Europe Hotel Transactions Bulletin - Week Ending 23 May 2025
Real estate investment company RFR, led by German American billionaire Aby Rosen, has announced the sale of the five-star, 120-room The Jaffa Hotel, Tel Aviv, Israel for $123 million ($1.03 million per room), which is equivalent to approximately €108.6 million (€905,000 per room). The property is situated in the Jaffa district of Tel Aviv, within walking distance of the beach. The hotel includes two restaurants, a bar and pool and is part of the Fattal Limited Edition luxury collection. RFR originally acquired the site in 2006, developed the hotel, and opened it in 2018.
Iroko Zen SCPI acquires Premier Inn Newcastle Quayside, UK
French institutional investor Iroko Zen SCPI has acquired the three-star, 152-room Premier Inn Newcastle Quayside, for €16.95 million. The price represents €112,000 per room, although including two retail units within the 10,460 sqm building, one of which is leased to Costa Coffee. The hotel is situated next to the Tyne bridge by the River Tyne and includes a restaurant. The acquisition comes less than two months after Iroko Zen SCPI acquired the 125-room Premier Inn Sunderland City Centre hotel, also located in the north of England.
Fattal Hotels, the parent company of Leonardo Hotels, has acquired the four-star, 230-room Leonardo Hotel London Heathrow Airport, from UK real estate investment firm Aprirose. The property was brought to market during the second half of 2024 at a guide price of £30 million (£130,400 per room). The hotel has been operated by Leonardo under a lease with some 14 years remaining, with an annual rent of some £1.7 million and a tenant break option from 2026. The property is situated a five-minute drive from Heathrow Terminals 2 and 3 and includes a restaurant, bar and 15 meeting rooms. Aprirose originally acquired the hotel in 2015, and Leonardo Hotels completed a refurbishment of the property in 2019.
Summer Hotels Group acquires Hotel Royalmar in Cagnes-sur-Mer, France
French owner-operator Summer Hotels Group has acquired the four-star, 41-room Hotel Royalmar in Cagnes-sur-Mer, France. The property, situated by the city's beachfront, is just a 15-minute drive from Nice Côte d'Azur Airport. A new restaurant is scheduled to open in June 2025, and the purchaser plans to renovate the hotel's rooms and public areas. With this acquisition, the Summer Hotels now owns ten hotels along the southern coast of France.
Foremost Hospitality acquires former Senats Hotel in Cologne
German hotel developer and operator Foremost Hospitality has acquired the former three-star, 59-room Senats Hotel in Cologne, Germany, out of administration. Located in central Cologne, a two-minute walk from the Cologne Cathedral, the property was originally part of a large-scale redevelopment project, and was intended to be repositioned as a Radisson Red Hotel. Foremost will now continue the redevelopment and plans to reopen the hotel in 2027 under an international brand. The company already operates eight hotels across Germany, of which six are branded Hampton by Hilton, with the other two being Hilton Garden Inns.
TF Holding acquires Hôtel Caron de Beaumarchais Paris Marais
French real estate investor TF Holding has acquired the three-star, 19-room Hôtel Caron de Beaumarchais Paris Marais in France from a private party. The property is situated in Paris' 4th district, a ten-minute walk from the Notre-Dame Cathedral. French operator Figestel will manage the hotel, adding it to its portfolio of nine other properties in Paris.
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Hospitality Net
7 days ago
- Hospitality Net
Scandic has entered into a framework agreement with Pandox AB and Eiendomsspar AS with the intention to acquire the hotel operations of Dalata Hotel Group Plc
Scandic Hotels Group AB (publ) ('Scandic') has entered into a framework agreement with a consortium consisting of Pandox AB and Eiendomsspar AS (the 'Consortium') with the intention to acquire the hotel operations of Dalata Hotel Group Plc ('Dalata') from the Consortium (the 'Transaction'). Proceeding with the Transaction is conditional upon completion of the Consortium's takeover of Dalata, which was announced today, a separation of Dalata's real estate and operating businesses and necessary regulatory approvals. Upon completion of the Transaction, Scandic will add 56 new hotels to its portfolio with around 12,000 additional rooms and a further pipeline of approximately 1,900, mainly across Ireland and the UK. For the financial year ended 31 December 2024, Dalata reported revenue of EUR 652.2 million; operating profit of EUR 158.5 million; and basic earnings per share of EUR 35.5 cent. The Transaction The key terms of the Transaction are as follows: In connection with the Consortium's cash takeover offer for the entire share capital of Dalata (the 'Dalata Acquisition'), Scandic has entered into a framework agreement with the Consortium with the intention to acquire the hotel operations of Dalata, subject to and conditional upon completion of the Consortium's public takeover offer, the separation of Dalata's real estate and operating business and necessary regulatory approvals. The Dalata Acquisition has been recommended unanimously by the Board of Dalata. Dalata owns and operates hotels primarily in Ireland, where it holds a leading market position, and in the UK. Under the terms of the Transaction, Scandic would take over the operations of 56 hotels (the 'Operating Business'). Of those hotels, 53 would be acquired on a leasehold basis and three would be managed. Scandic would be subject to new lease agreements with the Consortium for 31 of the hotels, with the remainder continuing to operate under existing third-party agreements. The Consortium would maintain ownership of Dalata's freehold and long leasehold property portfolio. Subject to completion of the Dalata Acquisition, the Transaction is expected to take place towards the end of 2026. Under the terms of the Transaction, Scandic would manage Dalata's hotel portfolio pursuant to the terms of a management agreement in the interim period between completion of the Dalata Acquisition and completion of the Transaction (the 'Interim Period'). The management fee would be paid to Scandic quarterly and calculated on the revenue of the Operating Business during the Interim Period. In proceeding with the Transaction, Scandic would pay an anticipated price of EUR 500 million (on a cash and debt-free basis and subject to normal completion adjustments for cash, net debt and net working capital) for the Operating Business, subject to adjustments as agreed upon in the framework agreement reflecting the outcome of the separation of the Operating Business. The consideration payable under the Transaction will be fully financed from available cash and debt facilities, committed by DNB and Nordea. Scandic's current financial targets and dividend policy remain unchanged. If the Transaction is completed, net debt to adjusted EBITDA is expected to temporarily exceed Scandic's financial target of 1.0x but not exceed 2.0x on a full-year basis. Scandic's previously announced intention to launch a new share buyback program of SEK 500 million will now not proceed. However, Scandic would like to emphasize that the Board continues to view share buybacks as a useful tool for optimizing capital allocation. Jens Mathiesen, Scandic President & CEO, comments: 'Scandic has a strong platform, making us well-positioned to deliver on our 2030 strategy. At the same time, we are always open to new business opportunities that can create more value for our stakeholders. Dalata is a high-performing operator with strong brands and leading or established positions in attractive markets. The company primarily operates in the mid-market segment and shares a similar business model with Scandic. Overall, Dalata is a good fit for us. We see this as an opportunity to add a growth platform in new and attractive markets at an attractive valuation. Scandic's strong financial position enables us to pursue this opportunity with balanced leverage. At the same time, we will continue to deliver on our existing strategy that we presented on the capital markets day.' Background and rationale for the Transaction The Transaction represents a value creating opportunity to add a growth platform in new and attractive markets. Dalata has a proven track record and is a strong fit for Scandic Dalata is the market leader in Ireland and has an established presence in the UK, operating primarily in the mid-market segment under its well-known brands, Clayton and Maldron. In combination with a large part of its portfolio comprising of lease agreements, Dalata shares similar characteristics with Scandic, making it a strong complementary is well-managed with a strong track record, having delivered average revenue growth of 9 percent between 2019 and 2024, along with good profitability. In addition, Dalata has consistently reported high average room rates (ARR), occupancy, and revenue per available room (RevPAR) levels, which are expected to enhance Scandic's performance. The hotel portfolio is well-invested, implying limited future capex needs, aligned with Scandic's maintenance capex level. Dalata is the market leader in Ireland and has an established presence in the UK, operating primarily in the mid-market segment under its well-known brands, Clayton and Maldron. In combination with a large part of its portfolio comprising of lease agreements, Dalata shares similar characteristics with Scandic, making it a strong complementary is well-managed with a strong track record, having delivered average revenue growth of 9 percent between 2019 and 2024, along with good profitability. In addition, Dalata has consistently reported high average room rates (ARR), occupancy, and revenue per available room (RevPAR) levels, which are expected to enhance Scandic's performance. The hotel portfolio is well-invested, implying limited future capex needs, aligned with Scandic's maintenance capex level. Attractive market fundamentals in Ireland and the UK Ireland and the UK, including major cities Dublin and London, offer compelling market characteristics, including high ARR, strong occupancy levels, and good RevPAR performance that exceeds levels in the Nordics. Ireland and the UK, including major cities Dublin and London, offer compelling market characteristics, including high ARR, strong occupancy levels, and good RevPAR performance that exceeds levels in the Nordics. Value creating capital allocation The Transaction is expected to be EPS accretive from completion. The cash purchase price reflects an expected EV/Adjusted EBITDA multiple at a discount to Scandic's current valuation. While net debt to adjusted EBITDA is expected to temporarily exceed the financial target following completion, it is not expected to exceed 2.0x on a full-year basis. About Scandic Hotels Group Scandic is the largest hotel company in the Nordic countries with a network of about 280 hotels and 58,000 hotel rooms in operation and under development at more than 130 destinations. The company is leading the way in integrating sustainability in all areas and its award-winning Design for All concept ensures that Scandic hotels are accessible to everyone. Well loved by guests and employees, the Scandic Friends loyalty program is the largest in the Nordic hotel industry and Scandic is one of the most attractive employers in the region. Scandic is listed on Nasdaq Stockholm.
Hospitality Net
13-06-2025
- Hospitality Net
Hotel Market Beat 2025 Q1
INVESTMENT ACTIVITY The UK hotel investment market saw record-high transaction volumes in 2024 primarily driven by major portfolio deals such as Edwardian & Village. While Q1 2025 showed a 72% reduction in volume, a higher number of deals were recorded, totaling 28 individual transactions. Institutional buyers drove transaction activity in Q1 2025, accounting for 40% of total volumes. This reflects a shift from Q1 2024, when the market was primarily dominated by private buyers. The Upscale & Luxury segments led marginally in terms of market share (25% & 23%, respectively), though total volumes were down. Looking forward, single asset transactions are expected to dominate, supported by increased price alignment between buyers and sellers and fewer anticipated portfolio deals by year-end. Source: Cushman & Wakefield, RCA — Photo by Cushman & Wakefield PRIME YIELDS Prime yields in the UK hotel investment market remained stable throughout 2024, a trend that has continued into Q1 2025. While prime assets in high barrier to entry markets may have seen slight compression, yields are expected to sharpen gradually by year-end as interest rates improve and financing conditions stabilize. Source: Cushman & Wakefield — Photo by Cushman & Wakefield SUPPLY & DEMAND UK hotel supply has continued to grow, albeit at a slower rate than in previous years. In Q1 2025, 1,105 rooms have entered the market, leading to a 1.3% supply increase YoY, whilst demand has experienced a higher growth of 1.6%. There are currently 17,580 rooms under construction, a significant decline compared to 22,216 in Q1 2024, which is a positive for hotel trading performance. This decline reflects the continued pressure on construction costs and rising cost of labor. The regional market has been supported by the return of group and corporate segments which rebounded in 2024 and can be expected to continue alongside a growth in domestic leisure travel due to the increasing cost of travelling overseas. PERFORMANCE The UK experienced a slight decrease in top line growth as the post-covid boom stabilizes, with RevPAR levels down -1.1% compared to Q1 2024. Simultaneously, bottom line performance will continue to feel the effects of cost pressures, particularly payroll, which is expected to slightly impact profitability in 2025. Source: Cushman & Wakefield — Photo by Cushman & Wakefield View source
Hospitality Net
11-06-2025
- Hospitality Net
What's Next for Branded Residences - Brands Shaping the Future of Living
Global demand for branded residences is at an all-time high, with Asia at the forefront of development in this exciting asset class in the hospitality sector. The region's branded residences market is currently worth US$26.6 billion, with more than 68,000 units delivered so far and demand continuing to surge across Thailand, Vietnam and the Philippines. Thailand leads the market with a 23.3% share, followed by the Philippines (17.3%) and South Korea (11.6%), while emerging markets such as Malaysia, Vietnam, and India collectively account for 24.5% of the total market share. Over the past four years, the sector has experienced robust growth, expanding at a compound annual growth rate (CAGR) of 11%. From 2025 onwards, an additional 43,100 units across 180 projects are expected to be completed, almost doubling the existing supply of branded residences in the region. Thailand currently has the highest number of launched units in the primary market, with 12,656 units across 55 projects, while Vietnam has the largest number of upcoming units, with 11,390 announced across 36 developments. Globally, the branded residences market has grown a staggering 176% in the last decade. Almost 690 projects are in operation and 617 more are set to launch by 2030, with Asia leading this rapid expansion. After the overwhelming success of the inaugural Branded Residences Forum – launched during FHS World in Dubai last year and now an annual event in its own right – this booming sector will take centre stage in Thailand this June, with the first edition of The Branded Residences Forum Asia. Taking place on 25 June at the Athenee Hotel, Bangkok, The Branded Residences Forum Asia builds on the foundations set at the Dubai event last October, where industry experts addressed key topics surrounding the sector, from investment opportunities to innovation and sustainability to shared living spaces. The sister summit in Bangkok will take another deep dive into this burgeoning business, with the most influential developers, hospitality brands, investors and industry players exploring opportunities, tackling challenges, celebrating the success and shaping the future of this dynamic sector. Among them: founding event sponsor Accor One Living; leading sector consultants Global Branded Residences; global hospitality giant Marriott International; and leading branding and creative agencies QUO and Sectorlight. In the run up to the event, I sat down with some of the biggest, most respected brains in branded residences to get their take on the industry today, tomorrow and beyond. In your opinion, why has the branded residences sector grown so quickly in a relatively short time. What does this unprecedented growth mean for potential investors? While there has been rapid recent growth in the branded residential space, the sector is long established. This year, we proudly celebrate 40 years of Four Seasons Private Residences. Starting in 1985 at our first property in Boston, we have since developed a portfolio that is set to include 60 properties by the end of 2025. Buyers have driven this growth as they respond to the value proposition that hospitality brands have the expertise to deliver on a long-term basis. As buyers and investors enjoy greater variety of options and investments respectively, we foresee growing demand around what brands will provide to ensure continued success and market leadership. James Price, Senior Vice President, Residential Development, Marketing & Sales, Four Seasons Hotels & Resorts Alexandra Yao, Vice President- Global Branded Residences, IHG Hotels & Resorts commented: Covid really sparked the growth of branded residences in recent times coupled with people having multiple home bases in which they could remotely work from added to the growth. This presents a great opportunity for Developers/Investors to continue to grow the branded residential business as many buyers continue to expand their global home bases . Jeff Tisdale Chief Business Officer, Accor One Living, added: The branded residences sector has certainly emerged from a niche concept a few decades ago to a key driver of global hospitality growth. Groups like Accor have been very successful at translating their luxury and lifestyle hospitality models into elevated modern living experiences, to the point where we are now expanding into the premium segment as well. Growth drivers include a surge in demand for a second, third and even fourth home; the desire for seamless, turnkey recreational homes that can be rented out while homeowners are away; and generational wealth transfer among high net worth and ultra-high net worth buyers who see real estate as an important element of their wealth management strategies and family legacies. From a developer perspective, hospitality brands resonate with buyers and provide differentiation in a crowded real estate market. This further enhances perceived value for consumers, and creates added value for developers by driving premiums, economics and accelerated returns. Omar Romero, Chief Development and Luxury Officer, Minor Hotel Group Limited, agreed that buyers' demand for effortless living by a trusted brand is a key driver of growth. Branded residences have surged in popularity due to a growing demand for trust, consistency, and lifestyle integration in real estate. Today's buyers are not only seeking exceptional design and hospitality — they're also seeking effortless living, where every need is anticipated and catered for. Purchasing within a brand they trust and emotionally connect with offers peace of mind and a seamless extension of their preferred way of life. For investors, this represents both a resilient asset class and a differentiated product with strong long-term appeal. At Minor Hotels, we see branded residences as a natural extension of our values — wellness, experiential living, and uncompromising service — making them a key growth enabler for our group. Branded residences continue to transform luxury real estate, offering a seamless blend of hospitality, design, and investment value. Becoming part of this sector appears to be a win-win for developers, operators and investors – but what are some of the hurdles to overcome to ensure branded residences concepts become a successful reality? Jeff Tisdale said, Choosing the right hospitality brand to match a location and a specific target market is a precise exercise. We always say the purchase of a branded residence is the ultimate expression of loyalty. Homeowners are choosing to embrace a certain brand ethos and lifestyle in their everyday lives. Our role is to curate distinct, immersive, and personalised residential experiences that bring our brands to life for homeowners. We created Accor One Living to support our development partners through all stages of a project from planning, sales, and marketing through operations. This enables us to support the expectations and lifestyles conveyed during the sales phase, by ensuring this vision is brought to life through the experience we cultivate once operations commence . While the branded residence model presents clear advantages, successful execution requires alignment in vision, operational capability, and long-term brand commitment. Challenges often arise in ensuring consistent service standards, managing owner expectations, and maintaining the brand's integrity over time. At Minor Hotels, we view this as an opportunity — not just to sell real estate, but to extend our DNA of wellness, sustainability, and experiential hospitality into the residential space. Developers and operators must prioritise authenticity, ongoing service excellence, and seamless integration of brand values into the lived experience , added Omar Romero. James Price commented, Four Seasons collaborates with development partners who share our vision for delivering exceptional homes in destinations where future homeowners want to live, work, and enjoy. Understanding buyer profiles and market characteristics is a critical stage of the development process, and luxury branded residential projects must ensure a comprehensive understanding of both to deliver a great product to residents and a strong investment to developers. There is an increasing assumption of pricing uplift with brands, but this is only feasible if the fundamentals of what drives value in real estate are adhered. Beyond simply providing a recognised brand name, an efficient operating model and well-resourced team will together ensure the exceptional service standard of Four Seasons residences worldwide. In addition to well-planned common areas, amenities, and back of house facilities, we can confidently position a project for success long after its completion . A key hurdle to overcome and understand thoroughly is compliance with local real estate laws and in the case of publicly listed companies such as IHG, a thorough understanding of US SEC compliance as well, especially when it comes to branded residential projects with a rental programme component attached to it. We always want to ensure full compliance with all legal regulations as well as finding a way to protect our brand, our development partners, and the buyers , added Alexandra Yao. Asia is now at the forefront of the branded residences sector, with Bangkok and Phuket among the world's top locations for projects. What can these and other Asian locations learn from the experiences in 'older' branded residences markets – such as cities in Miami, New York and London? While established markets like New York, Miami, and London have long demonstrated the value of brand affiliation, service excellence, and design-led residences, Asia is quickly setting new benchmarks of its own. At Minor Hotels, our experience with Anantara Layan Residences in Phuket is a case in point — the project has consistently outperformed the market, achieving significant premiums over other luxury peers. Demand remains strong, validating the power of a trusted brand paired with exceptional design, privacy, and wellness-led living. The key takeaway for Asia is to localise global best practices while staying true to authentic, lifestyle-driven experiences that resonate with today's high-end buyers , said Omar Romero. Alexandra Yao said: Looking at older projects is a great way to gather best practices and learnings. The older branded residential projects are predominately in the US and have paved the way with decades of experience that we can all learn from in each aspect of a branded residential's project lifecycle: Development, Legal, Sales & Marketing, Technical Services and Operations. It's also important to take the best practices/learnings and tailor them to fit the local Asian markets as each branded residential project is truly unique and we always want to ensure each project reflects the highlight and needs of buyers in each location. Jeff Tisdale added, While the concept started in the Americas with brands like Fairmont, branded residences are now extremely well established in Asia and other parts of the world. Accor, for example, entered the Asia market in 2007 - nearly 20 years ago - with Raffles Residences. One very important insight gathered through our experience is that it is absolutely essential to position the hotel as the extension of the living experience, and not the other way round. There is a delicate balance which must be achieved in branded homeowner communities – providing privacy and exclusivity on one hand, and service, convenience, and modern lifestyles on the other. Co-located hotels for instance, allow residents to enjoy a compelling array of 24/7, on-demand services, yet we carefully consider how to use design and space to create discreet access and protect the privacy of homeowners. Our goal is to deliver a residentially minded service philosophy to ensure the privacy of homeowners is respected and safeguarded at every turn . We see a huge opportunity in Asia due to the market's ability to offer primary residences and vacation homes in city centres and resort destinations. At Four Seasons, an elevated ownership experience is paramount. In addition to offering investment opportunities and delivering enhanced sales performance, the long-term delivery of what it means to be a Four Seasons homeowner is characterised by a service-rich living experience that considers community, quality, and pride in ownership as integral parts of what it means to live with a globally renowned brand that our owners know and trust , commented James Price. Finally, I asked the experts about the importance of 'add on' features such as co-working concepts, shared living and private clubs. Omar Romero said, Add-on features are increasingly central to the branded residence experience. Residents today seek more than just luxury — they crave connection, flexibility, and purposeful amenities. Elements like co-working spaces, wellness hubs, curated experiences, and private clubs reinforce a sense of community and elevate day-to-day living. At Minor Hotels, we see these features not as extras, but as extensions of our core values: personalised service, experiential hospitality, and holistic well-being. By integrating them into our branded residences, we deliver richer, more meaningful lifestyles that truly set our developments apart. James added, Founded on world-class property management and service excellence, the critical elements of success are being in the best locations, having the very best architecture and design, and delivering a seamless ownership experience. As we seek to create communities within our properties, wellness, entertainment, and business amenities will always benefit from Four Seasons commitment to creating beautiful yet functional spaces to connect as a group, or recharge alone. With six decades of extensive luxury hospitality leadership across 47 countries, Four Seasons knows the elements that are most valued by their buyers and guests. While the branded residential sector continues to evolve and the demands of our discerning buyers change, Four Seasons will continue to place human connection at the heart of the service we deliver to ensure that homes can grow alongside the needs of our valued residents . Alexandra Yao said: Add on features are a nice way to further differentiate a branded residential project and give them additional unique selling points . Driving the performance of our hotel and resort assets for our investment and development partners is the first step, but operators who successfully extend their management solutions and brands to residential, coworking, extended stay, and private club concepts can unlock immense value. With judicious management across multiple components of a mixed-use development and through thoughtful sharing of amenities, facilities and infrastructure, we can leverage our partners' capital investment for greater use and increase efficiencies. We also broaden our demographic reach and deepen our roots in the community when we weave in a balance of offerings that appeal to both locals and travellers – such as entertainment venues, boutique fitness clubs, spas with advanced technology, collaborations with local businesses and world-famous restaurateurs. When and if economies fluctuate or markets shift, we have a more diverse source of revenue streams to rely on and a stronger, more resilient business model , concluded Jeff Tisdale. The Branded Residences Forum Asia takes place on 25 June at the Athenee Hotel, a Luxury Collection Hotel, Bangkok. Find out more and register to attend here. Anne Bleeker In2 Consulting +971 56 603 0886 The Bench
