December 2024: Key Hotel Transactions Across Europe

European Hotel Market Sees Dynamic Transactions in December 2024

The European hotel market remains a hotbed of investment activity, with diverse acquisitions and strategies defining December 2024. From historic properties to adaptive reuse projects, here’s a breakdown of key deals shaping the sector:

Partners Group and Portobello Capital Acquire Bluesea Hotels
Swiss private equity firm Partners Group, in collaboration with Portobello Capital, acquired a majority stake in Spain-based Bluesea Hotels. With 25 properties totaling 5,100 rooms across Spain and one in Morocco, the mid-market-focused chain will see significant upgrades and expansion under its new ownership. This follows Partners Group’s recent acquisition of The Standard London for £185 million, signaling its commitment to hospitality investments.

Vivion Secures Berlin’s Femina Palace
Luxembourg-based Vivion Investments purchased an 89.9% stake in Berlin’s Femina Palace for €65 million. Formerly the Ellington Hotel, the property, located near the iconic KaDeWe mall, will undergo transformation into a luxury five-star hotel under a premier global brand, marking a departure from its initial mixed-use development plans.

Sinfam Investments Acquires Sofitel Grand Sopot, Poland
Poland’s Sinfam Investments acquired the beachfront Sofitel Grand Sopot for PLN 125 million (€29.2 million). This five-star, 126-room historic property has been a Baltic Sea landmark since 1927. Accor’s Sofitel brand will continue managing the hotel, complementing Sinfam’s existing holdings like the Hotel Warszawianka in Warsaw.

Alexandrion Group Expands with Orizont Hotel, Romania
Romanian beverage conglomerate Alexandrion Group acquired the Orizont Hotel in Predeal for RON 52 million (€10.5 million). Situated in Romania’s highest mountain resort, the 139-room property boasts a spa, conference center, and restaurants. Renovations and management changes aim to further enhance its appeal.

Greykite and Equilibria Transform NH München City Süd
London-based Greykite and Equilibria Group jointly acquired the vacant NH München City Süd in Munich, Germany, with plans to convert the 162-room property into 190 student accommodations by 2026. This marks Greykite’s entry into the PBSA (purpose-built student accommodation) sector, targeting supply-constrained German markets.

Dutco Group Repositions Edinburgh’s Bruntsfield Hotel
Dubai’s Dutco Group acquired the Bruntsfield Hotel in Edinburgh, Scotland, for further luxury repositioning. The 74-room property underwent initial refurbishments under Castleforge ownership but will now undergo a complete upgrade starting in 2025. Dutco’s growing Scottish portfolio also includes the Mar Hall Golf & Spa Resort.

Compass Hospitality and Seacare Acquire Trouville Hotel, UK
Compass Hospitality and Seacare Hospitality acquired the 88-room Trouville Hotel in Sandown, Isle of Wight. Renowned for its panoramic sea views and ballroom, the property joins Compass’s expanding UK portfolio of 25 hotels, signaling its continued focus on coastal and midscale properties.

Philema Adds Budock Vean Hotel, Cornwall
UK-based Philema Hospitality Management acquired the Budock Vean Hotel in Cornwall for £6.5 million. With a golf course, spa, and riverfront location, this historic property aligns with Philema’s portfolio of boutique hotels across Cornwall and Devon.

Investment Strategies Highlight Market Diversity
This month’s transactions reflect varying investment approaches—ranging from luxury repositioning and portfolio expansion to adaptive reuse projects. Europe’s hospitality market continues to attract global investors leveraging strategic assets to meet changing consumer demands.

As stakeholders balance tradition and innovation, these acquisitions demonstrate the region’s resilience and adaptability in a competitive global market.