Hotel company Scandic has signed a lease agreement with AXA Investment Managers to acquire a vacant 214-room hotel in Berlin’s western district.
The hotel will undergo a full renovation to align with Scandic’s brand and operational standards before its opening in the third quarter of 2026.
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Scandic Hotels portfolio development senior vice president Jesper Engman said: “This is in line with Scandic’s expansion strategy and our ambition to seize and drive growth opportunities in key markets that are attractive to us and our hotel guests.”
Strategically situated near Kurfürstendamm and office complexes of major international companies, the hotel will cater to both tourists and business travellers.
Post-renovation, guests can expect modern meeting facilities, dining options, and a fitness centre with a sauna, enhancing the appeal of Scandic’s offerings in the city.
The renovation will also include technical upgrades and sustainability-focused investments, leading to an environmentally certified operation under the Nordic Swan Ecolabel.
This certification reflects the growing emphasis on eco-friendly practices within the hospitality industry.
Once open, the hotel will increase Scandic’s portfolio to three establishments in Berlin, totalling 992 rooms.
Germany’s appeal as a tourist destination and business hub positions it as a strategic market for Scandic.
Scandic Hotels Group president and CEO Jens Mathiesen said: “Berlin is an important market for Scandic, where the company already operates two hotels in central locations that attract leisure and corporate guests alike. Berlin’s status as a host city for major trade fairs, conferences and cultural events ensures year-round demand for accommodations.
“Expanding our collaboration with AXA Investment Managers gives both companies conditions to boost growth in the German market.”
The company’s partnership with AXA Investment Managers is the second lease agreement following a previous deal for a new hotel in Stuttgart.
Scandic’s expansion strategy in Germany is aimed at leveraging the country’s increasing popularity and the demand for event and meeting spaces.
