French listed property group Covivio has divested the Club Med Grand Massif in Samoëns, France for €125 mln.
The buyer, Perial Asset Management, has shown interest in diversifying its assets to include the hotel sector, while maintaining an approach aimed at securing rental flows by selecting the best operators with the best guarantees.
The hotel has been operating since its opening by Club Med under a long-term lease with a fixed rent, allowing the new owner to benefit from a secure income stream. The four trident resort comprises 420 guest rooms, two restaurants, two bars, accommodation for 165 employees, as well as a range of leisure facilities and kids’ clubs.
Global real estate advisor CBRE brokered the deal.
Bruno Juin, senior director, Hotels at CBRE said: ‘We are very pleased to have been able to complete this transaction in the current climate, which demonstrates the strong resilience of the sector and the ever-growing appetite from investors for this asset class. The CBRE Hotels team demonstrated its creativity and expertise throughout the process, allowing us to secure the best outcome for our client.’
Sami Mendil, director, Hotels Investment Properties at CBRE added: ‘The hotel has attracted a lot of interest from investors, especially institutional investors, demonstrating their confidence in the rapid recovery of the hotel market and the short-to-medium term prospects for the sector. This asset attracted new entrants into the market alongside traditional real estate investors in search of diversification.’
Stéphane Collange, Chief Investment Officer of Perial Asset Management added ‘We are very proud to have Club Med Samoens in our PFO2 portfolio, which is perfectly in line with the diversification strategy.’
