On January 6, the French real estate investment group Covivio announced that it had acquired a portfolio of luxury hotels in Europe for approximately EUR 620 million.
Covivio stated that it signed an agreement with the private equity group Varde regarding the acquisition of 8 luxury hotels located in Rome, Florence, Venice, Nice, Prague, and Budapest for the sum of EUR 573 million. The French group added that it also acquired a Hilton chain hotel in Dublin, for which it paid EUR 45.5 million.
The transaction between Covivio and Varde comes after a series of transactions in the European luxury hotel sector, including the takeover of the German hotel group Steigenberger by the Chinese group Huazhu Group.
Also, in 2017, Varde took over a portfolio of nine hotels from the Italian group Boscolo, with properties including famous hotels such as the Grand Hotel dei Dogi in Venice and Palazzo Naiadi in Rome.
Frequently Asked Questions
Which hotels were included in Covivio’s acquisition?
The acquisition includes 8 luxury hotels in major European cities like Rome, Florence, Venice, Nice, Prague, and Budapest, plus a Hilton hotel in Dublin.
Who was the seller of the luxury hotel portfolio?
The majority of the portfolio was purchased from the private equity group Varde, which had previously acquired the properties from the Boscolo group.
What was the total value of the investment?
The total investment amounted to approximately EUR 620 million, with EUR 573 million for the 8-hotel portfolio and EUR 45.5 million for the Dublin Hilton.