Park Plaza Hotels expects to more than double its number of rooms with new developments signed in Russia, Croatia and the UK

Park Plaza Hotels is celebrating the recent signing of management contracts and hotel developments in Russia, Croatia and the UK that it expects will more than double the current number of rooms to over 13,200 by 2012.

In Russia, the agreement for 15-20 new hotels (with a total of approximately 3,500-4,000 rooms) was entered into on 17 April with Ferens Management Limited (Ferens) who will develop a chain of Park Plaza branded hotels which will be operated by Park Plaza Hotels under 20-year management contracts. Park Plaza Hotels will provide technical services to Ferens, including assisting in the identification and planning of the new hotels which are due for completion by 2012. The hotels will be located in major Russian cities, with populations of more than 500,000, and hotels are planned for several of Russia's principal business travel destinations, including Moscow and St Petersburg. Ferens is part of the Renova Stroygroup, one of Russia's leading development companies.

In Croatia, Park Plaza Hotels has entered into a long-term management agreement contract in mid April with Arenaturist Group, who own eight hotels and five apartment complexes in Pula and Medulin on the idyllic Istrian Coast of Croatia. The accommodation currently has approximately 2,800 rooms primarily marketed to the growing numbers of leisure visitors, many of whom are international. Several of the existing Arenaturist hotels will carry the Park Plaza Hotels & Resorts flag and offer accommodation and services in line with the core values of affordable luxury associated with the brand. Plans are already underway to enhance and reposition the portfolio through significant investment, including possible upgrades to the conference and leisure facilities to broaden the customer base. Park Plaza Hotels has also taken a 20% stake in WM/DMREF Bora B.V. (Bora) from a group of real estate investment funds sponsored and managed by Goldman Sachs. Bora currently owns approximately 74% of Arenaturist and 100% of three related private companies.

Within the UK, Park Plaza Hotels expect to bring its unique art'otel brand to London having entered into a joint venture in mid-March with Aldersgate Investments Limited - the property vehicle of the Reuben Brothers - to develop an art'otel in London's trendy Hoxton on the edge of the City. The art'otel brand is built on the concept of individually themed boutique hotels, each of which pays homage to a well-know modern artist. Park Plaza Hotels and the Reuben Brothers, famous for their highly successful property developments and plethora of real estate, will both have considerable involvement in the hotel's planning and design alongside the hotel's chosen signature artist. The hotel will offer exclusive guest rooms and suites, a restaurant and bar, two auditoriums and an art gallery, appealing to a sophisticated clientele with an interest in art and culture.