A joint venture between private equity real estate fund managers, UK-based Benson Elliot and US-based Walton Street Capital in partnership with Algonquin, has sold the Pullman Paris Centre hotel in Bercy, Paris.
The financial details of the deal, which was concluded off-market, were kept confidential.
The purchaser is a joint venture between French institutional investor, BNP Paribas's Cardif Insurance unit and Algonquin SA, who will remain operating partner and asset manager of the hotel.
The JV headed by Benson Elliot originally acquired the asset in October 2015 as part of an eight asset pan-European hotel portfolio located across Venice, Paris, Milan, Rome, Warsaw, Nuremberg and Brussels. Since then, the JV has also disposed of the Brussels asset from the portfolio, to an institutional hotel fund.
The 396-bed Pullman hotel is situated near the AccorHotels Arena and was fully refurbished in 2013.
Benson Elliot has acquired the asset for BEREP IV, its recently closed pan-European private equity real estate fund which was oversubscribed with €700 mln of capital at its disposal.
'This transaction offered a compelling opportunity to quickly realise returns on behalf of BEREP IV. We are already making good progress in terms of both investments and divestments, with this representing our third sale on behalf of the fund, and we remain alert to new opportunities across European markets that will benefit from our strong underwriting capability and asset management expertise,' noted Trish Barrigan, a senior partner at Benson Elliot.
