Capital Group will build a hotel in an industrial zone

Capital Group of Vladislav Doronin will return to the implementation of the project of a hotel complex on the territory of the industrial zone "Pravdy Street" in the north of Moscow. Investment in an eighteen-story hotel with an area of 35 thousand square meters. m could amount to more than €50 million.

Vladislav Doronin (right)
Photo: Stas Vladimirov, Kommersant / buy photo

The Town Planning and Land Commission (GZK) approved the location of the hotel at Bumazhny Proezd, 2/2, Moskomstroyinvest reported. The construction investor is Nayland Trading Limited, a committee representative explained to Kommersant. According to Kartoteka.ru , Nayland Trading Limited is the founder of Real Estate Investments CJSC and Capital Group Investments CJSC, associated with Capital Group structures. The company itself confirmed participation in the project to Kommersant, but did not comment on the details, specifying only that the hotel will be built within the framework of the development concept of the Ulitsa Pravdy industrial zone.

According to the project presented at the State Land Planning Committee, the total area of the hotel in the industrial zone will be 35.5 thousand square meters. m, 4.2 thousand of them are in the underground part. The declared height of the building is 18 floors (about 70 m). The hotel's room capacity parameters were not disclosed. According to Stanislav Ivashkevich, deputy director of the hospitality industry development department at CBRE, it will be possible to place 300-400 rooms in the three or four star category here. Construction will cost approximately €52.5 million based on €150 thousand per room. The payback period for hotel projects, according to expert estimates, is 10-12 years. According to Mr. Ivashkevich's forecasts, the hotel can be in good demand due to the nearby offices.

According to the Moscow Committee for Tourism and Hotel Industry, the total number of rooms in the city at the end of 2013 was 44.7 thousand rooms for 73 thousand people. 42% of hotels operate in the three-star segment, while the four-star segment accounts for 19%. The average occupancy level of hotels in the city is 77%.

Nayland Trading Limited entered into a lease agreement with the mayor's office for a plot of 0.89 hectares in Bumazhny Proezd back in 2006. In 2007, the project was included in the city government decree “On the general scheme for the placement of hotels until 2010”: construction was supposed to be completed in 2009, but the project was frozen. There are two buildings on the site with an area of 3.6 thousand square meters. m, both will be reorganized as part of the construction, indicate Moskomstroyinvest.

Capital Group is controlled by businessmen Vladislav Doronin, Eduard Berman and Pavel Te; its financial indicators are not disclosed. According to its own estimates, Capital Group's portfolio is 7 million sq. m. m, 70 completed and under construction projects. She owns two projects in Moscow City: the City of Capitals mixed-use complex and the Oko skyscraper under construction. The latter will accommodate a 160-room boutique hotel under the Delon brand (managed by the American chain Morgans Hotel Group).

Capital Group is not the only developer in the Ulitsa Pravdy industrial zone. Among the large owners of land in this area is the PSN group (controlled by businessmen Alexey and Dmitry Ananyev) - it has a site of 9.75 hectares, divided into plots for residential and commercial development.

Alexandra Mertsalova, Ekaterina Gerashchenko

Vladislav Doronin reached Pravda