Indigo London Paddington was the first Hotel Indigo to open outside North America and a deal to open three more Hotel Indigo properties in the city was sealed.

Hotel Indigo is IHG's boutique hotel brand. 

With 21 hotels open in North America, and 56 hotels in the global development pipeline, the opening of the Hotel Indigo London Paddington marks the start of the global brand roll-out.

The 64-room Hotel Indigo London Paddington, owned by London Town Hotels, is a row of nine converted Georgian townhouses in London Street just minutes from the station with views over Norfolk Gardens.

Speaking at the opening Andy Cosslett, chief executive, IHG, said: "Hotel Indigo combines the feel of a boutique hotel with the benefits of a large hotel group, including our reservation systems and loyalty programme.  The brand has been a success in the Americas and we are confident we can grow it around the world. Hotel Indigo suits converting existing buildings as each hotel is designed to be different.  Conversions generally require less financing and can be up and running more quickly than new build hotels, which is an attractive option for owners given the current economic conditions."

Koolesh Shah, managing director, London Town Hotels, said: "Over the last few years new businesses have put down roots in Paddington and we've seen a surge in the number of people looking for a place to stay.  Our hotel will attract a new type of guest who is looking for something a little bit different."

IHG also announced that it has signed a contract with City Site Estates to open three more Hotel Indigo properties in London by 2012:

• Cannon Street - A 38 room, five storey townhouse with a 70 square metre roof garden, a gym and a restaurant. 
• Philpot Lane - A 43 room, five floor conversion with a street front restaurant, bar and gym.
• Kensington Church Street - A 51 room, four storey conversion with a restaurant and gym.

Jim McCain, group property director, City Site Estates, said: "There's a gap in the market for a boutique hotel for business and leisure travellers who want to stay in the heart of the City. We plan to have all three Hotel Indigo hotels open and ready for business by 2012."

Hotel Indigo appeals to both business and leisure travellers who want to stay in a contemporary, unpretentious boutique hotel.  Hotel Indigo properties are best suited to capital cities and cultural centres, they tend to be small and have a strong focus on delivering personalised customer service.

In Asia Pacific, the first Hotel Indigo will be located in Shanghai, China.  The 180-room hotel is scheduled to welcome guests in 2010.  It will sit on the historic location of the Shiliu Pu (Pier 16) which, from 1821 to 1850, was Shanghai's focal point for shipping and trading activity.

The wharf was outside the Baodaimen gate of the old wall that surrounded the city at that time. Hotel Indigo Shanghai on the Bund will be the first hotel located along the riverfront to offer unobstructed views of several famous and historical sites.