First Sponsor Group Ltd. partnered with a joint venture between two of its key shareholders, City Developments Ltd. and Tai Tak Estates Sdn. Bhd., to acquire the Le Méridien Frankfurt Hotel in Germany for €85.0 million.
The hotel sits on a 4,405-square-meter site and comprises two buildings. The first of the buildings was built in 1905 and has 80 rooms, while the 220-room second building was built in the 1970s. A 670-square-meter conference space and a fitness and wellness area are also housed in the hotel, along with 48 parking spaces.
MHP Parkhotel GmbH leases the property to May 31, 2040, and the hotel is operated under Starwood's Le Méridien brand.
The acquisition marks the first foray into Germany for First Sponsor. Earlier, City Developments signed a €98.9 million acquisition deal for a mixed-use property in Munich.