The investment firm Boscalt and Edmond de Rothschild have created a vehicle in Spain that, in co-investment with a Luxembourg fund, will buy and renovate hotels in main European cities, reported European media outlets.
Total investment will be €500 million ($582 million) for hotel assets that need rehabilitation and repositioning.
The intention of both parties is that it has between €5 million and €300 million ($5.8 million and $349 million) of equity and the rest is debt. This will allow them to create a portfolio of 1,500 rooms, in 8-12 buildings.
The fund will be open to retail investors, whose minimum contribution will be €100,000 ($116,416). The investment horizon is three years, although the permanence is five. The intention is to take advantage of the discounts that they predict will appear in 2022.
Boscalt made its first disbursement in the acquisition of the old British Baileyen building in London, to transform it into a luxury hotel. It
