The group of companies “Savva” will build the chain of five star hotels with a total of 700-800 rooms in the cities of Povolzhje (Nizhnij Novgorod, Samara, Volgograd, Cheboksary, Saratov) by the year of 2011, “Kommersant” reports.  

The investment to the project is estimated to $200 million. The subsidiary of “Savva” ОАО “Volgastrojgrup” will be appointed to the construction.
 
The Cheboksary hotel “Suvar” totaling 128 rooms will become the first hotel of the chain.  By the end of the year “Savva” will attract the international hotel management company or establish its own to operate the hotel chain.  

In the last two years the investors that do not have specific-industry expertise show much interest to the hotel business in Russia. It can be explained by the promising prospects for the market growth and the lack of hotels in the regions.  According to "Knight Frank", there were some 20 five star hotels in Russia in 2007, including 12 hotels in Moscow and 7 in Petersburg. As the partner of "Knight Frank" Konstantin Romanov noticed large cities of Povolzhje region didn’t have high-top hotels.

Full story: prodevelopment.ru/news/1275