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Tune Group and Queensway to develop 15 London hotels

04 March 2010 by
Tune Group and Queensway to develop 15 London hotels

Private investors the Tune Group has agreed to partner with Queensway Group to develop and operate 15 hotels across Greater London by 2017.

The deal represents £150m worth of investment in London, through the creation of 1,500 hotel rooms. The first of the budget hotels will be the Tune Hotels.com Westminster at 118 Westminster Bridge, which is set to open later in the year.

The concept is pitched as a "five-star sleeping experience at a one-star price". It means visitors can expect high quality basics such as quality beds and power showers, but pay-as-you-use system will be in place for optional energy-consuming amenities and there will be no costly facilities like conference rooms, food & beverage facilities, swimming pools and gyms.

Mark Lankester, group chief executive of Tune Hotels.com, said that Tune Hotels.com would boost London's hospitality sector.

He added: "While this city's global reputation as a leisure and business destination will be enhanced by the Olympic Games in 2012, sterling's current weakness works in London's favour in attracting overseas visitors and spend, and in times of continuing economic uncertainty, superior value for money remains key.

"We are pleased to be working with organisations such as Visit Britain, Visit London, Think London and Visit England; and believe our dynamic pricing model will provide a strong call to action that will be hard to ignore.

"Our limited service concept encourages guests to spend less within the hotel itself, driving more spend outside the hotel, within the local business community.

"More consumers are demanding a ‘5-star sleeping experience at a 1-star price' so that they can spend their hard-earned income on shopping, dining and recreational pursuits outside the hotel."

Nick Jivraj, managing director of Queensway Group, said: "We're extremely excited about partnering with Tune Hotels.com to develop the London market.

"Their association with AirAsia, AirAsia-X and Lotus F1 through the Tune Group provides a unique platform for marketing synergies, and their strong brand and marketing expertise in generating room nights online aligns with trends revealing the internet as the prime channel for travel purchase decisions."

The Arch - a dream realised >>

London has the most hotels in the pipeline across Europe >>

Hotel rooms in London to grow by 12% by 2012 >> By James Stagg

E-mail your comments to James Stagg here.

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