Joint venture to create 124-room hotel in Glasgow

Drum Property Group and Stamford Property Investments have announced a joint venture to develop a mixed-use development site in Glasgow which will see the creation of a 124-room hotel.

Following the successful acquisition of the site at the city centre’s Merchant City, the regeneration is set to see almost 850,000 sq. ft of 1,200 flats and students rooms, additional retail space and the hotel built.

The development will be situated on the site bounded by Trongate, Wilson Street, Brunswick Street, Hutcheson Street and Candleriggs.

Graeme Bone, group managing director of Drum Property Group said: “We are pleased to be working in partnership with Stamford to acquire such an exciting and significant site. Securing Candleriggs Quarter provides an exciting opportunity to transform this neglected part of the city centre and complete the regeneration of Merchant City.

“We are looking forward to preparing proposals for a sensitive mixed-use development that will have a variety of high-quality residential accommodation and amenities at its heart.”

Uri Goldberg, managing director of Stamford Property Investments added: “Following previous successful developments in Scotland, we are delighted to have joined forces with Drum Property Group to transform this important city centre site. Candleriggs Quarter offers an unprecedented regeneration opportunity and we are excited to deliver a high quality mixed use development.”

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Hotel Refurbishments: St Michaels Hotel – Falmouth

What prompted the refurbishment in the first place?

We had the opportunity to acquire the site that was previously occupied by a 120-bedroom Falmouth beach hotel next door, that mostly burned down in 2012. We created a large five acre plot and developed a resort masterplan, encompassing the development of the new St Michaels Hotel and Spa – plus the additional development of new hotel rooms, spas and lodges.

Did the hotel remain open during the refurbishment?

Yes, we remained open all the way through the refurbishment, which was quite challenging when we had over 120 builders on-site. But the cost of closure would have been prohibitive, so we had to get on and manage the work as cleverly as we could to minimise guest disruption.

Can you give me an example of how you over the challenges of staying open during that time?

How we managed guests came down to good communication, understanding and involvement. Fortunately, we had a lot of guests who hadn’t been before and were very excited about what was happening, and were seeing this one visit as journey as opposed to a fixed point in time. It was about doing an awful lot of work with the builders to be sensitive to guests needs like not having the radio on to minimise the impact.

The other challenges included creating and having the vision for the masterplan, and then getting that approved and agreed by stakeholders, planners, local residents and the town council.

Fortunately, we ran between 77-89% occupancy over the whole of that time, and we still kept all our staff on and made a profit – albeit a reduced profit. Now it’s all open every one is really excited and pleased with the result.

Could you give me an overview of what exactly has been refurbished?

Thus far, we have created a new beach house wing of 32 premium bedrooms, all with a lot of luxury facilities including six foot wide luxury pocket-sprung beds, rainforest deluge showers, air conditioning, balconies and sofas. A lot of attention to detail has gone into the creation of these bedrooms. Something I am particularly pleased with and proud of is the creation of our dressing tables, which instead of the ubiquitous work surface or corporate desk, we have gone all out and provided a great space with lots of well lit mirrors for makeup, hair ect.

A lot of hotels just provide a desk, and don’t provide well lit mirrors with convenient plug spaces and usb ports to charge your phone. It was also great for me, having spent a lot of my 10 years as owner of St Michaels, seeing the end result of the refurbishment – it was great to do some new build rooms as well for the first time  as well.

Could you tell me a bit more about the £50m investment  from CBRE and Acorn Group and the BH Group?

The total investment for the resort required three different types of investors in order to fund  this very large scale project – it’s closer to £70m actually. This sort of investment and this sort of facility is quite unusual in terms of that spend level in Cornwall. So it needed three different types of companies to be involved.

CBRE Global Investors have acquired the freehold of the hotel side for one of their bluechip pension funds, BH Group have invested into the business and Acorn are a proven developer in the south-west and one of the top providers of premium seaside apartments. The Acorn Group is also undertaking the development of 53 south-facing, seaview apartments, all with balconies and plate glass windows. Assembling that deal arrangement, as well as creating the vision for the resort in the first place, was all a key part in terms of making this all happen.

Has all construction work been completed?

All of construction for the hotel has largely been completed. We have four garden spa lodges which we are putting in by this Easter, which will be quite exciting and allow guests to have premium free access to the spa throughout their stay.

During winter 2018 we also created a new access road from the beach, so guests will arrive directly opposite the sea – which I feel will be a much nicer sense of arrival. That will complete the hotel and central resort side of things, but work has now started on the 53 apartments. That will take about 18 months, and that’s all fenced off on a seperate site so it will certainly be less impactful than the work which took place at the main hotel.

What is your favourite aspect of the project?

I suppose we are particularly proud of the spa. The 21 station hydro therapy pool is certainly exceptional as far as the south west is concerned. Together with that we have also put in some fairly unique thermal facilities like the very first Cornish sea salt steam room, using salt that has been taken out of the sea only 20 miles from the resort. We also have different types of steam rooms, saunas with sea views, a hot tub and a Finish bio-sauna as well. There are a lot of facilities in the spa that have been very much appreciated and have created a really amazing wow factor.

Tell me about what has been done to the kitchens and restaurants?

We have basically transformed our main restaurant and conference and banqueting space into a new brasserie called Brasserie on the Bay, which has a particular focus on fresh fish and seafood. We have also created a brand new eatery called the Garden Kitchen, which is situated above the spa and has a wood fire oven. That’s an entirely new venue and is a very casual, drinking, eating and socialising place that’s gone down incredibly well with guests.

Could you tell me a bit more about the Liner?

The Liner is the brand name given to the 53 sea-facing apartments that are currently being started on site now. They will be sold to owners, but the resort will offer a full management and marketing service in order to give future owners a good return on investment, as well as private usage during the year.

Do you have any future plans for more refurbishment work later on?

You can never say you’re done or finished when it comes to physical investment in your property. It’s something that needs to be ongoing and permanent. For example, we have also started to upgrade some of the existing rooms, and that whole process of renovation, renewal and refreshment will continue on a yearly basis.

Was there a main inspiration in terms of the design of the renovation?

In terms of the actual philosophy behind the resort, the refurbishment very much embraced international trends of the very best resorts worldwide. It was about creating a wonderful nucleus of facilities at the heart of the resort. That core to the resort is important, but then the big trend internationally is also to offer customers a range of different accommodation types. Whether that is apartments, real estate, eco-lodges, suites, bedrooms ect.

Our interior design and used materials was also all about amplifying Cornwall, Falmouth and giving guests the best possible experience of the area through all of its manifestations, whether that’s food, drink, art or coastal interiors.

How has the response been?

It’s been incredible, absolutely amazing. We’ve had a lot of jaws dropping in terms of the quality and breadth of the spa and people love the new arrival lounge. Our guests also love the fact that our resort is rooted in the local community.

Is there anything you prefer from the old design?

Well we have retained certain elements. A lot of the strategies and principles have followed through, they have just been interpreted in a more contemporary way.

Who handled the actual construction work?

We had a project management team, and a construction manager that I employed. On top of that we had a main contractor which was PC Chapman, which were the main builders. And then a whole range of specialist suppliers, whilst also doing all of the procurements ourselves in terms of fit outs. Every piece of fabric, material, furniture and beds was carefully selected and tested by myself and the team before buying. It was very personal.

What’s your view for the next five years for the hotel?

It’s now about building a growing reputation, ensuring all of the facilities we have created deliver a high standard of service and building the business to show a return on investment that we have put into the resort.

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The Abbey Hotel unveils newly renovated rooms

The Abbey Hotel, which was bought by KE Hotels just over a year ago, has unveiled a selection of newly renovated bedrooms as part of an ongoing project to modernise the hotel and increase its appeal with young professionals.

The new rooms follow a period of investment into improvements at the hotel, which also include the launch of the exclusive brasserie, Koffmann & Mr. White’s, and the redevelopment of the ArtBar, which is set to complete at the end of March.

A selection of rooms at the 63-key hotel have been given a “stylish makeover” to cover three creative themes; film, art and photography. The concept for each bedroom is based on the city’s connections to art and culture over the years. Each premium room has a modern en-suite bathroom with geometric black and white design, lighting and luxury shower facilities.

Josh Watts, general manager at the Abbey Hotel, said: “We’re really happy with how the new rooms look. This is the latest in a line of renovations to modernise the hotel and make the Abbey a thriving cultural hub for guests. The balance of the newly designed modern rooms alongside our more traditionally styled rooms, means we can cater to a variety of different guests.

“Bath is home to an array of independent galleries and festivals that promote local artistic talent – something we’re really proud of at The Abbey. The hotel has long been known for hanging work by local artists in the rooms, restaurant and bar. A quintessentially Bath hotel, The Abbey is the perfect place to stay to get the most of what our beautiful city has to offer.”

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Travelodge eyes 100 new hotels as turnaround bears fruit

Travelodge has announced it is planning to open 100 new hotels in the next five years after seeing its turnaround plan lead to an 8.8% rise in revenues.

For the year ending 31 December, Travelodge delivered total revenues of £693.3m, up from £637.1m the previous year. It also reported adjusted earnings before interest, tax, depreciation and amortisation increased £9.6m to £122m.

The company also revealed that RevPAR was up 3.2% to £41.69 (2017: £40.40), average room rate was maintained  at £53.09 (2017: £53.13) and occupancy was up 2.5pts to 78.5%. During the period Travelodge also opened an additional 17 hotels.

However, commenting on its outlook, the company said the UK economic situation remaining “uncertain” and “well documented cost pressures facing the wider sector” led it to maintain a cautious short term outlook.

Peter Gowers, Travelodge chief executive, said its “strategic focus on location, price and quality” has enabled the group to deliver a “set of excellent results”, attributed to extending its network of hotels, remaining focused on delivering “attractive prices” and increasing its quality.

He said: “Once again we outperformed our competitive segment and delivered another year of strong growth, with EBITDA up £9.6m to £122m. These are uncertain times and we are not immune from the short term challenges, but beyond, we remain confident that there are more opportunities ahead.

“These results highlight Travelodge’s transformation over the last five years. Over that period, Travelodge’s sales are up by more than £250m, we’ve outperformed our competitive segment for five years in a row, opened more than 60 new hotels and more than trebled our profitability.”

He added: “We’ve invested in better quality and choice for our guests, while staying true to our budget roots. People are noticing the difference, culminating in our being recognised, for the first time, as one of the world’s top 10 global hotel chains by TripAdvisor. The long term growth opportunities for the budget sector remain strong and we expect to open 100 new hotels over the next five years, creating approximately 3,000 jobs.”

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Peer to peer profiling: Is it still possible?

As an ex revenue manager from a sales and marketing background, I was considered to be a weird mix early in my career. It was always thought of as strange to mix sales with controls and people always referred to the move from sales to revenue as “going to the dark side”, even the revenue managers.

My obsession with benchmarking and beating the market, driving market penetration and compulsively monitoring competitor strategies came from my ‘salesy’, need to win instinct; meanwhile my strategic attention to detail side, the focus on the market bit, was pure revenue management. You couldn’t possibly have both skill sets? At least that’s what I was told countless times in my early career. Pushing to be a general manager in my day with my background? Not a hope – only if you know F&B, but that’s a different story.

Don’t worry, this isn’t going to be a ‘smash the glass ceiling’ style article, but it is an opportunity to reflect on the radical shift in our industry, and the changing personal values we now require, to thrive.

My generation of middle management in hotels was the one that saw the shift from occupancy and average rate into REVPAR (revenue per available room), and then we had TREVPAR (total revenue per available room); a godsend when you revenue manage a leisure club and golf course, never mind F&B. Latterly, when I did become a GM, my attention was focussed on GOPPAR (gross operating profit per available room), then departmental profit metrics, payroll %, overheads and expenses.

The detail was phenomenal. From the daily stats in the marketplace to the monthly performance comparisons, HOTSTATS was king. Plus the optimal measure of success? Market penetration and whose fair share you had stolen.

Benchmarking then was almost entirely like-for-like and it was the only real measure of peer to peer success, usually measured against like-minded operators up the road, or even next door. You were competing for exactly the same pound over and over again, and although we all had our ‘USPs’ and marketing metrics, frankly, there was little to split between us.

Occasionally, we looked internally too, using employee satisfaction surveys, and even more progressive (10 years ago), we looked at net promoter scores and guest satisfaction indexes.

All of us group or corporate city GM’s were focussed on these measures of success, meanwhile the world was changing from analogue to digital. Yes we were current enough to use to check what rates our competitors were selling and we mastered the dark art of distribution (albeit in those days manually); what we forgot about were the times we had misled the public, only marketed our best rooms and only promoted the good about our properties and our services. How much we had over-inflated ourselves back then.

The rude awakening came with the user-generated feedback sites; TripAdvisor and the like. They made life so much more complicated, and we hated them. We finally had to face up to our deficiencies; no you can’t sell those un-refurbished rooms at the same rate as the ones that were done last year; yes you can’t gloss over the shortcomings in the dining experience, leisure club or event facilities.

Were the sites abused? Absolutely in my view. For the first time ever, we had customers threatening us with bad feedback, some justifiably but many not so much; we had competitors creating fake bad reviews; and we still had head office expectations to manage, the wage percentages to deliver and the same GOPPAR to achieve.

Life just became much harder. Did we manage? Yes, in a fashion and we even got used to it, to a point. The really progressive, mainly independent properties, probably with some cash behind them, even thrived; they responded to the pressure, improved their services, facilities, refurbished, rebuilt and became something unique and new.

The advent of these sites definitely brought some unique and frankly positive changes to the industry too. We were being transparent about our operations, but we were also given a platform where we could really start differentiating from our nearby neighbours. Our USPs began to gain independent credibility and whereas before that pokey room in the beams of a 16th Century attic was a limiter to our TREVPAR, now it became the ‘authentic’ experience that commanded its own attention.

The sites ultimately cleaned up the poor operators and helped the good ones to shine, but what we certainly failed to embrace at the time was the necessary shift in benchmarking – we were still focussing on our nearby neighbours and still measuring their prices and market-penetration. The sites had forced change, but we’d failed to fully adapt to the shifting insight that was suddenly open to us.

As hoteliers, what we missed, and to varying degrees continue to miss, whilst trying to be everything to every person, is all the other options available to the consumer now. There used to be very clear lines between the designators; B&B was usually cheaper and operating within the host’s home, while hotels had their own property and were usually considerable larger.

There were different buying processes, and different markets and it was much easier to keep track of your ‘competitors’. Now however, the competitor pool is huge; boutique hotels, B&B’s, inns, pubs with rooms, self-catering restaurants with rooms, serviced apartments, homestays, glamping – the list goes on, but it basically represents guest choice.

So benchmarking is nigh on impossible now?

Probably; at least in the traditional sense. Now, you have your traditional segmented competitor sets: what are they travelling for within destination – leisure, town events conferences, business etc., for which you then need to consider the type of properties and facilities available within a reasonable geographic radius. This alone could have doubled or even tripled your ‘competitor’ pool.

Next, you also have your destination competitors: what attracts a customer to one location as opposed to another particularly as leisure guests are pursuing experiences rather than destinations. Next up it’s the comparison sites: who’s the cheapest, who has the best leisure club, service, breakfast, cleanliness; traditional measures, PR and marketing, star ratings, even EHO scores on the doors. So how in the heck are you supposed to measure parity across all these different factors?

The answer is try to be practical, fair and focussed. Historically, as well as less ‘competition’ to measure against, there were also less metrics, and less channels to check. Modernisation of industry has given us access to hundreds more pieces of info, but what many operators don’t stop and consider is which are the most relevant.

Our assessors can quickly and easily split operators into three camps; those who benchmark everything and anything obsessively; those who basically don’t benchmark at all; and those who take the habitual approach, doing what they have always done. Very few have taken the innovative approach, revisiting what business they want and how they want to compete for it and therefore what metrics are required and against which businesses, in a way that extends beyond the traditional designations.

My advice to operators therefore is this. Take a step back and consider the internal, before looking at how that affects the external. Use the user-generated measures, plus team enterprise and guest feedback to highlight first what you are doing well and which market you support the best, and then what aspects you can improve on, and whether these are intrinsic or opportunistic for your offering. Once you have reviewed and oftentimes re-established your competitive field, it becomes much easier to evaluate who you should, and who you do compete with.

Quality in Tourism assess hundreds of accommodation providers globally. To find out more about their assessments, gradings and mystery shopping services, visit

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The Fattal Hotel Group acquires four Grange Hotels leases

The Fattal Hotel Group has announced that it has agreed to acquire the long term lease on four Grange Hotels in London, marking the group’s first entry into the central London market.

Totalling over 1,300 bedrooms, the new hotels include the Grange Tower Bridge Hotel, the Grange St Paul’s Hotel, the Grange City Hotel and the Grange Holborn Hotel, which, following a significant investment programme, will undergo major refurbishments as the group continues to pursue a strategy to drive performance and growth.

The new hotels will be operated by Jurys Inn and Leonardo Hotels UK and Ireland, with Tower Bridge, St Paul’s and City Hotels operating under Leonardo Royals, and Holborn, following extensive refurbishment, will become the group’s first NYX Hotel by Leonardo Hotels in the UK.

Acquired by Queensgate Investments, the hotels boast meeting and events spaces that can facilitate over 4,500 people, 14 bars and restaurants, and extensive leisure facilities – including swimming pools, gyms, beauty spas and holistic therapy rooms.

The addition of these hotels brings the total number within the Jurys Inn and Leonardo Hotels UK and Ireland Group to 53, following a year of “significant expansion”. In total, it now has over 11,000 bedrooms across the group.

Jason Carruthers, managing director of Jurys Inn and Leonardo Hotels UK and Ireland, said: “We are delighted to add these prominent hotels to our portfolio, which are in excellent locations within the very heart of London, as we continue to increase our offering in the UK following a year of significant growth.

“As we start 2019, we believe our portfolio, our strategy and the proven capabilities of our people puts Jurys Inn and Leonardo Hotels UK and Ireland in a unique position to leverage and capitalise on the emerging opportunities in the UK hotel sector and to help create exceptional customer experiences.”

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Marriott International reveals three-year growth plan

Marriott International has revealed its three-year growth plan, which includes opening more than 1,700 hotels around the world.

At its meeting today (18 March) with institutional investors and security analysts at the New York Marriott Marquis, the hotel brand will outline its plan to add between 275,000 and 295,000 rooms by 2021, supported by the strength of its record 478,000-room pipeline, including roughly 214,000 rooms already under construction.

Marriott will also disclose that its new room openings during this period could contribute $400m (£301m) in fee revenue in 2021 and $700m (£527m) annually when stabilised. The company’s three-year growth plan assumes, but does not forecast, comparable hotel revenue per available room (RevPAR) growth of as much as 3%, compounded annually.

Arne Sorenson, Marriott International president and chief executive officer, said: “Starwood has made us a more formidable competitor, providing a more valuable loyalty program, brands with strong appeal to loyalty members and owners, talented associates, terrific locations, particularly in the fast-growing Asia Pacific region, significant cost synergies and meaningful scale.

“We launched our newly branded loyalty program, Marriott Bonvoy, just last month. The program reached 125 million members as of year-end 2018 adding roughly 50,000 members per day.”

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Hilton Manchester Deansgate appoints new GM

Hilton Hotels has appointed Adam Reckert as general manager of its Manchester Deansgate site.

Reckert joins Hilton Manchester Deansgate, after starting his career in hospitality with Hilton as part of its Elevator Graduate Programme. He has since held a number of positions within Hilton at various hotels around the world, including Hiltons in Abuja, Barcelona, Seychelles and Abu Dhabi, most recently working as general manager of the Radisson Blu Liverpool.

The newly appointed general manager will oversee all departments of the 279-room, 23-floor hotel, and is responsible for all elements of the organisation.

Reckert said: “I’m thrilled to be appointed as general manager of Hilton Manchester Deansgate. It’s one of the most iconic hotels in the North West, and with the wonderful team we have in place, we’re capable of delivering some truly exceptional experiences for our guests. I applied for the position of front office manager at the hotel’s pre-opening stage when I was just 25, but was unsuccessful. I promised myself I’d come back to the property as general manager – for me it’s the best job in the city.

“I believe with the exposure the hotel has, and the power of the Hilton brand name behind it, we have an opportunity to do something really special for our guests and our team and, to support the many wonderful charities that work tirelessly in and around the city, including the continuation of our own annual Star Ball.”

The Hilton Manchester Deansgate is home to the city’s highest bar, Cloud23, situated on the 23rd floor of the hotel. The hotel also has a number of events and conference spaces to hire, including Cloud23, and Podium, its ground floor restaurant.

Reckert continued: “2019 is going to be a really exciting year; we’re on the verge of launching our new menu in Cloud23 and re-positioning Cloud23 not just as the city’s highest afternoon tea destination and cocktail bar, but also as one of the most iconic event destinations in the city. We’re really trying to reach out to new customers who might never have thought to use Cloud23 before for private dinners, events space, birthday parties, you name it.

“Meanwhile, in Podium, we’re going to be engaging with our guests at every opportunity, opening up a new entrance into our bar and re-shaping the image of the restaurant to really focus on guest engagement, I’m a huge believer in hospitality being all about the experience and I can’t wait to work with the team here to deliver that experience!”

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Hoteliers celebrate success at RBH awards ceremony

A selection of UK hotels have been awarded “top accolades” at an annual awards ceremony hosted by RBH.

The event, which took place Holiday Inn London – Brentford Lock, recognised the best hotels, teams and individuals across its portfolio of more than 45 hotels, as well as its central support teams.

According to RBH, Holiday Inn Express Middlesbrough was the “big winner” on the night, picking up the ‘Market Share’ and ‘Operational Excellence’ awards based on “consistent growth within a difficult market, outstanding guest feedback and a commitment to constant improvement”.

John Stuart, CEO at RBH, said: “Each and every year, our awards ceremony proves to be the perfect platform to celebrate the performance and input of individuals and teams across the business.

“We are lucky to have an exceptionally talented team across the board who strive to give guests a first class experience day in, day out – and who focus on ensuring the best possible returns for hotel owners. It goes without saying that selecting the winners for each category is never a simple task, and I’d like to congratulate all of our award winners for 2019.

He added: “This year is looking to be a busy one for RBH, with an unprecedented number of hotel openings and new names joining our growing portfolio, so I’m already looking forward to seeing what next year’s event brings.”

The full list of winners is as follows:

  • Market Share Award: Holiday Inn Express Middlesbrough
  • Rising Star Award: Elena Monserrate, Holiday Inn London – Camden Lock
  • Exceptional Service Award: Holiday Inn Express Leicester
  • Transformation and Innovation Award: Holiday Inn Manchester West
  • Employee of the Year: 40 employees recognised
  • Engagement Award: Aloft Liverpool
  • Operational Excellence Award: Holiday Inn Express Middlesbrough
  • General Manager of the Year: Tracey O’Garra, Holiday Inn Express London Southwark
  • Hotel of the Year: Holiday Inn Express London – Epsom Downs

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Kimpton Hotels and Restaurants opens first property in Scotland

Kimpton Hotels and Restaurants, the global boutique luxury brand from IHG, has opened its first hotel in Scotland; Kimpton Charlotte Square Hotel.

Kimpton Charlotte Square Hotel is located in one of Edinburgh’s most beautiful squares in the Georgian New Town area and is a UNESCO world heritage site. The 184 rooms and 15 suites are part of seven interconnecting Georgian townhouses including No. 33, a hotel within a hotel that can be booked for exclusive use for up to 24 guests.

The space includes the Townhouse Suite, three signature suites, three junior suites, and six other bedrooms. The dining room and drawing room can also be used for entertaining guests.

Johan Scheepers, general manager, Kimpton Charlotte Square Hotel , said: “Kimpton has built its brand on the belief that heartfelt human connections make people’s lives better. We inspire curiosity and embrace people exactly as they are, creating truly meaningful guest experiences. Each Kimpton hotel is an escape from the ordinary, and Kimpton Charlotte Square Hotel will offer a vibrant Scottish service full of charm and personality, in one of the world’s most historic cities.”

Kimpton Charlotte Square Hotel features to restaurants – The Garden, where guests can sit back and relax for a drink or a meal, whatever the time of day or night or the destination restaurant BABA inspired by the flavors of the Levant and offers mezze dishes.

Guests can also meet fellow travelers at Kimpton’s daily social hour in the hotel’s BABA Bar, take part in free fitness and wellness classes at the recently refurbished, state-of-the-art gym, or enjoy a relaxing treatment at The Spa.

Kimpton Charlotte Square Hotel is the second UK opening for the brand following the successful opening of Kimpton Fitzroy London in October 2018. Kimpton said it plans to continue to grow its UK footprint in the coming months with anticipated openings in Glasgow and Manchester.

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A recent survey from hotel solutions provider HRS has found that the demand for innovative technology in hotels is on the rise


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