Accor Group signed a hotel management agreement with Action Hotels to operate Novotel Sharq – the owner and developer’s third hotel in Kuwait.
The 160-room four-star Novotel Sharq is expected to cost approximately $29 million to build – an average of $181,000 per room, in addition to the $12.3 million paid to secure the plot of land.
Accor’s current portfolio comprises 3600 hotels across 14 brands in 92 countries with 170,000 employees. In the Middle East, Accor operates 66 hotels with over 16,000 rooms in ten countries. The group recently set a target of 30,000 rooms in the Middle East by 2020, almost doubling Accor’s inventory in the region.
Action Hotels current portfolio consists of six hotels, five of which are in the Middle East, and one in Australia. The company has another nine hotels in the pipeline, all of which are expected to open by the end of 2016. Action Hotels has set a target of having 5000 economy and midscale hotel rooms by 2020.