News & Stories

Riyadh. It's been two months now since Prince Alwaleed has been under arrest over corruption allegations. Rumor has it that his cousin wants his empire in exchange for freedom. While Alwaleed is challenging his own cousin, according to "Forbes", his Kingdom Holding Company has lost nearly a fifth of its value since the prince has been in detention.

London. Key money constitutes an upfront payment by a hotel chain to a hotel property owner in order to secure a management or franchise agreement and is most frequently used in markets where the competition amongst chains to secure a desirable property is particularly intense.

London. Besides new alternative lodging concepts, there are some emerging financing structures which are providing innovative ways to fund deals. Ground leases and income strips are gaining broader acceptance, while sale/leasebacks are making a comeback.

Riyadh. Since Prince Alwaleed bin Talal's arrest two weeks ago in Saudi Arabia's anti-corruption crackdown, things aren't going as smoothly as before for his Kingdom Holding Company. Banks are showing some concern lending more money to the corporation whose investments are on hold.

Vienna. With its latest equity crowdfunding, Falkensteiner Hotels & Residences has set a new record for investments among medium-sized enterprises. Within one month only, the hotel group collected 2.5 million euros from investors. The interest rate is four percent. The funding was oversubscribed by about one million euros, investors offered more than 7,000 euros to Falkensteiner on average.

Munich. Open-ended real estate funds are currently swimming in money - much as though the financial crisis had never happened. Yet this isn’t really deja-vu. Since the prices for offices, shopping centres and residential properties have risen ever more sharply, fund managers have discovered a new favourite asset class: hotels. Is the new love of hotels by open-ended real estate funds a flash in the pan? Beatrix Boutonnet from hospitalityInside.com says not.

Munich. They have probably closed the biggest European hotel real estate deal of the year: In late summer 2017, Invesco Real Estate acquired the EUR 530 million heavy portfolio from the US American private equity investor Apollo Global Management. Robert Stolfo, Invesco Real Estate Managing Director - Client Portfolio Management Europe, and Hans-Peter Hermann, Invesco Real Estate Director - Asset Management Hotels Europe, gave an interview to Beatrix Boutonnet on their first open-ended fund for institutional investors, the increasing time pressure facing their segment, the new investor caution as regards leverage and on the interesting question on how best to package assets.

Vienna. As of now, investors are able to invest in Falkensteiner Hotels & Residences via the financing platform Finnest. This way, the expansion into new markets will be supported, amongst others. Other hoteliers have already chosen this route to obtain financing.

Beijing. Irrational outbound investment in hotels, real estate, entertainment, and sports clubs are over for aggressive Chinese dealmakers whose acquisition strategy is now restricted by local authorities' new investment policies. HNA, Anbang, Fosun, etc. are now limited in their moves which raises concerns abroad regarding their due payments and further ongoing acquisitions. Will HNA be able to actually buy Rezidor's remaining shares as it is compelled to? Nothing is sure at this point. The company needs to make decisions and "big brother" is watching. 

London/Munich. After the liquidation of its first two hotel funds, Invesco Real Estate now issues its third hotel fund, the "Invesco Real Estate European Hotel Fund". The investment portfolio with an investment volume of around EUR 200 million will consist of four hotels in Germany and the Netherlands.