Deka Immobilien has purchased Hotel Ruby Zoe in Notting Hill, London for around €62 million.
The asset - originally a retail and residential building - was acquired by real estate investor Frogmore as part of the Notting Hill Gate Estate for its private equity fund Frep III with co-investment partner Morgan Stanley and was developed into a four-star hotel.
Located at 146 - 164 Notting Hill Gate, the 173-room hotel opened in May 2023. It is leased on a long-term basis to Ruby Hospitality UK Ltd, a subsidiary of Ruby GmbH from Munich. The Ruby Zoe is the second Ruby brand hotel in London.
This purchase is Deka’s first transaction of 2024, with the fund noting it has built up a tactical liquidity ratio of over 35 per cent with the intention of using the cash to realize additional investments. It notes its focus remains on core properties with long-term rental agreements in “very good” locations.