Deutsche Finance makes first Irish acquisition with the purchase of well known hotel
Private equity real estate group Deutsche Finance International, in a joint venture with BCP Capital in Dublin, has acquired the Central Hotel and Trinity Street car park.
The financial details of the deal have not been disclosed.
The Central Hotel, which is located on Dublin’s Exchequer Street, was put on the market last October for €40m. It has over 70 rooms across four floors.
Deutsche Finance and BCP Capital plan to refurbish the building and add rooms.
Meanwhile, Trinity Street car park, which is walking distance from the hotel, comprises 171 car-parking spaces with ancillary retail and office use over five floors.
The joint venture partners plan to enhance the asset’s income through the activation of potential alternative uses within the property.
The investment follows the recent close of Deutsche Finance's inaugural fund, DFI European Value-Add Fund, with €436m of equity, including co-investment.
Paul Nearchou, director at Deutsche Finance, said: "These are our first investments for the Fund in Ireland, allowing us to create value in prime locations and benefit from highly supportive structural trends, including an undersupplied commercial real estate market; strong GDP growth; and high levels of foreign direct investment."
"Against this backdrop we feel confident in our ability, and that of our partners BCP Capital, to maximise the inherent value in these two prime central Dublin assets."