ECHO acquires four-star hotel in Amsterdam
Pfäffikon, 6 November 2019 - ECHO Partners AG ("ECHO Partners") announced today the signing of its fourth hotel acquisition for ECHO Fund SCSp ("ECHO Fund"). The Ammonite Hotel is an upscale four-star hotel located in Amsterdam, the Netherlands.
Acquisition exceeds ECHO's acquisition requirements
The acquisition of hotel Ammonite offers investors a unique opportunity to participate in the development of one of the most dynamic tourism markets in Europe at an acquisition yield which exceeds ECHO's investment criteria. The Ammonite Hotel is a modern newly built and furnished hotel with 227 rooms in a building designed by the famous architect Roberto Meyer. Worldwide it is the first hotel full of distinct minerals and authentic fossils of museum quality. Each floor of the hotel has its own theme which is also reflected in the various floor designs.
Amsterdam is one of the most visited cities in Europe with ~17 million overnights per year driven by both tourists and business travelers. As an important gateway city in Europe, it is one of the best performing hotel markets in terms of occupancy rates and average room prices. The Ammonite hotel is set to further profit from the strong development of the Amsterdam market, as it is strategically well located at the southern border of Amsterdam, with easy access to the city centre and Schiphol airport.
The asset was acquired with the opportunity for ECHO to enter into a new, institutional operator contract with a renowned international hotel operator around closing.
Vitus Eckert, Founding Partner of ECHO states: "This is the fourth acquisition since the start of our fund in July 2019 and our first but certainly not last hotel in Amsterdam. The Ammonite Hotel perfectly complements our existing hotel portfolio and offers very attractive returns to our investors."
Michael Regner, Founding Partner of ECHO adds: "By acquiring the Ammonite Hotel, ECHO has taken advantage of the unique opportunity to buy a hotel in Amsterdam while simultaneously locking in a long-term contract with an international operator. We are well progressed with the discussions on that new long-term contract and are confident to sign the agreement by end of this year."
ECHO Partners AG
About ECHO Partners AG
ECHO Partners AG ("ECHO Partners"), based in Pfäffikon, Switzerland, invests in hotels, which are located in leading Continental European tourist destinations, such as Vienna, Amsterdam or Budapest and relies on long-term tourism trends. We are identifying and purchasing hotels with a purchase price in the EUR 10-70MM range and a target acquisition yield at or above 5%. The ECHO Fund is the first investment fund of ECHO Partners to implement this strategy.