IHG to open second InterContinental hotel in London

26 October 2009 by
IHG to open second InterContinental hotel in London

InterContinental Hotels Group (IHG) has signed a deal to open its second InterContinental-branded hotel in London.

The company, which opened its flagship InterContinental London Park Lane in 1975, has agreed a 20-year management contract with franchisee Splendid Hotel Group for a 254-room six storey property in Westminster.

InterContinental London Westminster, scheduled to open in late 2011, will occupy the former Queen Anne's Chambers, originally built in the 19th century. The 120,000 square foot freehold site close to New Scotland Yard is currently office and retail space.

Splendid Hotel Group is an existing IHG franchisee with Holiday Inn hotels in Manchester and London. The new signing is its biggest acquisition to date, with the hotel set to cost an estimated £100m.

Kirk Kinsell, IHG's president for Europe, Middle East and Africa, said: "Despite the tough economic times the fact that we continue to sign major deals is testament to the strength of our brands. We're adding 5,000 rooms in the UK in the next two to three years."

The opening of a second InterContinental in London will allow IHG to investigate the potential of releasing some or all of the equity in its Park Lane property.

Over the past six years, the company has sold the underlying assets of all but a select number of its hotels, mainly its flagship properties in London, Paris, New York and Hong Kong. IHG has said it will consider selling the equity on these hotels, but only after signing contracts for second properties in these cities.

IHG to launch Indigo brand in Glasgow and Liverpool >>

Whitbread and IHG unlikely to see recovery before late 2010 >>
Hotel rooms in London to grow by 12% by 2012 >>

IHG to open its largest Holiday Inn Express in Europe at Heathrow >>
Colombian announced as new InterContinental Park Lane general manager >>

By Daniel Thomas

E-mail your comments to Caterer News here.

If you have something to say on this story or anything else join the debate at Table Talk - Caterer's new networking forum. Go to www.caterersearch.com/tabletalk

Caterersearch.com jobs
Looking for a new job? Find your next hotel job here with Caterersearch.com jobs

Blogs on Caterersearch.com](http://www.caterersearch.com/blogs) Catch up with more news and gossip on all Caterer's blogs
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking