PPHE Hotel to develop new hotel in Croatian capital
Hospitality real estate group PPHE Hotel said on Thursday that it plans to develop a new city centre hotel in the Croatian capital of Zagreb through its subsidiary, Arena Hospitality.
PPHE has entered into a 45-year lease for the development and operation of a "contemporary branded hotel" in Zagreb, the subject to obtaining certain permits as it will involve the conversion of an iconic building in the heart of the city.
The 115 room hotel will include a destination restaurant and bar, wellness and spa facilities, fitness centre, event space and parking. The hotel was expected to open within 24 months, the company said.
Arena is looking to expand its business in Central Eastern Europe and PPHE said the new hotel would enhance the geographic spread of its portfolio and decrease its exposure to seasonality.
Chief executive Boris Ivesha said: "This proposed new hotel in Zagreb adds further growth to our secured £300m pipeline of hotel projects in the UK, Europe and the US.
"Through our subsidiary Arena, we are continuing to expand our presence in Central Eastern Europe and we have the local expertise, infrastructure and reputation to realise the substantial opportunities in this exciting region."
As of 0935 GMT, PPHE shares were down 1.01% at 1,990p.