Adina Apartment Hotels has doubled the size of its European platform, powered by the increasing demand from institutional investors for high-quality property developments in the extended stay sector.
The speciality apartment hotel operator, which originated in Australia and is part of TFE Hotels (Toga Far East Hotels), has recently opened two new apartment hotels in Germany, in Frankfurt and Nuremberg, with funding from Deka Immobilien and Invesco Real Estate respectively.
Andrew Hunter, Adina’s European director, said: “The extended-stay segment of the hotel market is an increasingly important one for investors who see the great potential for growth. Our investor partners have chosen Adina for our high-quality, ‘institutional grade’ schemes and strong brand which provides something a little different from the competition.”
Adina’s one-bedroom apartments are typically around 30 sq m, with two-three apartments offering up to 60 sq m. The modern, spacious apartments provide all the benefits of a full hotel service.
With the opening of the Adina Apartment Hotels in Frankfurt and Nuremburg, the company has a current portfolio of 1,200 rooms. As part of its expansion drive, Adina is currently developing apart-hotels in Hamburg, Leipzig, Munich, Freiburg and Cologne which will increase its portfolio to over 2,000 rooms by 2019.
“The openings of our Frankfurt and Nuremburg projects are important milestones in Germany and they provide us with a strong foundation for further European growth, which will include an expansion into UK, providing further opportunity for institutional and private investment,” Andrew adds.
Along with its investors, Adina works closely with its development partners, which include GBI, FREO Group and Hochtief. The company also has the capacity to develop and invest directly with the backing of its Australian and Singapore based shareholders.
Andrew continues: “We understand investment and development. We know what an investor is looking for, so can work to these quality standards. And we have a fundamental knowledge of development. As a result of our direct development experience and working in close partnership with developers, we get how they operate. As such, we have already been presented with a number of development opportunities in England and Scotland and look forward to announcing our plans in the near future.”
