In a trading update for the three months ending 31 March 2019 the international hospitality real estate group which owns, co-owns and develops hotels said that LFL revenue increased from £57.8m to £62.4m, driven by “strong growth” in the UK, with positive performances across the Netherlands, Germany, Hungary.
Reported total revenue also increased by 5.2% to £62.5m. PPHE also saw an increase in occupancy up from 73.7% to 76.4% while RevPar for the three months was also up on a reported and LFL basis up 10.1% and 7.9% respectively.
The group also announced it has an approximately £240m committed investment programme in place for the development of Art’otel London Hoxton and several repositioning projects. 22 May 2019 will see the launch of the group’s first completed repositioning project for 2019, Holmes Hotel London. This will follow by the completion of repositioning projects at Park Plaza Vondelpark, Amsterdam, Park Plaza Utrecht and Arena Kazela Campsite in Croatia.
Commenting on the results, Boris Ivesha, president and CEO, said: “We are pleased to report a strong first quarter performance, with like-for-like revenue for the group increasing by 8.1% reflecting good increases in occupancy and average room rate and the appeal of our portfolio and our rigorous focus on inspirational service delivery to delight our guests.
“We are continuing to make good progress in extending our property pipeline with the acquisition of an interest in a property in Manhattan, New York, and we look forward to progressing our pre-construction timetable with our partner in this new market for our Art’otel brand.”
He added: “We look forward to progressing these new opportunities along with our committed repositioning and renovation projects through 2019 and expect to deliver full year results in line with expectations.”