AXA Investment Managers – Real Assets (“AXA IM – Real Assets”), a global leader in real assets investment and the leading(2) real estate portfolio and asset manager in Europe, announces that it has completed, in a 50/50 joint venture between ATP, Denmark’s largest Pension Fund, and AXA Insurance Companies, the acquisition, by way of a forward purchase, of a hotel development in Amsterdam, the Netherlands, from real estate developer COD who are developing the project jointly with Being Development.
Construction started in September 2016 with the sheet piling and the two layer underground parking garage, and the completion of what will be Benelux’s largest hotel by room number is expected in the second half of 2019. Designed by renowned architecture firm OMA (founded by Rem Koolhaas), the 650-room, 4-star premium lifestyle, aiming to be BREEAM Excellent certified hotel will comprise conference facilities, a wellness centre, skybar & restaurant, a TV studio and parking garage.
In line with AXA IM – Real Assets’ strategy of working with best in class operating partners, the hotel will be operated by Nhow, part of the NH Hotel Group, who has signed a pre-let on a long-term lease.
The Nhow Amsterdam RAI Hotel is expected to become a prominent place and international hub for the business and leisure travellers. It will benefit from its location in Amsterdam’s main business district of Zuidas and the World Trade Centre, and will be the official hotel of choice for the adjacent RAI Expo Centre, the city’s largest corporate exhibition centre and one of the largest such facilities in Europe. The accessibility of the area through its excellent transport links will also drive increased leisure numbers; just nine minutes by train from Amsterdam Schiphol Airport and 15 minutes south of the city centre, with the arrival of a new North South train line in 2018 expected to further increase footfall.
This latest acquisition further adds to AXA IM – Real Assets’ €2.6 billion(3) portfolio of over 80 hotels, across eight countries, that it manages on behalf of clients.
Nathalie Charles, Regional Head of Asset Management & Transactions and Pan European Development Leader, at AXA IM – Real Assets, commented: “This acquisition demonstrates AXA IM – Real Assets’ capabilities to underwrite significant development projects across a diverse range of sectors, with the goal of generating attractive returns on behalf of our clients.”
“Amsterdam is one of Europe’s fastest growing and most dynamic cities and we are excited about growing our hotel footprint, following soon after the refurbishment inauguration of the NH Collection Grand Hotel Krasnapolsky in April 2016. It is an ideal location to build a large-scale and high-quality hotel, that is attractive to both corporate and leisure guests, alongside an operator who has established a market-leading reputation managing hotels across the region.”
Michael Nielsen, CEO of ATP Real Estate, commented: “We are happy to further diversify our investments in the hotel sector and add to the sustainable, long-term secure income for the benefit of ATP’s members.”
Source : AXA