Peakside Capital Advisors AG has bought Hessischer Hof, a luxury hotel with an adjacent office building in Frankfurt from Hessische Hausstiftung, a foundation of the House of Hesse.
The property will become part of the Peakside Real Estate Fund IV. The luxury hotel at Friedrich-Ebert-Anlage 40 was built in 1952, replacing the former city palace of Prince Wolfgang of Hesse-Kassel. The property with 12,330sq m of GLA has been comprehensively refurbished by the seller over the past ten years.
Previously operated as a five-star hotel, the building includes 121 rooms and suites, a 180sq m presidential suite, eleven event and meeting rooms, a restaurant, a bar, four terraces, a winter garden, a spa, and fitness area with a view over Frankfurt’s rooftops and 80 parking spaces. The adjacent office building in Beethoven Strasse 5 encompasses 560m² leased to two tenants. It will be fully refurbished and re-let after their contracts expire.
Boris Schran, Managing Partner at Peakside, said: “Hotel Hessischer Hof is iconic in Frankfurt’s luxury hospitality market – and it will be reinstated as such. We are convinced that the established hotel location close to the Trade Fair and Festhalle, a multi-purpose arena, makes the property an exceptional investment for our PREF IV fund. We are planning to refurbish the asset and reposition it with a new operator.”
