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04 June 2026

Daily Newsletter

04 June 2026

Scandic plans 135-room underground hotel in Stockholm

The company partners with Axfast to convert the central property into a windowless, underground hotel set for completion in 2027.

Anwesha Pattanaik June 03 2026

Scandic Hotels Group has announced plans to open a new 135-room Scandic Go hotel beneath Drottninggatan, Stockholm, Sweden.

Undertaken in partnership with property owner Axfast, the project will see sections of an existing building converted from retail and warehouse space to create a mixed-use property featuring hotel rooms, shops, and offices.

Construction is set to begin later this year, with the hotel expected to open for guests in 2027.

The proposed hotel will offer rooms across four underground floors, all of which will be windowless. Shared spaces and staff rooms will have access to windows.

Guests will be able to check in either on a floor below ground or via digital services.

Located close to Stockholm’s central station and bus terminal, the site is intended to attract both leisure and business travellers seeking a centrally positioned hotel.

According to the company, the hotel aims to provide a calm, quiet atmosphere, away from the activity of the nearby shopping district.

Scandic states that demand for windowless, darkened rooms has increased, particularly among guests sensitive to light or those looking for a peaceful environment. The rooms will be decorated with attention to materials, lighting, and acoustics to promote comfort.

The development will seek BREEAM In-Use Excellent certification for the building and the Nordic Swan Ecolabel for the hotel’s operations.

Axfast CEO Johan Berfenstam said: “We are pleased to further strengthen our collaboration with Scandic around Hötorget, and to continue our long-term work of developing a vibrant city more hours of the day.

“Creating jobs and accommodation within existing buildings is the most sustainable approach we can take as a company and property owner.”

Scandic has signalled ongoing ambitions to grow the Scandic Go brand via new construction, acquisitions, and the use of varied property types.

Scandic Hotels Group president and CEO Jens Mathiesen said: “This new hotel is an exciting part of our growth strategy, where we’re now going to open our first underground hotel in an extraordinary setting in downtown Stockholm.

“Our new Scandic Go will strengthen our position in the rapidly growing economy segment and complement our existing hotel offering in the capital perfectly.”

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