Katara&AccorHotels team on hotel expansion across Africa

Qatar-based hotel owner, operator and developer Katara Hospitality has teamed with AccorHotels to kickstart an investment fund, with more than $1 billion geared toward the expansion of Sub-Saharan Africa's hotel market. The fund will gain up to $500 million in equity, of which Katara Hospitality and AccorHotels will contribute up to $350 million and $150 million, respectively, over the next five to seven years. The fund will secure additional financing through leverage and co-investments. The partners will use the funds to develop greenfield projects, brownfield projects and conversions of existing hotels through acquisitions in the region. Approximately 40 hotels with close to 9,000 guestrooms will operate under several Accor brands ranging from economy to luxury, including residences.