PPHE Hotel Group has bought the 4-star Londra & Cargill Hotel in Rome for €34.5 million.
The acquisition marks the group's entry into the Italian market.
On completion of the transaction, hotel operations will continue whilst the group finalises its plans to reposition the property to an upper upscale lifestyle hotel. The hotel is expected to be relaunched in early 2023.
The transaction has been structured as a share sale of the company which owns the freehold hotel and its operations from certain members of the De Romanis family.
The acquisition has been funded from the group's excess cash position which will be partly refinanced with external bank debt in due course.
PPHE is an owner operator with 46 properties in six countries offering nearly 8,800 rooms. It has an exclusive and perpetual licence from the Radisson Hotel Group to develop and operate Park Plaza branded hotels and resorts in Europe, the Middle East and Africa. In addition it also owns, and operates under, the art'otel brand and its Croatian subsidiary owns, and operates under, the Arena Hotels and Apartments and Arena Campsites brands.
What They Said
Boris Ivesha, of PPHE Hotel Group: "We are thrilled to acquire this hotel in the centre of Rome, which will mark our entry into the Italian market and adds another key capital city to our growing portfolio of hotels.
“Our plans to reposition the property to an upper upscale lifestyle hotel will further bolster our development pipeline which already features iconic, premium projects across cities including art'otel london battersea power station and art'otel london hoxton.
"This latest acquisition further supports the Group's long term growth strategy as it continues to build its presence in new markets.''