Hilton has broken ground on its first Project H3 by Hilton hotel in Indiana, US, marking the commencement of construction of its new studio apartment-style extended-stay hotel brand.

This move comes after Hilton announced in May this year its plans to launch this new midscale extended-stay brand.

Currently, the 137-room hotel, owned by Sun Management & Development, is operating under a working title as Hilton moves through the final phases of the trademark process.

Hilton expects to open its first lower midscale, extended-stay hotel for long-stay travellers by the summer (June to August) of 2024.

Hilton chief brand officer Matt Schuyler said: “We have looked forward to this day with tremendous excitement as Project H3 is truly different from anything in the current market.

“This game-changing brand was created specifically to address the needs of guests who seek accessible quality in a long-stay hotel and provide owners with a cost-effective extended-stay hotel to build and operate.”

The groundbreaking ceremony was attended by several representatives and local officials, including Isaac Lake, the brand leader of Project H3 by Hilton and Tyler Moore, the mayor of Kokomo.

It was also attended by Lori Dukes, president and CEO of the Greater Kokomo Economic Development Alliance and Bharat Patel, co-founder, chairman and CEO of Sun Development & Management.

Located at 5138 Cartwright Drive in the city of Kokomo, this latest addition will boast three signature features tailored to cater to extended-stay travellers: deliberate design, spacious apartment-style accommodations and a non-traditional lobby experience.

The hotel will have a ‘deliberate design’ with outdoor patios with grills, a shared fire pit and cosy seating.

It will also offer spacious apartment-style accommodations with enough storage space and movable, multi-purpose furniture.

Its non-traditional lobby experience will provide sight lines from the front desk to the fitness and guest laundry areas, as well as feature a simple retail market wherein guests can look to grab a cup of coffee.

The new brand will also be a part of Hilton’s guest loyalty programme, Hilton Honours.

Hilton claims the brand has over 350 deals currently in various stages of negotiation with owners and developers.