IMMOFINANZ Group announced the closing of the sale of the Hilton Vienna Danube for €48.4 million to a subsidiary of Internos Real Investors Kapitalanlagegesellschaft, Frankfurt am Main. This transaction, which continues the company‘s exit from the non-core hotel business, took place above the carrying amount of the property. The parties have agreed not to disclose any further details on the transaction.
"We intend to withdraw completely from the hotel segment and are using the current attractive seller’s market. Following the profitable sale of the Grand Hotel Kempinski in St. Moritz during February of this year, this latest transaction moves us close to our goal of ending our business in this asset class“, explained Eduard Zehetner, CEO of IMMOFINANZ Group. “In the transaction area, we currently have the most extensive pipeline of potential deals in years. The demand for prime properties has been fuelled by the reserved forecasts for economic growth, low interest rates and the belief of many market participants that this situation will not change in the near future."
IMMOFINANZ Group’s hotel segment (based on the primary use of the property) now only includes one object: the Leonardo Vienna. This property is also on the market following the completion of renovation.
The Hilton Vienna Danube was opened in 2003 and has 367 rooms, including 24 suites. The lease with the Hilton Group, which operates this four-star hotel, was extended for 20 years in 2011. The hotel stands out – as the only one of its kind in Vienna – with a location direct on the Danube. The building was completely renovated in 2010 and 2011.