Inno-Tech Holdings Limited has announced that it had plans to launch a budget hotel brand "Young Executive Suite" in mainland China.
The company said that this new brand will focus on the domestic budget hotel market and the first outlet of Young Executive Suite is scheduled to open in the second half of this year. Inno-Tech Holdings plans to open a total of about 225 budget hotels over next five years with a maximum of 200 rooms per hotel, priced at between RMB150 to RMB300 per room. The development models will be contract (60%) and acquisition (40%) with a planned investment of RMB1.5 billion.
Huang Waner, president of Inno-Tech Holdings said that the company will open ten hotels this year and another 40 over next year. Huang Yourong, vice president of Inno-Tech Holdings said that the company currently will expand in the second- and third-tier cities but hopes to open outlets around the country in the near future.
The company estimates that its annual revenue will reach more than RMB1 billion after all of the 225 hotels are operational.
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