After opening new hostels in Brighton (August 2024), Antwerp (October 2024), and Brussels (December 2024), a&o Hostels is expanding further with the acquisition of a&o Heidelberg. This marks its 43rd property in Europe and 26th in Germany. The company operates 42 properties across ten countries, with 19 owned directly by a&o.
The a&o Heidelberg will be a new five-storey building, with 118 rooms and 320 beds. Scheduled for opening at the end of 2026, construction work will be starting in spring 2025. The associated property at Speyerer Strasse 5 was acquired from BHB Heidelberg GmbH, a subsidiary of Heureka Real Estate GmbH, as part of a forward sale.
Together with its owners, Proprium Capital Partners and StepStone Group, a&o has over 500 million euros available to invest in the expansion, conversion and modernization of existing and new properties.
Oliver Winter, CEO and Founder of a&o Hostels, said: “Last year, we set out some of our goals for a carefully accelerated growth strategy across 2024 and beyond, and with four new great locations acquired in just six months, we are well positioned to deliver on these.”
Philipp Westermann, Partner at Proprium Capital Partners, said: “We remain very confident in the huge opportunities for continuing long-term growth at a&o Hostels across Europe, which we look forward to continuing to support. a&o Hostels has a best-in-class business and brand, with enormous further potential that a&o is well on track to deliver on.”
Image source - a&o Hostels.
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