Union Investment has acquired the Park Inn by Radisson Krakow from a JV between subsidiaries of UBM Development and Lindorcenia for €26 mln.
The 152-room hotel is located south of the Vistula river, close to the city centre and near the modern ICE Congress Centre. The Radisson Hotel Group manages the hotel and provides the brand name, in a long-term lease deal.
'With a location that appeals to business and leisure travellers alike and a consistently high occupancy rate, the Park Inn by Radisson Krakow is an excellent fit with Union Investment’s portfolio,' said Andreas Löcher, head of investment management hospitality at Union Investment Real Estate.
'Following transactions in Warsaw and Gdansk, this is our third hotel acquisition in Poland in the past 12 months and we see further potential in the Polish hotel investment market,' Löcher added.
At the end of January, Union Investment closed the acquisition of a 256-room hotel in Warsaw and signed a purchase agreement for a planned new hotel with 240 rooms in Gdansk. Collectively, the three new acquisitions are worth €106 mln. The Hamburg-based real estate investment manager now holds a total of six hotels across four different cities in Poland. They include the 196-room Radisson Blu Hotel in Krakow’s historic old town, held by UniImmo: Europa since 2009.
The transfer of rights and obligations for the deal is scheduled to take place by the end of May 2018.