According to leading investors, by the end of 2020 investors in the Moscow hotel market intend opening 49 new hotels with a capacity of almost nearly eight thousand rooms. According to the Chairman of Moskomstroyinvest Konstantin Timofeev, last year alone eight new hotels with almost 1400 rooms were opened.
The market in Moscow is expected to show a shortage of available rooms partly because of the upcoming World Cup, so investors are showing more interest in the hotel space. Late last year Timofeev and the Moscow city authorities made an offer encouraging investors to take part in the projects for construction of 135 major transfer hubs around Moscow. The EY assessment from the end of 2015 below shows the overall distribution of hotel management in Moscow.
On the overall Moscow real estate picture, since the beginning of 2016 some 9 million square meters of housing in the capital city of Russia has been approved by the authorities. While construction of about 5 million square meters of retail space and more than 2.6 million square meters of industrial space has also been approved.
Research by Russian travel agency Intourist shows that prices could be set to increase by 20 to 50 percent this year. The 109-room Park Inn by Radisson Izmailovo will open its doors in quarter one of 2017, to be followed by several other key openings.