Accor Sa, Europe's biggest lodging company, agreed to sell 57
hotels in France and Switzerland for 518 million euros (US$744
million) to focus on running properties rather than owning
The hotels will be sold to a group including French state lender
Caisse des Depots et Consignations and funds run by Axa Real Estate
Investment Managers, Paris-based Accor said yesterday. The buyers
will finance renovations and Accor will continue to manage the
inns, which include Novotel Mercure mid-range properties and Ibis,
All Seasons and Etap economy hotels.
The sale of 47 hotels in France and 10 in Switzerland will add
five million euros to next year's pretax profit, Accor said. Chief
Executive Officer Gilles Pelisson has sold assets to boost returns
since taking the helm of the company two years ago.
The hotels will be managed under the same brands through 12-year
variable leases, renewable six times.
(Shanghai Daily December 26, 2007)