Germany's Lindner Hotel Group (LHG) has taken over the operation of five hotels previously managed by Düsseldorf-based hotel investor and developer 12.18. as part of a merger deal.
According to the family owned hotel group, this will grow LHG's portfolio from two to four brands.
Under the agreement, 12.18. will focus on real estate activities. Both companies consider the merger to be another milestone in their respective growth strategies.
The takeover strengthens LHG's position as an operator and lessee of hotel real estate, according to both firms. In addition to expanding its brand portfolio, it adds three other countries, Italy, UK and USA, to its operations.
'The integration marks the next chapter in our strategic direction,' commented Arno Schwalie, CEO of the Lindner Hotel Group. 'We are growing with a clearly differentiated multi-brand strategy and are strengthening our position in the European leisure market.'
As a result of the takeover, LHG will increase its turnover by around €90 mln and add more than 1,000 rooms to its portfolio.
LHG will now operate 35 hotels in eight European countries and the USA, with six additional hotels in the pipeline. SOme 33 of those hotels operate under Hyatt brands. LHG will employ around 2,500 people and expects to generate revenue of around €330 mln in 2024.
12.18. focuses on acquiring, developing, and repositioning hotel real estate and providing asset management services to its capital partners. 'Going forward, we will no longer operate hotels ourselves. However, at LHG, we have a strong partner with whom we will work closely on the operation of hotels,' said Adrian Lindner, managing director of asset management at 12.18.
LHG currently operates hotels and resorts under the two brands Lindner Hotels & Resorts and me and all hotels. The merger adds two further brands, 7Pines Hotels & Resorts and L-Collection. 7Pines Hotels & Resorts includes luxury destinations in Ibiza and Sardinia.
The L-Collection has been newly created to include the other hotels previously operated by 12.18, such as Schloss Roxburghe (Scottish Borders/UK), Hotel Stadt Hamburg (Sylt/Germany) and the San Carlos Hotel (New York/USA).
