Scandic Hotels Group has signed a lease agreement with property management company Pandox for a new Scandic Go branded hotel at Fridhemsplan in Stockholm, Sweden.

Pandox acquired the hotel property, under the name Best Western Fridhemsplan, in February this year.

Located on the island of Kungsholmen, the 221-room hotel will continue to operate with the current operator under a fixed lease, during 2023.

Later, it will close for renovation and, in the second half of next year, will reopen as a Scandic Go.

Scandic Hotels Group president and CEO Jens Mathiesen said: “We are extremely happy to be opening our first hotel on Kungsholmen.

“With compact hotel rooms and space-efficient shared spaces, the property and hotel configuration are very much aligned with our new Scandic Go concept and our aim to continue developing in the fast-growing economy segment.

“By expanding Scandic Go, we will continue to strengthen our hotel and product offering in Stockholm while ramping up our efforts to assume a leading role and develop the segment in the Nordic region.”

The company stated that Pandox will be responsible for handling the technical upgrade of the property during the renovation.

Last month, Scandic Hotels unveiled plans to open its first Scandic Go hotel on Upplandsgatan in Stockholm, on 5 September.