French hotel chain Accor has announced the disposal of the Sofitel Arc de Triomphe in Paris through a sale and management-back arrangement with a consortium of French private investors. The transaction price amounted to EUR 69 mln, including EUR 44 mln for the purchase of the hotel and a commitment by the buyers to invest an additional EUR 25 mln in its refurbishment.
French hotel chain Accor has announced the disposal of the Sofitel Arc de Triomphe in Paris through a sale and management-back arrangement with a consortium of French private investors. The transaction price amounted to EUR 69 mln, including EUR 44 mln for the purchase of the hotel and a commitment by the buyers to invest an additional EUR 25 mln in its refurbishment.
Accor will continue to run the hotel under a long-term management agreement. Located close to the Champs-Élysées, the four-star property has 135 rooms in a Haussman-style building. The hotel will remain open throughout the renovation period.
In a statement, Accor said the sale is part of its strategy to divest property and refocus on its core business.
'The disposal confirms the group's ability to pursue its current EUR 1.2 bn asset management programme,' Accor said. The programme includes 35 sale and management-back transactions to be carried out in the period 2011-2012, mainly concerning Sofitel and Pullman units.
