Warimpex Finanz- und Beteiligungs AG has sold its shares in the project company that owns the Dvořák Spa Hotel in the Czech city of Karlovy Vary to a subsidiary of Raiffeisen-Leasing.
The Dvořák Spa Hotel in Karlovy Vary, Czech Republic
"Following the sale of the Pauler office building in Budapest at the beginning of December, we have succeeded in executing yet another positive transaction. This is an important sign that we have the trust of the banks despite the difficult conditions on the financial markets," says Franz Jurkowitsch, Warimpex's Management Board chairman.
The Dvořák Spa Hotel, which Warimpex will lease from 2009 and continue to operate following the sale, is one of the company's best booked hotels and has enjoyed an average occupancy rate of 85% over the last few years. The hotel will continue to be managed by Vienna International Hotelmanagement AG in the future.
The selling price was just under 7% less than the fair value determined by the international real estate assessor CB Richard Ellis (CBRE) in June 2008. In addition, the transaction amount is roughly twice the book value of the property because Warimpex values its hotel properties at adjusted historical costs.
The effect of this transaction on the company's earnings position as reported in the IFRS consolidated financial statements is currently being assessed. The four-star Dvořák Spa Hotel enjoys an exclusive location on the Teplá River near Karlovy Vary's drinking colonnades. The property, which has 126 rooms and its own spa facility, was opened by Warimpex in 1990 and was expanded in 2003 and 2004.