A new brand of budget hotels, with seven properties due to be up and running by the end of March, is to be launched by joint venture company Raag Hotels.
Five of the hotels, currently trading under a franchise agreement under the limited-service Tune Hotels brand in London at Canary Wharf, Liverpool St, Westminster, Kings Cross and Paddington, will be relaunched as Point A Hotels. They will be joined by two new build openings of 181 bedroom and 122 bedrooms respectively in Shoreditch, London, and Glasgow, to create a combined portfolio of 1,100 bedrooms.
The rebadging of the of five hotels will leave only three properties operating in the UK in Liverpool, Newcastle and Edinburgh under the budget Tune brand, which was founded by Tony Fernandes, the owner of Queen's Park Rangers FC.
Point A Hotels will offer Hypnos mattresses and power showers, alongside the brand promise: "Everything you need, to set you up, for what you've come to do".
Raag Hotels is a joint venture between affiliates of the Queensway Group, the Wellcome Trust and Fifty Seven 7, a company owned by Naguib Kheraj. In addition to having been a franchisee of Tune Hotels, the Queensway Group owns and operates boutique hotel Montagu Place in London and manages 20 KFC restaurants and 13 Starbuck coffee shops across the UK.
"Point A Hotels represents a change in strategic direction for Queensway," he said. "Through owning and managing our own hotel brand we plan to deliver a greater return on investment for shareholders.
"We intend to grow Point A Hotels significantly over the next few years. Our aspiration is to become a well-loved affordable hotel brand with quality and reliability at our core."
Room rates will range from £39 per night in Glasgow and £69 in London.