Kohlberg Kravis Roberts, the New York-based private equity firm, has invested €48 million in two hotels in Antwerp, Belgium.
KKR has acquired the Radisson Blu Astrid Hotel, a four-star hotel with 247 rooms, and the Park Inn Hotel, a three-star boutique with 59 rooms, as part of a joint venture with European hotel group Algonquin.
Antwerp has a large corporate market and is a growing destination for conferences and fairs, and is due to grow further with the planned opening of a conference centre in 2017.
“Antwerp’s status as a business hub and a leisure destination makes these hotels attractive investments. As the city continues to develop its infrastructure, including with a new conference centre, we believe demand for the hotel market will continue to grow,” commented Guillaume Cassou, head of European Real Estate at KKR.
“This acquisition represents an exciting first step in KKR’s partnership with Algonquin, and both groups are looking forward to doing more together across Europe.”
Since launching a dedicated real estate platform in 2011, KKR has committed more than $2 billion to 50 real estate transactions in the US, Europe and Asia as of Q1 2015. The real estate team consists of over 30 dedicated investment professionals.
KKR and Algonquin were advised by Gide and Nautaduthil on the legal front, while VOKA- Kamer van Koophandel Antwerpen-Waasland and Hugo Ceusters Real Estate lent support in the due diligence of the investment.