Balázs Kovács, CEO of Danubius Hotels Zrt., and David Jenkins, vice president of business development for Eastern Europe at Radisson Hotel Group, discuss the significance of the change and future goals.

BBJ: How long was the rebranding and renovation process, and how much was the investment? How did the partnership come about? Why was Hotel Erzsébet the right property for Radisson Individuals?

David Jenkins: Danubius and Radisson have been partners for years, notably through the Radisson Blu Béke Hotel, so there was already strong trust between us. Danubius brings decades of independent operating experience and deep local knowledge. When the Erzsébet renovation began, timing and opportunity aligned naturally for Radisson Individuals, a brand that lets distinctive hotels keep their identity while gaining our international network and standards. Erzsébet’s city-center location, long history, and refreshed product make it an excellent match, and this partnership strengthens our presence in a market where we already operate four hotels.

Balázs Kovács: As one of Hungary’s largest hotel operators, Hotel Erzsébet’s refurbishment is part of a wider investment program through which we’ve put HUF 50 billion into renewing our hotels over five years. We closed the hotel completely from November 2025 to April 2026 to complete the transformation as one project: all 126 rooms and suites, public areas, and major technical upgrades, including new façade windows, modern heating and cooling, building automation and efficient lighting. The result is a contemporary hotel that preserves Erzsébet’s character. We are delighted to bring it to Radisson Individuals, and we see it as a strong example of long-term investment creating lasting value.

BBJ: Danubius is now working with five international brands across its portfolio. Why choose Radisson Individuals for the Hotel Erzsébet project?

BK: We operate 17 hotels in Hungary under the Danubius Hotels, Ensana, Hilton and two Radisson brands. With Erzsébet, our goal was to create value from an existing hotel by pairing its character with an international brand. Radisson Individuals suited it well because it lets the hotel preserve its own character and more than 150 years of history, rather than fitting it into a standardized brand mould, and it is also the brand’s first hotel in Hungary, which makes this project especially significant.

DJ: Working with an established local partner is attractive anywhere: we trust Danubius to deliver the service our guests expect, while they gain our reservation systems, brand platform and Radisson Rewards. Erzsébet is exactly the kind of property Radisson Individuals is made for, with a strong sense of place and a story of its own, now combined with a fully renewed product.

BBJ: What are your expectations for the hotel? How will you measure success in this case?

BK: We expect the renewed product and Radisson’s reach to broaden the hotel’s guest mix and open new source markets. We’ll measure success through long-term performance: revenue and RevPAR, guest satisfaction, and the incremental business the Radisson brand generates. Our goal isn’t just a successful reopening, but a stronger, more competitive position for Erzsébet in the years ahead.

DJ: For us, success means establishing Radisson Individuals in Hungary and deepening our relationship with Danubius. We’ll track commercial performance and guest satisfaction, but the partnership itself matters too: more than 60% of our owners have more than one hotel with us, reflecting how much we value long-term relationships; and, where a partnership works well, we’re open to growing it further.

BBJ: Radisson Individuals is just the latest new entrant to the Hungarian market. What is driving this interest from hotel brands, and how long might this trend continue?

DJ: Budapest has long been a strong leisure destination with an excellent record of hosting major events, including this year’s UEFA Champions League Final, and its visibility keeps growing as air connectivity improves. Regionally, though, it still lags Warsaw, Vienna and Prague in corporate demand; strengthening that segment would make it a more balanced market. We see further potential for international brands here; there’s room for new concepts, and a lifestyle brand like Radisson RED could be a strong addition.

BBJ: What is Hungary, and Budapest in particular, doing to enhance its reputation as a destination? And what is still missing from the picture?

BK: Budapest already has a strong reputation as a leisure destination, but there’s a clear opportunity to strengthen its position in business travel and conferences. A constructive dialogue has begun between policymakers and industry, which we welcome, and continued international investment could generate further corporate demand. What’s still missing is congress infrastructure for large-scale international events; combined with better air connectivity, this could significantly boost Budapest’s competitiveness regionally.

DJ: Budapest is a highly attractive destination with a strong leisure profile, and the growing interest we’re seeing from international hotel owners and investors is a positive sign of confidence in its future. Closing the gap on the corporate and conference side, as Balázs mentioned, is really the next step in that story.

BBJ: This has been an unusually hot and dry summer. Is that likely to affect tourist numbers, and assuming this wasn’t a one-off event but a continuing trend, what can hotels do to mitigate such climate change?

BK: Hotter summers will likely influence travel patterns without necessarily reducing visitor numbers: people may adjust when and how they travel. For hotels, the real question is how we adapt, for guest comfort and energy use alike. We’ve seen this firsthand — this summer put our systems to the test, and it confirmed we’re on the right track. Energy efficiency has long been central to our strategy, including in historic city-center buildings, where upgrades are far more complex than in new developments: modern heating and cooling, insulation, heat pumps, solar energy and smart building technology. During heatwaves, we also adapt operations, optimizing air-conditioning, using shading, and managing energy use efficiently, so guests stay comfortable without the building working overtime. This isn’t about one hot summer; it’s about staying comfortable, efficient and ready for whatever comes next.

BBJ: What’s next for Danubius Group?

BK: Our priority remains strengthening our existing portfolio, with guest experience, product quality and energy efficiency central to every investment. With the long-term backing of our British owner, CP Holdings, we have the stability to keep investing in the quality and competitiveness of our hotels. Erzsébet is a good example of that strategy in practice. We’ll keep evaluating opportunities that make strategic sense, whether further investments in our 17 hotels, new brand partnerships, or acquisitions, always building on Danubius’ core strengths: over five decades of operating experience, deep market knowledge and a long-term approach to ownership. We aim to keep the portfolio competitive and well-positioned for the future, while playing an important role in Hungary’s hotel market.

This article was first published in the Budapest Business Journal print issue of October 2, 2026.