Warimpex secures financing for Russian hotels

Warimpex has secured a €37 mln refinancing deal with Moscow-based Sberbank for two hotels in Russia's fourth largest city Ekaterinburg.

The financing is for the four-star Angelo Airporthotel Ekaterinburg and the three-star Liner Hotel Ekaterinburg.

Warimpex, primarily a hotel developer-owner which is listed in Vienna and Warsaw, said this was the first time it had secured a refinancing agreement with a Russian bank for one of its Russian projects.

The deal replaces short-term financing that was to run until September 2013 with long-term debt for the completed asset, payable within the next 10 years.

Ekaterinburg, also known as Yekaterinburg, has a population of 1.3 million and is the administrative capital of the Sverdlovsk Oblast district near the border between Europe and Asia.

Angelo Airporthotel was opened in 2009 and has a direct connection to the passenger terminal of Ekaterinburg International Airport, the main hub situated between Europe and Asia.

The hotel comprises 211 sound-insulated rooms and suites, as well as a 1,350 m2 conference centre with 12 conference rooms and state-of-the-art technical equipment.

The 146-room Liner Hotel, which has been in operation at the airport since 1986, was renovated and converted into an international-standard three-star hotel. The revenues of the two hotels have increased significantly over the last two years, Warimpex said.