Norgani has agreed with Stora Hotellet i Linköping AB to acquire the Radisson SAS Hotel, Linköping, in Sweden for SEK 103.3 million (c. €10m). The property consists of a hotel with 91 rooms and conference and banqueting facilities, a restaurant and four shops.
The hotel is currently operated under a franchise agreement under the brand Radisson SAS. Norgani has entered into a 15-year turnover based lease agreement with Rezidor Hotel Group that starts when Norgani takes over the property on October 1. Rezidor and Norgani have agreed to jointly develop the hotel further by adding more rooms.
"We are very pleased to have entered into a lease agreement with Rezidor, one of the best renowned hotel operators in Europe and hope this represents the start of a long and mutually fruitful collaboration. The hotel in itself, Radisson SAS Hotel Linköping matches our strategy well and is one of the best and most centrally located hotels in the city," says CEO Eva Eriksson.
"We very much look forward to the cooperation with Norgani, and to further develop this first class property in such an important market as Linköping," says Christian Gartmann, Area Vice President Nordics at Rezidor Hotel Group.
Radisson SAS Hotel is Norgani's fourth hotel in Linköping, Sweden's fifth largest city with 138,000 inhabitants and a strong growth.
Norgani's focus is mid-market and upscale hotel properties in the Nordic region with attractive locations, preferably in cities with more than 50,000 inhabitants. The aim is to maintain a well diversified portfolio by working with several operators and their brands, as well as having a good geographic spread.