Premier Inn has hit a milestone in its growth in the German hotel market, opening its sixtieth property in the country.
The new build Premier Inn Rosenheim City Lokhofe opened with 145 rooms, in a central site that is part of the new Nord railway redevelopment. An important transport hub, Rosenheim sits between Innsbruck, Munich and Salzburg. The ten storey building offers some lucky guests a view of the Alpine mountains in the distance.
“This is another milestone on our way to becoming number one in the premium economy segment,” said Erik Friemuth, CEO of Premier Inn Germany. “I am particularly pleased that we can celebrate this milestone in such a beautiful city as Rosenheim, which, with its unique flair, its excellent location and its welcoming culture, is a perfect fit for us.”
Aiming for number one
Already the leading hotel brand in its segment in the UK, Premier Inn is targeting the same position in Germany. Owned by UK listed company Whitbread, the brand has grown fast in the country, and continues to add new sites at a pace.
The company opened its first hotel in Germany, in the city of Frankfurt, in 2016. With its first tranche of hotels now reaching operational maturity, and with the Premier Inn brand growing in consumer awareness in Germany, the company expects its German business to start breaking even during its current financial year. In many key German cities, the group now has several hotels, making Premier Inn a key part of the urban accommodation landscape.
Alongside its 60 open hotels in Germany, the group has a further 36 in the development pipeline. And the company continues to look to add more. In late 2024, Premier Inn added a site in Magdeburg, purchasing a development site where a 160 room hotel is planned for a likely opening date in 2027. This follows the purchase of a plot in Hamburg, where the company is planning its eighth hotel in the city.
A mix of tenures
Whitbread is pursuing a mix of strategies for growth in Germany. It is buying hotels for conversion, where practical, and will also lease properties from institutional landlords as well as committing to lease new build projects before construction takes place. The company is also acquiring new build sites, ensuring its runway for growth has both short term and medium term growth guaranteed.
Streamlining construction is another way to get hotels to open faster. In June, Premier Inn agreed a deal with the Lechner Group to work together on modular construction, starting with a 168 room Premier Inn in Eschborn. By preparing major components of the building off site, the construction time can be reduced by around six months. The partners are already scoping out further projects where this faster construction method can be deployed. Other upcoming hotels in Germany include Bamberg and Duisburg.
