[photopress:Sanyuanqiao.jpg,full,alignright]Zhang Shangzhi, CEO of Accor’s Ibis China, announced that Accor is planning to spend US$69.11 million to buy 17 floors and 14 floors, respectively, from two buildings of Phoenix City developed by China Resources Land in Beijing. Accor has many names and Ibis is but one of them. Novotel, for example, is another. Depending on definition either Accor or InterContinental is the biggest hotel group in the world.
This move by Accor is quite large. There will be two properties which will occupy more than 30,000 square meters. One will be a 4-star Novotel hotel and the other a budget Ibis Hotel. However, Accor at the Ibis budget level is still a pretty high standard operation.
Zhu Huayue from CR Land said the reason Accor chose CR Land was because of its premier location at Beijing’s bustling Sanyuanqiao area (part of it seen in the illustration.) CR Land intends to make Phoenix City a complex property involving business, office building and hotels. It also hopes to attract two more international hotel brands which must make Accord feel somewhat peeved.
Last July, Accor announced that it would open 100 Ibis hotels in China in the next five years. Fascinating that Zhang Shangzhi, the person who runs the Ibis brand in China, says that the profit from budget hotel is much higher than from 4-star and 5-star hotels.
Source: China Hospitality News
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