Dutch hotel brand CitizenM has entered into a collaboration with German project developer GBI to plan its debut in the country.
The focus for CitizenM's expansion in Germany will be on four cities: Munich, Hamburg, Frankfurt and Berlin, where the company plans to open several hotels in each city. GBI and CitizenM will search for suitable properties and plots of land for the brand to acquire, and then develop turnkey CitizenM hotels together.
CitizenM has been expanding its global portfolio across Europe, North America and Asia. In March 2019, citizenM welcomed its third investor, GIC, Singapore’s sovereign wealth fund, raising the value of the company to €2 billion. GIC joins citizenM’s two other investors, KRC Capital (the private investment vehicle) and APG (the Dutch Pension Fund). Together, they have committed to invest €750 million of new equity for future hotel developments.
"It had been clear for some time that Germany, as Europe's strongest economic country and a sought-after travel destination, would be one of our next targets," Klaas van Lookeren Campagne, CEO at CitizenM, said, "but we needed the right partner and consultant for our expansion. We are delighted to have found this with GBI."
In the spring of 2020, the GBI Group of Companies was named Germany's largest project developer of hotels by bulwiengesa,a major independent real-estate consulting company in continental Europe. GBI’s hotel developments cover 140,000 square meters of usable space altogether. GBI has held its top bulwiengesa ranking for four years in a row.
"For GBI, the new mandate is a perfect addition to its development activities," Reiner Nittka, CEO of GBI Holding AG, said. "In terms of brand positioning and location requirements, this is an ideal fit."
CitizenM currently has 20 hotels open in eight countries as well as a confirmed pipeline of 25 properties.