Bouwinvest invests in 186-room hotel in Provast Amsterdam Tower Development (NL)

Bouwinvest has acquired a 186-room hotel over the six lower floors of the 100-metre high Amstel Tower, being developed by local firm Provast, in the business district adjacent to Amsterdam’s Amstel railway station to the southeast of the city’s center.
German hotel chain Meininger has signed a 25-year lease for the space in its second investment in the Dutch capital. Meininger also has a hotel next to Amsterdam Sloterdijk Station in the west of the city.
Bas Jochims, Head of Asset Management Offices/Hotels at Bouwinvest, said: “Amsterdam is the strongest hotel market in the Netherlands and indeed one of the most attractive in Europe. The Meininger chain is a leading operator in the three-star segment of the market and this investment fits squarely into the strategy of the Bouwinvest Hotel Fund in selecting stable assets in locations with high demand for accommodation and anchored by secure long-term covenants. We are actively looking to increase the share of hotels in our real estate investment portfolio.”
Provast won the tender for the €66 mln project to develop the Amstel Tower from Amsterdam City Council in 2013 and construction work is due to begin at the end of this year, with completion scheduled for late 2017. Residential apartments will occupy the upper floors of the building and Provast will also develop a parking garage with 171 spaces at the site.
CBRE Hotels and law firm Loyens & Loeff advised Provast on the hotel investment.
Source: Bouwinvest