Commerz Real has purchased 4-star hotel Steigenberger Hotel de Saxe in Dresden for its open-ended real estate fund Hausinvest.
The property is leased in the long term to hotel chain Steigenberger Hotels & Resorts, part of the Deutsche Hospitality umbrella brand.
Located on Neumarkt, opposite Dresden Frauenkirche, the hotel comprises 184 rooms, a restaurant, lobby bar, a spa and conference rooms.
In addition, the ground floor and lower level accommodate four retail areas – leased to Geox footwear, the perfumery chain Douglas, Fotostudio Picture People and Brocante Antik - on about 1,200 square metres, as well as an additional restaurant operated by the Radeberger Brewery.
Why it matters
While the hotel transaction market has been slow, with Germany being no exception, the outlook for the year seems to be improving. Last month, Josef Filser, head of hospitality Germany & Austria at Cushman & Wakefield forecast an increase in market activity in the second half of the year due to an increase in the number of hotels for sale. Just this week, Union Investment announced its acquisition of the Grand Palais building of the Steigenberger Grandhotel & Spa resort hotel on the island of Usedom.
What they said
Dirk Schuldes, global head of hospitality and shopping at Commerz Real said: “Steigenberger Hotel de Saxe has been on our wish list for a long time now. For this reason, we are very pleased that we have been able to acquire it for our investors in the framework of an off-market transaction.”