New Investment To Fast Track Kiwi Pod Hotel’s International Expansion
A popular Kiwi pod-hotel chain is set for a period of rapid expansion following its partial sale to one of Australasia’s largest hospitality and experiences brands.
Under the new joint venture agreement, 50% of Jucy Snooze has been sold to Event Hospitality & Entertainment Limited (EVENT), an ASX listed company with a market capitalisation of A$2bn and more than 9,000 employees across Australia, New Zealand and Germany. The company operates the largest cinema circuits in these countries alongside more than 60 hotels across the Rydges, QT and Atura brands and Australia’s premier ski and adventure destination, Thredbo Resort.
Jucy Snooze, a micro-accommodation provider which has hotels in Auckland, Queenstown and Christchurch, is New Zealand’s first hotel chain to offer pod-style rooms for budget-conscious travellers.
According to data from one of the world’s largest online travel agencies, Jucy Snooze is the most frequently booked accommodation offering in Christchurch and Queenstown; with a new property under development in Auckland’s CBD (per Booking.com data to the year ending Feb 3, 2020).
Jucy CEO Tim Alpe says the deal is significant as it will allow the company to accelerate the expansion of the chain throughout New Zealand, Australia and into other international markets.
“We were approached by the EVENT team as they had seen our unique accommodation offering and were wanting to move into the growing ‘flash-packer’ market.
“They bring significant experience in hotel development, procurement, food and beverage, and operations as well as capital investment and access to new sites in Australia which will allow us to fast track the export of the Jucy Snooze concept into that market.
“Without this investment, we would have been able to open a new site every few years, but we now hope to significantly expand the Jucy Snooze offering over the next five years to cater for the growing demand for this product offering,” he says.
Alpe says in addition to planned sites in Australia, the deal will mean more accommodation in sites around New Zealand as well as increased employment and regional spending in those areas.
“We have been wanting to move into the Australian market for some time; the locations of the new hotels will be aligned with the distribution of our vehicle rental fleet which provides a more seamless travel experience for the target market,” he says.
Jane Hastings, CEO of Event Hospitality and Entertainment says “We are excited to partner with Jucy Snooze and help drive its expansion, while opening up a new growth segment for the EVENT Group. We look forward to growing the brand throughout Australasia and other parts of the world, utilising our expertise and relationships.”