hyatt announced its new brand - Caption by Hyatt Hyatt Hotels Corporation announced Caption by Hyatt, a new lifestyle brand within the select service category that will bring people closer together, allowing them to work, eat or socialize in comfortable, flexible, communal spaces that encourage meaningful conversations and connections. The hotel will provide drinks and shareable snacks all day. Hospitality newsletter. October 2019 5 AMAKS launched an agro-project in Moscow region Hotel holding AMAKS Hotels & Resorts plans to launch an agro-project in Moscow region. There are plans to build a production facility for harvesting, processing and storage of vegetables and fruits which will be cultivated on the territory of AMAKS Novaya Istra resort. The harvest is firstly supposed for hotels and resorts under AMAKS brand, secondly for retail distribution. Hospitality newsletter. October 2019 6 EY | Assurance | Tax | Transactions | Advisory For more information About EY EY is a global leader in assurance, tax, about the newsletter transaction and advisory services. The insights and quality services we deliver help build trust please contact: and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our Anna Levina, CCIM promises to all of our stakeholders. 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