Cox & Kings owned MEININGER Holding GmbH (“MEININGER”) and Foncière des Régions, through its subsidiary Foncière des Murs, announced today that they have formed a commercial partnership in respect of the sourcing by MEININGER and acquisition by Foncière des Régions of hotel property investment opportunities primarily in European gateway cities, to be leased to and managed by MEININGER under the “MEININGER” brand.
Primary cities targeted include Amsterdam, Barcelona, Brussels, Berlin, Geneva, Hamburg, Frankfurt, London, Madrid, Milan, Munich, Paris, Rome, Vienna and Zurich. In addition other cities in both Western and Eastern Europe where the MEININGER brand is likely to be popular are also planned for expansion.
MEININGER will operate these hotels under its brand in a lease structure. MEININGER will also provide other services appropriate to its brand. Over the next 4 years, this strategic agreement could translate into up to 400 million€ total hotel investments, subject to approval by both parties on an hotel by hotel basis, through triple net long-term leases.
Foncière des Régions, European leader of the Hotel real estate market, already has successful relationships with leading operators in this sector., including with Accor, B&B Hôtels, NH Hotels and Louvre Hotels Group. Foncière des Régions’ strategy is to strengthen its presence in the hotel sector throughout Europe and expects the partnership with MEININGER to accelerate its European footprint while creating a long- term relationship with an operator with a proven track record and meaningful development potential.
As Navneet Bali, CEO at MEININGER Hotels, explains, “MEININGER is a unique hybrid hotel product. The partnership with Foncière des Régions is an important step for our expansion in Europe. MEININGER’s aim is to operate an “urban traveller’s home” in every major European city. The collaboration with Foncière des Régions is an exciting step in this direction.”
Dominique Ozanne, CEO Hotels & Service-sector for Foncière des Régions adds the following: “the European leader in hotel property, Foncière des Régions today begins a new partnership with an innovative operator, marked by ambitious growth prospects. With an unprecedented concept in Europe, intended for a large customer base including backpackers and business tourists alike, Meininger is one of the most dynamic brands in the industry and a partner of choice to strengthen our development in Europe.“
MEININGER
MEININGER is a subsidiary of Holidaybreak Ltd, the European education & leisure specialist activity travel group. Holidaybreak Ltd is a subsidiary of Prometheon Holdings (UK) Ltd, which is a part of Cox and Kings Ltd. Cox & Kings Ltd is listed on The National Stock Exchange and Bombay Stock Exchange in India and also on Luxembourg Stock Exchange.
Founded in 1999 MEININGER currently operates 7089 beds and 2093 rooms in 16 hotels in 10 European Cities. The unique hybrid concept of MEININGER is based upon combining the service and comfort of a hotel with the uncomplicated nature of a hostel: top locations, high-quality amenities, flexible room structure and reasonable prices. MEININGER is ideally positioned to accommodate business travellers, individual guests, families, school trips & tour groups.
Foncière des Régions, real estate partner
As a key player in real estate, Foncière des Régions has built its growth and its portfolio on the key and characteristic value of partnership. With a total portfolio valued at €16Bn (€10Bn in group share), located in the high-growth markets of France, Germany and Italy, Foncière des Régions is now the recognised partner of companies and territories which it supports with their real estate strategies with a twofold: adding value to existing urban property and designing buildings for the future.
Foncière des Régions mainly works alongside Key Accounts (Suez Environment, Thales, Dassault Systèmes, Orange, EDF, IBM, and Eiffage, etc.) in the Offices market as well as being a pioneering and astute operator in the two other profitable sectors of Residential market in Germany and Hotels in Europe.
Foncière des Régions shares are listed in the Euronext Paris A compartment (FR0000064578 – FDR), are admitted for trading on the SRD, and are included in the composition of the MSCI, SBF 120, Euronext IEIF “SIIC France” and CAC Mid100 indices, in the “EPRA” and “GPR 250” benchmark European real estate indices, and in the FTSE4 Good, DJSI World and NYSE Euronext Vigeo (World 120, Eurozone 120, Europe 120 et France 20) ethics indices.
Foncière des Régions is rated BBB-/Stable by Standard and Poor’s.