AXA Real Estate Investment Managers (AXA Real Estate), a Europe-based real estate firm and wholly-owned subsidiary of AXA Investment Managers, has purchased the NH Grand Hotel Krasnapolsky in Amsterdam from NH Hoteles for €157m.
The purchase includes all the hotel’s 468 rooms and suites, 2,300m² of conference space, 40,000m² floor space of banquet and meeting rooms, and the Winter Garden.
Under the deal, NH Hoteles will continue to operate the Amsterdam hotel, as it had signed a 25 year management contract.
NH Hoteles and AXA Real Estate will carry out a €38m refurbishment and repositioning programme for the hotel, which is expected to begin in 2014 and end in 2017.
The refurbishment programme will be managed by AXA Real Estate’s specialist hospitality asset management team, which currently manages a portfolio of 101 hotels of worth €2bn across the Europe.
AXA Real Estate transactions European head Riccardo Dallolio said the current transaction highlighted the leadership that AXA Real Estate is taking on sourcing, structuring and executing value-add transactions.
"The NH Grand Hotel Krasnapolsky is a landmark asset in an absolutely prime location within one of Europe’s most dynamic capital cities, but is in need of substantial capital expenditure and real estate expertise to unlock its inherent value," Dallolio said.
"We have brought together two likeminded investors who understand the inherent opportunity presented by this asset and want to use the combined expertise of NH Hoteles and AXA Real Estate to create value by delivering a truly institutional quality asset."