Strategic investment in hotels
Successful hotel transactions require a high level of specialisation on the part of investors. Union Investment has been investing in hotel properties for over four decades now and has accumulated a wealth of expertise over the years. We are the leading player in the German hotel investment market and have an international reputation as a pioneer in structuring complex transactions.
Growth based on clear criteria
Union Investment covers the full range of global hotel properties, from budget and mid-range to four- and five-star hotels. Our funds require a wide variety of excellent hotel properties. We have significantly increased the proportion of hotels in our overall portfolio in recent years and are on a growth trajectory in Europe and the US. We are also closely monitoring other hotel markets around the world.
We typically acquire hotels as completed buildings, but also invest in many hotel properties in the early stages of development.
Investment criteria for hotels
Strategic partnerships boost growth
Our team has forged close links with all the major market players, thanks to our involvement in a host of transactions. From Marriott and Hilton to Accor, Motel One, InterContinental and Radisson, we have enjoyed trusted relationships with the large international hotel brands for many years. Our partners value our willingness to help pioneer new market standards.
We have exciting plans for the future. We are open to new ideas, innovative products and new strategic partnerships.
Innovative contract structures
Structuring leases is central to our investment policy. Hotel chains across the world are frequently looking to minimise their operational risk. We meet this need with innovative solutions such as hybrid or sandwich leases – often in conjunction with franchising agreements.
With our strong focus on finding successful solutions, we bridge the gap between UK/US management contracts and continental European leases. As a result, we are able to implement complex transactions professionally in all markets.
Recent acquisition highlights
One of the Investment Management Hospitality team’s most recent achievements is the creation of a high-end hotel portfolio in the US in strategic locations including New York, Chicago and Seattle. We also continue to be active in Germany and Europe and have expanded our global portfolio to include more than 75 properties.