Heureka Real Estate has acquired a 1,300m² site in the Weststadt district of Heidelberg, located in close proximity to the central railway station, for the development of a hostel. The vendor is Kommunalprojekt ppp AG. The scheme will offer 112 rooms across five storeys, providing a total of 320 beds. Construction is scheduled to start in mid-2022. a&o Hostel GmbH, Europe’s largest privately-run hostel chain with 40 hostels in 24 cities, has already signed a 20-year contract to operate the new facility. The purchase price was not disclosed.
Robert Waidhaas, Managing Director of Heureka, commented: "Even in this very difficult time for the hotel industry, we at Heureka remain committed to our slogan Identifying potential - developing value'. Particularly in this challenging situation, we are confident that well-positioned and experienced market players like us are optimally placed to identify and exploit existing opportunities. What’s more, Heidelberg, one of the best-known tourist hotspots in Germany, is experiencing high demand from both users and operators. It remains in the focus of the real estate investors."