PARIS May 31 French leisure groups Accor
(ACCP.PA) and Pierre & Vacances (PVAC.PA) will call their new
city apartment joint venture "Adagio", P&V Chairman Gerard
Bremond said on Thursday, presenting an update on the project.
Bremond said European Commission approval of the joint
venture was still pending, but he did not anticipate any
problems and the venture had already signed leases on two new
properties in Vienna and Basel.
P&V is contributing its existing Pierre & Vacances City
business to the new joint venture, which Bremond said would be
called "Adagio City ApartHotel". Accor already owns the "Adagio"
brand from an earlier acquisition, he said.
Bremond was speaking at a news conference to present P&V's
first half results.
The joint venture will start with 22 properties, mostly in
France, and aims within five years to grow that to 50 residences
with sales of 180 million euros a year. The venture aims to
pocket management fees of 10 percent of the volume of business.
According to slides given to journalists, the venture is
currently studying other possible sites in London, Edinburgh,
Munich and Prague.