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| Ikea’s Parent to Help Marriott Start European Budget Hotels |
| , 06.03.2013 |
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| Marriott International Inc. (MAR), the largest publicly traded U.S. hotel chain, and Ikea’s parent will start a chain of European budget hotels, with the first due to open in Milan in 2014.
Moxy Hotels will have 150 locations in Europe over the next 10 years, Marriott, based in Bethesda, Maryland, said in a statement today.
“We see a huge opportunity to expand our market share in Europe,” said Amy McPherson, president of Marriott International in Europe. “The economy tier in Europe represents nearly half of total room supply, yet only 20 percent of these hotels are branded.”
Moxy will open in countries including Germany, the U.K., the Netherlands, Belgium and Austria, Marriott said. Inter Hospitality, a subsidiary of Inter Ikea Group, will develop and own the properties, according to the statement.
“The new brand will fuel Marriott’s company-wide growth in the region, which is expected to reach 80,000 rooms by 2015,” the company said.
Moxy will be Marriott’s first chain of three-star economy hotels in Europe, the company said.
The Wall Street Journal reported the plan earlier today.
To contact the reporter on this story: Dalia Fahmy in Berlin at dfahmy1@bloomberg.net
To contact the editor responsible for this story: Andrew Blackman at ablackman@bloomberg.net
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