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Qatari investors scoop up landmark hotels in Paris, the largest sale of its kind in Europe since 2011
The Concorde luxury hotels portfolio – including the luxurious Hôtel du Louvre and Concorde Lafayette Hotel in Paris, sold to Constellation Hotels France, a Middle East-based investor with global hotel holdings. Jones Lang LaSalle Hotels represented the seller, Groupe du Louvre, a subsidiary of Starwood Capital. Starwood acquired the hotels as part of its takeover of Taittinger, in 2005. The company had been looking for a buyer for the past several years.
Although the exact figure was not released, sources close to the deal reveal that the purchase price was between €700 and €750 million, the largest sale of its kind in Europe since 2011. “This sale is good news for the market and bodes well for the continuation of portfolio transactions in 2013. It represents the largest transaction in the European hotel market since 2011 and strengthens the international attractiveness of European capitals for investors,” said Yves Marchal, Managing Director Southern Europe at Jones Lang LaSalle Hotels.
The historic Hôtel du Louvre is in the heart of the 1st arrondissement, steps from the Louvre and the Jardin des Tuileries. By contrast, the Concorde Lafayette – to be renamed the Hyatt Regency Paris Etoile – is a modern tower on the western edge of the 17th arrondissement, with stunning Eiffel tower views. The Concorde portfolio also included the famed Hotel Martinez in Cannes and Palais de la Méditerranée in Nice. Hyatt will assume management of all four hotels, a total of 1,724 rooms.
Groupe du Louvre still owns the historic Baccarat crystal company, with plans to open the first Baccarat store in Manhattan this year, and Baccarat hotels and residences in 2014.