European hotel investor and operator, Azure Hotels, has acquired the Radisson Blu Hotel in Hamburg from Invesco, in one of the largest single asset hotel transactions in Germany in 2015. Azure has also agreed a 35-year lease extension with the City of Hamburg, the ground lease holder, as part of a deal which also enables the €194 m renovation of the Congress Center Hamburg and the surrounding area.
The agreed renovation includes the reconfiguration of the public realm and parking areas around the hotel, it will make the Congress Center one of the largest convention centres in Europe, with 12,000 m² of exhibition space, 12,000 m² of foyer space and 12,000 seats in up to 50 halls.
The Radisson Blu is the tallest hotel in Hamburg at 108 metres high, with 27 floors and 556 rooms. Located 20 minutes from Hamburg airport and just 100 metres away from one of the city’s main high-speed InterCity train terminals, Dammtor railway station.
In Q1 to Q3, Germany’s hotel transaction volume was considerably higher than in 2014, with Hamburg recording an approx. 50% increase in hotel investment for the same period the previous year.
John Nielsen, deputy CEO and head of operations for Azure Hotels, commented: “This transaction marks Azure Hotels’ re-engagement with the city of Hamburg and represents an unusual opportunity to add value to an asset that we have previously refurbished and improved. That history with the hotel means that we acutely understand the property and the opportunities to enhance both guest experience and asset value.
“Hamburg is a thriving, exciting and evolving city. With the investment into the area from the City of Hamburg and with its ongoing bid to host the 2024 Olympics, its position as a business and cultural centre is set to grow further in the coming years and we look forward to playing our part in enhancing the fabric of this great city.”
Source: Azure Hotels
