Hilton, Chartwell to Open 20 Inns in Mexico

Hilton Hotels Corp. said Tuesday that Grupo Chartwell de Mexico will open and run 20 mid-price Hilton Garden Inns in Mexico within five years under a franchise agreement, as Hilton expands in North America.

In addition, Grupo Chartwell will develop an unspecified number of full-service hotels in Mexico under the Hilton name, Hilton said.

The first Hilton Garden Inn is expected to open in January at the Benito Juarez Airport in Mexico City. Most of the other hotels will be in smaller cities. Rates will be $70 to $90 a night, depending on the city.

Hilton wants to add 100 franchised Garden Inn properties in the U.S., Canada and Mexico by 2000. Half the hotels are expected to open in 1998, Hilton spokeswoman Christine Cook said. The company has nine now.

Beverly Hills-based Hilton owns and develops hotels, casinos, resorts and vacation-ownership properties worldwide.

Grupo Chartwell de Mexico is a joint venture of New York-based Chartwell Leisure Inc., a hotel owner and developer, and Mexico City-based Grupo Piasa, a unit of closely held Grupo Acerero del Norte. Grupo Acerero also owns steel, mining, chemical and energy companies.

Hilton shares closed down 6 cents at $31.31 on the New York Stock Exchange; Chartwell shares also closed down 6 cents, at $16.56, in Nasdaq trading.