The Ascott Group announced yesterday it will introduce its mid-level European serviced apartment brand Citadines to Shanghai.
The first Citadines operation in Asia will open in the city by the end of next year.
The Singapore-based group will make China its top market for the brand and gradually shift it into other countries like Japan and India, said Cameron Ong, Ascott's chief executive officer.
"We have launched two major brands in China. But these brands do not suit mid- or small-sized cities," Ong said. "Instead, Citadines is a brand that we can put everywhere, stretching from big cities like Shanghai to smaller cities like Chengdu."
Compared with its premium brand Ascott and upper-level brand Somerset, Citadines' properties are smaller and will be priced about 20 percent lower than that of Somerset.
The 239-unit Citadines Jinqiao will be in Huangpu District.
Ascott expects it will have  4,000 serviced apartments in China by 2008.
Meanwhile, Ascott will sell shares in part of its properties to boost expansion, but the group did not elaborate on those plans.