The largest hotel chains in Europe are planning grandiose expansions

International hotel chains are planning to expand their capacity in the European market to take advantage of the growth in travel demand. InterContinental Hotels Group and Marriott have both made plans to add hundreds of new units to their existing European hotel portfolios.

InterContinental Hotels Group has signed a 30-year franchise agreement with Novum Hospitality, which aims to increase its portfolio in Germany to more than two hundred by 2028. And Marriott has announced plans to add another 100 hotels to its portfolio by the end of 2026 in several countries, including the UK and Spain.

Europe’s high construction costs and the large number of independent hotels also play a role in the fact that chains prefer to convert and rename existing buildings instead of building new ones.

According to Hilton and other groups, it can be beneficial for smaller owners to join a larger brand family in the framework of franchise agreements, because this is the only way to maintain their market position in the long term.

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