Ligula Hospitality Group signs a lease agreement for 7 hotels in Germany
Fastighets AB Balder is acquiring a small German hotel portfolio while Ligula is acquiring operator companies from current operators. In connection with this, Balder and Ligula are signing new long-term leases. This arrangement is similar to what the companies undertook in 2017 in Copenhagen.The hotels are located in the cities of Berlin, Leipzig, Erfurt, Gelsenkirchen and two smaller towns in northern Germany. Balder will be taking over the properties immediately, however the move is expected to be gradual during 2018.
The acquisition in Germany comprises a total of 842 rooms and increases Ligula’s total room capacity to almost 5500, together with other agreements signed in 2018.
The hotel, which currently operates under different brand names, will mainly operate under Good Morning Hotels through the newly formed subsidiary Ligula Germany GmbH. The portfolio also includes a resort hotel that will operate under Collection by Ligula.
“I’m very pleased that we managed to get a break into the strong German hotel market,” says Uwe Löffler, CEO “In the last five to six years, the limited service market has expanded dramatically in Germany, so it will be interesting to introduce the Good Morning Hotels concept to that market.”
“Establishing on the German real estate market through long-term leases together with a reputable lessee is a very positive development,” says Erik Selin, CEO of Fastighets AB Balder.
“Ligula has operated several hotels as a lessee of Balder, so with our good cooperation this joint venture into a new market feels spot on,” concludes Löffler.
Gothenburg, 12 June 2018
Ligula Hospitality Group AB
For Ligula: Uwe Löffler, CEO +46 (0)708 11 4972
For Balder: Marcus Hansson +46 (0)31 10 95 94
Ligula Hospitality Group AB, which is based in Gothenburg, had a turnover of approx. SEK 825m in 2017 and employs approx. 900 staff. Today, Ligula owns over 30 hotels, totalling almost 3900 rooms, operating under the names of Profilhotels, Motel L, Good Morning Hotels, Park Inn by Rezidor and Collection by Ligula. You can read more about the company at Ligula.se.