Aware Super has become the majority owner of The July through the acquisition of Dutch pension fund manager APG’s interest in the European apartment-hotel owner and operator.
The July currently operates three ‘aparthotels’ in Amsterdam and recently opened its first UK location in London near Victoria Station. The company is also developing three additional locations in Amsterdam, Dublin and Lisbon and sourcing new development sites in other European cities.
The apartment-hotel chain, formerly known as City ID, partnered with APG and Aware Super in 2020 to invest more than €500m in European assets over four years. The partnership gave APG – which had previously invested in City ID in 2019 – and Aware Super equal stakes in the venture.
Aware Super said its latest investment was part of the A$200bn (€112bn) superannuation fund’s commitment to invest £5.25bn (€6bn) in real estate, infrastructure and private equity opportunities in the UK and continental Europe over five years, following the opening of a London office in November 2023.
Mathieu Elshout, senior portfolio manager, property UK and Europe, Aware Super, said: “With its uniquely diverse customer base, strong growth and limited supply, the aparthotels market represents a high-conviction subsector for Aware Super. The July provides an industry-leading offer, and the current platform represents a strong base from which to expand the business across Europe.
“The strong performance of the business since we first acquired a stake in 2020 gives us great confidence in its future, and we are confident this investment will be a strong addition to our portfolio, which will look to deliver robust returns for our 1.2m members in Australia.”
Robert-Jan Foortse, head of European real estate at APG, said: “APG was early to identify European aparthotels as an attractive segment within the hospitality industry. The product is still very much under-represented in Europe, and therefore offers substantial growth opportunities. Over our holding period we have been very pleased with the financial performance of The July and the progress we have made with the APG sustainability agenda.
“Yet, when managing our total portfolio, decisions have to be made and our exit from The July is one of them. We wish the company and Aware Super all the success on the next leg of the brand journey as The July looks to expand across major cities in Europe.”
Alex Goad, co-founder and CEO of The July, said: “This transaction represents an important milestone in the history of The July, as with its high-quality offer, unrivalled locations, and strong development pipeline, the business is ideally placed to benefit from the increased demand for aparthotels across Europe.
“Aware Super has been a supportive partner for five years, and we look forward to collaborating still further as we take The July to the next level.”
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