Hotels, in the modern meaning of the word, are more than 200 years old. Historians consider the first hotels appeared in London in 1760 as the flats for short-term rent. The hotels with managers, maids and personnel in uniform appeared in the beginning of 19 century. First hotels were not created for the pioneers of business. Tourism with its demand for large hotels developed much later in 19 century in the environs of London. 

Russian historians think that first hotel of European standard was built by Duke Menshikov in Saint-Petersburg in 1716. 25 small hotels opened later in Saint-Petersburg under the decree of empress Ekaterina. The first large hotel “Big Hotel Paris” opened at Malaya Morskaya street in 1844. Those times private business as we call it nowadays was a small business in the stage of its accelerated development.  Over 200 years in 1916 the North capital had 123 hotels.

In 1996-1997 there were 20 certified small and mini hotels in Saint-Petersburg. In the next two years 40 hotels more appeared in the city. The most rapid growth in the small hotel industry was connected with the celebration of tercentenary of the city. 250 small hotels served guests in 2003. Such a growth pace remained after the anniversary. Despite the problems hampering the industry development (growing prices for real estate and its lease) the pace remained the same and in10-11 years (1996-2007) amounted to 2000%.

In 2007 there were 700 small hotels in Saint-Petersburg.

Small hotel is an accommodation mean with a total of not more than 50 rooms. But it is not very accurate classification. For example the hotel totaling 30 rooms with the room rate $300-1500 per night, with expensive restaurant and a number of high-end services is very difficult to call “small”.