Commerz Real’s open-ended real estate fund has invested €33.4m to buy 3-star hotel in Germany by way of a forward funding deal.
The manager said the HausInvest fund has bought the 216-room Intercity Hotel in Wiesbaden from project developer GBI.
The 10,600sqm building, which has a 20-year lease agreement with Intercity Hotel, is expected to be completed in the first half of 2021.
Dirk Schuldes, global head of hospitality at Commerz Real, said Wiesbaden has a very stable hotel market and growing demand.
“Thus the State Statistics Office for Hesse put the number of overnight stays in 2018 at more than 1.25m, the seventh successive year in which there had been an increase.
“Commerz Real expects to see further growth, and in particular in the number of business travellers, as a result of the opening of the Rhein Main Congress Center in 2018, which is within easy walking distance of the hotel.”
