Reval Hotels will build a new 230-room hotel in downtown Rīga across from the Vermanes Park, the Estonia-based company has announced.

The company expects to invest LVL 21 million in the project, which will include a restaurant, lobby bar, fitness center, parking space and conference rooms. The project, to be located at Elizabetes Street 71/73, is expected to open in spring 2007, the company said in a press release.

The project will be built by Linstow AS, a Norwegian property development company, and Skonto Būve, a Latvian construction company.

The new hotel will be Reval’s third property in Rīga. The company also runs the 95-room Reval Hotel Rīdzene—one of the city’s priciest properties—and the Reval Hotel Latvija, a property it is expanding to nearly 600 rooms at a cost of EUR 20 million. The expanded Latvija is scheduled for completion in April, in time for the World Ice Hockey Championship scheduled in May.

“We see outstanding potential for development in Rīga and the decision to build a third hotel here is a result of demand and of good economic results so far,” Heikki Vanhanen, Reval Hotels Country manager in Latvia, said in a prepared statement.

When the third Rīga hotel is completed, Reval will have more than 2,000 rooms in the Baltics.

The Reval projects are among several hotel projects recently completed, underway or planned in Rīga. For example, the new 11-story, 246-room Albert Hotel opened early this month at 33 Dzirnavu Street.