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London's Generator Hostel to grow to 900 beds

03 October 2011 by
London's Generator Hostel to grow to 900 beds

One of London's largest accommodation providers is to be expanded to enable it to accommodate 900 people, later this year.

Situated in a former police station in Russell Square, the Generator Hostel is to undergo a total refurbishment, as well as increase its capacity by 50.

The improvements are part of wider £200m plans to upgrade and expand the business, which by the end of the year will have hostels in five European cities - Berlin, Copenhagen, Dublin and Hamburg, as well as London.

Josh Wyatt, director of hospitality and leisure at Patron Capital, the private equity company which owns Generator Hostels, said that emphasizing quality and design would help change the way hostels were viewed by the industry.

"We are not in the budget hotel business, but we are very much aimed at the budget market, particularly for the 18 to 28 age group," he said. "We offer three entertainment concepts - extensive bar facilities, interactive gaming and in-house cafés."

Wyatt went on to say that Generator planned to have 12 to 15 hostels open in major European cities within the next 24 months, with a specific focus on France, Spain, Italy, Germany and Scandinavia. "We are also looking to add another couple in London and maybe one in Edinburgh," he added.

Generator are looking for a real estate developer to help partner them in the expansion of the group, as well as establish an agreement with a food and beverage brand to provide an internal food concept.

The average size of a Generator hostel is 50,000sq ft to 80,000sq ft, with accommodation for 500 to 900 beds. The average price for a bed in a shared room or dormitory is £13 to £26 and £43 for a private room.

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By Janet Harmer

E-mail your comments to Janet Harmer here.

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