AXA Real Estate announces that it has acquired the NH Grand Hotel Krasnapolsky, in the center of Amsterdam, from NH Hoteles SA for €157 million on behalf of a European and an Asian client.
The asset is in a prime location in Amsterdam and comprises 468 rooms and suites, 2,300 m² of conference, banqueting and meeting rooms across a total floor area of around 40,000 m², as well as the historic and unique Winter Garden.
Under the terms of the transaction, NH Hoteles will remain as the hotel’s operator, having signed a 25 year management contract. In addition, NH Hoteles and AXA Real Estate will undertake a significant, phased €38 million refurbishment and repositioning programme which will commence next year and be completed by 2017.
The investment will be managed by AXA Real Estate’s specialist hospitality asset management team which currently manages a €2 billion portfolio of 101 hotels across Europe.
Riccardo Dallolio, European Head of Transactions at AXA Real Estate, said: “This transaction highlights the leadership that AXA Real Estate is taking on sourcing, structuring and executing value-add transactions. The NH Grand Hotel Krasnapolsky is a landmark asset in an absolutely prime location within one of Europe’s most dynamic capital cities, but is in need of substantial capital expenditure and real estate expertise to unlock its inherent value. We have brought together two likeminded investors who understand the inherent opportunity presented by this asset and want to use the combined expertise of NH Hoteles and AXA Real Estate to create value by delivering a truly institutional quality asset."
Alphons Spaninks, Head of Asset Management Benelux & Nordics at AXA Real Estate, said: "This transaction is another clear example of AXA Real Estate's strong local asset investment management and execution skills, as well as our ability to attract international capital on relatively large transactions in the Netherlands."