Deutsche Hospitality and GBI AG enter into cooperation for new IntercityHotel and Jaz in the City locations
Deutsche Hospitality and GBI AG are launching a comprehensive programme of cooperation for the development of new hotel locations. The main emphasis is on the IntercityHotel and Jaz in the City brands, and the starting point will be four IntercityHotels in Heidelberg, Wiesbaden, Bielefeld and Graz. A total of around 800 rooms will be created within the direct proximity of the respective main railway stations in these cities. Lease agreements have already been signed, and GBI has acquired the sites to be used in Germany from Deutsche Bahn as part of a package deal. These projects will strengthen the presence of Deutsche Hospitality on the German-speaking market and will continue to expand the IntercityHotel brand as it celebrates its 30th anniversary. Puneet Chhatwal, CEO of Steigenberger Hotels AG, commented: "Having GBI AG on board as partner will enable us to continue on our planned pathway of growth. GBI is developing these four properties in central locations, and this approach is precisely in tune with the brand essence of IntercityHotel."
These four IntercityHotel project developments represent the first collaboration between GBI AG and Deutsche Hospitality, both of which are major hotel market players within their respective sectors. Over the past eight years, Deutsche Hospitality (under its previous name of Steigenberger Hotel Group) has been recognised as "Most Wanted Investment Partner" by Treugast on no fewer than three occasions. According to a new analysis carried out by bulwiengesa in 2017, GBI AG is the largest hotel project developer in major German cities as well as being a leading force in many B-locations. "Given this constellation, it actually comes as something of a surprise that we have never worked on a joint project before," said Reiner Nittka, CEO of GBI AG. "However, we will now be making up for lost time by embarking on no fewer than four large-scale developments. Our hope is to be able to realise a total of up to seven projects together over the next three years." Indeed, specific plans are already in place for further hotels above and beyond the four IntercityHotels. The new hotel properties will be sold to institutional investors. "Because of these outstanding locations and with Deutsche Hospitality as a partner, I expect demand to be brisk," stated a confident Mr. Nittka.
Deutsche Hospitality brings together five separate hotel brands under a single umbrella. Steigenberger Hotels & Resorts has 60 hotels housed in historic traditional buildings and lively city residences and also offers health and beauty oases set at the very heart of nature. MAXX by Steigenberger is a new and charismatic concept which places the focus on the essential in accordance with its motto "MAXXimize your stay". Jaz in the City branded hotels reflect metropolitan lifestyle and draw upon the local music and cultural scene. IntercityHotel offers more than 40 upper mid-range urban hotels, all of which are located within easy walking distance of railway stations or airports. And Zleep Hotels - a well-known and successful hotel brand in Scandinavia which offer service and design at a great rate for the many. The portfolio of Deutsche Hospitality currently includes almost 150 hotels on three continents 30 of which are in the pipeline.