The hotel trade

Our conviction

France is the world’s most popular tourist destination with 90 million annual arrivals and an annual turnover of $67 billion.

The continued increase in tourist numbers remains solid even if it is subject to the impact of economic crises or cycles. It therefore represents a genuine opportunity for long-term investors. The economic and tourist aspects of hotel properties as well as new leisure property concepts all benefit from these positive factors. Primonial REIM’s expertise provides a means for investors to benefit from hotel trade performance under the best possible conditions.

Investment strategy

Primonial REIM France continued its diversification strategy by entering the hotel trade sector in 2019. In addressing these new asset classes, Primordial REIM responds to the demands of institutional investors for an increase in the share of ‘alternative’ properties in their allocations.

To this end Primonial REIM France is currently putting together a dedicated management team and has made ties with experienced partners able to support their development ambitions on a European scale.

An initial institutional hotel trade trust “PREIM Hospitality” was structured in 2019 in partnership with the B&B Hotels Group, with a global investment volume of €400 Million, for a property investment return on acquisition of 5.14%.

A second operation was completed in Germany, on behalf of trusts managed by Primonial REIM, through the acquisition of a portfolio of 4 hotels run by Crown Plaza and Holiday Inn for a total of €200 million, for a property investment return on acquisition of 5.13%.

Consequently, at the end of 2019, Primonial REIM France had €700 Million in assets under management for this asset class in France, Germany and Italy.

 

Investissement hotel

Our publications

Real estate convictions : 1st quarter 2024
  • Market review

Real estate convictions : 1st quarter 2024

27/05/2024 By Henry-Aurélien NATTER

For now, European real estate professionals have been cautious and are watching for the tipping point that could occur with the announcement of the first change in direction by the ECB.

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Primonial REIM real estate convictions : 4th quarter 2023
  • Market review

Primonial REIM real estate convictions : 4th quarter 2023

20/02/2024 By Henry-Aurélien Natter

After a slow year in 2023, 2024 will be a year of many challenges: challenges that are at the same time democratic, geopolitical, economic and financial.

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Primonial REIM real estate convictions : 3rd quarter 2023
  • Market review

Primonial REIM real estate convictions : 3rd quarter 2023

16/11/2023 By Henry-Aurélien Natter

A new phase is taking shape, with the ECB's stated intention to leave rates unchanged, thereby giving investors greater visibility.

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