Hamburg's Union Investment has acquired two hotel properties in Poland from developer and operator UBM following two deals totaling €80 million. InterContinental Hotels Group is set to manage the upcoming Holiday Inn Gdańsk City Centre and the recently opened Holiday Inn Warsaw City Centre.
Gdańsk's new Holiday Inn is only in the early stages of development on Granary Island, but it is set to have 240 guestrooms. The waterfront hotel on Ulica Chmielna is slated to be completed in mid-2019, with rights and obligations transferred to Union Investments. The project will be included in one of Union Investment's institutional funds.
The completion of Union Investment's purchase of the Holiday Inn Warsaw City Centre is scheduled for the end of January 2018. The real estate investment manager handled the purchase, which was signed in late 2015, on behalf of open-ended real estate fund Unilmmo: Deutschland. The new 256-guestroom Warsaw hotel, which opened on Dec. 19, 2017, is close to the capital city's Palace of Culture and the main railway station.
The investment manager has been very active recently in the hotel sector. Union Investment acquired five hotels in Germany, the U.S. and Poland totaling €460 million in 2017. Poland led the fund's buying spree as one of its priority markets for the past two years. Union Investment also purchased the Poznań Maraton office building in a €62-million deal along with a hotel in the city and Wrocław's Magnolia Park shopping mall in a €380-million—the largest investment worldwide in 2017—last year.