Union Investment Real Estate has bought a Motel One hotel project in Hamburg's Neustadt from Neuer Steinweg, a joint venture between Deutsche Immobilien and Hamburg Team. The financial details were not disclosed. The acquisition is earmarked for Union Investment's institutional real estate fund Immo-Invest: Europe.
Union Investment Real Estate has bought a Motel One hotel project in Hamburg's Neustadt from Neuer Steinweg, a joint venture between Deutsche Immobilien and Hamburg Team. The financial details were not disclosed. The acquisition is earmarked for Union Investment's institutional real estate fund Immo-Invest: Europe.
The two-star budget hotel, which will be completed in April 2010 and opened in June 2010, is fully let with a long-term rental agreement to Motel One. The company said it expects the budget hotel segment to become increasingly important in the sector in the coming years.
Union Investment now has a total of 21 hotels in its portfolio with a combined investment volume of EUR 1.6 bn.
