Accor to double its Romanian hotels in five years

After Polish hotel group Orbis, of which Accor owns 53 percent, took over the management of the Accor hotels in Central and Eastern Europe, the French group is now preparing to enter a new development phase in Romania.

Accor plans to double its presence in Romania over the next five years. The Mercure hotel, which was inaugurated last November, is so far Accor's first opening in more than six years. The French hotel group has six other hotels in Romania: four Ibis units, a Novotel and a Pullman. Of all the seven hotels Accor owns only one location, the Novotel, with the others operated under franchise or management contract.

Accor is not only looking to considerably speed up expansion through new franchise and management deals but is also planning to invest its own capital in hotel development on the local market.

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Accor is considering opening new hotels in Bucharest as well as outside the capital.

“Romania is a big country with a big population. One can have a mix of pure leisure in the Black Sea or in the western part of the country and business in Bucharest. Overall, the market offers a very good balance between leisure and the MICE (e.n. meetings, incentives, conferencing, exhibitions) segment and this is a huge advantage. There is also the domestic market which is an important base. We are interested in a market that is not totally dependent on the international market,” said Laurent Picheral, member of the Accor executive committee and of the Orbis supervisory board.

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As it takes over franchise agreements and management contracts of Orbis' Central Europe hotels, Accor also is looking to divest its stake in the company.

Hotels in the country have reported growth in both revenue and profitability, but the outlook for further improvement in 2019 and beyond is uncertain.

The survey is open to hotel franchise/membership companies, multiunit hotel ownership companies, hotel management companies and hotel developers.