Private equity real estate fund manager Benson Elliot and Schroders have joined forces to buy a €240m Disneyland Paris hotel portfolio.
Benson Elliot Real Estate Partners V and Schroder Real Estate Hotels (SREH) have acquired the three hotels with a total of 1,183 rooms in Disneyland in two separate transactions.
The investment is structured as a 50/50 joint venture between Benson Elliot and a consortium of private investors advised by SREH.
The joint venture has engaged SREH as the portfolio’s manager.
Dream Castle and Magic Circus, both four-star hotels, were purchased from Austrian real estate developers Warimpex and UBM, while Explorers was purchased from a joint venture managed by SREH.
The assets were developed between 2003 and 2007.
Benson Elliot said whilst the assets have benefitted from substantial investment, significant opportunities remain for the joint venture to create further value through the implementation of targeted asset management initiatives.
Marc-Olivier Assouline, Benson Elliot principal, said: “The portfolio represents a collection of high-quality, cash-flowing assets being acquired at a substantial discount to replacement cost.
“The hotels present opportunities to optimise value and grow income through targeted refurbishment programmes.”