Catella Hospitality Europe (CHE) assists investors from the sourcing, structuring and managing of tailored hotel investment opportunities, assessing and executing each opportunity in order to create the optimum Risk/Reward.
CHE is connected to most European lenders, intermediaries and hotel owners – enabling the firm to undertake any kind of operations.
Based in Paris, the team has structured deals and managed properties in France and across other main European countries (United Kingdom, Germany, Spain, Belgium, Poland etc.).
CHE has been launched in June 2019.
Value maximization tailored to investor’s needs
- Finding strategic assets featuring USPs, critical size, nearby demand drivers and suited business mix with protected dynamics;
- Research-driven strategy and investment analysis in order to provide the investor with enhanced market and operational knowledge;
- Diverse networks of brokers, operators, administrators as well as direct owners enabling the most efficient sourcing.
- Supervision of all due diligences and audits, negotiation of legal aspects with the vendors;
- Optimization of the ownership structure to maximize cash flow upstream and avoid cash and tax raps/latent capital gains;
- Handling negotiations with vendors, lessor, financing partners and operators as well as the establishment of shareholder agreements and joint ventures.
- Financial control (budgeting, reporting, audit and management control) and legal follow-up;
- Ability to define and execute heavy renovation, extension and conversion projects;
- Running of daily operations, implementation of commercial strategy, costs control, management of administrative structure and of the relationship with third-party operators if any.
- Provide the optimum liquidity to the asset through the tailoring of acquisition agreements and maximized asset management initiatives;
- Constitution of the required documentation for the exit and identification of potential buyers;
- Creation of a favorable context to exit the deal in the best possible conditions.
Focus on Investments Providing Above Market Returns with Controlled Risks
Type of acquisition
Real estate and/or business through share deals or asset deals
From 2 to 5-star hotels
European gateway cities (ex: Paris, Amsterdam, Madrid, London, German Big 5 cities, etc.) and major leisure and/or business destinations
Core(+): 4%+ initial yield and reach 7%+ post AM initiatives without leverage
Value-Add: 12% to 20% IRR targeted with 50-60%
LTV up to 60% depending on location
Single assets above €20m of EV or Portfolio around €100-300m
Existing/running hotels but also forward-funding
No brand restriction, ability to purchase unbranded assets
Targeted equity of €500m to be deployed within the next 3 years
Envisaged Investment vehicle: SPV owned at 100%