Aareal Bank has closed a €567 million, cross-collateralised pan-European facility to refinance a portfolio of seven hotels in four different European countries for Archer Hotel Capital.
Archer Hotel Capital is the joint investment vehicle of Singapore’s sovereign wealth fund GIC and APG, a subsidiary of Stichting Pensioenfonds ABP, the Dutch pension fund.
Over the years, Aareal Bank has financed various assets for Archer through multiple facilities.
The loan refinances seven premier hotel properties across Europe: Royal Saint-Honoré Paris and Renaissance Paris Vendôme; Renaissance La Défense Paris; Renaissance Amsterdam; Hilton Schiphol Airport; Conrad Dublin; and Sheraton Stockholm.
Together, these properties constitute a portfolio of over 2,000 rooms in prime locations within their respective markets. Archer Hotel Capital self manages most of the assets in the portfolio under Marriott franchises and two assets are managed by Hilton International.
What they said
Bettina Graef-Parker, managing director special property finance at Aareal Bank, said: “We are proud to strengthen our long-term partnership with Archer Hotel Capital with this complex transaction. We are particularly pleased to support our valued client in unlocking lasting value by carrying out asset improvements with a strong focus on ESG considerations. By integrating ESG criteria into the financing structure, we support the sustainable development of prime hotel assets in major European cities.”
Matt Tanner, CFO of Archer Hotel Capital, said: “Our long-standing partnership with Aareal Bank is built on trust, expertise, and a shared vision for the future of hospitality. Their deep understanding of the sector across multiple European markets has been instrumental in supporting our commitment to sustainable growth and long-term value creation. This milestone deal will enhance our capability to operate hospitality assets at high ESG standards.”