Tikehau Capital has purchased the four-star Hotel California and plans to renovate the building as part of its European real estate investment strategy.
The asset management group said the acquisition of the 172-key hotel - located in the 8th arrondisement, close to the Champs-Élysées – is part of its plan to rehabilitate and reposition underutilised assets. Tikehau added this plan is in line with its new value-add real estate investment strategy that intends to contribute positively to climate action, biodiversity and inclusive neighbourhoods.
Looking forward, Tikehau said the four star-hotel, which has been closed for over two years, will undergo renovation works and commercial repositioning to cater to business and leisure clientele and should be able to take advantage of the Parisian hotel market in the run-up to the 2024 Olympic Games.
What they said
Frédéric Jariel, co-head of Tikehau Capital's Real Estate business, said: “We are very pleased to announce the first acquisition of our pan-European real estate strategy, which confirms, in our view, the relevance of our asset repositioning approach. We believe that the Hotel California is an iconic hotel of exceptional scale with extensive common areas.
“As with all our real estate asset transformations, we will pay particular attention to the materials used during the construction phase, the energy efficiency of the future building and the various environmental certifications applicable.”