Choice Hotels International is terminating its franchise agreements with 22 UK properties operated by The Real Hotel Company.
The Real Hotel Company went into administration last month. It operated more than 50 hotels in the UK and Europe under its own purplehotels and Stop Inn brands, and also under the Comfort Inn, Quality and Clarion brands licensed from Choice.
Duncan Berry, chief operating officer of Choice Hotels Europe, commented: ‘The demise of The Real Hotel Company has given us the opportunity to strategically review our UK hotel portfolio against our new brand standards that are being rolled out across Europe.
‘While withdrawing Choice Hotels' brands from the hotels formerly operated by The Real Hotel Company will mean there will be fewer Choice Hotels properties in the UK in the short term, we continue to pursue a strategy to grow the number of franchised hotels here in the UK and around the world.
‘In Europe alone we opened five hotels in December and have opened a further three in January. The new design-led Quality Hotel, Maida Vale, London will open in the coming months.'
Berry added that the company was interested in working with individual hoteliers and independent hotel groups and investors as franchisees to expand further in the UK.
Last year, Choice entered into such an agreement with Ireland's Kasterlee for the exclusive right to license and develop the Clarion brand in the UK, Germany and Russia. Under the agreement, Kasterlee will develop a minimum of 16 Clarions within eight years.
Choice Hotels Europe is the trading name of Quality Hotels Ltd, a subsidiary of New York-listed Choice Hotels International, one of the world's biggest hotel franchisors, with more than 5,700 properties and over 455,000 rooms globally.
Its European portfolio totals 500, including over 45 in the UK under the Comfort, Quality, Sleep Inn and Clarion brands.