CBRE Hotels Advises on sale of Sofitel Munich

CBRE Aquires 5-Star Sofitel Munich Bayerpost On Behalf Of Deka Immobilien

The Largest Single Hotels Transaction In Germany

​London, 2 October 2015  - Deka Immobilien Invest GmbH has acquired the 5-star Sofitel Munich Bayerpost from E & P Real Estate GmbH & Co. KG for an undisclosed amount. This acquisition represents the largest transaction of a single hotel in Germany to date.

Olivia Kaussen, Head of CBRE Hotels Germany and CEE said: "The Sofitel Munich Bayerpost is a successful 5-star hotel in a prime central location next to Munich Central Station. The 30,646 square meter building has 396 rooms, 57 suites, a bar, meeting rooms and a spa. In 2001, E & P Real Estate acquired the property and transformed into the first-class hotel we see today.”

Joe Stather, Information and Intelligence Manager EMEA, CBRE Hotels, commented: 

The institutional appetite to invest in core real estate has heightened considerably thanks to low interest rates and the associated impact on bond yields.  The German economy has remained resilient throughout the global financial crisis and the diversity of demand attracted by the Munich hotel market, RevPAR has grown at an admirable compound annual growth rate of 5.14% between 2010 and YE 2014 – the highest growth rate of any key European city. 

Hotel gross operating profit at a market level also sits 17% ahead of the pre-recession peak. The stability of the market through turbulent times inevitably appeals to core investors; however, the statistics also show that there remains substantial opportunity for performance growth.” 

In the off-market transaction CBRE acted as an advisor for DEKA.

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting.