NiteNite ‘pod’ hotel rescued from administration

A JAPANESE-style ‘pod’ hotel in Birmingham city centre has been rescued after spending 18 months in administration.

Nite-Nite in Holliday Street has been taken over by Birmingham-based entrepreneur Harj Mattu.

Launched in 2006, the hotel was one of Europe’s first Japanese-style budget ‘pod’ hotels with more than 100 windowless rooms.  It was put up for sale in August 2011 when its parent company, Nitenite Holdings, entered administration after running up debts of more than £3m.

Mattu, who has existing hotels in the UK and new hotels under development, took over the hotel in March. The buyout has saved more than 20 local jobs, with plans to create more roles over the coming months.

He said: “I am delighted to be adding the Nitenite Hotel to my portfolio of hotels and taking on the Nitenite brand, which has a strong customer base and unique position in the market place.  

“Although it has been in administration, the hotel has continued to trade successfully over the last 18 months.

“Working in the hotel industry for a number of years, I have seen a real shift in the market from full service hotels to limited service hotels and more ‘pod’ style rooms. 

“Nitenite was ahead of its time, being one of the first ‘micro boutique’ style hotels in Europe when it first opened in 2006, offering affordable luxury with all the hotel room amenities required within a compact space. 

“When I saw that Nitenite was on the market I knew it was a great opportunity to grow the brand and concept and expand into similar cosmopolitan cities across the UK and Europe.”

Mattu is investing more than £1m refurbishing the hotel facilities, including a transformation of the hotel reception and lobby area to “enhance the guest experience and add value to the brand”.