Union Investment ups Germany exposure with Meliá buy

(Innside by Meliá Aachen)

Following the purchase of the Meliá Berlin, Union Investment is expanding in Germany by acquiring the Innside by Meliá Aachen for one of its real estate funds at an undisclosed price.

The property was developed and and sold by HPG Hotel Aachen GmbH & Co. KG, a limited partnership, one half of which is owned by HPG Property Group and the other half by Cebus GmbH & Co. KG. The new-build hotel, which is set to open in mid-2016 and is currently accepting reservations for early May, is fully leased on a 20-year program to Sol Meliá Deutschland GmbH, a wholly owned subsidiary of the Meliá Hotels International group. 

Dr. Christoph Schumacher, a member of the management team at Hamburg-based Union Investment Institutional Property GmbH, cited "growing demand in the Aachen hotel market" as a motivating factor for the sale. With other companies moving to the area, he expects demand to grow. 

Source: Property Magazine International