Benson Elliot Capital Management, the leading private equity real estate firm, has completed a 6 million office-to-hotel conversion program at the Deutsch-Japanisches Center in Düsseldorf. The project transformed 5,000 m² of office space into 85 executive hotel rooms and 650 m² of convention space that can accommodate up to 1,000 delegates at the city's highly-regarded 5-star Nikko Hotel. With a total of 386 rooms the Nikko Hotel is now the largest downtown hotel in Düsseldorf.
The refurbished and expanded Deutsch-Japanisches Center in Düsseldorf.
Benson Elliot acquired a controlling interest in the Deutsch-Japanisches Center, which houses the Nikko Hotel, on behalf of Benson Elliot Real Estate Partners II, in January 2007. The mixed-use complex is located in Düsseldorf's city centre, close to the banking district and the renowned shopping boulevard, the Königsallee. Following the refurbishment program the property now comprises the Nikko Hotel, the Nikko Convention Center, 7,500 m² of office and retail space and a 560 bay underground car park.
Trish Barrigan, Senior Partner at Benson Elliot, commented: "Our conversion of the former offices into hotel rooms and convention space highlights our belief in the potential of the Nikko Hotel and the Deutsche-Japanisches Center as a leading convention destination. Early on, we recognized the opportunity to create a superior hotel offering, catering for individual business, convention and leisure travelers."
"We anticipate hotel markets, especially the trade fair destination of Düsseldorf, to benefit from improving market conditions next year and beyond. Our value-add program at the Nikko Hotel demonstrates our ability to, and confidence in, investing in hospitality markets at this point in the cycle. We are currently looking at similar opportunities in Germany and elsewhere in Europe."
Bertold Reul, General Manager of the Nikko Hotel, added: "We are delighted to unveil the fully completed Nikko Hotel to guests and convention delegates. So far we have had a fantastic response to the enlarged and greatly improved facilities."
Benson Elliot acquired the Deutsch-Japanisches Center in partnership with an affiliate of Event Holding, a leading hotel owner/operator based in Cologne, Germany.
Source: Benson Elliot Capital Management