Hampton by Hilton plans further Scottish expansion

Hotel management firm Hilton has signalled plans to make further investment in Scotland despite the uncertainty surrounding Brexit and the evident oil and gas downturn.

The company is scheduled to introduce a second hotel under its Hampton by Hilton brand north of the Border when the operator opens a development in Dundee’s West Marketgait this autumn.

Senior executive Mark Nogal said Hilton is working on further deals to launch hotels in Scotland, as the company revealed that its investment plans had not been affected by the Brexit vote in June’s EU referendum.

Mr Nogal told The Herald: “We are working on several more deals across Scotland. I’m not in a position yet to give you those exact locations. But trust us, you will see more Hampton by Hilton Hotels going up.”

More than 2,100 of the 4,600 hotels Hilton operates globally are run under the Hampton by Hilton brand, and Mr Nogal said investors are keen to back hotel development in Scotland.

He added: “Investors are looking to do it because there is demand from travellers.

“And travellers are looking for different price points. We have a great value proposition that helps us to drive incremental traffic to the Hampton brand.”

Mr Nogal acknowledged the hotel sector in Aberdeen has faced challenges as a consequence of the downturn in the oil and gas industry.

But he said it does bring opportunities for consumers, who might be tempted to visit parts of the country they have not discovered before, tempted by lower room rates.

Mr Nogal, who worked on the Hampton brand across Europe, the Middle East and Africa from 2010 until taking up a role with The Curio, Hilton’s luxury hotel division, noted in recent days: “When you take a look at Scotland I think the most telling story is looking at the events that have taken place in the country over the past couple of years.

“And it’s really given a lot of exposure to the region, not just within the UK but from Europe and globally.

“As is the nature of business, you have ebbs and flows and when you take that into account, that’s what you are seeing today and I think we will see, much like London has, more business coming back to these areas.

“When we speak specifically about Aberdeen, we too have to ride along with whatever the market conditions are at the time.

“It does create opportunity for those people that are looking for great value for tourism to go up and explore some different areas.”

The forthcoming opening of the Hampton by Hilton Hotel in Dundee will be the second launch for the Hampton brand in Scotland this year, following the opening of a sister hotel on Glasgow’s West Campbell Street in May.

Mr Nogal said the changes taking place in Dundee, including the launch of a V&A museum in 2018, were a big attraction for Hilton to add to its presence in the city, where it already runs a hotel under its Doubletree brand.

Hilton has won the contract to brand and manage its latest hotel on behalf of an unnamed consortium of local investors, who are developing the Dundee Hampton in the former Argyll House and Waverley House buildings.

Deals have also been secured to bring Hampton hotel developments to Edinburgh Airport and to the city’s Fountainbridge regeneration scheme.