Arora International has won the battle to operate the 600-bedroom hotel to be built at Heathrow airport's massive new Terminal 5.
The group will operate the four-star hotel as a Sofitel under a long-term franchise agreement with French hotel giant Accor. The hotel, which is scheduled to open in 2008, will be Accor's second Sofitel in the UK. Its first is in London's St James's.
Arora International will take a 150-year ground lease on the site, which is rumoured to be costing the company 30% more than predicted. The interiors of the hotel will be designed by KCA International, which is famed for its interiors at the Burj Al Arab in Dubai.
CBRE Hotels acted on behalf of BAA Lynton, the division of the British Airports Authority which owns the land, while HVS International acted on behalf of Arora International.