PPHE Hotel Group In Joint Venture With Nakash Group For Berlin Hotels
Further to its announcement on 1 July 2013 of the acquisition of the freeholds and associated inventories of art'otel berlin mitte and art'otel berlin kudamm (the "Hotels") by companies within the Company's group of companies (the "Group"), the Company is pleased to announce that those companies amongst others have today entered into a 50:50 joint venture in relation to the Hotels with the Nakash group and its wholly owned entities ("Nakash").
- year term loan from Deutsche Hypothekenbank secured on the properties and guaranteed by the Company. Under the joint venture Nakash has agreed to indemnify the Company against 50% of any liability it may incur under that guarantee.
which manages a multibillion dollar portfolio of investments with a focus on real estate located in prime locations throughout the world and is also involved in the hotel business. The Nakash portfolio consists of retail space, offices, multifamily and hospitality and hotel properties.
The Group continues to manage the Hotels under long term hotel operating agreements. Boris Ivesha, President & Chief Executive Officer of the Company, commented: "We are pleased to announce this joint venture with the Nakash group, an international investor in quality assets. Together we will embark on an exciting renovation project of these well located hotels with the aim of further improving their position."
PPHE Hotel Group Limited
PPHE Hotel Group Limited owns, leases, develops, operates and franchises full service upscale and lifestyle hotels in major gateway cities and regional centres, predominantly in europe. The majority of the group's hotels operate under two distinct brands, Park Plaza Hotels & Resorts and art'otel. The group has an exclusive licence from Carlson, a global privately held hospitality and travel company, to develop and operate Park Plaza Hotels & Resorts in europe, the middle east and africa. the art'otel brand is fully owned by PPHE Hotel Group and it has a minority ownership interest in the Arenaturist group, one of croatia's leading hospitality companies. through its strategic partnership with Carlson, PPHE Hotel Group has access to their powerful reservation and distribution system, loyalty programmes such as Club CarlsonSM for guests and Look To BookSM for travel agents, 23 airline partnerships and cross-selling opportunities. the portfolio of owned, leased, managed and franchised hotels comprises 38 hotels offering a total of 8,376 rooms. The development pipeline includes three new hotels and two mixed-use developments, which together are expected to add approximately a further 900 rooms to the portfolio by the end of 2014. PPHE Hotel Group’s shares are admitted to trading on the main list of the LSE (standard listing).