A summary of European hotel transactions provided by HVS

Olayan acquires Mandarin Oriental Barcelona from Reig Capital

Saudi Arabian investment firm The Olayan Group has acquired the 120-room luxury Mandarin Oriental Barcelona from Andorra-based family investment office Reig Capital Group, the developer of the hotel, for an undisclosed sum. Reig Capital had a debt facility with Spanish bank Caixa, which Farallon Capital Europe took over in October 2020. The property is situated in the centre of Barcelona, Spain, on Passeig de Gràcia, the city’s most exclusive retail avenue. Opened in November 2009, the hotel includes a spa, indoor pool and rooftop pool and terrace. Mandarin Oriental will continue to operate the hotel. Olayan also has 50% ownership of the 153-room Mandarin Oriental Ritz Madrid, which it jointly acquired with Mandarin Oriental in 2015.

Henderson Park acquires the Waldorf Astoria Edinburgh - The Caledonian from Twenty14

London-based private real estate investment fund manager Henderson Park, together with its in-house hospitality operator and asset manager, Klarent Hospitality, has acquired the historic five-star, 241-room Waldorf Astoria Edinburgh - The Caledonian in Edinburgh, Scotland, for a reported £85 million (£353,000 per room) from Twenty14 Holdings, the hospitality investment arm of the Indian, Abu Dhabi-based conglomerate LuLu Group. The new owners are planning to carry out renovation works on the bedrooms and public areas. This is the third Edinburgh hotel in Henderson Park’s Klarent Hilton portfolio, having purchased the 211-room Hilton Edinburgh Carlton and the 155-room Doubletree Edinburgh Airport as part of a 2,424 room / 12 hotel portfolio acquisition in November 2021. Twenty14 Holdings acquired the property in 2018 and took on refinancing facilities worth £62 million in 2021 from Topland and Oaknorth.

Arrow Global acquires six Dom Pedro hotels in Portugal

British fund manager Arrow Global has acquired six hotels in Portugal from Portuguese hotel operator Dom Pedro Group, totalling 1,126 keys, for a reported €250 million. The properties include the four-star, 138-room aparthotel Dom Pedro Portobelo, the three-star, 77-room aparthotel Dom Pedro Lagos, the four-star, 155-room Dom Pedro Marina and the four-star, 266-room Dom Pedro Vilamoura in the Algarve, along with the four-star, 218-room Dom Pedro Machico and the three-star, 272-room aparthotel Dom Pedro Garajau hotels in Madeira, as well as five golf courses in Vilamoura. The properties are set to be renovated and management will be overseen by Francisco Moser, CEO of Details Hotels & Resorts, a subsidiary of Arrow Global Portugal. Prior to the acquisition, Dom Pedro owned and operated seven hotels in Portugal and one in Brazil. The group will continue ownership of its five-star Dom Pedro Hotel in Lisbon and the Dom Pedro Laguna in Brazil.

Sofidy acquires a portfolio of six German hotels (“ABBA Portfolio”) from AccorInvest

Sofidy, a subsidiary of French firm Tikehau Capital, has acquired six B&B Hotels (totalling 902 rooms) across Germany in Aachen, Bonn, Bremen, Duisburg, Dusseldorf and Frankfurt, from AccorInvest. New 25-year leases have been signed with hotel group B&B Hotels, who have taken over the operations of all six hotels. The portfolio of properties will also undergo renovations. Founded in France in 1990, B&B Hotels now operates more than 165 hotels in Germany. Sofidy deployed four of its vehicles in the acquisition of the hotels: Sofidy Europe Invest, IMMORENTE, EFIMMO 1 and Société Civile SOFIDY Convictions Immobilières.

Genova Property Group sells two Palma hotels in Spain

Swedish firm Genova Property Group has signed an agreement to sell two hotels located in Palma, Mallorca, Spain, being the five-star, 31-room Concepció by Nobis (formerly the Concepció 34 hotel) and the future five-star, 37-room Nobis Hotel Palma (formerly the Can Oliver de Palma), for a total of €35 million (€515,000 per room). The deal is expected to be completed in September 2023. Both hotels are leased to Stockholm-based Nobis Hospitality Group on long term agreements. Genova is selling the properties to reduce debt and the transaction will provide liquidity of around €29 million. The group acquired the two properties in 2016 and has since renovated them to become luxury boutique hotels, with Concepció by Nobis completed in June 2021 and Nobis Hotel Palma to be completed in mid-to late 2023.

COIMA acquires the HD8 Hotel Milano in Italy from Covivio

Investment manager COIMA has acquired the four-star, 79-room HD8 Hotel Milano in Milan, Italy, via its Coima Core Fund II for €23 million (€291,000 per room) from French real estate firm Covivio. The building is under a lease until 2041, with a possible 9-year extension, and includes two retail units on the ground floor that are both rented out. Completely renovated in 2021, the hotel sits on the Piazza Duca D’Aosta, opposite the Milan Central Station. The fund took out a new loan of approximately €33 million with BPER Banca to help aid in the transaction.

Deutsche Fonds sells the SORAT Hotel Cottbus as part of a mixed-use site in Germany

Bremen-based real estate investment manager Deutsche Fonds Holding (DFH) has sold the Quartier am Schlosskirchplatz 11,500 sqm mixed-use building complex, which includes the four-star, 98-room SORAT Hotel Cottbus, 17 retail and F&B outlets, 19 offices, 23 residential apartments and a fitness studio, to a Berlin family office. The complex is located in the old town of Cottbus, in eastern Germany near the Polish border. The hotel makes up around 35% of the rental space with a lease term that ends in 2032. The deal price was not disclosed. The hotel includes a breakfast bistro and lobby bar, terrace, fitness area and limited meeting facilities.

Atypio and Eternam take over the Castel Maintenon hotel near Chartres, France

French hotel owner and operator Atypio Hotel Resort and French investment manager Eternam have partnered up to take over the four-star, 80-room Castel Maintenon hotel for an undisclosed sum. The hotel entered receivership in the summer of 2022. Following a competitive process and the approval of the commercial court of Aix-en-Provence, Atypio and Eternam have been allowed to proceed with a joint takeover offer, with Atypio to operate the property. The hotel is situated near Chartres, France, about 65 kms southwest of Paris. Atypio currently has 21 three to four-star branded and independent hotels under management across France. Built in 2016, the Castel Maintenon includes a restaurant, 600 sqm spa and fitness space and 8 meeting facilities.

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