IHG Hotels & Resorts is introducing its Hotel Indigo brand into the Swedish market, signing to brand a new development in Stockholm.
The market is one where IHG is looking to build its footprint. Currently the group numbers 13 hotels open or in the pipeline in the Nordics. In Stockholm, it has a Voco hotel, and recently opened Ruby Frida in Stockholm. The pipeline also includes a dual development at Stockholm’s Arlanda airport, where a 300 room Holiday Inn Express, and 120 room Crowne Plaza are planned.
A New Development in the Harbour District
The Hotel Indigo Stockholm project is being developed by Kvarnholmen Utveckling AB, a company jointly owned by Peab and JM, and is to be built on a waterfront site in Stockholm’s harbour district. Occupying around 11,000 sq metres, the hotel will have 232 guest rooms, and standout features including a rooftop terrace and pool, all to designs by architects Urban Responsibility AB.
For German hotel management group 1912, the signing indicates another region for the business to expand into. In autumn 2025, the business signed its first hotel in the UK market, taking over operations at the Mercure Sheffield St Paul’s.
1912 Hotels has committed to a 20 year lease agreement on the new hotel, and will operate under a franchise agreement with IHG. With the lease in place, developer KUAB is planning a construction start in 2027, with completion in 2029. The company is also planning to market the property as an investment asset, aiming to forward sell the hotel ahead of development.
“The signing of Hotel Indigo Kvarnholmen marks an important milestone for 1912 Hotels and our continued growth across the Nordic region,” commented Audun Lekve, CEO of 1912 Hotels. “The combination of an exceptional waterfront location, strong local character, and the globally recognised Hotel Indigo brand creates a unique opportunity to develop one of Stockholm’s most distinctive lifestyle hospitality destinations.”
At 1912, the group is already established as a hotel operator across Austria, Germany, Hungary and Slovenia, with the UK and Sweden now added. This will be its second transaction with IHG, as the group already operates Voco Sheffield, a conversion from the previous Mercure branding.
A Strong Pipeline Across Europe
As a brand, Hotel Indigo continues to build momentum across Europe. In the UK, Gloucester Indigo has just opened, with the 131 room hotel part of The Forum, a new mixed development in the city. While Hotel Indigo London K West Shepherds Bush in west London has recently completed a refurbishment, to keep the brand fresh for visitors to the UK capital.
Further 2026 openings include Hotel Indigo Satu Mare in Romania, scheduled for an autumn launch. In Spain, Hotel Indigo Cadiz Beach which will launch in Q4, along with Hotel Indigo Plaza del Arenal in the Spanish city of Jerez.
