Caisse des Dépôts, Crédit Agricole Assurances and Sogécap - the life insurance subsidiary of Société Générale Group - secured a stake in FDM Management, a vehicle created by Foncière des Régions in December 2014 to make the Group's hotel investments through management contracts or franchise agreements.
With an investment capacity of approximately €350 mln for 2015, FDM Management has already completed two major transactions representing total investment of €104 mln.
This successful effort to raise equity capital shows the growing interest of long-term investors in hotel real estate. It also proves the relevance of the partnership model of Foncière des Régions, currently a French leader in hotel ownership and the main real estate partner of major European players in the sector (Accor, B&B Hôtels, Louvre Hotels Group, NH Hotel Group, Motel One and Meininger), via its subsidiary Foncière des Murs.
The capital of FDM Management is now broken down as follows: Foncière des Murs (40.8%), ACM Vie SA (11.6%), BNP Paribas Cardif (11.6%), Caisse des Dépôts (11.6%), Crédit Agricole Assurances (11.6%) and Sogécap (11.6%).
“With this fundraising and these new long-term investors, Foncière des Régions will speed up its development in the European hotel sector”, said Dominique Ozanne, Managing Director of Hotels & Hospitality Management at Foncière des Régions and Chairman of FDM Management.
Source: Foncière des Régions