Plans to open ‘instagrammable’ ibis Styles hotel in North Staffordshire town centre
Council chiefs in Newcastle are on the lookout for a high-end firm to run their new town centre hotel – and they have their eye on the ‘instagrammable’ ibis Styles chain.
Councillors at Newcastle Borough Council’s cabinet meeting on Tuesday were asked to approve plans to move forward with finding a brand to head up the proposed hotel. They were also asked to agree to the start of work to select a contractor who would prepare the design and costings of the hotel in line with the chosen brand’s specifications.
According to the proposals, the council will fund, build and own the hotel on the Ryecroft site, while it will be operated by a third party management company alongside a brand franchise, which will each charge a fee.
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A feasibility study into the hotel scheme by consultants Avison Young recommended a capacity of 110 beds costing between £70 to £80 per night, aiming for an average 80 per cent daily occupancy after five years.
The report suggested that an ‘internationally recognised upper tier limited service’ brand hotel – without a full-service restaurant or conference facilities – would be most suitable. Suggested brands include Caption by Hyatt and Prizeotel by Radisson, with ibis Styles described as the ‘optimal brand for this location’.
The website of the brand’s parent hospitality company Accor says each ‘instagrammable’ ibis Styles hotel has a ‘unique’ theme. It says: “Each ibis Styles has a unique and inspired theme, highlighted in the design, which is playful, surprising and instagrammable.”
The feasibility study also suggested that 33 full time equivalent jobs could be created directly by the hotel, including a £60k general manager role, five to six reception and reservations staff on around £21k and a sales coordinator earning £22k.
The council’s report to Cabinet stated: “The feasibility study clearly demonstrates that the market is ready for a mid-range recognisable hotel brand for around 110 beds, with no conference facilities, which would secure an 80 per cent average occupancy rate, generating sufficient income / revenue to support the investment.”
The hotel scheme is part of a £30million regeneration of the Ryecroft area, which also includes an Aspire development, a 450-space multi-storey car park and the redevelopment of the York Place shopping centre, featuring ground floor shops and food outlets and upper floor offices.
But if the proposed hotel goes ahead, the Council will be required to borrow money to fund the scheme. Councillors will consider a fully costed development appraisal for the project at a future cabinet meeting.
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