Hotels

Ikea to launch its own hotel chain

FILE - In this April 27, 2006 file photo, an exterior view of the Ikea furniture store in Duisburg, western Germany. The Czech veterinary authority said Monday, Feb. 25, 2013 it detected horse meat in meat balls labeled as beef and pork imported to the country by Sweden's furniture retailer giant Ikea. The State Veterinary Administration says the one-kilogram packs of the frozen meat balls were made in Sweden to be sold in Ikea's furniture stores that also offer typical Swedish food. (AP Photo/Frank Augstein, File)

FILE - In this April 27, 2006 file photo, an exterior view of the Ikea furniture store in Duisburg, western Germany. The Czech veterinary authority said Monday, Feb. 25, 2013 it detected horse meat in meat balls labeled as beef and pork imported to the country by Sweden's furniture retailer giant Ikea. The State Veterinary Administration says the one-kilogram packs of the frozen meat balls were made in Sweden to be sold in Ikea's furniture stores that also offer typical Swedish food. (AP Photo/Frank Augstein, File)  (AP)

Ikea says Marriott International Inc. will help it open its new budget hotels across western Europe during the next five years.

The Swedish company, which first announced last year that it will launch the hotel chain, said Tuesday that Marriott, the operator of luxury hotels across the world, will be its partner.

They will develop some 50 hotels with 150-300 rooms each in major cities. The first is scheduled to open in Milan, Italy, next year.

Peter Andrews, head of Inter Hospitality — part of Inter Ikea's property division — said the agreement allows the group "to build a high quality hotel property investment portfolio."

Ikea, the world's largest furniture retailer, already owns a handful of hotels. Marriott International has more than 3,700 properties in 74 countries and territories.

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