Hamburg-based asset manager Union Investment has acquired the Hyatt Place hotel project at Frankfurt Airport from developer Feuring Group, via a forward-purchase agreement.
Hamburg-based asset manager Union Investment has acquired the Hyatt Place hotel project at Frankfurt Airport from developer Feuring Group, via a forward-purchase agreement.
The parties agreed to keep financial details confidential.
Located on a 3,000 m2 site in the new Gateway Gardens business quarter, the hotel will be purchased by Union Investment's Unilmmo: Global open-ended retail real estate fund upon completion planned for the first quarter of 2018.
It will provide 312 rooms over 19,350 m2 of space as well as 110 underground parking spaces. Construction is due to start in the second quarter of 2016.
The Feuring Group will then operate the hotel under 30-year lease under the Hyatt Place brand.
'The Hyatt Place Frankfurt Airport deal sees us exploiting an opportunity to acquire a hotel project in the established Gateway Gardens location. The anticipated growth in passenger numbers and associated overnight stays will benefit not only the Hyatt Place hotel but also the wider district,' said Andreas Löcher, head of investment management hotels at Union Investment Real Estate.
Gateway Gardens comprises a planned 700,000 m2 of gross floor area across a 35-hectare site, making it one of the largest developments in an airport city anywhere in Europe.