Silver Spring, MD (November 30, 2000) - Continuing its progressive plans for expansion in the Asia-Pacific region, Choice Hotels International (NYSE:CHH), one of the world`s largest hotel franchisors, signed an area representation agreement with the Greens Company Ltd., the fastest growing hotel company in Japan, to form a joint venture—KK Nippon Choice Ltd.
“This agreement provides a platform for expansion throughout Japan,” said Barry Robinson, managing director of development and operations Choice Hotels Asia-Pacific. “With Greens` domestic market knowledge and Choice`s international franchising and marketing system as well as the Choice 2001 worldwide reservations system, the opportunities are limitless.”
The new company, KK Nippon Choice Ltd., which is 100% owned by Greens Co. Ltd., has been established to develop and provide franchise services for Choice Hotel’s Quality and Comfort hotel brands throughout Japan.
The Green Company Ltd. currently owns, leases or manages 20 mid-market properties. The Nippon Choice business plan proposes the establishment, management and marketing of over 40 branded hotels in Japan over the next three years, commencing with the re-branding of five hotels currently under the ownership and/or management of the Greens Company. It is anticipated that five Comfort, five Quality and one Clarion properties will be re-branded or developed by the end of next year with an additional 15 Comfort, ten Quality and two Clarions open by the end of 2003.
Choice Hotels Japan has a separate agreement with the Vessel Group of Japan to develop the Sleep brand in the Western half of Japan that will see nine properties in operation by the end of 2005. There are seven Choice hotels in Japan currently open or under development under the Clarion, Comfort and Sleep brands.
Choice franchises 474 hotels representing almost 28,000 rooms open under the Clarion, Quality, Comfort, Sleep and Flag brands in the Asia-Pacific region including Japan, Australia, New Zealand, Fiji, Papua New Guinea, Thailand, Malaysia, China, Indonesia and India. With more than 5,000 hotels open and hotels under development in 41 countries, its Comfort, Quality, Clarion, Sleep, Econo Lodge, Rodeway Inn and MainStay Suites brands serve guests worldwide. Additional information on Choice and its brands can be found at www.choicehotels.com.