has acquired the NH Collection Milan CityLife hotel on behalf of one of its pan-European hotel funds from , for an undisclosed amount.
Schroders and Invesco jointly said that the sale enables Invescoβs flagship European Hotel Fund βto capture the strong performance delivered by the hotel since it was completed in 2022 and release capital for reinvestmentβ.
Developed around a former church dating back to the 1930s and located in Milanβs Citylife business district, an area with limited direct competition, the NH Collection Citylife Milan is recognised for the quality of its architecture and services. Operated by NH Hotels Group, the four-star hotel offers 185 rooms and caters for both business and leisure travellers.
Thibaut Leonard, Schroders Capitalβs co-head of investments, hotels, said: βWe continue to invest into high-quality hotels across key European markets with high barriers to entry and proven demand.
βThis is our third hotel in Italy alongside the Westin Milan and St Regis, Venice, and the third asset for the Schroders Capital European Leased Hotel Fund that focuses on leases linked to operating performance of the hotel. We look forward to working with NH Hotels Group on this exciting asset.β
David Kellett, managing director, head of alternative investments, Europe, at Invesco Real Estate, said: βThe NH Collection Citylife Milan has been an excellent performer for Invesco Real Estate. The sale, which capitalises on the strong performance delivered by the hotel since its completion in 2022, allows us to release capital for reinvestment.
βThis profitable transaction will enable us to re-invest the proceeds in new deals and develop our well-regarded pan-European hotel portfolio. The current market timing is favourable, with an established operating recovery, making it an opportune moment to invest in hotels with significant value growth potential.β
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