Event and Venue Update May 2011

							                Event and Venue Update
                       May 2011

  - keeping you informed of news from the hotel and event industry -

Welcome to the new issue of Event & Venue Update, where we keep you up-to-date
on developments, new venues and industry news to help you with organising your
events.

56 storey central Birmingham tower to house 289 room hotel
Planning permission has been granted for the tallest tower in the UK outside London
to be built in Birmingham. Located at the junction of Broad Street and Sheepcote
Street, the 56 storey tower will have 289 bedroom hotel, 256 apartments, sky bar,
restaurants, health club and spa and underground parking. The hotel group to be
given management of the hotel has yet to be decided.

Von Essen Hotels go into administration
Von Essen Hotels, who own and run 28 luxury hotels throughout the UK have entered
administration. Their hotels include Cliveden in Berkshire, the Royal Crescent in Bath,
Amberley Castle in Sussex and Ston Easton Park in Somerset and opened the Hotel
Verta in London last year. The 28 hotels will continue to trade until buyers are found. It
is unlikely one group will take them over and they will probably be sold individually or
in smaller blocks. The group was forced into administration with debts of £250 million.

New Hilton Heathrow Terminal 5 to open in August
The Hilton London Heathrow Terminal 5 is on schedule to open by the end of August.
The new 350 bedroom hotel will have a main conference suite accommodating 1170
delegates. It is set in 13 acres of landscaped gardens one mile from the airport and
will have three restaurants and a health club and spa. It is hoping to fill the void that
currently exists in the current Heathrow hotel portfolio by combining the advantages
of the location of the main Heathrow hotels and the attractive surroundings of the
country house hotels in nearby Windsor, Ascot and similar locations.

Radisson Edwardian Mercer Street opens
The former Radisson Edwardian Mountbatten Hotel in London’s Covent Garden, has
reopened as the Radisson Edwardian Mercer Street. Located at Seven Dials, the hotel
has had a multi-million pound facelift and now offer’s Dial, their new contemporary
restaurant, 137 luxurious new bedrooms and six high standard conference rooms.

Recession bites as hotel rates are back at their 2004 levels
Although hotel prices worldwide rose by an average of 2% last year, a new survey has
concluded that average hotel rates are at the level that they were seven years ago.
The huge drop in 2009 of 13% has been followed by modest or stagnant increases in
the monthly figures since then.
Legacy Hotels expand again
Legacy Hotels have added a 30th hotel to their growing portfolio with the addition of
the Hollin Hall Hotel at Macclesfield. This follows the recent addition of the former
Novotel Plymouth, which is now the Legacy Plymouth Hotel. They also announced
that a further three hotels are being added and announcements will follow in the
next few weeks.

Third Indigo Hotel in UK opens in Glasgow
IHG’s third Indigo Hotel in the UK has opened in Glasgow. The 95 bedroom hotel,
which was originally Glasgow’s first power station, is close to all of Glasgow’s main
attractions. It follows the Indigo Paddington and Indigo Tower Hill both in London. The
Indigo Liverpool will open in June to be followed by Edinburgh, Birmingham and
Newcastle. There are now 38 Indigo Hotels worldwide with a further 62 in the pipeline.

NEC Group plans major new event complex
The NEC Group have announced plans to build a new event centre on their complex
west of Birmingham. To be completed by 2013, the seven storey centre will be
located between the LG Arena and the Crowne Plaza NEC. It will have a capacity of
1000 and will also have an on-site hotel, spa, casino and multi-screen cinema.

Thistle Hotels continue major investment programme
The major investment programme commenced two years ago by Thistle Hotels is
reaching its conclusion. Refurbishment projects at each of their 41 UK hotels have
resulted in contemporarily-styled public areas, bedrooms and conference facilities.
They have also rebranded the Thistle Manchester as The Portland and the Thistle
Newcastle as The County.

Hallmark Hotels expand again
Hallmark Hotels have added a seventh hotel to their portfolio with the purchase of
the Aerodrome Hotel in Croydon. They will be spending £2 million upgrading it to a
four star contemporary standard as they have done with their other hotels. The 1925
art deco building dating back to 1925 was built to serve the then Croydon airport.
Completion is expected by the end of August. This purchase follows the recent
acquisition of the Ramada Gloucester Hotel and Country Club which is currently
having a £3 million facelift.

Bluewater event centre launches new video ahead of opening
The new Bluewater event centre in Kent has launched a video outlining the facilities
that will be available to event organisers when it opens in October. The £60 million,
5200 sq m centre, adjacent to the shopping mall, is aiming at large scale events
including exhibitions, conferences, fashion shows and dinners.

New Hampton by Hilton Hotel to open at Gatwick
Planning permission has been granted to convert Longbridge House at Gatwick
Airport’s North Terminal into a Hampton by Hilton Hotel. The 192 bedroom will have
direct access to the North Terminal’s concourse.

Thames cablecar to be in place in time for Olympics
Mayor of London Boris Johnson has confirmed work will start shortly on the cross
Thames cablecar despite public funding being refused by the government. Private
funding has now been finalised. Up to 2500 people an hour will be able to make the
five minute journey on the 34 gondolas.

ACC Liverpool to get £40 million extension
Liverpool’s Arena and Convention Centre is being expanded with a new £40 million
8100 sq m exhibition and event complex. It will be linked to the main centre by a
walkway. There will also be an on-site 200 bedroom hotel bringing the city’s bedstock
to over 6000 rooms. The existing venue has been a great success since it opened in
2008, securing many high profile events.
Drayton Manor Theme Park to have own hotel this summer
Drayton Manor Theme Park in Staffordshire will open its own hotel this summer. The
Drayton Manor Park Hotel will have 150 bedrooms and extensive conference
facilities.

Earls Court could have events until 2013
The future of Earls Court is still under discussion. Current owners EC&O Venues have
announced the official date for closure has still not been agreed. Earls Court is being
used during London 2012 but corporate events have already been contracted for
autumn 2012 and this could be extended into 2013.

Aloft Excel on schedule to open by end of 2011
Starwood Hotel’s new Aloft Hotel will open by the end of 2011 at London’s Excel. The
252 bedroom hotel is being developed by Excel’s parent company close to the east
entrance of the event centre near Prince Regent Station. There are now 50 Aloft
Hotels worldwide with many more planned.

Bristol Airport to get new hotel by winter 2012/13
Work has commenced on a new on-site hotel at Bristol Airport. Although Bristol is one
of the main regional airports in the country, it is the only one currently without an on-
site hotel. Details on the facilities that will be available within the hotel will be
announced shortly.

And for those who missed it………News from last month’s newsletter:-

Renaissance St Pancras opens after completion of £150 million project
One of the most eagerly anticipated hotel openings has finally taken place - the
Renaissance St Pancras, created from what Sir John Betjeman called a “Gothic
treasure.” After years of painstaking restoration, the Victorian masterpiece has been
transformed into one of London’s most striking hotels. Formerly the Midland Grand
Hotel, it has lain empty for many years. It features gold-leaf ceilings, hand-stencilled
walls and still features the grand staircase from the original hotel opened by Queen
Victoria in 1873. It has 245 bedrooms, including 38 stunning suites, the Gilbert Scott
Restaurant run by Marcus Wareing, Booking Office Bar, a health club and spa and
several event spaces including a 350 capacity ballroom.

One in three event agencies are running at a loss
A report by analysis firm Plimsoll on the current situation in the UK event industry based
on the trading results of 677 event agencies confirms that one in three are making a
loss. This is due to fewer events being organised and squeezed profit margins. Many
agencies are reluctant to pass on price increases in the present climate for fear of
losing customers. Plimsoll conclude that some companies will find this unsustainable if
the current cutbacks continue for much longer.

Radisson Edwardian to open hotel in Guildford
A £60 million pound hotel is opening in the centre of Guildford in the summer by
Radisson Edwardian Hotels. On the site of the former White Horse Hotel, the hotel will
feature two restaurants, including a bistro and a Pan-Asian Restaurant, three meeting
rooms, 185 bedrooms and a health club and spa.

Recovery for London hotels gathers pace
New statistics from PriceWaterhouse Coopers confirms the recovery for London hotels
is being maintained but it is still patchy elsewhere. Occupancy in 2011 is forecast to
reach 84%, a gain of 2.2% over 2010. Average room rate increased by 9% as
occupancy rose. This made London the top performing hotel market in Europe.
However, the provinces are still struggling with only nominal increases in occupancy
and rates forecast.
New Park Inn to open near Old Trafford in 2013
Rezidor have announced they will be building a new Park Inn close to Old Trafford
and the new Media City in Manchester to open in 2013. It will have extensive
conference and event facilities and 226 bedrooms.

Corinthia’s flagship hotel opens in London this month
Corinthia Hotel’s much anticipated London flagship opens in Whitehall shortly. It was
originally opened as the Metropole Hotel in 1855 but has not been used as a hotel
since before the second world war. It was taken over by the MOD in 1936 to be used
as offices. It was bought by Corinthia in 2008. It will feature 294 rooms and suites, the
Northall British-themed restaurant, a seafood restaurant, a superb health club and
spa and event facilities including a 218 sq m ballroom.

New Waldorf Astoria opens in Syon Park
The London Syon Park Hotel in the grounds of the home of the Duke of
Northumberland in West London has officially opened. The deluxe hotel has 137
bedrooms, 1000 square metres of meeting space, restaurants and bars, a butterfly
house in the lobby, an ice cream parlour and a health club and spa.

Museum of Scotland to host events after £46 million redevelopment
The £46 million redevelopment of the Museum of Scotland in Edinburgh will result in
additional event rooms being available from October. These include a new space
called the Grand Gallery which will accommodate up to 850 guests for dinner.

New four star hotel to be built next to East Midlands Conference Centre
A new £20 million four star hotel is to open by the end of 2012 adjacent to the East
Midlands Conference Centre on the campus of Nottingham University. It will feature
200 bedrooms, restaurant, bar and leisure facilities. It will expand the offering from the
EMCC as currently event organisers either have to use campus accommodation or
transport delegates to hotels elsewhere in Nottingham.

Mercure set to increase portfolio by thirteen hotels by June
Mercure Hotels, part of Accor, have announced they will have thirteen new hotels by
June. Ten hotels owned by Focus Hotels have been franchised under the Mercure
banner, including the Bowdon in Altrincham, the Madeley Court in Telford, the South
Marston in Swindon and the Royal in Hull. Mercure have also signed another franchise
agreement which will add the Mercure London Paddington, the Mercure London
Kensington and the Mercure Lace Market in Nottingham to their portfolio. This will
bring the total number of Mercure hotels in the UK to 46.

Upsurge in hotel administrations
More than 30 UK hotels have entered administration since the beginning of the year.
These include hotels that are privately owned but franchised by some of the big hotel
groups, including the Radisson Blu Liverpool and the Hilton Manchester Deansgate.
Other hotels include Salford Hall near Stratford-upon-Avon, the Dorset Square Hotel in
London, the Olde Barn Hotel in Grantham and twelve properties owned by Butterfly
Hotels. They are all continuing to trade whilst buyers are sought.

Sir Christopher Wren’s House bought by Sarova
Sarova Hotels have bought the Sir Christopher Wren’s House Hotel located by Eton
Bridge in the centre of Windsor. The 96 room hotel was placed in administration in
2010 but has remained fully operational whilst a buyer was found.

Bvlgari Hotel to open in Knightsbridge
Legendary Italian jeweller Bvlgari will be opening an exclusive boutique hotel in
London’s Knightsbridge by the end of the year. It will have a silver theme throughout
to follow the jewellery connection and will have 78 bedrooms, restaurant, lounge, bar
and spirit room. Meeting facilities will include a ballroom and a private screening
room. The hotel will be run by Ritz-Carlton Hotels.
Work commences on Scottish National Arena
Building work on the new £125 million Scottish National Arena has started. The new
event centre in Glasgow will have a capacity of 12,000 when it opens in 2013 ahead
of the Commonwealth Games.

Cardiff Council vetoes Cardiff convention centre
Plans for a convention centre in central Cardiff appear to have been axed by Cardiff
Council as they say the benefits would not justify the cost. The plan which proposed a
newly-built facility in the city centre could have cost up to £140 million.

Doubletree by Hilton London-West End unveiled
The eighth Doubletree by Hilton in the UK has officially opened. Formerly the
Bonnington and then the Park Inn Bloomsbury, the Doubletree by Hilton London-West
End has opened its doors. On Southampton Row just off Russell Square in Bloomsbury,
the hotel is well placed between St Pancras and Covent Garden. It features 214
bedrooms, Level Restaurant, Bar 92 and 12 conference rooms for up to 200.


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